GST AAR Rules GM India’s Asset Transfer as Taxable Services and Goods

In re General Motors India Pvt. Ltd. (GST AAR Maharashtra) The Maharashtra Authority for Advance Ruling (AAR) has determined that General Motors India’s (GM India) assignment of leasehold rights for land and buildings under an Asset Purchase Agreement constitutes a taxable supply of services under the Goods and Services Tax (GST) laws. The AAR clarified that this transfer is akin to “agreeing to do” the transfer of leasehold rights, classifying it under “Other miscellaneous service” (SAC 999792) and subjecting it to an 18% GST rate. Contrary to potential interpret...