Transfer of right to use of any goods for any purpose is liable to GST

In re M/s. Abbott Healthcare Pvt. Ltd. (GST AAR Kerala)

The placement of specified medical instruments to unrelated customers like hospitals, labs etc, for their use without any consideration, against an agreement containing minimum purchase obligation of products like reagents, calibrators, disposals etc for a specific period constitute composite supply. The principal supply is the transfer of right to use of any goods for any purpose and is liable to GST under SI No. 17 (iii) – Heading 9973 of Notification No. 11/2017 Central Tax (Rate) dated 28.06.2017.

Also Read AAAR Ruling- GST on Placement of specified medical instruments for use without consideration

Also Read Hon’ble HC Order – AAR does not have jurisdiction to go beyond issues referred: HC

FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING, KERALA

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