GST on Reimbursement of Expenses

[Guest]

Dear Sir,

Please explain the impact of Reimbursement of Expenses under GST regime and also advise regarding availment of GST credit on the expenses incurred by the Service provider.

Thanks and Regards, Sandesh Shinde.

[KASTURI SETHI]

Sir,

No benefit of preparation for GST in advance as many changes are taking place frequently. We will have to wait for GST impact till its enactment. Nothing can be said about exact date of implementation of GST. Still situation is fluid.

AI Summary

GST reimbursement of expenses: treatment and input tax credit entitlement remain uncertain pending legislative enactment. The issue is the treatment of reimbursement of expenses under GST and entitlement to input tax credit on such expenses; the advisory response indicates that definitive positions cannot be given until the GST law is enacted because provisions and implementation details are still uncertain.