Gst on bond money

[Harini Singh]

Hi I m working in a firm and digned a bond for 3 years or 1lakh rs. Now Do i have to pay gst also on penalty of 1lakh and can i get it ireimbursed

In this case who has to pay gst me or firm because I m not gegetti any sale or service

Pls clarify

AI Summary

GST Applicability on Penalty for Breaching Employment Bond Under Debate; Legal Precedents Suggest Employee Favorability An individual inquired about the applicability of GST on a penalty for breaching a three-year employment bond. The first response suggested that GST would be applicable. The second response argued that the employer should charge GST if the employee resigns early, as per the firm's HR policies. It noted that legal precedents exist favoring employees, indicating that legal proceedings against them might be challenging due to insufficient provisions in Indian Contract Law. However, this remains a matter of litigation.