In re Dhingra Trucking Private Ltd. (GST AAAR Haryana)
Q1. Whether Input Tax Credit of GST in respect of inputs/ Capital Goods used or intended to be used for creation of covered logistics facility space (warehouse) to be rented out for storage purposes be eligible input tax credit under the provisions of Sections 16 and 17 of the CGST Act 2017?
A1. The applicant is not eligible to input tax credit in respect of inputs/ capital goods used or intended to be used for creation of covered logistics facility space (warehouse) to be rented out for storage purposes.
Q2. Whether Input Tax Credit of GST in respect of inputs in form of goods and services be eligible if the goods and services are consumed and used in construction of covered logistic facility space when the said Input Tax Credit would be utilized in order to discharge and pay CGST and HGST/IGST on rent received from tenants of the warehouse.
A2. Since no credit of input tax in respect of input goods or services consumed and used in the construction of covered logistics facility space is available, there arises no possibility of utilization of the same.
Read AAR Order: No ITC on inputs/ capital goods for creation of warehouse for renting
