Applicability of GST

[Vineet Kt]

Sir,

I am employee of a bank and had availed furniture reimbursement facility from the Bank. Now I have resigned and the bank is charging gst on the wdv of the household items so that the ownership can be transferred in my name. Please clarify if gst is applicable or not. No ITC was claimed as the items were purchased in the pre-gst regime(vat).

AI Summary

GST applicability: GST applies to employer-to-employee asset transfers treated as a supply made in course of business.
Where an employer transfers furniture to an employee, GST is chargeable on the transaction value if the transfer constitutes a supply in the course of business, irrespective of whether input tax credit was claimed at purchase; if credit was taken, GST liability on transfer is limited to the differential value. VAT previously applied in similar transfers pre-GST, and GST (CGST plus SGST) replaces VAT without constituting double taxation, while income-tax consequences such as depreciation and perquisite treatment remain separate.