1. Scope of Supply Yes Yes NO Is it in course or furtherance of business
Is Activity a Supply
Yes
Is it for Consideration
Yes
Is it Specified in Schedule “III”
Yes NO NO NO
It’s Liable to GST
Yes NO
Is it Specified in Schedule “II”
Yes
Is it Import of Service
Yes NO
Is it the Activity Specified in schedule “I”
Mixed Supply NO
Yes
NOT SUPPLY-NO GST
Composite Supply
Taxable event under GST is (i) The Taxable Supply (ii) made by a Taxable Person (iii) Taxable Territory.
Independent / Distinct Supply

2. Section 7 –Scope of Supply
Taxable Supply S.2(108) :- means a Supply of goods or services or both which is leviable to tax under this Act.
2(107)
"taxable person" means a person who is registered or liable to be registered under section 22 or section 24
Taxable Territory means India defined u/s 56
Section 7 –Scope of Supply
Sec 7(1) & (1A)
Supply include all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business;
(b)import of services for a consideration whether or not in the course or furtherance of business; [and]
(c) the activities specified in Schedule I, made or agreed to be made without a consideration . + Schedule II
Sec 7(2)
Following transaction not Supply.
A) activities or transactions specified in Schedule III; or
B)such activities or transactions undertaken by the Central Government, a State Government or any local authority in which they are engaged as public authorities, as may be notified by the Government on the recommendations of the Council.
Sec 7(3)
the Government may, on the recommendations of the Council, specify, by notification, the transactions that are to be treated as—
(a)a supply of goods and not as a supply of services; or
(b)a supply of services and not as a supply of goods.

3. ACTIVITIES TO BE TREATED AS SUPPLY EVEN IF MADE WITHOUT CONSIDERATION
Schedule - I
ACTIVITIES TO BE TREATED AS SUPPLY EVEN IF MADE WITHOUT CONSIDERATION
1. Permanent transfer or disposal of business assets where input tax credit has been availed on such assets.
2. Supply of goods or services or both between related persons or between distinct persons as specified in section 25, when made in the course or furtherance of business: Provided that gifts not exceeding fifty thousand rupees in value in a financial year by an employer to an employee shall not be treated as supply of goods or services or both.
3. Supply of goods–
by a principal to his agent where the agent undertakes to supply such goods on behalf of the principal; or
by an agent to his principal where the agent undertakes to receive such goods on behalf of the principal.
4. Import of services by a person from a related person or from any of his other establishments outside India, in the course or furtherance of business.
Persons shall be deemed to be related if they fall under any of the categories below:
Officer/ director of one business is the officer/ director of another business
Businesses are legally recognised as partners
An employer and an employee
Any person holds at least 25% of shares in another company either directly or indirectly
One of them controls the other directly or indirectly
They are under common control or management
The entities together control another entity
They are members of the same family
"family" means 2(49)-(i) the spouse and children of the person, and (ii) the parents, grand-parents, brothers and sisters of the person if they are wholly or mainly dependent on the said person.

4. SCHEDULE II
ACTIVITIES OR TRANSACTIONS TO BE TREATED AS SUPPLY OF GOODS OR SUPPLY OF SERVICES
Transfer – (a) any transfer of the title in goods is a supply of goods
(b) any transfer of right in goods or of undivided share in goods without the transfer of title thereof, is a supply of services
(c ) any transfer of title in goods under an agreement which stipulates that property in goods shall pass at a future date upon payment of full consideration as agreed, is a supply of goods.
Land & Building- (a) any lease, tenancy, easement, licence to occupy land is a supply of services.
(b) any lease or letting out of the building including a commercial, industrial or residential complex for business or commerce, either wholly or partly, is a supply of services.
Treatment or process- Any treatment or process which is applied to another person's goods is a supply of services.
Transfer of business assets-a) where goods forming part of the assets of a business are transferred or disposed of by or under the directions of the person carrying on the business so as no longer to form part of those assets, whether or not for a consideration, such transfer or disposal is a supply of goods by the person.
b) where, by or under the direction of a person carrying on a business, goods held or used for the purposes of the business are put to any private use or are used, or made available to any person for use, for any purpose other than a purpose of the business, whether or not for a consideration, the usage or making available of such goods is a supply of services.

