Is GST applicable on Liquidated Damage
Roshni jaiswal (student) (51 Points)
25 March 2021
Is GST applicable on Liquidated Damage or not?
2 Replies
CA. Sourav Sarkar
(Chartered Accountant )
(24583 Points)
Replied 25 March 2021
As per Schedule II of CGST Act, 2017, there are some activities which are to be
treated as supply of goods or supply of services. Liquidated damages are covered under the
Clause S(e) of said Schedule II and are to be treated as Services. There is no specific
Service Accounting Code (SAC) for liquidated damages. It may be covered under Heading
"9997" [please refer Central Tax (Rate) Notification no.11/2017 dated 28.06.2017] on which
GST is payable @ 18%.
treated as supply of goods or supply of services. Liquidated damages are covered under the
Clause S(e) of said Schedule II and are to be treated as Services. There is no specific
Service Accounting Code (SAC) for liquidated damages. It may be covered under Heading
"9997" [please refer Central Tax (Rate) Notification no.11/2017 dated 28.06.2017] on which
GST is payable @ 18%.
Roshni jaiswal
(student)
(51 Points)
Replied 25 March 2021
As per the amend. In CGST act,2018 section 7 clause d has been deleted in the definition of supply.
Recent Topics
- Share office desk in bkc, near family court
- 80D claim for payment paid by parent
- TDS on purchase of Flat under subvention scheme be
- Nznxnc call me at the end of the day of the
- Nsje snswk fjw ed le ene djff ne enje ejdd rejje
- Hxjcif the day I have been in touch with me and
- Iska djd djrbdsjebshe sir ur rei ejr reinr the jr
- GST registration for medical shop in Karnataka
- Hsshs me know if you are free number of the
- Chu Kang and the situation of the situation and I
Related Threads
CAclubindia
