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Plant and Machinery for Sec 17 EXCLUDES (and hence ITC is BLOCKED on them under Sec 17(5)(c)/(d)):
AApparatus and equipment fixed to earth by foundation
BTelecommunication towers and pipelines laid outside factory premises and land/building/civil structures
CMining equipment
DBoilers
Answer & Solution
Correct answer: B. Telecommunication towers and pipelines laid outside factory premises and land/building/civil structures
1. Explanation to Sec 17 defines 'plant and machinery' as apparatus/equipment/machinery fixed to earth by foundation or structural support used to make outward supplies, including foundation and structural supports.
2. It EXCLUDES: (i) land, building or any other civil structure, (ii) telecommunication towers, and (iii) pipelines laid outside the factory premises.
3. ITC on the excluded items is blocked, even if used in business.
_Source: ICAI BoS CA Final Paper 8, Ch 6 "Input Tax Credit", §Sec 17(5) Explanation_
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