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TMI BlogInput tax credit on JCBX X X X Extracts X X X X X X X X Extracts X X X X ..... An agreement with JCB owner that we will pay monthly rent of ₹ 50000/- to him if any repair and maintenance of JCB will bear by us . If any repair and maintenance done by us and invoices are prepared in our company name can we take INPUT TAX CREDIT of the same in our books of A/c - Reply By YAGAY and SUN - The Reply = In our view ITC would be available to you. - Reply By Ganeshan Kaly ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ani - The Reply = I am also of the view that input tax credit is eligible. - Reply By Alkesh Jani - The Reply = Sir, I agree with the views expressed by our experts Thanks - Reply By Himansu Sekhar - The Reply = I have a different view. a, The supply of the R/M services will be to the machine owner. The services will persist there. b. If such argument is accepted , then if the wheels are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... changed and the bill is in the name of the service recepient, then ITC is available to the recepient c. Now in my view, the GST value on the hiring services will also include the R/M value as without such R/M, the hiring service is incomplete. For ease of business the R/M services are provided by the recepient else it should have been borne by the service provider. - Reply By KASTURI SETHI - The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Reply = The reply posted by Sh.Himansu Sekhar ji, appeals to me. Owner of machine is to bear the repair and maintenance expenses irrespective of the agreement. - Reply By Alkesh Jani - The Reply = Sir, My view is based on the Notification No.11/2017-CT (Rate) dated 28/06/2017 as amended from time to time. The Sl.No.17 which refers to HSN code 9973 i.e. lease or rental service, wherein, i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is stated that temporary or permanent or permitting the use Therefore, without its repair one cannot use and even temporary use, the repairing charges are normally borne by the user. It can be conclude that the user is temporary owner of the machinery. Hence, ITC is available. Further, If, by way of agreement, such charges are reimbursed by the actual owner, then I would say, ITC is not av ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ailable. Our experts may correct me if mistaken. Thanks - Reply By Himansu Sekhar - The Reply = The major controversy in supply of tangible goods service is the ownership. The ownership is never parted away. It will not be a service even if it is a temporary transfer. - Reply By Alkesh Jani - The Reply = Sir, With due regards, I wish to submit that, in GST regime the concept of effec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tive control is not applicable, In HSN code it is mentioned with or without operator. Based on above, I still stand to my views expressed earlier. However, different views can be expressed to raise the discussion to the new horizon. Thanks - Reply By Ganeshan Kalyani - The Reply = In practise the user of the asset maintains it. The owner is interested in rent. Of course there would be conditio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n to keep that machine in good condition. In my view the repair is in course or furtherance of the business hence credit is eligible. - Reply By YAGAY and SUN - The Reply = Please check the Explanatory Notes to the Scheme of Classification of Services under GST Regime. - Reply By DR.MARIAPPAN GOVINDARAJAN - The Reply = In my opinion the views of Shri Alkesh is correct. - Reply By AKSHAY NAIK ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - The Reply = Dear Sirs, Is Input Tax Credit available on Hiring services of Crane for moving of inventory in stores/warehouse? Thanks, - Reply By KASTURI SETHI - The Reply = Yes. It is available. Hiring of crane is classified under the category of Right to use /supply of tangible goods . It conforms to the definition of in business or furtherance of business. - Reply By Himansu Sekhar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - The Reply = The view of kasturi sir is correct. The use of crane for transfer of goods from one warehouse to another is in relation to the furtherance of business. - Input tax credit on JCB - Query Started By: - Prateek Agrawal Dated:- 30-6-2018 Goods and Services Tax - GST - Got 14 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Managem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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