04-05-2008, 02:42 AM
Sorry for producing tax topic in accounting section as i feared posting in the relevant section could delay the response.
Can anyone explain Section 8 (a).
[<font color="blue">i]Section
8. Tax credit not allowed.--
(1) Notwithstanding anything contained in this Act, a registered person shall not be entitled to reclaim or deduct input tax paid on --
(a) the goods used or to be used for any purpose other than ("for the manufacture or production of taxable goods or" omitted by Finance Act, 2007) for taxable supplies made or to be made by him; [/i]</font id="blue">
Does omission of "FOR THE MANUFACTURE OR PRODUCTION", means any expense other than manufacturing and production such as courier, hotel stay, general repairs all can be used to claim input tax.
Kindly explain.
Asad
Can anyone explain Section 8 (a).
[<font color="blue">i]Section
8. Tax credit not allowed.--
(1) Notwithstanding anything contained in this Act, a registered person shall not be entitled to reclaim or deduct input tax paid on --
(a) the goods used or to be used for any purpose other than ("for the manufacture or production of taxable goods or" omitted by Finance Act, 2007) for taxable supplies made or to be made by him; [/i]</font id="blue">
Does omission of "FOR THE MANUFACTURE OR PRODUCTION", means any expense other than manufacturing and production such as courier, hotel stay, general repairs all can be used to claim input tax.
Kindly explain.
Asad
