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Skipping Notice Period? There May Be GST Consequences
GST at 18% will apply on the salary recovered by an employer from its employee for not serving the notice period, says AAR.
14 Jan 2021, 05:22 PM IST
A recent ruling under the goods and services tax has come as a rude shock for employees leaving service without completing their full notice period.An 18% GST will be applicable on the amount deducted or recovered by an employer from its employee in lieu of the notice period, the Authority for Advance Rulings has held.
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