Case LawGUJ/GAAR/R/51/2020
Amneal Pharmaceuticals Pvt. Ltd ., In re
- Court:
- Authority for Advance Ruling
- Bench:
- Gujarat
- Date:
- July 30, 2020
- Type:
- Advance Ruling
- Members:
- Sanjay Saxena, Mohit Agrawal
Subject
Recovery of Notice Pay from the employees is liable to 18% GST
SupplyAct of Forbearance
Summary
Whether the applicant is liable to pay GST on recovery of Notice Pay from the employees who are leaving the company without completing the notice period as specified in the Appointment Letter issued as per the contract entered between Employer and th…
Judgement
The applicant submitted that they are a 100% Export Oriented Unit (EOU) engaged in the manufacturing of pharmaceuticals products. They, at the time of appointing any employee at their factory situated at 882/1-871, Ground Floor, Near Hotel Karnavati, Sarkhej-Bavla Highway, Village-Rajoda Bavla, Ahmedabad-382220 (Gujarat), are entering into contract with employees by issuing “Appointment Lett…