GST ON UNION TERRITORY OF DAMAN & DIU FOR PERIOD PRIOR TO MERGER

The GST Authority for Advance Ruling (AAR) has ruled that the Union Territory of Daman and Diu will be considered as a separate entity for the purpose of GST.

This ruling is applicable for the period prior to the merger of Daman and Diu with Dadra and Nagar Haveli.

The ruling was given in response to a query by a company that had supplied goods to Daman and Diu before the merger.

The company had sought clarification on whether it should charge GST on the invoice for the period prior to the merger.

The AAR ruled that the company should charge GST on the invoice for the period prior to the merger, as Daman and Diu was a separate entity at that time.

The ruling is expected to have implications for other companies that had supplied goods or services to Daman and Diu before the merger.

The AAR ruling is binding only on the applicant who had sought the clarification, but it can be used as a precedent by other companies facing similar issues.