# Multiple Supplies Taxed at Individual Rates

Where an activity involves multiple supplies that are:

Neither a composite supply (not naturally bundled), AND
Neither a mixed supply (each has independent significance and a separate consideration is identified),

…then each supply is charged at the rate applicable to that specific supply.

## Key Test

Each supply has independent significance.
Separate consideration is identifiable for each.
Both items are invoiced/valued separately.

## Result

Each supply is taxed at its own applicable rate – not the principal supply rate (which is for composite) and not the highest rate (which is for mixed).

Worked example

### Example 1

Example (Car Servicing): A servicing job involves spare parts (goods) and labour (service). Where the value of goods and labour is shown separately on the invoice, they are taxed at their respective GST rates – goods at the goods rate, services at the service rate.

### Example 2

Example (Software + Support): A vendor sells software license and a separate AMC for support, separately priced. → Each taxed at its own rate.

⚠️ Common exam mistakes

Forcing every bundled invoice into a composite or mixed supply classification – if values are separately disclosed and supplies are independent, item-wise rates apply.
Applying highest rate to all invoices that contain multiple line items – mixed supply rule applies only when there is a single price.

Reference:

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Multiple Independent Supplies Taxed at Individual Rates

Worked example

⚠️ Common exam mistakes