India Tax & Regulatory
GST Exemption on Transfer of Business as Going Concern
A slump sale or going-concern transfer is exempt from GST under specific notification conditions — sellers should structure carefully to avoid inadvertently triggering GST liability.
Seller Example
Promoter of a Pune warehousing business selling for ₹18 Cr as a going concern ensures all conditions for the GST exemption notification are strictly met, avoiding an 18% GST liability (₹3.24 Cr) that would otherwise erode realized value if the deal were misclassified as an asset sale.