In re Sigma Electric Manufacturing Corporation Pvt Ltd. (GST AAR Maharashtra)
Date: February 26, 2026
Subject Matter
Employee Recoveries for Canteen and Transport Services Taxable; Notice Pay Recovery Not Subject to GST
Summary
The Authority for Advance Ruling held that nominal deductions from employees' salaries for canteen services and non-air-conditioned bus transportation services constitute a supply of service, are taxable, and input tax credit (ITC) is not available.…
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, MAHARASHTRA The present application has been filed under Section 97 of the Central Goods And Services Tax Act, 2017 and the Maharashtra Goods and Services Tax Act, 2017 [hereinafter referred to as “the CGST Act and MGST Act” respectively] by M/s Sigma Electric Manufacturing Corporation Pvt. Ltd., the applicant, seeking an a…