{"id":75638,"date":"2026-05-06T08:32:10","date_gmt":"2026-05-06T08:32:10","guid":{"rendered":""},"modified":"2026-05-06T08:32:10","modified_gmt":"2026-05-06T08:32:10","slug":"employee-transportation-cost-recovery-is-not-a-taxable-supply-when-treated-as-a-welfare-perquisite-outside-gst","status":"publish","type":"post","link":"https:\/\/goodsandservicetax.in\/GST\/?p=75638","title":{"rendered":"Employee transportation cost recovery is not a taxable supply when treated as a welfare perquisite outside GST."},"content":{"rendered":"<p>Employee transportation cost recovery is not a taxable supply when treated as a welfare perquisite outside GST.<br \/>Case-Laws<br \/>GST<br \/>AAR held that nominal amounts recovered from employees for transportation arranged through third-party vendors did not constitute a supply under Section 7 of the CGST Act. The arrangement was treated as an employee welfare facility, not an activity in the course or furtherance of the applicant&#39;s engineering and IT-related business, and the recovery was only partial cost-sharing with no independent consideration accruing to the applicant. The transport facility was also regarded as an employment-linked perquisite covered by Schedule III, and therefore outside the ambit of supply. As the transaction was not taxable, the question of valuation for GST did not arise.<br \/> TMI Updates &#8211; Highlights, quick notes, marquee, annotation, news, alerts <\/p>\n<p align=\"center\">=  =  =  =  =  =  =  =<\/p>\n<p align=\"center\"><strong>Plain text (Extract) only<\/strong><BR>For full text:-<a href=\"https:\/\/www.taxtmi.com\/highlights?id=99524\">Visit the Source <\/a><\/p>\n<p align=\"center\">=  =  =  =  =  =  =  =<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Employee transportation cost recovery is not a taxable supply when treated as a welfare perquisite outside GST.Case-LawsGSTAAR held that nominal amounts recovered from employees for transportation arranged through third-party vendors did not constitute&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"close","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-75638","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/75638","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=75638"}],"version-history":[{"count":0,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/75638\/revisions"}],"wp:attachment":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=75638"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=75638"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=75638"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}