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'Not supply': AAR rules out GST on canteen fees, notice period pay

The announcement by the AAR bench came after the clarifications issued by the Central Board of Indirect Taxes and Customs (CBIC) in August

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BS Web Team New Delhi
The transactions entered into by a company with its employees will no longer attract the goods and services tax (GST). According to a report in the Times of India (TOI), the Haryana bench of the GST Authority of Advance Rulings (AAR) passed the order that such orders would not be considered as "supply" at thus not attract any GST. 

These will include transactions like recovery of notice pay, recovery of the bond amount, deduction of salary for canteen facilities or issue of duplicate ID card. 

The announcement by the AAR bench came after the clarifications issued by the Central Board of

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First Published: Oct 25 2022 | 2:11 PM IST

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