Advance Ruling No. GUJ/GAAR/R/2024/06

In re: SUZUKI MOTOR GUJARAT PVT. LTD.

Date Issued: 3 February 2024
Source: 2024 (84) G.S.T.L. 275 (A.A.R. - GST - Guj.)
Views: 12

Summary

Supply - Canteen services to employees - Applicant-assessee employ more than 250 employees who have been provided with canteen facility in terms of Section 46 of Factories Act, 1948 - Assessee provide canteen facility to their employees and bears 70% of cost and rest is borne by said permanent employees - HELD : In terms of C.B.I. & C. Circular No. 172/04/2022-GST, prerequisites provided by employer to employee in terms of contractual agreement between employer and employee will not be subjected to GST - Thus, deductions made by assessee from employees who are availing food in factory would not be considered as supply in terms of Section 7 of CGST Act, 2017 - Therefore, in instant case GST is not liable to be discharged on portion of amount recovered by assessee from it’s permanent employees towards canteen facilities provided to them - Section 9 of Central Goods and Services Tax Act, 2017 - Section 9 of Gujarat Goods and Services Tax Act, 2017. [paras 22 and 23] Supply - Canteen services to contract workers - Applicant-assessee employ more than 250 employees who have been provided with canteen facility in terms of Section 46 of Factories Act, 1948 - Assessee provides canteen…