Multipal Business in Single GST input use

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..... Multipal Business in Single GST input use
Query (Issue) Started By: - KS Bhat Dated:- 14-2-2025 Last Reply Date:- 20-2-2025 Goods and Services Tax - GST
Got 2 Replies
GST
Sir/Madam Mr A having Single GST number (regular) Runs two type of Business 1. Own vehicale (Car ) renting Service He is not collecting GST on renting and hiring service instead it will be dealcred as RCM nature .....

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..... and service receiver will pay the GST 2. Condiments Shop Input of car (Yello Board) purchase is also used in total tax liability of business Is this correct ? Can he take input of car purchase while discharging Shop tax liability ?   Reply By RAHUL MODI: The Reply: Relevant Extract of Section 17(5)(a) of the CGST Act, 2017 As per Section 17(5)(a) of the CGST Act, 2017, input tax credi .....

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..... t on motor vehicles for transportation of persons having an approved seating capacity of not more than 13 persons (including the driver) is blocked, except when used for: 1. Further supply (sale) of such vehicles 2. Transportation of passengers 3. Training in driving such vehicles 1. Car Rental Service (Own Vehicles) - Taxable under RCM * If the vehicle is used exclusively for providing p .....

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..... assenger transportation services, ITC may be available. * However, since the taxpayer is supplying car rental services under RCM, there is no outward GST liability, which may restrict ITC availability as per Rule 42 of CGST Rules. 2.  Condiments Shop * Since a condiments shop primarily deals with goods, the key factor would be whether the vehicle is used exclusively for transporting .....

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..... goods. * If the car is not registered as a goods transport vehicle, ITC is blocked under Section 17(5)(a). Reply By Shilpi Jain: The Reply: Credit of car not eligible since it is used for making supplies that are liable in hands of recipient under RCM So then no question of using such amount of GST for discharging any liability.
Discussion Forum - Knowledge Sharing .....

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