⛳ ON SALES
🌴 Tax is levied by centre and states concurrently on destination based consumption principal. Thus, final tax accrues in the hands of state where goods/services are consumed.
🌴 Tax will be levied on supply to agents, Interstate Branch transfer and transfer to different vertical within same state but having different registration.
🌴 Place of supply is to be checked to identify Whether CGST and SGST or IGST is to be charged, considering place of supply provisions.
🌴 Tax liability will arise on advance receipts/ payment.
🌴 Tax will be payable under Reverse charge on all purchases made from unregistered dealers and on other goods as notified.
🌴 Interest, late fee and penalty charged for delayed payment of consideration is to be included in valuation for the purpose of calculation of tax.
🌴 Anti-profiteering measure is introduced to ensure that credit is passed on to the final consumer.
⛳ ON PURCHASES
🌴 Credit is available; be it used for manufacture or not, like office equipment, stationery etc. subject to the condition that it is used in the furtherance of business.
🌴 Credit of GST paid on any purchase for use in furtherance of Business (including interstate) is available.
🌴 In GST the Invoice should be received before 30th September after the end of FY to avail the credit.
🌴 Tax is payable on Advance payment for purchase of goods or services.
🌴 Complete matching is required. If tax is not paid by the seller then the tax credit will not be available to the buyer.
🌴 It will be very necessary for the buyer to check beforehand about vendor being tax compliant.
🌴 Government has come up with GST rating mechanism where it will be easy to find out the status of supplier.
⛳ ON ACCOUNTING AND COMPLIANCES
🌴 Most of the compliances are online on GST portal.
🌴 One GST laws to be complied.
🌴 Time Period of maintaining and keeping accounts is 6 years from the date of Annual Return.
🌴 GST Audit is required to be conducted by a Chartered Accountant or Cost Accountant for each registration having turnover exceeds turnover limit of Rs. 2 Crore.
🌴 No statutory forms or statutory registers are required to be maintained. Books can also be maintained in electronic form.
🌴 Invoice is to be raised in all cases at the time of removal of goods except in certain specified circumstances.
CA. SHARMA Praveen
GST Trainer & Consultant
+91 9871530610, 8383073005