Muchas empresas cambian su estructura por diversas razones y propósitos, como mejorar el negocio tras una fase de declive, aumentar su valor o ganar competitividad en el mercado. Recientemente, tras la crisis de la COVID-19, más empresas se han reestructurado debido a pérdidas continuas o dificultades para continuar con su actividad.
Un negocio también puede interrumpirse por diversos motivos, como el fallecimiento del propietario o socio, lo que provoca la disolución de la entidad jurídica, el cierre intencionado de la firma o empresa, o la transferencia del negocio a otra persona, entre otros.
La interrupción de un negocio puede realizarse de las siguientes maneras:
En este artículo, hemos hecho un esfuerzo por analizar las implicaciones del GST en las distintas formas de interrupción o transferencia de negocios.
Esta forma de interrupción del negocio se produce cuando una persona vende todas sus existencias y activos y, posteriormente, procede a cerrar el negocio.
En tales casos, dado que las existencias y los activos se venden en el curso normal del negocio, se debe aplicar el GST a las tasas correspondientes en el momento del suministro. Además, como no se produce ningún suministro de bienes en el momento del cierre del negocio, no se aplica el GST al mismo.
En caso de liquidación de todas las existencias y activos antes de la interrupción, puede quedar un saldo en el libro mayor de crédito electrónico por diversas razones, como la venta de existencias con pérdidas o la reducción de las tasas de GST en los bienes comercializados (por ejemplo, si se aplicaba un GST del 18% en el momento de la compra de las existencias y posteriormente se redujo al 12%, etc.).
En tales casos, no se concederá ningún reembolso del saldo pendiente en el libro mayor de crédito electrónico y la persona podrá proceder a cancelar su número de registro de GST.
Este escenario suele darse en caso de interrupción del negocio debido al fallecimiento del propietario, lo que conlleva la transferencia de todo el negocio al heredero legal o sucesor del propietario.
En este caso, el heredero legal puede continuar con el negocio del propietario fallecido transfiriendo sus activos y pasivos. Si decide continuar con el negocio, el heredero legal deberá obtener un nuevo GSTIN y podrá transferir el ITC (crédito fiscal) que figura en el libro mayor de crédito electrónico del propietario fallecido a su propio GSTIN. El heredero legal también será responsable del pago de las obligaciones de GST del propietario fallecido.
En caso de interrupción del negocio, el heredero legal deberá liquidar el GST sobre las existencias o bienes de capital que posea en la fecha de cancelación del registro de GST del propietario fallecido.
La transacción de transferencia de un negocio con todos sus activos y pasivos por una contraprestación a tanto alzado, es decir, cuando no se asignan valores a cada activo y pasivo por separado, se conoce como venta global (slump sale).
La cuestión de si la transferencia de un negocio por una contraprestación a tanto alzado se considera "venta de bienes" o "venta de servicios" ha sido objeto de disputa desde el principio, y se han solicitado diversas resoluciones anticipadas sobre este tema.
Same question was placed before the Hon'ble Authority of Advance Ruling (“AAR '') of Karnataka in the matter of M/s Rajashri Foods Private Limited (ARN. KAR ADRG 06/2018 dated 23rd April, 2018).
Hon’ble AAR held following points:
Schedule II read with Section 7(1)(d) of CGST Act, 2017 provides that “Activities or Transactions to be treated as Supply of Goods or Supply of Services”.
Entry No. 4(c) of Schedule II of CGST Act, 2017 is reiterated for ready reference:
“ 4 Transfer of business asset
(c) where any person ceases to be a taxable person, any goods forming part of the assets of any business carried on by him shall be deemed to be supplied by him in the course or furtherance of his business immediately before he ceases to be a taxable person unless:
(i) the business is transferred as a going concern to another person; or
Therefore, as per Entry No. 4(c) of Schedule II, transfer of goods forming part of business shall be considered as “Transfer of Business Asset” where such person ceases to be a taxable person. However, this provision shall not apply where business is transferred on a going concern basis.
In case of slump sale, the entire business is transferred on a going concern basis. Therefore, such transfer is not to be considered as “Transfer of Goods”
Notification No. 12/2017-Central Tax(Rates) dated 28th June, 2017 contains a list of services exempted which are exempted under GST. Entry No. 2 of such notification is reiterated below:
Therefore, as per Entry No. 2 of N/No. 12.2017-Central Tax (Rates), Transfer of business on going concern basis is considered as “Supply of Service” which is exempt.
Hon’ble Authority of Advance Ruling, Uttrakhand, defined term “Going Concern” in the matter of M/s Rajeev Bansal & Sudershan Mittal (Ruling No. 09/2019-20 dated 9th January, 2020) as:
“7.5 ...In terms of Financial Transaction “Going Concern” has the meaning that at the point in time to which the description applies, the business is live or operating and has all parts and features necessary to keep it in operations. Thus “Transfer of a going concern” in a simple way can be described as transfer of running business which is capable of being carried on by the purchaser as an independent business.”
Therefore, if a business is transferred on a going concern basis then such a transaction is considered as “Supply of Service”.
Similar stands are also taken by various other AARs.
As per N/No. 12/2017-Central Tax (Rate), supply of business on going concern basis is exempted from payment of GST without any condition.
In case of slump sale, if business is transferred on a going concern basis then the same shall be considered as “Exempted Supply”.
As discussed above, as per Section 18(3) of CGST Act read with Rule 41 of CGST Rules, balance in Electronic Credit Ledger of the transferor can be transferred to through filing of Form GST ITC-02 by transferor on GST portal subject to fulfillment of other conditions discussed above.
In case of transfer of the whole business, the transferor is entitled to transfer the entire balance of unutilized ITC lying in the Electronic credit ledger to the transferee. However, In case of partial transfer of business, e.g. demeger or sale of segment only, transferor is eligible to transfer only proportional ITC pertaining to the segment transferred,
As per the Rule 41 of CGST Act, 2017, the ITC shall be apportioned in the ratio of value of transferred assets with the total value of Assets. The same can be understood by the following formula:
ITC entitled for transfer = ITC balance * Value of Assets which is transferred / Total Value of Assets
In case of Itemised sales, the entire business is not transferred to any person, rather few assets are transferred and where the value is assigned to each asset.
Entry No. 4(a) of Schedule II of CGST Act, 2017 is reiterated below:
“4. Transfer of business assets
(a) where goods forming part of the assets of a business are transferred or disposed of by or under the directions of the person carrying on the business so as no longer to form part of those assets, such transfer or disposal is a supply of goods by the person;”
Therefore, as per Entry No. 4(a) of Schedule II of CGST Act, transfer of business assets is considered as “Supply of Goods” and GST on the same shall be charged at the applicable rate.
Also, as there is no transfer of business taking place, therefore, there is no provision given for transfer of unutilised balance in Electronic Credit Ledger.
Therefore, in case of closure of business or dissolution of business due to death of proprietor or winding up of Company, mere surrendering a GST registration is not sufficient. Cancellation of GST registration does not put an end to liabilities of any person and appropriate action can be taken against such person in future date. Therefore, before surrendering GST registration, a person is required to look after all possible GST liability and applicable compliances.
