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The applicant is receiving is reimbursement from MMRDA which cannot be treated as consideration received. GST is not applicable on reimbursement of expenses such as salaries, rent, training, staff welfare expenses.

Levy of GST— In the instant case, the applicant, seeking an advance ruling in respect of the following question. (i) Whether GST is applicable on reimbursement of expenses such as salaries, rent, training, staff welfare expenses etc.? (ii) If above answer is affirmative, at what rate GST should be charged? This authority is of the opinion that the applicant is supplying pure services to a Government Entity in relation to any function entrusted to a Panchayat under article 243W of the Constitution and therefore, as per the provisions of Entry No. (3) Of Notification No. 12/2017-CT(R) dated 28.06.2017, the said amounts received by the applicant are not liable to tax. Held that— GST is not applicable on reimbursement of expenses such as salaries, rent, training, staff welfare expenses etc.
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