https://www.taxtmi.com/circulars?id=67285 Personal guarantees by directors are a supply of service between related persons and are valued at open market value under Rule 28; where RBI precludes any lawful consideration the open market value may be treated as zero and no tax payable, except in exceptional remunerated cases where taxable value equals the remuneration. Corporate guarantees between related companies, including holding subsidiary situations, are also supplies of service and their taxable value is to be determined under Rule 28, with newly inserted sub rule (2) prescribing valuation for such corporate guarantees irrespective of the recipient's ITC; sub rule (2) does not apply to personal guarantees. en-us Tue, 12 Dec 2023 00:00:00 +0530 Fri, 29 Mar 2024 17:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=67285 Personal guarantees by directors are a supply of service between related persons and are valued at open market value under Rule 28; where RBI precludes any lawful consideration the open market value may be treated as zero and no tax payable, except in exceptional remunerated cases where taxable value equals the remuneration. Corporate guarantees between related companies, including holding subsidiary situations, are also supplies of service and their taxable value is to be determined under Rule 28, with newly inserted sub rule (2) prescribing valuation for such corporate guarantees irrespective of the recipient's ITC; sub rule (2) does not apply to personal guarantees. Circulars GST - States Tue, 12 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/circulars?id=67285