Section 11(8) in The Gujarat Value Added Tax Act, 2003
(8)[(a) If the goods purchased were intended for the purposes specified under subsection (3) and are subsequently used fully or partly for purposes other than those specified under the said sub-section or are used fully or partly in the circumstances described in sub-section (5), the tax credit, if availed of, shall be reduced on account of such use, from the tax credit being claimed for the tax period during which such use has taken place; and such reduction shall be done in the manner as may be prescribed.(b)Where the Capital goods referred to in sub-clause (vii) of clause (a) of sub-section (3) arc not used continuously for a full period of five years in the State, the amount of tax credit shall be reduced proportionately having regard to the period failing short of the period of five years.]
