Activities or Transactions

[VENU K]

What is the meaning of ACTIVITY and TRANSACTION as used in CGST ActSec 7

Sec 7(1)(aa) talks about Activities or Transactions

Sec 7(1)(c) Talks about Activities specified in Schedule I.

Sec 7(I)(A) again talks about Activities or Transactions and has a cross references to Schedule II. Interestingly Schedule II initially had a heading Activities to be treated as supply of goods or supply of services. But later Goods and Services Tax amendment Act 2018 retrospectively amended this w.e.f 1.07.2017 and included the word OR TRANSACTIONS.

Sec 7(2)(a) again talks about activities or transactions specified in Schedule III.

Sec 7 (3) gives power to central Government to specify certain ACTIVITIES only either as a supply of goods or as a supply of services.

Understanding this is a must because a word AND and another word OR used in law made a lot of difference as we learned in Safary Retreats.

AI Summary

Exploring 'Activity' and 'Transaction' in CGST Act's Section 7: Impact of Word Choice and Retrospective Amendments. A discussion on the interpretation of 'activity' and 'transaction' under Section 7 of the Central Goods and Services Tax (CGST) Act, particularly how these terms are used in various subsections and schedules, including amendments made by the Goods and Services Tax Amendment Act 2018. The conversation highlights the significance of word choice, such as 'and' versus 'or,' in legal contexts, referencing a case (Safary Retreats) to illustrate the impact on legal outcomes. A participant notes that even favorable court rulings may lead to retrospective legislative amendments to align with the perceived legislative intent.