Ad-Free CAclubindia and Daily Updates on your mobile. Subscribe Now!

Associate Employee service

Rajkumar Gutti (538 Points)

05 August 2023

our associate company employee work on behalf of us.
Can his ( Associate Employee ) service attract GST

Reply
Follow
Share

4 Replies

CA. Sourav Sarkar (Chartered Accountant ) (24583 Points)
Replied 05 August 2023

No, salary doesn't comes under preview of GST

Upgrade to CAclubindia Pro. Subscribe Now!

sabyasachi mukherjee (27129 Points)
Replied 06 August 2023

Gst applies on service not on salary.

RAJA P M ("Do the Right Thing...!!!") (127962 Points)
Replied 06 August 2023

Yes GST applicable if the associate company billed to you.

Rajkumar Gutti (538 Points)
Replied 07 August 2023

Associate employee only do our work ,we not paid salary to him,we paid only travelling expenses , hotel exp.,when he goes to do our work. Salary paid by his employer. We enroll his name in our books of account under associate employee .First we credit his expenses in his i.e. associate employee ledger and debit to travelling expenses.

My question is if gst assessment / audit occur , that time , when gst auditor demand our trial balance