Employee recoveries, input tax credit and notice pay recovery under GST: AAR distinguishes taxable supplies from non-taxable perquisites and penalties.

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....Employee recoveries for canteen and transportation facilities were treated as taxable supplies to the extent amounts were recovered, because the employer's provision of these facilities was incidental to business and the recovery constituted consideration; the employer-borne concessional portion was treated as a non-taxable perquisite under the employment contract. Input tax credit was denied on employee transportation as a service used for personal consumption, and canteen credit was also denied because the canteen contractor supplied restaurant service at the concessional rate without input credit. Notice pay recovery was held outside GST, as it was treated as a contractual deterrent or penalty rather than consideration for tolerating an act.....