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2020 (4) TMI 67 - AAR - GSTBusiness Transfer Agreement - Applicability of exemption Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017 - going concern which consists of transferring under-construction project - HELD THAT:- The acquisition of goods/ services for commencement of business is covered under the said definition. A transfer of a business as a going concern is the sale of a business including assets. In terms of financial transaction 'going concern' has the meaning that at the point in time to which the description applies, the business is live or operating and has all parts and features necessary to keep it in operation. Thus Transfer of a going concern' in a simple way can be describe as transfer of a running business which is capable of being carried on by the purchaser as an independent business. In the present case, the applicant is carrying on the business of constructing residential/commercial complexes and selling thereof and the applicant firm come into existence particularly for the said project. Further on perusal of the sale deed dated 24.10.2019, we find that the applicant has sold the under-construction building, as a whole, situated at village- Manoharpur, Pargana-Jwalapur, District-Hardwar with its all assets and transfer the rights of the same to the buyer including the approved map from the competent authority. The buyer has purchased the under-construction building/business to carry on the same kind of business as the purchaser themselves engaged in constructing residential/commercial complexes and selling thereof. Further as on date there is no series of immediately consecutive transfers of the said business. Thus, the applicant has transfer the business as a going concern to M/s. Ronav Infrastructure and it may treated as supply of services and as per serial no. 2 of the Notification No.12/2017-CentraI Tax (Rate) dated 28.06.2017 (as amended from time to time), the same is exempted from levy of GST as on date.
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