Section
17(5) Notwithstanding anything contained in sub-section (1) of section 16 and sub-section (1)
of section
18,
input tax credit shall
not
be available in
respect
of the following, namely:—
(a) motor vehicles and other conveyances except when they are used ––
(i) for making the following taxable supplies, namely: —
(A)
further supply of such vehicles or conveyances ; or
(B) transportation of passengers; or
(C)
imparting training on
driving, flying, navigating
such vehicles or
conveyances;
(ii) for transportation of goods;
In
clause (a) section 17(5) of the
Act , restriction has been imposed on input Tax credit relating to motor vehicle
,it means that tax credit of ‘input’ and ‘input service’ both will be
restricted.