Judgement

The Karnataka Authority for Advance Ruling (AAR) has held that M/s Aditya Auto Products & Engineering India Pvt. Ltd. is entitled to avail Input Tax Credit (ITC) on GST paid on canteen services provided to its regular employees.

Karnataka AAR Allows ITC on Statutory Canteen Services for Employees And Denies Credit for Contract Workers

The authority clarified that the GST is applicable only on the amount received from the employees for the canteen service.

No GST on Canteen Services if Amount Not Recovered from Employees: AAR

GST not applicable on payment of notice pay and allowed ITC on canteen services

ITC not available on Canteen Services provided to Employees

No ITC on canteen services and business promotion expenses incurred by the company

Articles

GST would be levied on recovery of canteen services regardless “profit-making” aspect

Explore Our Blogs

Stay updated with the latest insights, tips, and industry trends from our experts