ITC

[luckyra...@gmail.com]

Is ITC for Mobile purchased for Business use and payment made in Cash exceeding Rs10000 available?

[Mohit]

Section 40A(3)  of Income Tax Act, 1961 disallow cash payment exceeding Rs. 10,000.  Dis-allowances of an expenditure under income tax act only mean that your profit will increase by such expenditure and you will not able to claim any tax benefit on it. 

However section 17 of CGST Act don't disallow the input of mobile purchased if it is for furtherance of business. 

Hence you can take input of ITC, if purchased for furtherance of business.