Input tax recoverability for catering services

 A workshop for  a small group was hosted by our  organisation. Where basic catering was provided by us free of charge. I would like to know whether input tax incurred in respect of catering services can be recovered or not? 

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SAJITH N03/07/2020 13:36:06

One would be able to recover the input where: a) fee was charged from the attendees for the workshop or b) where it can be established that this was provided in the normal course of a meeting such as providing snacks during the meeting or providing lunch during a full day business meeting should be justifiable as in normal course.

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Anuj Gupta04/07/2020 12:07:14

Thanks Sajith. It was a free workshop. So we can assume input tax will not be recovered then.

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SAJITH N04/07/2020 14:34:08

As mentioned if it can be justified that it was a workshop solely for business purposes and snack/food was provided in the normal course of the meeting such as providing them during breaks, it could be accepted.

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