Suggested response:
As per schedule III (refer section 7) which states about the ACTIVITIES OR TRANSACTION that are neither supply of goods nor supply of services as mentioned in point no 1 " Services by an employee to the employer in the course of or in relation to his employment"
Also refer Schedule I (refer section 7) which states in its point no 2 " Provided that gifts not exceeding fifty thousand rupees in value in a financial year by an employer to an employee shall not be treated as supply of goods or services or both.
Now, the coffee provided at office or club facilities which are being made available to all employees will not be treated as supplies referring to schedule I for its limit of INR 50,000.
If there are some facilities, services or benefits which are being extended to an employee only on which NO CONSIDERATION has been charged and the value of the transaction exceeds INR 50,000 in a financial year then it will be liable for GST,
However, anything which is part of a contractual agreement between employer/ employee will not attract GST using the reference of schedule III.
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As per schedule III (refer section 7) which states about the ACTIVITIES OR TRANSACTION that are neither supply of goods nor supply of services as mentioned in point no 1 " Services by an employee to the employer in the course of or in relation to his employment"
Also refer Schedule I (refer section 7) which states in its point no 2 " Provided that gifts not exceeding fifty thousand rupees in value in a financial year by an employer to an employee shall not be treated as supply of goods or services or both.
Now, the coffee provided at office or club facilities which are being made available to all employees will not be treated as supplies referring to schedule I for its limit of INR 50,000.
If there are some facilities, services or benefits which are being extended to an employee only on which NO CONSIDERATION has been charged and the value of the transaction exceeds INR 50,000 in a financial year then it will be liable for GST,
However, anything which is part of a contractual agreement between employer/ employee will not attract GST using the reference of schedule III.
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