Question : In case there are disputes regarding quality, weight, etc. between the buyer and the supplier and the goods are returned fully or partially, as found unfit for use, can the excess paid tax component be adjusted from future tax liability? Answer: In such cases, the supplier may issue a credit note to the recipient in… Read More »
Question : Can a buyer of goods and services pay the value of services / goods to the supplier and deposit the GST component of the invoice in the supplier’s account so that when the buyer claims input credit, he may get the same cross entry tallied from the supplier’s account? Answer: No. This option is not… Read More »
Question : Will the buyer of goods from unregistered person pay reverse tax? Answer: A registered person receiving taxable goods or services from a supplier who is not registered, would be liable to pay GST under reverse charge mechanism. However, in terms of notification no. 8/2017-Central Tax (rate) dated 28th June, 2017, aggregate value of… Read More »
Question : What is aggregate turnover? Answer: As per section 2(6) of the CGST Act, 2017, “aggregate turnover” means the aggregate value of all taxable supplies (excluding the value of inward supplies on which tax is payable by a person on reverse charge basis), exempt supplies, exports of goods or services or both and… Read More »
Question : Will the basic exemption limit from GST be applicable to the tiny & micro segment in mining? Answer: Yes, the basic exemption limit of Rs. 20 lakhs (Rs.10 lakhs in the case of special category States) is applicable to the tiny and micro segment even in mining. However, a person engaged in making… Read More »
Question : Is the Return filing and compliance simpler under composition scheme? Answer: Yes, Return filing and compliance is simpler under the composition scheme. The registered person has to file only one return on a quarterly basis in Form GSTR-4. Related GST FAQ GST on Mining Sector : FAQ GST on Handicraft Sector :… Read More »
Question : What is the threshold limit and conditions when a small mine owner/lease holder under Composition Scheme has to migrate into full GST System? Answer: As per section 10(3) of the CGST Act, 2017, the option availed of by the small mine owner/lease holder shall lapse with effect from the day on which his… Read More »
Question : Will the recipient have to pay tax under reverse charge under GST ? Answer: GST on reverse charge mechanism is payable under section 9(4) of the CGST Act, 2017 only in case of purchases from unregistered suppliers. As the mine owner who is paying tax under composition scheme is registered, the recipients need… Read More »
Question : Can the buyer get input credit on the supply of minerals from a mine owner in composition scheme? Answer: No,the buyer cannot avail of the credit of tax paid by the supplier who is under the composition scheme as the person paying tax under composition scheme cannot issue a tax invoice and collect… Read More »
Question : What is the IGST rate for minerals and ores in case of inter – State supply? Answer: At present, the IGST rate is the sum of CGST and SGST/ UTGST rate. These rates have been notified and are available in public domain. Related GST FAQ GST on Mining Sector : FAQ GST on… Read More »