credit eligible for outdoor catering

[Ramakrishnan Seshadri]

Dear Sir,

We are manufactured of automobile components.

We have canteen facility and our caterers supply food.

He is charging gst in his bill.

Whether we can take gst set off on his bills.

Thanks & Regards

S.Ramakrishnan

AI Summary

Eligibility of GST Credit on Outdoor Catering for Auto Component Maker Denied Under Section 17(5) of GST Act A query was raised regarding the eligibility of claiming GST credit for outdoor catering services provided to an automobile components manufacturing company. The caterer charges GST on the food supplied to the company's canteen. Responses indicated that under Section 17(5) of the GST Act, credit on food items is not allowable. Additionally, it was suggested that canteen services do not qualify as being in the course or furtherance of business. An alternative suggestion was to use meal passes like Sodexo, which could be beneficial from a taxation perspective.