ITC for transportation of employees in bus
Query (Issue) Started By: – Madhavan iyengar Dated:- 7-1-2019 Last Reply Date:- 23-10-2019 Goods and Services Tax – GST
Got 13 Replies
GST
A Vehicle operator has a 50 seater bus, and has a contract with a company for pick up and drop of employees of company to factory in the 50 seater bus,
He levies 12% GST can company get ITC on the Charges paid to the vehicle operator. SAC code 996601
issue: ITC eligibility under current law and post amendment 01/02/2019
Reply By DR.MARIAPPAN GOVINDARAJAN:
The Reply:
In my view it is eligible.
Reply By KASTURI SETHI:
The Reply:
I support the view of Dr.Govindarajan, Sir.
I am also of the view that if any supplier of goods or services hires b
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
h pick drop of employees is not obligatory for employers.
Reply By Madhavan iyengar:
The Reply:
sirs please see this judgement of haryana aar where they have held that irrespective of the seating capacity vehicles carrying passengers will fall under rent a cab and covered by disallowance u/sec 17(5)
AAR judgement in ref: HAR/HAAR/R/2018-19 = 2019 (2) TMI 1081 – AUTHORITY FOR ADVANCE RULING, HARYANA.
experts pls enlighten
Reply By Bipin Parmar:
The Reply:
Dear Kasturi Sir,
I'm still confused. Section 17(5)(b)(iii) says ITC on travel benefits extended to employees would be available only if it's obligatory for the employer to provide. However here as you said it's not obligatory for the employer to provide such travel benef
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
AAR Haryana has discussed /covered all the aspects including the issue of 'Obligatory for the employer-'. The applicant in this case could not prove that Rent-a-cab was obligatory on the part of employer to provide this service to their employees'.
Reply By Harsha Dattani:
The Reply:
Dear Expert,
We have transport facility for staff from station to office in bus of 50 capacity, our transporter not charging us GST, whether we need to pay RCM @5% and can claim input credit.
Please reply
Harsha
Reply By KASTURI SETHI:
The Reply:
Hiring bus is not under RCM.
Reply By Bharat Sharma:
The Reply:
Hello,
My doubt is that is this ITC availment conflicting with the Schedule 1 of CGST Act ?
If the bus services are provided to Emp
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =