Whether Input tax credit can be availed in respect of GST paid on insurance premium is available for the following-Business purposes only 1) Building insurance if the building is capitalised in books of accounts 2) Plant and machinery 3) Stock of goods 4) Motor vehicle for goods transport.
Frah Saeed Changed status to publish June 8, 2020
As per the provisions of GST law ITC can be availed for expenses incurred for business purposes / used for taxable supplies. However even if these and other conditions are fulfilled, no IC can be availed if same is blocked u/s 17(5) of the CGST Act, 2017. None of the above cases are covered u/s 17(5) and accordingly, ITC for the insurance premium paid in respect of all.
Team Clearmytax.in
Frah Saeed Changed status to publish June 8, 2020