5. c) where any person ceases to be a taxable person, any goods forming part of the assets of any business carried on by him shall be deemed to be supplied by him in the course or furtherance of his business immediately before he ceases to be a taxable person, unless – (i) the business is transferred as a going concern to another person or
(ii) the business is carried on by a personal representative who is deemed to be a taxable person.
Supply of services- The following shall be treated as supply of services- a) namely renting of immovable property.
b) construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after issuance of completion certificate, where required, by the competent authority or after its first occupation, whichever is earlier.
Explanation.—For the purposes of this clause (1) the expression "competent authority" means the Government or any authority authorised to issue completion certificate under any law for the time being in force and in case of non-requirement of such certificate from such authority, from any of the following, namely –(i) an architect registered with the Council of Architecture constituted under the Architects Act, 1972 (20 of 1972) ;or
(ii) a chartered engineer registered with the Institution of Engineers (India); or
(iii) a licensed surveyor of the respective local body of the city or town or village or development or planning authority;
(2) the expression "construction" includes additions, alterations, replacements or remodelling of any existing civil structure
c) temporary transfer or permitting the use or enjoyment of any intellectual property right
d) development, design, programming, customisation, adaptation, upgradation, enhancement, implementation of information technology software;
e) agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act; and
f) transfer of the right to use any goods for any purpose (whether or not for a specified period) for cash, deferred payment or other valuable consideration.

6. Composite supply- The following composite supplies shall be treated as a supply of services, namely
(a) works contract as defined in clause (119) of section 2; and
(b) supply, by way of or as part of any service or in any other manner whatsoever, of goods, being food or any other article for human consumption or any drink (other than alcoholic liquor for human consumption), where such supply or service is for cash, deferred payment or other valuable consideration.
Supply of Goods-- The following shall be treated as supply of goods, namely-- Supply of goods by any unincorporated association or body of persons to a member thereof for cash, deferred payment or other valuable consideration.
"Works contract" means a contract for building, construction, fabrication, completion, erection, installation, fitting out, improvement, modification, repair, maintenance, renovation, alteration or commissioning of any immovable property wherein transfer of property in goods (whether as goods or in some other form) is involved in the execution of such contract- section 2(119) of CGST Act.

7. The question of bundled supply in the ordinary course of business depends on the normal practices followed in the industry. Here are some ways to identify them: 1) If buyers mostly expect such services to be provided as a package, then the package will be treated as naturally bundled. (Perception of Customer)
2. If most of the service providers in the industry provide a package of services then it can be considered as naturally bundled.
3. The nature of the various services in a bundle of services will also help to identify whether the services are bundled.
If there is a main service and the others are ancillary service then it becomes a bundled service. (Nature of business)-Integral Part.
 Other indicators of bundling of services in the ordinary course of business (but they are not a foolproof identification): – a) There is a single price for the package even if the customers opt for less b) – The components are normally advertised as a package c) – The different components are not available separately.
"Mixed supply" means two or more individual supplies of goods or services, or any combination thereof, made in conjunction with each other by a taxable person for a single price where such supply does not constitute a composite supply. 
Illustration: A supply of a package consisting of canned foods, sweets, chocolates, cakes, dry fruits, aerated drink and fruit juices when supplied for a single price is a mixed supply. Each of these items can be supplied separately and is not dependent on any other. It shall not be a mixed supply if these items are supplied separately – section 2(74) of CGST Act.
"Composite supply" means a supply made by a taxable person to a recipient comprising of two or more taxable supplies of goods or services or both, or any combination thereof, which are naturally bundled and supplied in conjunction with each other in the ordinary course of business, one of which is a principal supply. 
Illustration: Where goods are packed and transported with insurance, the supply of goods, packing materials, transport and insurance is a composite supply and supply  of goods is a principal supply - section2(30) of CGST Act.

