What will be the GST applicability on account of travel per diem not explicitly included in employment contract but still employer is paying to employees as a company policy?
please reply.
Thankyou!
If included in employment contract It would've been escaped the GST liability since it would be called a service in the course or in relation to the employment and consequently attracts Schedule III provisions..
In your case it would be taxable as per provisions contained under Schedule I (para 2) because It would be treated as perquisite (free gift). But It's taxable only if the valuation per employee per annum is exceeding ₹50,000...
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