Input Tax Credit of capital goods :
Entire ITC of GST paid on capital goods will be available in first year itself, as these are ‘goods’.
Term ‘capital goods’ is defined in section 2(19) of CGST Act as follows –
“Capital goods” means goods, the value of which is capitalised in the books of account of the person claiming the credit and which are used or intended to be used in the course or furtherance of business – section 2(19) of CGST Act.