Goods and Services Tax – GST – Dated:- 5-9-2017 – The tweets received by askGST_GoI handle were scrutinized and developed into a short FAQ of 50 tweets. It should be noted that the tweets received or the replies quoted are only for educational and guidance purposes and do not hold any legal validity. For complete provisions relating to law and rules, notifications and other information available on the CBEC website (www.cbec.gov.in; www.cbec-gst.gov.in) may be referred to. S. No. Questions / Tweets Received Replies Registration 1. If I buy raw material from supplier unregistered in GST, do I have to pay GST in RCM and can I avail ITC of the same? Yes, you have to pay GST via RCM. You can avail ITC of the GST so paid if you are otherwise eligible. 2. Can an unregistered dealer supply goods to other States if his turnover is below ₹ 20 lakhs? No. The supplier would be liable to obtain registration in case of inter-State supplies irrespective of his turnover. 3. Existing taxpayer r
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exempted products. 8. My all outward supplies are export services. In this case is it compulsory to register under GST? Yes. Since, exports are zero rated, one needs to register for GST to claim refunds. 9. Can a person operating two different companies with different names but with same PAN get two GST registrations? One PAN holder gets one registration in every state, but he has the option of getting different registrations for different business verticals. 10. Whether job worker is required to register? Whether composition scheme is available to a job worker? Job workers making taxable supplies above the threshold aggregate turnover need to register. Composition scheme is not available to job-workers. They, however, can avail benefit of section 143 of the CGST Act. 11. I am a service provider with turnover of ₹ 50 lakhs in one state only. Am I eligible for the composition scheme? Service providers, except restaurants/caterers, are not eligible for composition scheme. 12. I am
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a financial year. 15. I have registered as a composition dealer. If my turnover crosses ₹ 75 lakhs, can I continue in the scheme for the remaining financial year? No, taxpayer becomes ineligible for composition scheme on the day the turnover crosses ₹ 75 lakhs. 16. If I was registered earlier but am not required to register under GST, what to do about provisional ID and accumulated ITC? Please apply for cancellation of registration under Section 29(1) of the CGST Act, 2017 read with Rule 24(4) of CGST Rules, 2017. You will be required to calculate and pay ITC availed on goods held in stock on the date of cancellation of registration. 17. I was registered under Central Excise or Service Tax, but could not migrate and therefore have taken a new registration. Will I be eligible for transitional credit? In your new registration application, if you have referred to your past registration no. of Central Excise or Service Tax, you will be eligible for transitional credit under Sec
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tration for making inter-state purchases. 21. Is GST registration mandatory for small retailers to buy from dealers/wholesalers? There is no such requirement under GST law. Transition 22. After implementation of GST, will EOU scheme continue or not? GST has no special dispensation for EOUs. As to whether they exist for any other purpose may be seen from the FTP. 23. I was unregistered in excise before and now in 18% slab? Can I take credit of stock if I don t have invoices? Deemed credit will be available to you for stock as duty paying documents are not available, subject to provisions of section 140 (3) of the CGST Act, 2017 read with Rule 140(4) of CGST Rules, 2017. 24. I enjoyed SSI Exemption in Excise and did not register; how do I now take credit of stock lying with me? Credit may be availed on the basis of document evidencing payment of duty on inputs as per section 140(3) of the CGST Act, 2017 read with Rule 140(4) of CGST Rules, 2017. 25. For textile trader or manufacturers, w
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ide the link of the same. No there is no particular format. Rule 46 of the CGST Rules, 2017 prescribes the particulars to be contained in Invoice. 30. Whether from 1st July sequence of invoice no. will change? Or can we follow the same sequence? Same sequence can be followed provided conditions laid down in Section 31 of the CGST Act, 2017 read with Rule 46 of CGST Rules, 2017 are met. 31. Whether existing UT-1, Bond will suffice? Whether existing ARE 1 form will exist? Circular No. 4/4/2017-GST dated 07.07.2017 has clarified that the existing Bonds/LUTs shall be valid till 31.07.2017 after which the Bonds/LUTs shall have to be executed in the newly prescribed formats. New formats of bond and LUT have been prescribed under Rule 96A of CGST Rules, 2017. ARE-1 procedure is being dispensed with except in respect to commodities which continue to attract Central Excise duty. 32. Can we get ITC for capital expenditures like vehicles, solar panels etc for company use? ITC on capital goods is
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tion scheme. What is to be the treatment of ITC? Not eligible for ITC under composition scheme. Your ITC lying in balance will lapse. 37. I paid for a service in June 2017 but am likely to receive the service in August 2017. Can I avail ITC for the same? Credit on such inputs services will be allowed subject to satisfaction of conditions prescribed in Section 140 (5) of the CGST Act. 38. For taxpayers with centralized registration under Excise/ST, what is to be treatment of CENVAT after migration? CENVAT credit lying in balance in the return filed for period upto 30.06.17 is to be allowed as CGST credit as per Section 140(8) of the CGST Act, 2017 read with Rule 117(2) of CGST Rules, 2017. Others 39. Which documents should be used in case of inter-state supply of goods until e-way bill rules are notified? The documents specified under Rule 48 of the CGST Rules, 2017 may please be referred. Triplicate copy of invoices for supply of goods and duplicate copy of invoice for supply of servic
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. 43. What to do with stock lying with me on 1.07.2017. Do I need to charge GST? Yes, you need to charge GST but you can use transition credit, if available on the said goods. 44. I am a small manufacturer who supplies cycle parts to two manufacturing units in the same area. For every supply, I generate an invoice and take 500 Rs. flat for cartage and loading charges. What tax rate to be charged on the cartage and loading expenses? This will be a composite supply where the principal supply (the goods) cannot be supplied without the cartage / unloading / transportation expenses. Therefore, the GST rate applicable will be the same as that of the principal supply, i.e, cycle parts, as provided under Section 8 of the CGST Act, 2017. 45. I run a restaurant where I serve alcohol and provide food etc. How do I generate my invoices. What will attract GST and what will attract VAT? Since, you are providing both taxable and non-taxable supply. You will charge VAT on the non-taxable supply (which
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