ELIGIBILITY FOR GST COMPOSITION SCHEME: The registration under composition scheme is optional and voluntary. Businesses having a turnover LESS THAN Rs. 1.0 Crore* can opt for this scheme but on any given day, if the turnover crosses the above-mentioned limit, then he becomes ineligible for the same and has to take…
Interest must be paid in case of delay in payment of tax under the GST regime. Certain provisions have been drafted for interests to be paid when there is a delay by the taxpayer or by the department. The two cases where a taxpayer is liable to pay interest are: Delayed…
Buying & selling of second-hand goods & used goods will not attract GST if it is sold at a price cheaper than the purchase price. Where a taxable supply is provided by an individual dealing in buying & selling of second hand goods or used products as such or once…
MEANING: Exempt supply under GST includes Nil rated (taxable at 0%) & Non-taxable supplies. Persons dealing exclusively in Nil rated or 100% Exempt goods/services are not liable to register under GST irrespective of their Turnover limit. AGRICULTURE: Agro-Inputs like fertilizers, seeds, irrigation (electricity is req.), Machinery & all other agricultural…
Usually, the supplier pays tax on supply. But in this case, the receiver or recipient becomes liable to pay tax which means the chargeability gets reversed & hence, it is known as the Reverse Charge Mechanism. In simple words, it means the liability to pay tax is on the…
GST Composite Supply means a supply comprises of two or more goods or services, which are naturally bundled and are supplied in with each other in the ordinary course of business, one of which is a principal supply. These items cannot be supplied separately. Conditions for GST Composite Supply: Any supply…
The principal is eligible for ITC on the inputs and capital goods sent for job work. WHEN INPUTS OR CAPITAL GOODS ARE SENT FOR JOB WORK No tax is applicable when Inputs or Capital Goods are sent for Job work. The Principal must Issue a Delivery Challan while removing the…
1. MEANING OF JOB WORK UNDER GST The manufacturer (principal) may send his goods to a job worker on contract basis after the purchase of inputs and/or capital goods for initial processing, packing or any other process of completion & then supply such goods to its customers or use any…