ITC ELIGIBLE

[SANTOSH PATIL]

Dear sirs, My client a pvt ltd. company form Goa wish to have a marketing & sales event in hotel in Goa for approx 250 people which will be followed by dinner. Can company avail ITC, is it eligible to take GST input credit charged by the hotel in their invoice.

Thank you

[Shilpi Jain]

Credit relating to food and beverages is not eligible. Premises rent should be an eligible credit since it is a business expense and assuming your client is into taxable supplies

AI Summary

Input tax credit eligibility: hotel food and beverages not creditable while premises rent may be creditable if supplies are taxable.
GST on food and beverages supplied at a hotel event is not eligible for input tax credit, while GST attributable to premises rent or the taxable charge for use of hotel facilities is an eligible credit, provided the claimant is engaged in taxable supplies.