ITC is not available for motor vehicles.
Exceptions to ITC on motor vehicles;
ITC will be available when the vehicle is used for the following.
1.Supply of other vehicles or conveyances.
If you are in the business of supplying cars then ITC will be available.
2.Transportation of passengers.
If you are providing transportation of passengers then ITC will be allowed on the vehicle purchased.
3.Imparting training on driving, flying, navigating such vehicle or conveyances.
A driving school purchases a car to give training to students. The school can claim ITC on the GST paid on the car.
4.Transportation of goods.
ITC will be allowed on motor vehicles (and other conveyances) used to transport goods from one place to another. However, this is concerning other transporters and not goods transport agencies (GTA).
chatCommentsAnswered by Adeel - Adeel Hussain Elahi