QUESTION

 If one person is registered under GST act can claim ITC on purchase of Mobile and laptop etc. sir please update me with particular circular regading ITC claimed on which expenses.

ANSWER

Facts of the case: Eligibility of ITC on purchase of Mobile and Laptop etc.

Law Applicable:
SECTION 16 OF CGST ACT

(1) Every registered person shall, subject to such conditions and restrictions as may be prescribed and in the manner specified in section 49, be entitled to take credit of input tax charged on any supply of goods or services or both to him which are used or intended to be used in the course or furtherance of his business and the said amount shall be credited to the electronic credit ledger of such person.

SECTION 17 OF CGST ACT
(5) Notwithstanding anything contained in sub-section (1) of section 16 and subsection (1) of section 18, input tax credit shall not be available in respect of the following, namely:-

(a) motor vehicles for transportation of persons having approved seating capacity of not more than thirteen persons (including the driver), except when they are used for making the following taxable supplies, namely:-
        (A) further supply of such motor vehicles; or
        (B) transportation of passengers; or
        (C) imparting training on driving such motor vehicles;--------------------------------------------------

Interpretation: As per section 16(1) Every registered person shall, subject to such conditions and restrictions as may be prescribed and in the manner specified in section 49, be entitled to take credit of input tax charged on any supply of goods or services or both to him which are used or intended to be used in the course or furtherance of his business.

Further ITC in GST is restricted under section 17(5) which no where restricts ITC on Laptops and Mobile. Thus ITC on Laptops and Mobile is eligible if the same are used or intended to be used in the course or furtherance of his business and not purchased for personal use.

Conclusion:  You are eligible for ITC on Laptops and Mobile provided that the same are used for business purposes.  (Reply dt.10.08.2020)