Supply of stationery items in group for single price is mixed GST supply attracting highest rate: AAR

Case Details: Doms Industries (P.) Ltd., In re - [2023] 146 taxmann.com 59 (AAR-GUJARAT)

Judiciary and Counsel Details

• • Milind Kavatkar & Amit Kumar Mishra, Member
  • Rahul Bhupendra Shah, (CFO) Chintan Shah, Devam Sheth, CA’s & Manish Shah, Adv. for the Applicant.

Facts of the Case

The applicant is engaged in supplying all kinds of stationary items like wooden pencils, sharpeners, erasers, mathematical & drawing instruments, ballpoint pens, wax crayons & oil pastels and a wide range of student art materials.

The applicant supplies different products such as pencils, colouring books, crayons, eraser, etc. in a single box/pack and at a single price. The applicant sought the advance ruling on the question as to whether the given supply of different products in a single box/pack made by the applicants would be considered as ‘composite supply’ or ‘mixed supply’.

AAR Held

The Gujarat Authority for Advance Ruling held that in order to qualify any supply under the scope of mixed supply, the following conditions are to be satisfied:

(a) There should be two or more individual supplies of goods or services or in any combination thereof

(b) Such supply should be made in conjunction with each other for a single price

(c) Such supply does not constitute a composite supply

In the instant case, the supply of different products in a single box/pack and at a single price made by the applicant satisfies all the above three conditions of mixed supply. Therefore, the said supply is covered under category of mixed supply.