Applicability of 17(5) ITC restriction on- Food and beverages provided to employees on regular basis- by Man Power Agency(Employer)-please clarify..

Reply—As per section 17(5) of CGST Act, Notwithstanding anything contained in sub-section (1) of section 16 and subsection (1) of section 18, input tax credit shall not be available in respect of food and beverages.

Provided that the input tax credit in respect of such goods or services or both shall be available where an inward supply of such goods or services or both is used by a registered person for making an outward taxable supply of the same category of goods or services or both or as an element of a taxable composite or mixed supply.

Therefore, ITC on food will not available to man power agency.