https://www.taxtmi.com/caselaws?id=435728 The AAR Karnataka held that transfer of an independent business division as a going concern constitutes supply of services under Section 7 of CGST Act 2017, not goods. The transaction qualified as supply being made for consideration in course of business. The ruling classified it under SAC 997119 (financial services) attracting 18% GST rate. However, the authority determined that notification 12/2017-Central Tax (Rate) entry 2 applies, providing NIL GST rate for transfer of going concern or independent part thereof. The AAR declined ruling on recipient's input tax credit entitlement, citing jurisdictional limitations under Section 95(a). en-us Mon, 20 Mar 2023 00:00:00 +0530 Mon, 14 Apr 2025 15:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=435728 The AAR Karnataka held that transfer of an independent business division as a going concern constitutes supply of services under Section 7 of CGST Act 2017, not goods. The transaction qualified as supply being made for consideration in course of business. The ruling classified it under SAC 997119 (financial services) attracting 18% GST rate. However, the authority determined that notification 12/2017-Central Tax (Rate) entry 2 applies, providing NIL GST rate for transfer of going concern or independent part thereof. The AAR declined ruling on recipient's input tax credit entitlement, citing jurisdictional limitations under Section 95(a). Case-Laws GST Mon, 20 Mar 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=435728