Explain taxable event - supply of goods and services?
Understand the Problem
The question is asking for an explanation of what constitutes a taxable event in the context of the supply of goods and services. This involves defining the concept of taxable events and how they relate to business transactions involving goods and services, typically in the context of taxation.
Answer
The taxable event in GST is the supply of goods or services.
The taxable event in GST is the supply of goods, services, or both. It is the core event that triggers the liability to pay tax under GST, replacing previous events like manufacturing or sale.
Answer for screen readers
The taxable event in GST is the supply of goods, services, or both. It is the core event that triggers the liability to pay tax under GST, replacing previous events like manufacturing or sale.
More Information
In GST, supply is a broad term covering transactions for consideration including sale, transfer, barter, exchange, license, rental, lease. It aims for uniformity and consistency in tax application across all tax-payer transactions.
Tips
Misinterpreting 'supply' to mean only sale; it includes a variety of transactions such as lease and license.
Sources
- Definition of Supply under GST: Scope explained - ClearTax - cleartax.in
- The Taxable event in GST – “Supply” - idtc-icai.s3.amazonaws.com
