Inter-co managerial/leadership services to attract 18% GST

Inter-co managerial/leadership services to attract 18% GST The Maharashtra bench of the AAR has declared that managerial and leadership services provided by the corporate office to its group companies/construction sites registered in other states will be subject to 18% GST. B G Shirke Construction Technology Pvt Ltd asked the Authority for Advance Ruling (AAR) to determine if the registered/corporate office's managerial and leadership services offered to its group companies would be regarded a "supply of service." Also, whether the registered/corporate office's lump sum amount charged to its group firms is subject to the Goods and Services Tax (GST). The Maharashtra AAR ruled that the corporate office's administrative and leadership services to its group firms and other construction sites registered in different States are "supply of service" and so taxable under GST.