If a holding company guarantees the loan availed by its subsidiary company, then is the service of providing a corporate guarantee liable for tax under the CGST Act, 2017?
Need a hint?
Currently, A Tale of Two High Courts!
The Gujarat High Court and the Bombay High Court have given divergent opinions. On this day, there is no one answer. See Torrent Power Ltd v Union of India [TS-592-HC(GUJ)-2026-GST] and DP Jain and Co Infrastructure Pvt Ltd v Union of India [TS-333-HC(BOM)-2026-GST].