Authority for Advance Ruling, Gujarat24 June 2026

Pon Pure Chemical India (P.) Ltd., In re

For assessee

ADVANCE RULING NO. GUJ/GAAR/R/2026/23

The ruling in brief

Compensation recovered from transporters for transit loss beyond tolerance limit stipulated in contracts, being liquidated damages for breach of contract, was not consideration for any supply; in absence of any agreement to tolerate breach, such amounts were mere compensation and not liable to GST

Provisions considered

Section 9, read with section 7, of Central Goods and Services Tax Act, 2017/Gujarat Goods and Services Tax Act, 2017

This summary is for general information and is not legal advice. Read the full decision and the applicable law before relying on it.

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Pon Pure Chemical India (P.) Ltd., In re

The ruling in brief

Provisions considered

Pon Pure Chemical India (P.) Ltd., In re

The ruling in brief

Provisions considered

Read the full analysis

Torrent Power Ltd. v. Union of India

Managing Director, Tamil Nadu State Marketing Corporation Ltd. (TASMAC) v. K.R.Subramanian

Union of India v. Gujarat Chamber of Commerce and Industry

Read the full analysis