Validity of disallowing ITC on canteen facility in the guise of colon and semi colon
- Blog|News|GST & Customs|
- < 1 minute
- By Taxmann
- |
- Last Updated on 31 August, 2021
Latest from Taxmann
In a recent Advance Ruling, the Gujarat Authority of Advance Ruling held that Input Tax Credit of GST paid on the canteen facility provided by the applicant to its employees under Factories Act, 1948, would not be available.
The AAR observed that sub-clause (i) ends with colon (:) and is followed by a proviso and this proviso ends with a semicolon (;). Therefore, sub-clause (i) is to be read independently i.e. independent of Section 17(5)(b)(iii) and proviso given after it. The proviso given after sub-clause (iii) is not connected to the sub-clause (i) and same cannot be read with the later.
In this write-up, the admissibility of the ITC of the GST paid on the impugned Canteen Services and conclusions made by the Gujarat AAR (supra) have been analyzed.
Click Here to Read the Full Article
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied
Sign Up
To subscribe to our weekly newsletter please log in/register on Taxmann.com
Latest Books
Everything on Tax and Corporate Laws of India
To subscribe to our weekly newsletter please log in/register on Taxmann.com
