Understanding Composite vs. Mixed Supply: Tax Rate Determination for Bundled Goods and Services Under GST Rules.

Composite supply involves two or more taxable supplies naturally bundled and supplied together, where one is the principal supply, such as a TV with a warranty and maintenance contract. The principal supply determines the tax rate. Mixed supply consists of multiple goods or services sold together for a single price, like a refrigerator with water bottles, which can be sold separately. The tax rate for mixed supply is based on the item with the highest tax rate.