Imports under GST Import of goods is bringing commodities from overseas into India. As such, all imports are considered as inter-state supplies. IGST will be applicable to all imported goods along with custom duties as applicable. Import of services means supply of a service by a supplier who is based outside the company, but...
Continue readingTRANSITIONAL PROVISIONS IN ITC
Transition provisions are incorporated under GST to enable existing taxpayers to migrate to GST transparently and exactly. Elaborate provisions have been made to carry forward the ITC earned under the existing law. Such credit should be permissible under the GST law. However, the taxable person opting for composition scheme would not be eligible for...
Continue readingHow to convert GST to Composite scheme
GST composition scheme The composition scheme is a scheme for payment of GST available to small taxpayers whose aggregate turnover in the preceding financial year did not exceed Rs. 1.5 Crores. However in the case of 9 States, this limit is ₹ 75 Lakhs in the preceding financial year, namely Arunachal Pradesh, Assam, Manipur, ...
Continue readingList of Goods exempted under GST
Under different taxation systems, a list of goods or services is exempt from tax due to socio-economic reasons. For example, the sale of life-saving drugs or books meant for reading in different state governments exempt from taxes. Similarly, there are some exceptions even under GST where goods or services are exempt from tax liability. Such exemptions...
Continue readingPURE AGENT CONCEPT IN GST
Introduction The Goods and Services Tax (GST) Act defines an agent as a person including a factor, broker, commission agent, Croatia, del-credere agent, an auctioneer or any other mercantile agent, by whatever name called, who carries on the business of supply or receipt of goods or services or both on behalf of another. A...
Continue readingConcept and scope of Anti-Profiteering measure
The Government wants that GST should not lead to general inflation and for this, it becomes necessary to ensure that benefits arising out of GST implementation be transferred to customers so that it may not lead to inflation. For this, anti-profiteering measures will help check price rise and also put a legal obligation on...
Continue readingCONFISCATION OF GOODS AND CONVEYANCE AND LEVY OF PENALTY
Meaning of Confiscation The term ‘confiscate’ has not been defined under the Goods and Services Tax (GST) Act. However, the dictionary meaning of the word ‘confiscate’ is to expropriate private property for public use without compensating the owner, to appropriate (private property) to the public treasury by way of penalty, to deprive of property...
Continue readingGOODS TRANSPORT AGENCY (GTA)
Meaning of Goods Transport Agency Goods Transport Agency (GTA) means any person who provides service in relation to transport of goods by road and issues consignment note by whatever name called. Thus, the business firms which are engaged in the transportation of goods by road and issue consignment note / LR, etc. shall...
Continue readingLate Fees and Interest on GST Return – Update
Late fees and Interest forms important components under the GST payment and incurred by the business in case of delay in submitting or filing. Latest Updates There is no late fee that shall be levied if the taxpayer file the monthly GSTR-1 for Mar, April, and May before 30th June 2020. the quarterly GSTR-1...
Continue readingWhat is Debit Note and Credit Note?
About: When goods supplied are returned or revised in the invoice value due to goods or services not being up to the value or extra goods being issued, a Debit Note or Credit Note is published by the supplier and receiver of goods and services. A debit note or a Credit Note can be...
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