ITC on construct of ‘bunds’ admissible if used for making zero rated supplies & if satisfy P&M condition

In re Satyesh Brinechem Private Limited (GST AAR Gujarat)

Question 1: Whether input tax credit is admissible to the applicant under the GST Acts in respect of bunds which are constructed and used in the manufacture of salt and bromine chemicals?

Answer: Input tax credit of GST paid on goods and services used to construct the ‘bunds’ is admissible to M/s. Satyesh Brinechem Private Limited, provided that the bunds are used for making zero rated supplies and fulfill the conditions which are necessary for treating the bunds as ‘plant and machinery’.

FULL TEXT OF ORDER OF BEFORE THE AUTHORITY OF ADVANCE RULING,GUJARAT

2. The applicant, vide Form GST ARA-01 dated 22.02.2018, mentioned their queries as under:

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