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Trip does not carry out for the business purposes

23 May 2023
1 A company's Director is traveling to foreign country for sight seeing as a Hoilday package through the travel agent.

2 He is booking the flight tickets, Train tickets and hotel room bookings etc through the travel agent by paying the certain specified amount charged by the travel agency.

3 These amount is less than Rs 7.00 Lakhs.

4 Foreign travel is going to effect duting June 2023.

The Queries are

a. Whether this travel agency can charge the GST for the entire amount (Ex : Rs 6.75Lakhs.) or only their service charges only.

b In case , if the travel agency does not show their service charges separately, can they charge the GST On the entire transaction amount? (ie on Rs 6.75 Laks)

c In both the above cases, whether this company able to avail the ITC on these transactions, since this trip does not carry out for the business purposes?

d Are there, any other things need to be taken care to avoid the future legal consequences?

Thank You

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