GST Input Tax Credit On Construction Costs Can Be Claimed If Building Construction Was Necessary For Renting Out Service : Supreme Court

The Supreme Court ruled that input tax credit (ITC) on construction costs can be claimed if the building’s construction was necessary for renting out services. The court clarified that ITC is allowable when construction expenses are directly linked to the taxpayer's business operations, such as generating rental income. This decision is significant for businesses involved in real estate and infrastructure, as it expands the scope of ITC claims related to construction activities that are essential for their commercial activities.