No GST on charges collected from employees for canteen services provided.
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....o GST on charges collected from employees for canteen services provided.<br>By: - Rajeev Jain<br>Goods and Services Tax - GST<br>Dated:- 6-2-2023<br><br>It has been held by the Authority for Advance Rulings, Gujarat on the application filed by IN RE: M/S. TROIKAA PHARMACEUTICALS LIMITED - 2022 (9) TMI 200 - AUTHORITY FOR ADVANCE RULING, GUJARAT - * GST is not payable on employees' portion o....
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....f canteen charges collected by employer and paid to canteen service provider as canteen service is provided as per contractual agreement. * Amount collected from contractual workers and paid to canteen service provider is subject to levy of GST as employer and contractual workers do not fall under ambit of employer-employee relationship. * Input tax credit of GST paid on canteen charges is ava....
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....ilable as employer is under obligation to provide such facility as per Factories Act. * Input tax credit of GST paid on canteen services provided to contractual worker cannot be availed as employer/applicant and such workers will not fall under ambit of employer-employee relationship and employer is not under legal obligation to provide such facility to such workers. It was also held by the Aut....
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....hority for Advance Rulings, Gujarat on the application filed by IN RE: M/S. CADILA HEALTHCARE LIMITED - 2022 (4) TMI 1339 - AUTHORITY FOR ADVANCE RULING, GUJARAT * Part of Canteen charges is borne by applicant whereas re-maining part is borne by its employees - Said employees' portion canteen charges is collected by applicant and is paid to Canteen Service Provider, without making any profi....
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....t. Under these circumstances, GST is not leviable on activity of collection of employees' portion of amount by appellant, there being no supply of goods or service by appellant to its employees.<br> Scholarly articles for knowledge sharing by authors, experts, professionals ....