India Tax & Regulatory
GST Exemption on Transfer of Business as Going Concern
Transfer of a business as a going concern, including via slump sale, is treated as a supply of service but exempted from GST under a specific notification, subject to conditions.
Buyer Example
Buyer acquiring a Pune warehousing and logistics business as a going concern for ₹18 Cr confirms the structuring qualifies for GST exemption — avoiding the 18% GST that would otherwise apply on an itemized asset sale, saving an incremental ₹3.24 Cr in transaction cost.