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Input Tax Credit

Valuation in GST – Rules for Supply of Goods or Services

by Sanjeev Archak Sanjeev Archak No Comments

Section 15 of the CGST Act and Determination of Value of Supply, CGST Rules, 2017 contains the provisions related to the valuation in GST for the supply of goods or services made in different circumstances and to different persons.

Valuation in GST

Every fiscal statue makes provision for the determination of value as the tax which is normally payable on ad-valorem basis. In GST also, the tax is payable on ad-valorem basis i.e percentage of value of the supply of goods or services.

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Accounts and Records under GST

by Sanjeev Archak Sanjeev Archak No Comments

Section 35 of the CGST Act and “Accounts and Records” Rules (hereinafter referred to as rules) provide that every registered person shall keep and maintain all records at his principal place of business. It has cast the responsibility on the owner or operator of warehouse or godown or any other place used for storage of goods and on every transporter to maintain specified records.

It also provides that every registered person whose turnover during a financial year exceeds Rs 1 crore shall get his accounts audited by a chartered accountant or a cost accountant.

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Anti-Profiteering Rules under GST Law

by Sanjeev Archak Sanjeev Archak No Comments

The Anti-Profiteering rules under GST law have been released by the Government of India. For the purpose of the same, a notification has been issued for setting up of a National Anti-profiteering Authority. This Authority shall be empowered to levy a penalty if businesses do not pass on the benefit of price reduction to consumers under the goods and services tax regime.

The Authority shall consist of a Chairman and four technical members. A state level Screening Committee shall be constituted in each State by the State Government.

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Input Tax Credit Under GST – All You Need to Know

by Sanjeev Archak Sanjeev Archak 1 Comment

Input Tax Credit under GST has been introduced in order to avoid the cascading of taxes that’s prevalent in the present tax regime. It’s one of the key features of the Goods and Services Tax. In simple terms, the cascading of taxes means ‘tax on tax’.

As per the present taxation regime, the credit of taxes that is being levied by the Central Government is not available as a set-off for payment of taxes that is being levied by the State Governments and vice-versa.

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What is Composition Scheme Under GST Act 2017?

by Sanjeev Archak Sanjeev Archak 1 Comment

Composition Scheme under GST Act is a provision where a registered taxable person, whose aggregate turnover in the preceding financial year does not exceed Rs. 50 lakh, to pay, in lieu of the tax payable by him, an amount calculated at such rate as may be prescribed, but not more than 2.5% in the case of a manufacturer and 1% in any other case, of the turnover in a State during the year.

This provision of the Composition Scheme under GST was introduced keeping the best interests of small businesses in mind. These businesses often face challenges of maintaining a timely compliance with the statutory bodies of the country.

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