https://www.taxtmi.com/caselaws?id=790924 Settlement terms recording satisfaction of an arbitral award for breach-related damages, and the creditor's agreement not to continue execution or enforcement, are not by themselves a taxable supply under section 7 of the CGST Act read with Entry 5(e) of Schedule II. The payment reflected satisfaction of the decretal liability, not a fresh commercial bargain or separate consideration for tolerating, refraining from, or doing an act. Incidental non-pursuit of enforcement after satisfaction was not independent for consideration. The analysis also notes that CBIC circulars on liquidated damages support the view that compensation for breach is not taxable as supply absent a separate agreement. en-us Thu, 30 Apr 2026 00:00:00 +0530 Sat, 02 May 2026 07:43:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=790924 Settlement terms recording satisfaction of an arbitral award for breach-related damages, and the creditor's agreement not to continue execution or enforcement, are not by themselves a taxable supply under section 7 of the CGST Act read with Entry 5(e) of Schedule II. The payment reflected satisfaction of the decretal liability, not a fresh commercial bargain or separate consideration for tolerating, refraining from, or doing an act. Incidental non-pursuit of enforcement after satisfaction was not independent for consideration. The analysis also notes that CBIC circulars on liquidated damages support the view that compensation for breach is not taxable as supply absent a separate agreement. Case-Laws GST Thu, 30 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=790924