Non payment of GST on services provided to the employees with nominal consideration
Where the taxable person provides Canteen Services and Conveyance services to their employees by charging a nominal consideration.
Read More »Non payment of GST on services provided to the employees without consideration
Where the taxable person provides Canteen Services, Uniform, Accommodation/Housing and Conveyance Services to their employees free of charge. Free Canteen Services:- The company provides the canteen services to the employees as per company policy as part of perquisites which is emanating from contractual obligations or as per statutory requirement under factories Act 1948 which specify that factory wherein more than two hundred and fifty workers are ordinarily employed, a canteen...
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SBLC OR CORPORATE GUARANTEE PROVIDED BY PARENT COMPANY TO INDIAN SUBSIDIARY - GST PERSPECTIVE
The guarantor, who is a parent company agreeing to perform the legal obligation by taking over the payments of the loan if the subsidiary is unable to perform its obligation The lender, who is a banking company to whom the debt is owed The debtor, the subsidiary company receiving the money and who is responsible to pay back the loan. The act of providing a corporate guarantee is the service...
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Summary to Circular No. 129/48/2019-GST Dated 24.12.2019
GST department is all set with harsh decision to send automated SCNs to non-filers of 3B within 5 days of due date. Department has issued Circular No. 129/48/2019-GST Dated 24.12.2019 Following are the summary to Circular No. 129/48/2019-GST Dated 24.12.2019 Being a registered taxpayer, you are required to furnish return (GSTR 3B) by prescribed due date (20th of following month). If taxpayer does not file return by prescribed due date,...
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Threshold limit of registration under GST
Threshold limit of registration under GST Section 22 to Section 30 of the CGST Act, 2017 deals in registration under GST by every supplier of goods and services. Find below note on registration with effect from 1st April 2019.
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Apportionment of credit and blocked credits-Section 17 of CGST Act
Apportionment of credit and blocked credits. Section 17 of CGST Act Apportionment of credit and blocked credits Section 17 (5) Section 17(5)(a), (aa) [newly inserted subsection] and (ab) [newly inserted subsection] – Blocked credit on motor vehicles Section 17 (5)(a) –– ITC Shall not be available in respect of Motor vehicles for transportation of persons having approved seating capacity of not more than thirteen persons (including the driver) except when...
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ZERO RATED SUPPLY IGST Act
ZERO RATED SUPPLY IGST Act 16. (1) “zero rated supply” means any of the following supplies of goods or services or both, namely:–– export of goods or services or both; or supply of goods or services or both to a Special Economic Zone developer (SEZ) or a Special Economic Zone unit (SEZU).
Read More »Circular No. 129/48/2019 – GST
Circular No. 129/48/2019 – GST CBEC-20/06/04/2019-GST Government of India Ministry of Finance Department of Revenue Central Board of Indirect Taxes and Customs GST Policy Wing New Delhi, Dated the 24th December, 2019
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GSTR-9 and GSTR-9C are more simplified and last dates of submission extended
Key points of GST Press Release Dated November 14, 2019 1. Due dates of filing of Form GSTR-9 (Annual Return) and Form GSTR-9C (Reconciliation Statement) for Financial Year 2017-18 extended to 31 st December 2019. 2. Due dates of filing of Form GSTR-9 (Annual Return) and Form GSTR-9C (Reconciliation Statement) for Financial Year 2018-19 : 31 st March 2020. 3. No need to fill HSN level information of outward and...
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Notification No. 49/2019 - Central Tax dated 09-10-2019
The CBIC, vide Notification No. 49/2019 – Central Tax dated October 9, 2019, had, inter alia, inserted a new sub-rule (4) to Rule 36 of the Central Goods and Services Tax Rules, 2017 which states that a registered person can claim maximum 20% ITC from the eligible credit available in GSTR 2A against those invoices or debit notes which is not filed by their supplier in GSTR 1 (which means...
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VALUATION OF SUPPLIES MADE TO RELATED PERSONS IN GST
Valuation rules has been provided under CGST Rules dt 01.07.2017 for valuation of supplies. The 28 , 30 and 31 of the said rules provide for valuation of supplies if the buyer is related or the distinct person and no agent is involved Related person has been defined in the Section 15 of CGST Act which is as under: (a) persons shall be deemed to be “related persons” if –...
Read More »Overview of GST Audit
Audit has been defined in the CGST Act.2017 as under: Section 2(13):“audit” means the examination of records, returns and other documents maintained or furnished by the registered person under this Act or the rules made there under or under any other law for the time being in force to verify the correctness of turnover declared, taxes paid, refund claimed and input tax credit availed, and to assess his compliance with...
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AMORTISATION OF COST OF MOULDS AND DIES TREATMENT UNDER GST LAW
Whether amortisation cost of Dies & Moulds supplied on Free of Cost (FOC) to Components Supplier to be included in the cost of the components for the purposes of levying GST.
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Accounts, Records and Audit under GST
According to Section 35 of CGST Act, every registered person shall keep and maintain all records at his principal place of business. Principal place of business is the place which is mentioned in the certificate of registration. Where more than one place of business specified in certificate of registration, accounts and records of each place of business shall be maintained at such additional place of business.
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Taxability of GTA under GST (GST Reverse charge Mechanism in GTA)
According to Section 9(4) of CGST Act, if the Supplier is Unregistered and Recipient is registered then such registered recipient will pay the tax under reverse charge. This Section is suspended from 13th Oct’ 2017 till 30th Sep’ 2019 by following Notifications of Central Tax Rate 38/2017, 10/2018, 12/2018, 22/2018
Read More »Intermediary Services under GST
Section 2 (13) of IGST Act, intermediary’ has been defined to mean a broker, an agent or any other person, by whatever name called, who arranges or facilitates the supply of goods or services or both or securities, between two or more persons, but does not include a person who supplies such goods or services or both or securities on his own account.
Read More »Gist on GST Amendment Act 2018 applicable w.e.f. 01.02.2019
GST Amendment Act 2018 applicable w.e.f. 01.02.2019 vide Notification No. 02/2019 – Central Tax Dated 29th January, 2019. ???????Section 9(4) – Application Reverse charge Mechanism in case of purchase from unregistered persons. Reverse Charge shall be applicable on notified classes of registered person for the purchase of specified goods and services from unregistered dealers. The Government shall, by notification, specify such “specified goods or services and specified classes of regis
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Audit in GST
Audit has been defined in the CGST Act.2017 as under: Section 2(13):“audit” means the examination of records, returns and other documents maintained or furnished by the registered person under this Act or the rules made there under or under any other law for the time being in force to verify the correctness of turnover declared, taxes paid, refund claimed and input tax credit availed, and to assess his compliance with...
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