The AAR ruled on GST applicability for employee canteen and...

The AAR ruled on GST applicability for employee canteen and transportation services. The employer's provision of these services constitutes a taxable supply under Section 7(1) of CGST Act, 2017, with GST levied on the recoveries made from employees. Transportation services do not qualify for exemption under Notification No. 12/2017 and are classified as rented vehicle services. Input Tax Credit (ITC) is denied for transportation services, as they are considered personal consumption under Section 17(5)(g). The taxable value comprises only the amount recovered from employees, with the employer's remaining contribution treated as a non-taxable perquisite in lieu of employee services.