Industry Expects Litigation On Corporate Guarantees To Rise

The 52nd GST Council met on Oct. 7 for the fourth time in 2023 and issued clarifications on topics ranging from rate exemptions, cuts and trade facilitation measures. One such clarification was that corporate guarantees would attract Goods and Services Tax, a move that has prompted debate on applicability, valuation and time period of liability. According to legal experts, it is likely to be litig…