What is the Input Tax Credit Treatment in case of switchover from taxable to exempt transactions or from Regular to composition Scheme ? As per Section 18(7) of the Revised Model GST Law the taxable person should pay the input tax credit already availed to the extent of credit in stock and on capital goods… Read More »
When an exempt supply becomes taxable supply then How to avail credit on inputs and capital goods under GST? Credit on inputs and capital goods exclusively used for such exempted supply is eligible as per Section 18(4) . Relevant Extract of Section 18(4) of Revised Model GST Law Where an exempt supply of goods or services… Read More »
whether input tax credit can be claimed on capital goods and Inputs on change of scheme from composition scheme to Regular scheme under GST As per Section 18(3) the taxable person is entitled for input tax credit on capital goods and Inputs on Change of option from Composition Scheme to regular Scheme. [ Read Composition Scheme under… Read More »
Whether input tax credit can be availed on input services and capital goods when there is application for new registration or voluntary registration under section 18 When there is application for new registration or voluntary registration under Section 23(1) or Section 23(3) GST , Input tax credit cannot be availed on the input services and… Read More »
Whether input tax credit available on taxable goods, which are given free as gift etc. for sales promotion? As per Section 17(4) [Apportionment of credit and blocked credits] of Revised Model GST Law – input tax credit shall not be available in respect of the following: ….. (g) goods lost, stolen, destroyed, written off or… Read More »
Price is not the sole consideration. As per Section 15 [ Value of taxable supply] of Revised Model GST Law i.e transaction value will be taken as value of Taxable Supply only when i) supplier and the recipient of the supply are not related and ii) price is the sole consideration for the supply. There may… Read More »
Time of supply in case of works contract under GST As per SCHEDULE II [ MATTERS TO BE TREATED AS SUPPLY OF GOODS OR SERVICES] of Revised Model GST Law , 5 The following shall be treated as “supply of service” (f) works contract including transfer of property in goods (whether as goods or in some other form) involved… Read More »
GST on Advance Payment Received Provisions in GST relating to Taxation of Advance Payments for Goods or Services In terms of section 12 (Time of Supply of Goods) & Section 13 (Time of Supply of Services) of the Revised Model GST Law, , time of supply of goods or services shall be earliest of date of… Read More »
Q What will be the time of supply where multiple invoices are issued for a single consignment involving supply of goods? The time of supply of goods shall be the earlier of i) The date of issue of invoice by the supplier or ii) the due date of issue of invoice ( ref section 28 –Tax… Read More »
Q Import of Service Covered in definition of Supply under GST ? As per Section 3 read with Schedule 1 of Revised Model GST Law – Import of Service is Covered in definition of Supply . Section 3 Meaning and scope of supply of Revised Model GST Law (1) Supply includes— ……. (b) importation of services, for a… Read More »