Mere deposit of goods to custodian not liable for GST: AAR (Karnataka)

In a ruling that may have implications for gold mortgages, gold bonds and commodities derivative trading, Karnataka  Authority for Advance Rulings has held that deposit of goods to a custodian with obligation to return on submission of electronic receipts would not be liable for  GST . The ruling came in relation to applicability of goods and services tax in case of a derivative contract…