SC Upholds Bombay HC View That GST Cannot Be Levied on MIDC Plot Leasehold Assignment

Assistant Commissioner (Anti Evasion) & Anr. Vs Aerocom Cushions Private Limited (Supreme Court of India) The dispute concerned a show cause notice issued under Section 74(1) of the Central Goods and Services Tax Act, 2017 demanding GST of Rs. 27 lakh on the transfer of leasehold rights in an MIDC industrial plot. The tax authorities alleged that the transfer of leasehold rights amounted to a “supply of services” under Section 7(1) of the CGST Act read with Clause 2(b) of Schedule II. The petitioner had assigned its leasehold rights in an MIDC plot to another industrial unit for consid...