Section 11(3) in The Himachal Pradesh Value Added Tax Act, 2005
(3)[Except the goods in respect of which input tax credit is not admissible under this Act or the rules made thereunder, the input tax credit shall be allowed to the purchasing dealer in respect of the turnover of purchases of such taxable goods as have been sold by him during the tax period, and to the extent of the amount of input tax paid by such purchasing dealer on the turnover of purchases of such taxable goods made by him in the State, from a registered dealer holding a valid certificate of registration, for the purposes of,--] [Substituted by Act No. 12 of 2007 published vide Notification No. LLR-D(6) 4/2007-Leg. dated 16-5-2007 in R.H.P. Extra dated 16-5-2007. The words and signs prior to substitution were: 'The input tax credit shall be allowed to the extent of the amount of input tax paid by the purchasing dealer on the purchases of taxable goods made by him in the State, from a registered dealer holding a valid certificate of registration, which are intended for the purpose of,-'](a)sale or re-sale of goods by him in the State; or(b)sale in the course of inter-State trade or commerce; or(c)sale in the course of export out of the territory of India; or(d)use as raw material or as capital goods in the manufacturing or processing of taxable goods for sale of the nature referred to in clauses (a), (b) or (c); or(e)use as containers or packing material of taxable goods for sale of the nature referred to in clauses (a), (b), (c) or (d):Provided that if the goods so purchased are used partially for the purposes specified in this sub-section, the input tax credit shall be allowed proportionate to the extent these are used for the purposes specified in this sub-section:Provided further that input tax credit on fuels and lubricants, shall be allowed only to the extent by which the amount of input tax paid in the State exceeds 4 percent subject to the condition that such fuels and lubricants are used in the manufacture of taxable goods or captive generation of power.
