Daily Archives: February 11, 2023

Section 18 (3) of the CGST Act as well as rule 41 of the CGST Rules stipulates that in case of change of constitution of a registered taxable person on…

Application for Refund by Unregistered Persons CBIC has prescribed the manner of filing of application for refund by unregistered persons, i.e., manner in which an unregistered person, who has suffered…

I would advice the client for settlement or litigation based on what the matter is about. Does it really amount to non-compliance? Are there interpretation issues involved? I would refer…

Being a new law, the scope for professional advice as well as litigation is vast. There are lot of avenues for tax planning under GST - which will involve the…

If there is no barrier on transportation of goods from one place to another tax will be easily evaded, so for blocking this E-way bill was introduced. Whenever goods moved…

Yes, a manufacturer of goods can avail composition scheme provided he is not a manufacturer of goods notified by Govt. If a person opts for the composition scheme in violation…

Section 122- Penalty for certain offences under the GST Act. Section 122. (1) Where a taxable person who––This section declares the offences that attract penalty as a consequence, apart from the requirement to…

If return is not filed within the prescribed date, as per section 234A, a person is required to pay interest at the rate of 1% per month, or part of…

No. The input tax credit of input services shall be distributed only amongst those registered persons who have used the input services in the course or furtherance of business

An Input Service Distributor (ISD) is a taxpayer that receives invoices for services used by its branches. It distributes the tax paid known as the Input Tax Credit (ITC), to…

Where there is a change in the constitution of a registered person on account of sale, merger, demerger, amalgamation, lease or transfer of the business with the specific provisions for…

Rule 42 of Central Goods and Services Tax (CGST) Rules, 2017 relates to Manner of determination of input tax credit in respect of inputs or input services and reversal thereof.…

Different types of refund includes refund due to zero rated supply, inverted duty structure, balance in E-cash ledger, tax wrongly collected and paid, to UN Bodies, to Tourist, Deemed Export.…

Show cause notice is a formal communication to a person, asking to explain his side for the issue mentioned in the notice. It is generally issued in case of a…

Documents required at the time of refund filing: In case of Export of Goods • Print out of GSTR RFD-01A& ARN. • GSTR-3B/ GSTR-3/GSTR 1 of particular month • Undertaking…

With LUT, an exporter can export goods or services without paying the taxes. This prevents a blockage of working capital. So LUT is advisable. But this is only if it…

Any business entity located in the taxable territory is liable to pay RCM in case of Govt Services. Exceptions to this are - a) renting of immovable property; b) services…

Wherein the rate of tax on procurements / inward supplies is higher than the rate of tax paid on outward supplies such case fall under inverted duty structure. A registered…

Schedule I deals with certain activities which are treated as supply even if made without consideration. Schedule II deals with activities or transaction to be treated as supply of goods…

Deemed Distinct persons (DDP) are persons with different GSTINs belong to one legal entity (single PAN) situated within the same State or in two different States. Different GSTIN is mandatory…

If the supply of goods happens within the same state, CGST and SGST will be applied by the supplier. Similarly, if the supply happens between two different states, the supplier…

Time of supply decides when the supplier or recipient is liable to pay GST for goods or services or both. The time for issuing an invoice would depend on the…

With the scrapping of GST Audit, the professionals will have less work in GST. This will increase the frequency of audits and scrutiny by GST authorities since the middle layer…

Place of supply of goods under GST defines whether the transaction will be counted as intrastate or interstate, and accordingly, levy of SGST, CGST & IGST will be determined. The…

GSTR 01 - 11th of the next month, GSTR 3B/5/5A - 20th of the next month, GSTR4 - 30th April of next F.Y., GSTR9/9A & 9C- 31st Dec. of the…

GSTR-2B is a new static month-wise auto-drafted statement which is generated for every normal tax payer on the basis of information furnished by his supplier in the respective GSTR. Form…

No, RCM is applicable on goods too and not just on services. The reason for having Reverse Charge Mechanism is that - it was observed that many unorganised sector suppliers…

Article 246A of the Constitution, which was introduced by the Constitution (101st Amendment) Act, 2016 confers concurrent powers to both, Parliament and State Legislatures to make laws with respect to…

If a taxable person transfers his business, either wholly or partly, to another, then the taxable person (transferor) and the person to whom the business is transferred (transferee) will be…

The GST Registration process is a simple 2-stage process. The registration form comprises 2 parts – A and B. Part A of the GST registration form includes basic information of…

Section 17(5) of CGST Act refers to a specific provision under GST covering blocked credits or ineligible ITC. The taxpayer cannot claim ITC while paying output tax when they make…

The Punjab Authority of Advance Ruling (AAR) has held that the GST is not payable on notice pay recovered from outgoing employees. The CBIC issued a circular dated August 3,…