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business travel expenses

RAVINDER KUMAR (B.Com) (115 Points)

19 January 2018

my salespersons visit market and we provide them taxi and travel firm give me the bill with 5 % gst can i avail itc on that pls guide me

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4 Replies

RAJA P M ("Do the Right Thing...!!!") (128111 Points)
Replied 19 January 2018

No...
We can't avail the benefit of ITC...

RAVINDER KUMAR (B.Com) (115 Points)
Replied 19 January 2018

but it is for furtherence of business sir

Rammi_RP Rawat (Accountant ) (386 Points)
Replied 19 January 2018

For Service Receivers

Businesses cannot claim ITC if they take cab services.If comapny pays cab services for employees to a convention then it will not be able to claim any ITC on the 5% GST in the taxi bill.

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RAVINDER KUMAR (B.Com) (115 Points)
Replied 23 January 2018

what entry we will pass in books
expense a/c dr ×××
to cash/bank ×××
then how will be the travel firm will show it in returns in gstr 1 and the same will show in my gstr 2 so i have to accept then how will be the tax component get handle?