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Supply of principal goods/services alongwith freight and insurance is a composite supply

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Classification of Supply — The Applicant are charging GST on freight and insurance considering it as a composite supply against which Power Grid contends that GST should not be charged on Freight and insurance and chargeability is on basic amount. The Authority ruled out that supply of principal goods/services along with freight and insurance is a composite supply as defined under section 2(30) of the CGST Act, 2017 and the Ex works plus freight and insurance to be treated as composite supplies. — Aditya Birla Nuvo Limited (Grasim Industries Limited), In Re… [2019] 10 TAXLOK.COM 117 (AAR-Gujarat)

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