overview in the following section. Further guideline can be taken from the decisions of the court of laws. Economic Activity Activity carried out by producer, trader, professional or person supplying services including mining and agricultural activities is regarded as an economic activity. Furthermore “the exploitation of tangible or intangible property for the purpose of obtaining income there from on This activity should a continuing basis shall in particular be regarded as an economic activity”. be an independent activity. The ECJ interpreted this article in W. M. Van Tiem case that if a person (owner) grants the use of property to another person for a short term and received consideration in return, so it is an exploitation of tangible property for the purpose to receive income than the activity shall be regarded as an economic activity. The economic activity has a wide concept under the EU RVD, and the ECJ has defined criteria to understand the concept of exploitation of the property in Renate Enkler case. The ECJ defined some grounds to indicate the activity for the purpose to obtaining income on continuing basis from property. These indications are 1) suitability of the property for exploitation 2) commercial and private use of property must be in mind during the examination of exploitation and economic of economic activity or how economic activity usually carried out 4) activity’s process 3) nature amount of income and number of customers also some other factors in particular cases be in mind during the examination of exploitation and economic activity regarding the property. The GST Bill 2010 of Pakistan defines the economic activity as activity carried on the “any regular or continuous basis by a person intended to or involved in supply of goods or services. An activity regarding business, profession, trade, manufacturing, calling, any kind of undertaking an activity relating to property such as lease, license or other similar arrangements is considered to be as an economic activity within the meaning of the GST Bill”. However, activities carried by an employee under the employment contract, recreation or hobby activities by an individual and an activity without expectation of profit carried by an individual are not an economic activity within the meaning of the Bill. definition under the GST Bill is much wider than provided by the EU RVD. Economic activity’s The economic activity under GST Bill covers almost all areas of economic definition activity’s provided under the EU RVD. It also goes beyond to the definition of the EU when it RVD’ covers the undertakings of any kind and about the concern of nature of trade. Further the RGST
overview in the following section. Further guideline can be taken from the decisions of the court of laws. Economic Activity Activity carried out by producer, trader, professional or person supplying services including mining and agricultural activities is regarded as an economic activity. Furthermore “the exploitation of tangible or intangible property for the purpose of obtaining income there from on a continuing basis shall in particular be regarded as an economic activity”. This activity should be an independent activity. The ECJ interpreted this article in W. M. Van Tiem case that if a person (owner) grants the use of property to another person for a short term and received consideration in return, so it is an exploitation of tangible property for the purpose to receive income than the activity shall be regarded as an economic activity. The economic activity has a wide concept under the EU RVD, and the ECJ has defined criteria to understand the concept of exploitation of the property in Renate Enkler case. The ECJ defined some grounds to indicate the activity for the purpose to obtaining income on continuing basis from property. These indications are 1) suitability of the property for exploitation 2) commercial and private use of property must be in mind during the examination of exploitation and economic activity’s process 3) nature of economic activity or how economic activity usually carried out 4) amount of income and number of customers also some other factors in particular cases be in mind during the examination of exploitation and economic activity regarding the property. The GST Bill 2010 of Pakistan defines the economic activity as “any activity carried on the regular or continuous basis by a person intended to or involved in supply of goods or services. An activity regarding business, profession, trade, manufacturing, calling, any kind of undertaking an activity relating to property such as lease, license or other similar arrangements is considered to be as an economic activity within the meaning of the GST Bill”. However, activities carried by an employee under the employment contract, recreation or hobby activities by an individual and an activity without expectation of profit carried by an individual are not an economic activity within the meaning of the Bill. Economic activity’s definition under the GST Bill is much wider than provided by the EU RVD. The economic activity under GST Bill covers almost all areas of economic activity’s definition provided under the EU RVD. It also goes beyond to the definition of the EU RVD’ when it covers the undertakings of any kind and about the concern of nature of trade. Further the RGST
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