Expenses under GST | RCM | GST Rates | ITC Available or Not

Here is the list of expenses debited to Trading, Profit & Loss account. You can find here GST rate on expenses, RCM on expenses and input tax credit available or not on expenses.

1.  Salary, Wages & Bonus Paid to Employee

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

2. Electricity Bill

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

3. Water Charges/ Plain Water

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

4. Bank Interest

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

5. Professional Tax

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

6. BMC Tax

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

7. Building/ Property Tax

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

8. Rent Deposits

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

9. Other Deposits

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

10. Petrol/Diesel/CNG/Kerosene

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

11. Liquor Expenses

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

12. Registration Fee (ROF/ROC/RTO/etc.)

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

13. Bad Debt

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

14. Donation

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

15. Labour Welfare Contribution to Government

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

16. Fine & Penalties

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

17. Conveyance Expense – Non Act Taxi, Auto, Bus, Train

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

18. Loading & Unloading in relation agricultural produce/Hamali

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

19. Rent Paid for residential use

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

20 Godown Rent for agricultural produce

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

21. News Paper & Magazines

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

22. Remuneration to Director & Parnter

Rate of Tax0%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

23. Conveyance Expenses – Radio Taxi like Ola & Uber or Other AC Vehicle

Rate of Tax5%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

24. Payment to Goods Transport Agency

Rate of Tax5%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

25. Traveling in Train by AC or First Class

Rate of Tax5%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Eligible for Input Tax Credit If for Business PurposeYes
Eligible for Input Tax Credit If for Personal PurposeNo

26. Job work / Labour Charges for Textile Yarn & Textile Fabric

Rate of Tax5%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

27. Job Work/ Labour Charges for Diamond, Jewellery & Precious Metal

Rate of Tax5%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

28. Job Work/ Labour Charges for Printing of Books, Journals & Periodicals

Rate of Tax5%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

29. Food & Beverages Expenses (Non AC Restaurant)

Rate of Tax12%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

30. Room Rent in a Hotel, Lodge (Rs. 1000 to 2500 per room per day)

Rate of Tax12%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

31. Fuel (Furnace Oil/LPG)

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

32. Sales Promotion/Business Promotion

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

33. Food & Beverages Expense (AC Restaurant)

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

34. Mineral Water

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

35. Truck/Tempo Hire Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

36. Club & Membership Fees

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

37. Advertisement Charges / Hoarding / Magazine/ News Paper / Media

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

38. AMC Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

39. Bank Charges Service Charges Recovered

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditYes

40. Broker Fee & Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

41. Cancellation Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

42. Extended Warranty

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

43. House Keeping Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

44. Insurance Paid on Goods & Vechile

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

45. Health Insurance

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditNo

46. Payment to Advocates / Legal Advice

Rate of Tax18%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

47. Loading & Unloading – Others/ Hamali

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

48. Training Expenses

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

49. Payment to Post office for Speed Post & Parcel Post

Rate of Tax18%
Whether Registered Supplier Will Levy TaxNo
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

50. Postage and Courier Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

51. Printing & Stationery (Flex Printing, Broad Printing, Notice Printing)

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

52. Recruitment Expenses

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

53. Commission Paid

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

54. Rent Paid for Commercial Use of Premises

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

55. Godown Rent for Commercial Purpose

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

56 Repair and Maintenance – Building / Electrical / P &M/ Othes

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditIf repair & maintainance expenses resulted into immovable property than input credit is not available

57. Room Rent in a Hotel, Lodge (Rs. 2500 to 7500 Per Room Per Day

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

58. Payment for Sponsorship Services

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

59. Security Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

60. Telephone, Mobile & Internet Charges

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredNo
Whether Eligible for Input Tax CreditIf Telephone, Mobile & Internet bill is in the name of the company and adress and place of business is mentioned then only one should claim the input credit

61. Sundry Expenses

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

62. Job Work/Labour Charges for Garment Processing

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

63. Job Work/Labour Charges (Others)

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

64. Sitting Fees, Commission or any Other Payment Made to Directory by Company

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

65. Audit Fee, Account Writing, Professional Fees (Other than Advocate)

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

66. Research & Development Expenses

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

67. Food & Beverages Expenses (AC Restaurant)

Rate of Tax28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

68. Wall Paint

Rate of Tax28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

69. Room Rent in a Hotel, Lodge Above Rs. 7500/-

Rate of Tax18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

70. Travelling Expenses International

Rate of Tax28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

71. Amusement Park/Theatre Ticket

Rate of Tax28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

72. Cold Drink

Rate of Tax40%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

73. Repairs & Maintenance Charges if it has not Resulted into Immovable Property

Rate of Tax18%/28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

74. Electrical Fittings

Rate of Tax18%/28%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNO

75. Staff Uniform Expenses

Rate of Tax5/12%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

76. Packing Material & Packing Charges

Rate of Tax5/12/18%
Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

77. Plant & Machinery

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditInput credit is available fully. However if it is sold/disposed off/ scrapped/ thrown away within 5 years, then input credit @ 5% per quarter is available for the used period and balance is to be reversed for not used fully at the time of date of sale.

78. Furniture & Fixture

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditInput credit is available fully. However if it is sold/disposed off/ scrapped/ thrown away within 5 years, then input credit @ 5% per quarter is available for the used period and balance is to be reversed for not used fully at the time of date of sale.

79. Motor Car

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

80. Building

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

81. Office Equipment including Computer, Software & Hardware

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditInput credit is available fully. However if it is sold/disposed off/ scrapped/ thrown away within 5 years, then input credit @ 5% per quarter is available for the used period and balance is to be reversed for not used fully at the time of date of sale.

82. Free Gift Given to Staff (Exempt upto 50,000) per staff p.a.

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditNo

83. Free Gift Given to Staff (Above Rs. 50,000 per staff p.a.)

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

84. Diwali/New Year Gift Purchased & Debited to P& L

Whether Registered Supplier Will Levy TaxYes
Reverse Charge if Supply is UnregisteredYes
Whether Eligible for Input Tax CreditYes

Important Notes

Input Tax Credit of GST is only available if goods and services are used for business purpose. If goods and services are used for personal purpose then input tax credit will not be available to utilize.

Categories GST

13 thoughts on “Expenses under GST | RCM | GST Rates | ITC Available or Not”

  1. Sir, I would like to know that whether I can claim ITC on insurance of my vehicle which is used for supply of material.

  2. ACCORDING TO SECTION 17(5)(i), THE CREDIT IS NOT ALLOWED FOR GOODS DISPOSED OFF BY WAY OF GIFTS, SO HOW COME THE ITC ON DIWALI GIFTS IS PERMISSIBLE? KINDLY CLARIFY?

  3. Sir,
    First Thanks for valuable info. My query is IF Foreign Air Ticket for Business purposes ITC eligible, then Why “Travelling Expenses International’ said ITC not eligible.Is Foreign Air Ticket Expenses & Travelling Expenses International are different expenses.

  4. 33. Food & Beverages Expense (AC Restaurant)18% – Is ITC available?
    44. Insurance Paid on Goods & Vehicle – Whether ITC on Fire / Burglary Insurance on goods in godown available to Company
    82. Free Gift Given to Staff (Exempt upto 50,000) per staff p.a. – Is GST to be paid by Company giving free gifts.

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