No GST ITC on Provision of Third-Party Canteen Services to Contractual Workers: AAAR

The Authority for Advance Ruling (AAAR) has ruled that no GST Input Tax Credit (ITC) is allowed on the provision of third-party canteen services to contractual workers. This decision clarifies the eligibility for ITC in such scenarios. The ruling provides clarity on the tax treatment of canteen services. The judgment aligns with the interpretation of GST rules. This will affect companies with contract workers.