Employers no longer require to deduct GST on subsidised meal cost recovered from employees: AAR

In its ruling, the AAR said that the firm is not liable to pay GST on the amount deducted/recovered from the employees. The firm collects the partial amount from the employees and is required to pay the gross amount inclusive of GST to the canteen service by adding residual amount in the employees’ portion and is required to pay gross amount of bill inclusive GST to the canteen service provider.

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