Kumar Visalaksh and Ajitesh Dayal Singh of Economic Laws Practice consider a recent decision of the Supreme Court resolving the question of whether Indian importers are liable to pay tax on ocean freight paid for by a foreign seller.
The Supreme Court has found the levy of IGST on ocean freight to be unconstitutional. The ultimate verdict on the (un)constitutionality of the levy rests quite heavily on the finding that a CIF contract is a “composite supply” that is separately taxed under the Act. As such, one leg of the transaction cannot be taken apart to be taxed again.
Source: bloombergtax.com
Latest Posts in "India"
- GST Reduction on Fruit Drinks Excludes Colas; Prices Remain Unchanged for Carbonated Beverages
- Supreme Court Stays Retrospective GST Penalty, Examines Applicability to Non-Taxable Persons
- India Unveils Simplified GST Rate Structure
- GST 2.0: Key Changes, New Rates, and Business Impact Explained
- Guide to GST Refunds for Unregistered Persons: Cancelled Service Contracts Explained
