COMMUNITY INSIGHTS

Topic

Publish Date

House or Hurdle? Decoding GST ITC on Employer-Hired Flats

The debate over input tax credit (ITC) on residential premises rented by a company to house its employees or consultants is heating up in the GST arena. With corporates increasingly offering accommodation to attract talent, the question arises: Can GST paid on such rentals be claimed as ITC, or is it barred as a personal consumption expense under Section 17(5)(g) of the CGST Act, 2017? ...... Read More

20.09.2025

ADVANCE RULING

Particulars Crux
2025(03)LCX0278(AAR)

AAR-MAHARASHTRA

Spicer India Private Limited

GST would be applicable on the subsidized recoveries made from employees for canteen and transportation facilities and ITC would not be available to the applicant on the invoices issued by the transporter for transportation of employees as per section 17(5)(g) of CGST.