GST on Services of Court Receiver Kush Kalra, dated 20 June, 2020

SUBSCRIBE FOR FULL CONTENT


The Tax Publishers GST on Services of Court Receiver Kush Kalra The learned author seeks to examine the taxability or otherwise of levy of GST on services of Court Receiver. 1. Introduction Article 246A of the Constitution of India, as inserted by the Constitution (One Hundred and First Amendment) Act, 2016, w.e.f. 16th September 2016, prescribes special provision with respect to goods and services tax, which reads as under :-- '246A. Special provision with respect to goods and services tax. (1) Notwithstanding anything contained in articles 246 and 254, Parliament and, subject to clause (2), the Legislature of every State, have power to make laws with respect to goods and services tax imposed by the Union or by such State. (2) Parliament has exclusive power to make laws with respect to goods and services tax where the supply of goods, or of services, or both takes place in the course of inter-State trade or commerce. Explanation.--The provisions of this article, shall, in respect of goods and services tax referred to in clause (5) of article 279A, take effect from the date recommended by the Goods and Services Tax Council.' The Parliament enacted the Central Goods and Services Tax Act, 2017 (in short 'the CGST Act') which came into force on 1st July 2017. The CGST Act is an Act to make a provision for levy and collection of tax on intra-State supply of goods or services or both by the Central Government and for matters connected therewith or incidental thereto. The term supply is defined under section 7 of the CGST Act, according to which the expression supply includes -- (a) all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business; (b) import of services for a consideration whether or not in the course or furtherance of business; and (c) the activities specified in Schedule I, made or agreed to be made without a consideration. As per sub-section (2) of section 7, activities or transactions specified in Schedule III shall be treated neither as a supply of goods nor a supply of services. SUBSCRIBE FOR FULL CONTENT

The Tax Publishers

GST on Services of Court Receiver

Kush Kalra

The learned author seeks to examine the taxability or otherwise of levy of GST on services of Court Receiver.

1. Introduction

Article 246A of the Constitution of India, as inserted by the Constitution (One Hundred and First Amendment) Act, 2016, w.e.f. 16th September 2016, prescribes special provision with respect to goods and services tax, which reads as under :--

'246A. Special provision with respect to goods and services tax.

(1) Notwithstanding anything contained in articles 246 and 254, Parliament and, subject to clause (2), the Legislature of every State, have power to make laws with respect to goods and services tax imposed by the Union or by such State.

(2) Parliament has exclusive power to make laws with respect to goods and services tax where the supply of goods, or of services, or both takes place in the course of inter-State trade or commerce.

Explanation.--The provisions of this article, shall, in respect of goods and services tax referred to in clause (5) of article 279A, take effect from the date recommended by the Goods and Services Tax Council.'

The Parliament enacted the Central Goods and Services Tax Act, 2017 (in short 'the CGST Act') which came into force on 1st July 2017. The CGST Act is an Act to make a provision for levy and collection of tax on intra-State supply of goods or services or both by the Central Government and for matters connected therewith or incidental thereto.

The term supply is defined under section 7 of the CGST Act, according to which the expression supply includes --

(a) all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business;

(b) import of services for a consideration whether or not in the course or furtherance of business; and

As per sub-section (2) of section 7, activities or transactions specified in Schedule III shall be treated neither as a supply of goods nor a supply of services.