This discussion clarifies whether a company can claim Input Tax Credit (ITC) on employee insurance premiums when the invoice is issued in the contractor's name. The consensus is that ITC is not available in this scenario. To claim ITC, the insurance invoice must be in the company's name.
20 May 2020
Hi, A company paying WC Insurance Premium for its employees who are working through contractor.Insurance company issuing Invoice in the name of Labour Contractor. Can the company take itc on it? and what is the GST impact to the company on the above transaction?