Supply with related parties?
zanis 0071 (68 Points)
19 September 2021zanis 0071 (68 Points)
19 September 2021
CA Altamush Zafar
(GST Consultant)
(15966 Points)
Replied 19 September 2021
Both are considered supply. There is a difference in valuation method. You will have to elaborate your question
zanis 0071
(68 Points)
Replied 19 September 2021
CA Altamush Zafar
(GST Consultant)
(15966 Points)
Replied 19 September 2021
The reason is simply that in case of related persons both persons can control the value of transactions for mutual gains. In case of unrelated persons logically no one will sell at zero price.
zanis 0071
(68 Points)
Replied 19 September 2021
CA Altamush Zafar
(GST Consultant)
(15966 Points)
Replied 19 September 2021
A father can transfer goods to his son without value.
But the same person will not ordinarily sell without consideration
So the relation of a person is influencing the price therefore a loss to the government.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)