- U/s 2(32) of the CGST Act, Continuous supply of goods means a supply of goods which is provided, or agreed to be provided, continuously or on recurrent basis.
- There should be a contract for such a supply requiring the supplier to issue invoices to the recipient on a regular or periodic basis. Also, the supply may or may not be through a wire, cable, pipeline or other conduit.
- U/s 2(33) of the CGST Act, Continuous supply of services means a supply of services which is provided or agreed to be provided continuously or on recurrent basis under a contract.
- Such contract should be for a period exceeding 3 months, with periodic payment obligations.
- The Government is also empowered to treat the supply of a particular category of goods or services as ‘continuous supply’, subject to certain conditions, irrespective of the criteria specified above.
(ICAI FAQ PUBLICATION 06-09-2017 -: Tax Invoice, Credit and Debit Notes : FAQ NO. 19)