Nil valuation of unbilled head office services prevents GST demands based on proportionate allocation of common expenditure.

Nil valuation of unbilled head office services prevents GST demands based on proportionate allocation of common expenditure.
Case-Laws
GST
Head office services supplied to separately registered branches or depots constitute supplies between distinct persons even without consideration. Where no invoices are issued for those services, CBIC clarifications and Rule 28 require their value to be treated as nil; common expenditure cannot instead be proportionately allocated to create taxable value. Extended limitation under Section 74 requires facts establishing fraud, wilful misstatement or suppression with intent to evade tax, rather than mechanical allegations. Recorded expenditure and recipient eligibility for input tax credit may demonstrate revenue neutrality and, without more, do not establish those conditions.
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