Block credit - Use of services of Food, Catering, Vehicle Renting, Club, & Travel [Section 17(5)(b) of CGST Act]

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...., [refer the clarification issue no. 2 mention below] (b) Exception The input tax credit in respect of such goods or services or both shall be available where an inward supply of such goods or services or both is used by a registered person for * making an outward taxable supply of the same category of goods or services or both, or * as an element of a taxable composite or mixed supply. [ sub- clause (i) of clause (b) of sub- section (5) of section 17] (ii) The following supply of goods or services or both; * Membership of a club, health and fitness center; an [sub- clause (ii) of clause (b) of sub- section (5) of section 17] (iii) The following supply of goods or services or both; * Travel benefits extended to employees on vacat....

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....company. so in that ITC on inward supply not available to film production company. Example 4:- Smart Pvt. Ltd. (registered person) takes annual membership of a fitness services from HiFi Fitness center also registered for use of its employees. In that case Smart Pvt. Ltd. cannot take ITC on inward services on the GST paid on Member ship charges. Example 5:- Varn Pvt. Ltd. registered person reimburse its senior employees on travel expenses as part of LTA (Leave Travel Allowances). In that case, Varn Pvt. Ltd. cannot take ITC on inward supply related to Leave travel allowances expenses incurred by the senior employees. CBIC provide clarification in respect of section 17(5)(b) of CGST Act in Circular No. 172/04/2022-GST dated 6th July,....