sale of jewellery by Banks and other financial institutions

[Guest]

sale of jewellery by bank / Nidhi companies through Auction- NPA by themselves or throgh agents. Whether GST will be applicable

[Rajagopalan Ranganathan]

Sir,

As per Section 7 (1) (a) of CGST act, 2017 “supply” includes all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business.

Therefore sale of jewellery by bank / Nidhi companies through Auction- NPA by themselves or through agents is supply and is liable to gst.

[Ganeshan Kalyani]

As per provision cited by my collegue expert the activity of outward supply of jewellery by Bank is a taxable supply.

AI Summary

Taxable supply: sale of jewellery by banks and financial institutions attracts GST when made in course of business, including auctions. Disposal of jewellery by banks or financial institutions-whether through auction or via agents-as part of commercial activity constitutes supply and is treated as a taxable supply attracting Goods and Services Tax under the statutory definition of supply.