Alerts & Updates 31st Jan 2023

Transfer of business as a going concern – Reversal of ITC be done away with

Authors

Jignesh Ghelani Partner | Mumbai

Latest Thought Leadership

Articles 14th Jun 2024

Digital Bouncers: Navigating the Digital Competition

Read More
Articles 14th Jun 2024

SEBI Imposes Financial Penalties on Market Infrastructure Institutions For Surveillance Failures

Read More
News & Media 13th Jun 2024

Compensation claims plunge as SEBI crackdown intensifies

Read More
News & Media 12th Jun 2024

50% assured pension for central govt staff under NPS: Proposal explained

Read More

A common method of business re-organization is where an entity transfers its business vertical on a ‘going concern’ basis to another entity which will continue its operations.

Against this backdrop, Jignesh Ghelani, Partner and Navaz PC, Principal Associate at Economic Laws Practice (ELP) have co-authored an article for TIOL PRIVATE LIMITED, titled ‘Transfer of business as a going concern – Reversal of ITC be done away with’. In this article, the authors discuss the GST implications on transfer of business as a going concern qua input tax credit (“ITC”). The article draws out a difference between transfer of business and transfer of individual assets. The authors further lists certain ITC related issues which may arise in the case of transfer of business as a going concern. The article concludes, emphasizing the importance of ITC related issues to be addressed and the need of making amendments to existing CGST Act or CGST Rules.

Read the detailed article here: Click here