215.            A, taxable person, was carrying on the business of supply of books which was running at losses & had Govt dues of Rs. 3 crore. On arbitration, court appointed Mr. B as Manager of A’s business on A’s estate. Discuss the taxability of business dues.

As per section 92 of the CGST Act, Court of Wards/ Administrative General/ Official Trustee/ any Receiver / Manager appointed by or under any order of the court shall be liable to pay tax / interest/ penalty due from such business as if taxable person conducting business himself.

Since the business of A is carried on by Mr. B, manager appointed by court, therefore, B is liable to pay dues of Rs. 3 crore to Govt as if he is the taxable person.