Supply classification of business asset transfers determines whether permanent transfers are goods and temporary use is a service. Classification under Schedule II and section 7(1A) treats permanent transfers of business assets as supply of goods when goods cease to form part of business assets and the transfer is made by or under direction of the person carrying on the business; sales by third parties empowered to recover debts are deemed supplies by the taxable person. Temporary transfers or private use of business goods are treated as supply of services. On cessation of taxable status, goods in business assets are deemed supplied immediately before cessation, except for transfer as a going concern or where a personal representative carries on the business.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Supply classification of business asset transfers determines whether permanent transfers are goods and temporary use is a service.
Classification under Schedule II and section 7(1A) treats permanent transfers of business assets as supply of goods when goods cease to form part of business assets and the transfer is made by or under direction of the person carrying on the business; sales by third parties empowered to recover debts are deemed supplies by the taxable person. Temporary transfers or private use of business goods are treated as supply of services. On cessation of taxable status, goods in business assets are deemed supplied immediately before cessation, except for transfer as a going concern or where a personal representative carries on the business.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
