Sale of goodwill applicable ?

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 April 2018 DEAR SIR,

MY CLIENT HAS SOLD OUT HIS BUSINESS, HE EARNED SOME MONEY AS GOODWILL OF BUSINESS, MY QUERY IS THAT ON SALE OF GOODWILL - DOES HE HAS TO PAY GST? IF YES AT WHAT RATE? PLEASE ALSO SEND ME CIRCULAR OR REFERENCE FOR THE SAME.

KAVIRAJA ADDANGADI

KAVIRAJA ADDANGADI (Expert)
Follow

25 April 2018 Notification No. 10 /2017 – Central Tax dated 28th June, 2017 amended the existing Central Goods and Services Tax Rules, 2017. The Rules may be called Central Goods and Services Tax (Second Amendment) Rules, 2017 and shall come in force on 1st July, 2017. Through this notification, the government notified the final rate schedule under GST.

As per notification, the intangibles, for example, trademarks and goodwill will face a goods and services tax (GST) of 18%. The proposed tax is to be rolled out from July 1, 2017. According Rule 31 read with 51(k) of the Rules, anything not mentioned in the harmonised system nomenclature will face 18%. These are called residual entries in technical sense and the same principle is already in place for GST on services. Since intangibles such as trademarks and goodwill do not find a mention in the schedule they would fall in the category of residual entry

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Aniruddha Mody

Rampal Saini

Jitin Aditya Kapur

Amirthalingam

George Innocent

Subscribe Now

Sale of goodwill applicable ?

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA