GST - GST Liability on Canteen Recovery from Staff How to bring to GSTR1

[venkataraman swaminathan]

Dear Sir

Good Morning

We started discharge of GST liability (voluntary payment) for the Canteen recovery from our

workers and staff and for recovery from our contract man power (on monthly basis ) . In this connection for payment of GST amount how to show in GSTR-3B return and how to take in to GSTR-1 to tally the Liability . If we give the Taxable amount (with applicable % of GST ) then that taxable amount will not tally with our GL of Income at the end of the year and it will also affect our TTO of GSTR-9 and GSTR-9C Reconcilation .

Kindly give your guidance how to report to GST Returns GSTR-1 and GSTR-3B

Up to October.20 paid by DRC 03 from nov 20 onwards we need to do this on every month

Thanking you

V Swaminathan

show in GSTR1

[Ganeshan Kalyani]

It will be furnished as similar to regular supply.

[MUKUND THAKKAR]

I think this activity is not your sales. so there is no question to shown in your Turn over part. now question about 9 and 9C. you can mention the Reason for un reconciled difference in annual gross turn over in colum 6 of 9C.

[CA HemanthKumar]

GSTR-1 - show it under B2C table 7

GSTR-3B - show it under table 3.1(a) as along with your regular supplies.

Further there is a view that the subsidized food provided to the employees which is an obligation under Factories Act cannot be stretched as a service provided to their employees. Similar view was held by Andhra Pradesh High Court in case of M/s. Bhimas Hotels Pvt. ... vs The Union Of India, Rep. By Its ... on 23 March, 2017 Writ Petition No. 217 of 2017 = 2017 (4) TMI 860 - ANDHRA PRADESH HIGH COURT.

Regards

CA Hemanth Kumar

AI Summary

GST treatment of employee canteen recoveries: report as taxable supplies in returns or consider employer-obligation exemption. Practitioners recommend treating canteen recoveries from employees as taxable supplies: report in GSTR-1 under B2C and include tax in GSTR-3B table 3.1(a) with regular supplies so liabilities tally; disclose reconciliation reasons in GSTR-9C for turnover differences. An alternative legal view, supported by an Andhra Pradesh High Court decision, is that subsidised food provided pursuant to employer statutory obligations may not be a taxable supply and therefore could fall outside GST.