8. In relation to Movable Property Treatment or process-Job Work
Differences between mixed and composite supplies
Particulars
Composite Supply
Mixed supply
Main item
Principal item
Item with highest tax rate
Tax rate applicable-Sec 8
Tax rate of principal item
Highest tax rate of all the items
"Principal supply" means the supply of goods or services which constitutes the predominant element of a composite supply and to which any other supply forming part of that composite supply is ancillary - section 2(90) of CGST Act.
B) Solar water heater system is taxed at 5%, but if it is supplied with erection and commissioning, and if the supply is treated as service, the tax rate on entire works contract (including value of solar water heater system) would be 18%.
A) Erection and commissioning of air conditioner is 'works contract'. Tax rate of an air conditioner is 28%. However, if erection and commissioning is treated as service, the tax rate on entire works contract (including value of air conditioner) would be 18%.
In relation to Immovable Property
In relation to Movable Property
Dominant Intention
Treatment or process-Job Work
Other Composite Supply
Mixed Supply
Usage of Skill / Knowledge
S. 2(119)
Cir-38/12/2018 dt. 26/03/2018
Transfer of title of goods.
Branded Printer Manufacturer
Car repair-Parts and Services
Schedule-II- Supply of Service
Other AMC, other than Manufacturer
Supply of Service
18 %, subject to abatement.
18 %
Order of sequence is not important.

9. 1)Booking train tickets: You are booking a Rajdhani train ticket which includes meal. It is a bundle of supplies. It is a composite supply where the products cannot be sold separately. You will not buy just the train meal and not the train ticket. The transportation of passenger is, therefore, the principal supply.
Rate of tax applicable to the principal supply will be charged to the whole composite bundle. Therefore, rate of GST applicable to transportation of passengers by rail (5%) will be charged by IRCTC on the booking of Rajdhani ticket.
Example 2: Buy detergent Get bucket free
Many shops offer a free bucket with detergent purchased. This is a mixed supply as it does not satisfy the 2nd condition, i.e., it can be sold separately. You can buy either just a bucket or just detergent. The highest rate of GST will then apply. Since detergents have the higher rate (28%), this rate will apply on the whole mixed bundle.
Example 3: Works Contract
A works contract is a mixture of service and transfer of goods. For example, construction of a new building where a combination of materials like bricks, cement, sand along with services of labourers, engineers, architects etc. produce a building (goods).
It is a classic example of composite supply. But to avoid the confusion under earlier tax law, GST Act clearly clarifies works contract as a supply of service with specific tax rates.
Example 4: Restaurant
Restaurant business provides a bundled supply of preparation of food and serving the same.  It is also a classic example of a composite supply. 
However, to avoid the confusion under earlier tax law, GST Act clearly clarifies restaurants as a supply of service with specific tax rates.

10. State whether following is Composite or Mixed ?
No straight jacket formula can be laid out, each case has to be individually examined in the backdrop of several factors.
State whether following is Composite or Mixed ?
Most business conventions look for combination of hotel accommodation, auditorium and food.—
A 5* hotel is booked for a conference of 100 delegates on a lump sum package with the following facilities :-
Accommodation for the delegates
Breakfast for the delegates
Tea and coffee during conference
Access to fitness room for the delegates
Availability of conference room
Business Centre.
2) Air transport and food on board is a bundle offered by most airlines.
3) Five- star hotels often provide free laundry services on staying at the hotel. Renting the room is the primary service and laundry is ancillary. A person can opt for laundry services only if he is staying at the hotel
4) Supply of Cell Phone & Battery Charger.
5) Tour operator – include flight tickets, visa, insurance accommodation, sightseeing, food and car travel and admission tickets to parks.
7) Taxability of Printing Contracts-a) Scenario I-Transfer
b) scenario II- Printing of specific letter head.
6) A Customs house agent provide following services:-
a) Transport from Factory to the Port.
b) Custom Clearance at the Port.
c) Ocean freight Services
d) Customs clearance at the destination port
e) At customer destination in destination country.
8) College hostel mess fees
9) Food Supplies to the Patients- inhouse or OPD
For taxability also following provisions play an important role:-
Time of Supply
Place of Supply
Rate of tax applicable
Exemption e) Reverse charge u/s 9(4).