Transfer of specific construction unit as going concern (SAC 997119) attracts 18% GST but exempt under Notification No.12/2017-CT (Entry No.2)
Case-Laws
GST
The AAR concluded that the proposed transfer of the specific construction-unit by the Applicant to the Transferee constitutes a transfer of a business/going concern rather than addressing the undefined concept of “slump sale.” The supply, when characterized as a going concern, falls under SAC 997119 and ordinarily attracts GST at 18%, but is exempt under Notification No.12/2017-CT (Rate) (Entry No.2) because it is a transfer of a going concern as a whole/an independent part. No successive transfers undermine exemption eligibility. Contractual performance obligations and surety to the municipal authority remain enforceable and civil/contractual penalties may arise for any post-transfer non-performance.
TMI Updates – Highlights, quick notes, marquee, annotation, news, alerts
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =