Mixed Supply [ Section 8(b) ] - GST Ready Reckoner - GST

Mixed Supply Determination of tax liability of Mixed Supplies The tax liability on a mixed supply shall be determined in the following manner, namely: - - a mixed supply comprising two or more supplies shall be treated as a supply of that particular supply which attracts the highest rate of tax. [ section 8(b) CGST ACT ] Time of supply in case of mixed supplies The mixed supply, if involves supply of a service liable to tax at higher rates than any other constituent supplies, such mixed supply would qualify as supply of services and accordingly the provisions relating to time of supply of services would be applicable. Alternatively, the mixed supply, if involves supply of goods liable to tax at higher rates than any other constituent supplies, such mixed supply would qualify as supply of goods and accordingly the provisions relating to time of supply of services would be applicable. Some clarifications on mixed supply given by CBIC Supply of UPS and battery Circular No. 163 / 19 / 2021 -GST Date 06 Oct. 2021. - Entry fee to casinos (para 20.5) : GST at the rate of 28% was leviable on the services by way of access/entry to Casinos on payment of consideration/entry fee which compulsorily included price of one or more other supplies such as food, beverages etc.; that being a mixed supply . However, optional supplies made independently of the entry ticket would be taxed at the rates as applicable on such supplies. CASE LAWS - M/s. Doms Indusries Pvt. Ltd. - 2023 (1) TMI 85 - AAR, GUJARAT The supply of pencils sharpener along with pencils is considered a mixed supply under Section 2(74) of the CGST Act, 2017. The applicant is required to use the HSN code of the particular supply which attracts the higher rate of tax among all the taxable supplies containing in a pack/box. If the tax rate of the sharpener is the highest among all the products in the kit, the applicant is liable to pay the highest tax rate and use the HSN code of that particular supply having the highest rate. M/S. Dipakkumar Kantilal Chotai (Talod Gruh Udyog) - 2021 (1) TMI 693 - AAR, Gujarat Hence, we conclude that the mixed supply of Gota Mix and Chutney powder will be considered as a supply of Gota Mix (falling under Sub-heading 11061000 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975)) on which the GST liability will be 5%(2.5% CGST + 2.5% SGST). Similarly, the mixed supply of Bhajiya Mix and Chutney powder, will be considered as a supply of Bhajiya Mix (falling under Sub-heading 11061000 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975)) on which the GST liability will be 5%(2.5% CGST + 2.5% SGST). M/S. Sarj Educational Centre - 2019 (2) TMI 1605 - AAR, West Bengal Issue - The Applicant is stated to be the owner of a private boarding house and is providing services of lodging and food exclusively to the students of a secondary school, run by a Charitable Society, namely Sunshine Educational Society. He seeks a ruling on whether his service to the students for lodging along with food is a composite supply within the meaning of section 2(30) of the GST Act, and whether supply of such service is eligible for exemption under Sl. No. 14 of Notification No. 12/2017 CT (Rate) dated 28/06/2017 (hereinafter the Exemption Notification). The Applicant also wants to know what should be the rate of tax for the combination of services he provides, if it is not considered a composite supply . Ruling - The Applicant is offering several individual services in two different combinations to the recipients, depending upon their need for lodging facility. None of the combinations of services being offered is a composite supply , as defined under section 2(30) of the GST Act. They are mixed supplies within the meaning of section 2(74) and taxable in accordance with section 8(b) of the GST Act. Being mixed supply , value of the entire combination of services offered is taxable at the applicable rate.