GST LEVY ON TFR OF BUSINESS ASSET WHERE NO ITC AVAILED

[Akash Aggarwal]

Sale of fixed asset (business asset) for consideration by a registered dealer is liable to gst where ITC has not been availed on the said asset? Ref M/s Sameera Trading Co AAR Karnataka = 2019 (10) TMI 1094 - AUTHORITY FOR ADVANCE RULING, KARNATAKA

[PAWAN KUMAR]

Dear sir,

As per my view, it is cover under clause 4 schedule II of CGST Act, hence liable for gst.

AI Summary

GST liability on sale of business assets where no input tax credit was availed is treated as a taxable supply under schedule classification.
Sale or transfer of a fixed business asset by a registered dealer where input tax credit has not been availed is characterised under the schedule classification as a taxable supply and is liable to GST.