ITC ON CANTEEN

[SURYAKANT MITHBAVKAR]

We have provide CANTEEN facility to our employees free of cost.

Whether we are eligible for ITC Credit on purchase of goods for CANTEEN.

[SHIVKUMAR SHARMA]

No.you are not eligible for ITC on purchase of goods for canteen, Which you are running for provide facility to your employee.

[ANITA BHADRA]

No , You are not eligible for ITC Credit on purchase of goods for Canteen .

Section 17(5)(b)(1) - ITC not available on food except when used for making outward taxable supply .

[YAGAY and SUN]

However, 46 Amendments to GST Law on Anvil; Employers may Get to Claim Input Tax Credit on Food, Transport.”

[DR.MARIAPPAN GOVINDARAJAN]

As on date it cannot be availed.

AI Summary

Input Tax Credit denied on employer provided free canteen supplies; claimable only if used for outward taxable supply.
Input tax credit on goods purchased for a canteen provided free to employees is not available when those goods are used solely to provide free meals; such credits are excluded under Section 17(5)(b)(i) and cannot be claimed at present, though proposed GST amendments have been suggested that could change employer eligibility in future.