ITC on remuneration paid to company directors

This discussion clarifies the eligibility for claiming Input Tax Credit (ITC) on Goods and Services Tax (GST) paid under the Reverse Charge Mechanism (RCM) for remuneration given to company directors. While GST is generally not applicable to salaries paid to employees, if remuneration is treated as professional fees and RCM has been paid, ITC can be claimed. The consensus is that directors' remuneration, excluding salaries, sitting fees, and other charges for all directors, falls under RCM, and ITC is permissible.