https://www.taxtmi.com/article/detailed?id=13206 The document differentiates regulatory penalties for statutory contraventions and contractual liquidated damages for vendor non performance, addressing whether such payments constitute consideration for a supply under GST. Citing administrative guidance, it concludes that fines, late fees, penal interest and liquidated damages imposed to punish, deter or compensate for breach do not represent consideration for tolerating a breach and therefore fall outside GST taxable supply. en-us Fri, 13 Dec 2024 07:24:52 +0530 Fri, 13 Dec 2024 07:24:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=13206 The document differentiates regulatory penalties for statutory contraventions and contractual liquidated damages for vendor non performance, addressing whether such payments constitute consideration for a supply under GST. Citing administrative guidance, it concludes that fines, late fees, penal interest and liquidated damages imposed to punish, deter or compensate for breach do not represent consideration for tolerating a breach and therefore fall outside GST taxable supply. Articles Other Topics Fri, 13 Dec 2024 07:24:52 +0530 https://www.taxtmi.com/article/detailed?id=13206