Master in Accounts & high court Advocate
9615 Points
Posted on 24 January 2025
GST on Books Purchased for Employee Skill Enhancement
*GST Applicability* 1. *GST Charged by Vendor*: Yes, GST will be charged by the vendor on the sale of books.
2. *GST Rate*: The GST rate on books is 0% (zero-rated) for certain categories, such as: - Books, including Braille books and other books for the blind. - Newspapers, journals, and periodicals. -
Textbooks for schools and universities. For other types of books, the GST rate is 5%.
*Input Tax Credit (ITC) Eligibility* 1. *ITC Eligibility*: To be eligible for ITC, the books purchased must be used for business purposes.
2. *Business Purpose*: If the books are purchased to enhance the skills of employees, it can be considered a business purpose.
3. *Conditions for ITC*: The company must meet the following conditions to claim ITC: -
The books must be purchased from a registered dealer. -
The company must possess a tax invoice. -
The books must be used for business purposes.
In summary, GST will be charged by the vendor on the sale of books. If the books are purchased for business purposes, such as enhancing employee skills, the company may be eligible to claim ITC, provided the necessary conditions are met.