https://www.taxtmi.com/forum/issue?id=118566 Whether GST applies to a penalty recovered by a recipient from a supplier for late delivery depends on characterization: amounts that constitute consideration for an ancillary facility bundled with the principal supply (e.g., acceptance of late payment or similar commercial terms) are taxable as part of the principal supply, whereas recipient levied liquidated damages treated as compensation for breach, where the recipient supplies nothing in return, do not constitute consideration and therefore fall outside valuation under Section 15. en-us Sun, 04 Jun 2023 17:53:29 +0530 Thu, 23 Jan 2025 15:54:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=118566 Whether GST applies to a penalty recovered by a recipient from a supplier for late delivery depends on characterization: amounts that constitute consideration for an ancillary facility bundled with the principal supply (e.g., acceptance of late payment or similar commercial terms) are taxable as part of the principal supply, whereas recipient levied liquidated damages treated as compensation for breach, where the recipient supplies nothing in return, do not constitute consideration and therefore fall outside valuation under Section 15. Discussion-Forum GST Sun, 04 Jun 2023 17:53:29 +0530 https://www.taxtmi.com/forum/issue?id=118566