Proposed Section 17(5) relaxations announced at the 57th GST Council meeting (8 October 2026) are not treated as effective law in this simulator. Formal enactment and commencement must be verified before relying on them.
Test a purchase. See your GST cost.
Select a real-world example below, adjust the invoice values, and see the Section 17(5) result with an explanation.
Explore common business decisions
Tap any scenario to load its facts into the simulator.
Passenger car → goods carriage
Explore what changes when a car is used for deliveries, physically modified, or legally reclassified. Business use is not the same as vehicle classification.
Passenger car used for goods delivery
Carrying parcels does not change the vehicle's passenger classification.
Passenger car delivers products
Normally blockedA 5-seat passenger car is used for customer deliveries. Actual goods transport use alone does not unlock ITC under Section 17(5)(a).
Factory-approved cargo pickup
Normally eligiblePurchased and registered as a goods carriage. The passenger-vehicle restriction generally does not apply, subject to other GST conditions.
Passenger car converted later
Specialist review neededLater modifications or RC changes do not automatically create a retrospective credit on a purchase originally made as a passenger car.
Blocked ITC in everyday language
Expand any heading to understand what is blocked and the main exceptions. These are general guides rather than universal eligibility promises.
Rules and sources
These sources explain the position reflected in this offline tool as reviewed on 29 October 2026.