is gst applicable on reimbursement of salary

GST is not applicable only when a person reimburses as a pure agent. Since in this case there is no pure agent concept, therefore gst is applicable on salary reimbursement.

For the purposes of this rule, the expression “pure agent” means a person who- 

(a) enters into a contractual agreement with the recipient of supply to act as his pure agent to incur expenditure or costs in the course of supply of goods or services or both;

(b) neither intends to hold nor holds any title to the goods or services or both so procured or supplied as pure agent of the recipient of supply;

(c) does not use for his own interest such goods or services so procured; and

(d) receives only the actual amount incurred to procure such goods or services in addition to the amount received for supply he provides on his own account.