Case Law Details
In re Hitachi Power Europe Gmbh (GST AAR Uttar Pradesh)
Whether the Goods and Services Tax is applicable on the accounting entry made for the purpose of Indian accounting requirements in the books of accounts of Project Officer for salary cost of Expat employees.
As per Schedule III of the CGST Act, 2017, “the services by an employee to the employer in the course of or in relation to his employment” shall be treated neither as supply of goods nor a supply of service.
Accordingly, in view of the forgoing paras we observe that as the service provided by the expat employees to the project office fall under the category of “Services by an employee to the employer in the course of or in relation to his employment”. Accordingly, no GST is leviable on the salary paid to the expat employees and reflected in the books of accounts of the project office.
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, UTTAR PRADESH
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