Q: A client sold their company, which includes selling the goodwill and other factors like stock. The contract includes transferring stock based on a report every two months, capped at $600,000 excluding GST. Is the stock sale subject to GST, or is it part of the sale of a going concern and GST-free?
A: Under the law, when a whole business is sold, including its assets like stock, it can be considered a GST-free sale if it meets certain criteria. Based on the details provided, it seems this stock sale could be part of the GST-free sale of the entire business as a going concern.
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