No ITC on lease rent paid in pre-operating period: AAAR

In re GGL Hotel and Resort Company Ltd. (GST AAAR West Bengal) Whether ITC is admissible on lease rental paid for the pre-operative period for the land on which a hotel is being constructed The Appellant acquired land from the WBHIDCL on lease paying an upfront amount as premium and a yearly lease rental @10% on the premium with an escalation clause from the third year of lease. The premium paid by the Appellant is exempted under SI. No. 41 (SAC 9972) of Notification No. 12/2017-CT(Rate) dated 28.06.2017, as amended vide Notification No. 32/2017-CT (Rate) dated 13.10.2017 and Notification No. ...