Case Law Details
In re Cadila Pharmaceuticals Ltd (GST AAR Gujarat)
1. Whether the subsidized deduction made by the applicant from the employees who are availing food in the factory/corporate office would be considered as a ‘supply’ under the provisions of section 7 of the CGST Act, 2017 and the GGST Act, 2017?
The subsidized deduction made by the applicant from the employees who are availing food in the factory/corporate office would not be considered as a ‘supply’ under the provisions of section 7 of the CGST Act, 2017 and the GGST Act, 2017.
2. If yes, whether GST is applicable on the amount deducted from the salaries of its employees and on what portion GST will be applicable ie amount paid by the applicant to the canteen service provider or only on the amount recovered from the employees?
Since the answer to the above is not in the affirmative, the ruling sought in respect of the second and the third question is rendered infructuous.
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