Composite Supply Ruling - GST

[2019] 105 taxmann.com 58 (AAR - WEST BENGAL)

In its 2nd May 2019 order AAR West Bengal has ruled as below

The Applicant is providing service of construction of a dwelling unit in a residential complex, bundled with services relating to the preferential location of the unit and right to use car parking space and common areas and facilities. It is a composite supply, construction service being the principal supply. Entire value of the composite supply is, therefore, to be treated, for the purpose of taxation, as supply of construction service

This will ease the calculations for payment of GST and it brings in a legal clarity to this issue.