Which of the following is a composite supply under the CGST Act, 2017?
Question and options
Which of the following is a composite supply under the CGST Act, 2017?
A refrigerator sold with an extended warranty invoiced separately
A festival hamper of sweets, dry fruits and aerated drinks sold for one price
A laptop and a printer sold together as a combo for one price
A hotel room package sold with breakfast included in the tariff
Answer and explanation
Section 2(30) of the CGST Act, 2017 defines a composite supply as two or more supplies naturally bundled and supplied together in the ordinary course of business, one of which is the principal supply; room accommodation with breakfast is a standard example, with accommodation as the principal supply. A hamper or a laptop-and-printer combo for one price is a mixed supply under section 2(74), because each item is sold on its own in the ordinary course. A separately invoiced warranty is a separate supply.
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