The Gujarat High Court has quashed a Rs 43.43-crore GST demand against Gujarat Cooperative Milk Marketing Federation (GCMMF), which markets Amul products, ruling that services provided by its head office to branches without cross-charging should be valued at nil under applicable GST rules.
The dispute concerned advertising, legal, IT and other corporate expenses incurred at Anand between July 2017 and March 2019.
The GST department treated branches with separate registrations as distinct entities and alleged tax evasion. Amul challenged the demand, arguing that the expenses were duly recorded in its books.
