Notification Schedule 1 read with Section 7 of CGST Act 2017 i.e supplies made without consideration (a) Transfer of Assets (b) Supplies between distinct persons and Gifts by employer to employee (c) Supplies between principal and agent (d) Import of services from related persons


Financial Year: 2017


SCHEDULE I

[See section 7]

ACTIVITIES TO BE TREATED AS SUPPLY EVEN IF MADE WITHOUT CONSIDERATION

 

 

(1)   Permanent transfer

or disposal

of business assets

where input tax credit has been availed

on such assets.

(Read Article)

A Short Video the Aforesaid Topic :- 

 

 

(2)  Supply of 

goods or services or both                                                          

between related persons

or between distinct persons as specified in section 25,

when made in the course or furtherance of business:

 

Provided that

gifts not exceeding fifty thousand rupees in value

 in a financial year

 by an employer to an employee

 shall not be treated as supply of goods or services or both.

            (READ ARTICLE)

 

A Short Video the Aforesaid Topic :- 

 

 

 (3)  Supply of goods—

 (a) by a principal to his agent where the agent undertakes to supply such goods on behalf of the principal; or

(b) by an agent to his principal where the agent undertakes to receive such goods on behalf of the principal.

 

Article on principal agent relationship and their valuation is attached for your reference

 

(4)  Import of services by a

taxable person

 

from a related person

or from any of his other establishments outside India

 

in the course or furtherance of business.

 

Taxable person has been changed to person by GST Amendment Act w.e.f 1-02-2019 i.e. CGST Amendment Act 2018

 

 

Thanks

CA Rahul Gupta