STUDY TO ENLIGHTEN YOURSELF
In this post, you will study Theory of Revenue. Understand the topic and make notes properly. THEORY OF REVENUE Revenue is the amount that a firm receives from the sale of the output. ACCORDING TO PROF. DOOLEY “The Revenue of a firm is its sales receipts or income.” There are three concepts of revenue which…
DIFFERENCE BETWEEN COMPOSITE AND MIXED SUPPLY COMPOSITE SUPPLY Composite supply means a supply is comprising two or more goods/services, which are naturally bundled and supplied in with each other in the ordinary course of business, one of which is a principal supply. It means that the items are generally sold as a combination. The items cannot…
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MIXED SUPPLY Mixed supply under GST means a combination of two or more goods or services made together for a single price. Each of these items can be supplied separately and is not dependent on any other. Under GST, a mixed supply will have the tax rate of the item which has the highest rate of…
WHAT IS COMPOSITE SUPPLY Composite supply means a supply comprises two or more goods/services, which are naturally bundled and supplied in with each other in the ordinary course of business, one of which is a principal supply. It means that the items are generally sold as a combination. The items cannot be supplied separately. A supply…
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INTRA STATE SUPPLY Section 8 of the IGST Act provides that intra State supply means any supply of goods and/or services where location of the supplier and place of supply are in the same State or same Union territory Exceptions – Supply of goods to or by a Special Economic Zone developer or a SEZ unit; or…
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INTER STATE SUPPLY The term Inter state supply is described under the Section 7(1) of the IGST Act. It is a supply of goods or services, where the location of the supplier and place of supply are in- Two different States; Two different Union territories; or A State and a Union territory It also includes import of goods or services into…
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MEANING Place of supply of goods under GST defines whether the transaction will be counted as intra-state or inter-state, and accordingly levy of SGST, CGST & IGST will be determined.The tax is paid according to the nature of the Supply. If the supply is intra-state supply, tax shall be paid as CGST+SGST and if the…
MEANING Goods and Services Tax will be charged on the value of supply made. Section 15 of CGST Act, 2017 provides the provisions for determining the value of goods and services. It provides the mechanism to know how to calculate the value of goods or services when supply of goods and services is made between…
TIME OF SUPPLY Time of supply means the point in time when goods/services are considered supplied’. When the seller knows the ‘time’, it helps him identify due date for payment of taxes. CGST/SGST or IGST must be paid at the time of supply. The rules mentioned under GST Act regarding time of supply are as…
TAXABLE SUPPLY UNDER GST Supply on which tax shall be paid under GST is known as taxable supply. Taxable Supply includes sale, transfer, exchange, barter, license, rental, lease and disposal. If a person undertakes either of these transactions during the course or furtherance of business for consideration, it will be covered under the meaning of Supply under…
