ITC eligibility on Food

[THYAGARAJAN KALYANASUNDARAM]

Dear Experts,

One of my clients running a Training institute in Chennai and providing food to the student who join the course during the course period. We are collecting the course fees from the student along with food, now my query is that, do we eligible to claim the input tax credit on the food bill.

Thanks in Advance.

AI Summary

Training Institute Debates ITC Eligibility on Food Bills Under Section 17(5)(b)(i) of CGST Act; Experts Disagree A client running a training institute in Chennai provides food to students as part of the course fee and seeks to know if they can claim input tax credit (ITC) on the food bill under GST. Experts in the forum debate whether the supply constitutes a 'mixed supply' or 'composite supply.' Section 17(5)(b)(i) of the CGST Act, 2017, generally disallows ITC on food and beverages unless they are part of a taxable composite or mixed supply. While some experts argue the supply is mixed, allowing ITC, others disagree, citing separate supply of services. The discussion reflects varying interpretations of GST provisions.