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GST on salary paid to staff on behalf of company

Mukesh KUMAR (ACCOUNTANT) (115 Points)

26 July 2019

ek stockist ko co ke staff ko salary deni hai gst bill ke saath aur baad me co usko reimbursed ker degi kya ye ho sakta hai

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7 Replies

Ravi SADhiyan (Practice) (4510 Points)
Replied 26 July 2019

Its not Possible

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Mukesh KUMAR (ACCOUNTANT) (115 Points)
Replied 26 July 2019

kyou nahi ho sakta hai

CA Premanshu Jaiswal (GST & Indirect Taxes Enthusiast) (490 Points)
Replied 26 July 2019

You can pay his salary and raise a GST invoice. No issue.

Mukesh KUMAR (ACCOUNTANT) (115 Points)
Replied 26 July 2019

gst invoice co ke naam pe issue hoga kya to hamari output to badh jayegi

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 26 July 2019

As per Circular . 105/24/2019 GST ,

you are providing services to your supplier , hence have to raise bill for the same

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Sajal Mandal (294 Points)
Replied 27 July 2019

Salary is neither a supply of goods nor supply a services
see schedule III sub section 1

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 27 July 2019

Yes you are correct if salary paid, , is cover under sch III But here payment made to company staff by stockist is not Employee of stockist. It's being paid on behalf of Co. Hence Stockist can raised the bill for the same as Pure Agent (Reimbursement expenses , No GST will be applicable .)