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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…
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…
REVERSE CHARGE IN GST The reverse charge in GST applies to supplies of both goods and services. “Reverse charge” means the liability to pay tax by the person receiving goods and/or services instead of the person supplying the goods and/or services in respect of such categories of supplies as the Central or a State Government may, on the recommendation of the GST…
EXEMPTIONS UNDER GST Exemption refers to the release or privileged freedom from some duty or tax. GST also provides exemptions to some parties regarding the registration. There are some people who are exempted from the GST Registration based on what is the nature of their supply. The taxpayers who are exempted from GST Registration are: Agriculturists….
ONLINE GST REGISTRATION Online GST registration applies to all individuals and entities supplying goods or services in India. GST registration becomes mandatory when the aggregate value of supply exceeds Rs.20 lakh. The Ministry of Finance simplified the GST registration procedure to ease the tax filing process. If the entity operates in a special category state,…
COMPOSITION LEVY Composition levy scheme under the law is for small businesses. This is to bring relief to small businesses so that they need not be burdened with the compliance provisions under the law. Thus, an option has been provided where they can opt to pay a fixed percentage of turnover as fees in lieu…
LEVY AND COLLECTION OF GST Levy means import of the tax as well as the assessment of the tax. Assessment of the tax is done to ascertain the liability arising under the law. Collection of the tax is done as prescribed under the law. Section 9 of CGST Act/SGST Act and Section 5 of IGST…
