What is the meaning of Open Market Value of supply of goods or services under GST?

Open market value of a supply of goods or services or both means the full value in money, (excluding GST & cess)  where the supplier and the recipient of the supply are not related and price is the sole consideration, to obtain such supply at the same time when the supply being valued is made.

Example: Suppose Mr.A sells 30 laptop at Rs.25000 each. However, at the same time, he supplied the 10 laptop at Rs.20,000 each to his relatives. Now, since supplier and recipient are related, hence valuation shall be done in accordance with rules. As per rules, open market value shall be taken. In our case, the open market value is Rs.25,000 which is a full value in money.

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