ITC on Transportation Charges

[Sunil Udgave]

Could we get ITC on transportation charges paid for employee pickup and droop.

AI Summary

Debate Over Input Tax Credit Eligibility for Employee Transport Under GST: Business Purpose or Inward Supply? A query was raised regarding the eligibility of Input Tax Credit (ITC) on transportation charges for employee pickup and drop under the Goods and Services Tax (GST) framework. One respondent believes ITC is eligible if the service is for business purposes. Another highlights potential litigation issues, questioning whether such services constitute an inward supply and if consideration is involved. They reference relevant sections of the CGST Act, 2017, discussing definitions and conditions for ITC eligibility. The matter remains contentious, with differing opinions on its interpretation and application.