Goods and Services Tax

Question 13 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 13 – Q 13. What will be the place of supply if a person travels from Mumbai to Delhi and back to Mumbai? Ans. If the person is registered, the place of supply shall be the location of recipient. If the person is not registered, the place of supply for the forward journey from Mumbai to Delhi shall be Mumbai, the place where he embarks. However, for the return

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 12 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 12 – Q 12. What will be the place of supply of goods in respect of transport of goods by courier? Ans. In case the recipient is registered, the location of such person shall be the place of supply. However, if the recipient is not registered, the place of supply shall be the place where the goods are handed over for transportation. – Statutory Provisions, Act

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 5 – Draft-Bills-Reports – Settlement Commission – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 5 – Q 5. What happens when there is difference of opinion amongst members hearing the settlement application? Ans. Section 14 of the IGST Act provides that where the members of a bench of Settlement Commission differ on any point, the decision shall be taken on the basis of the majority opinion. It is provided that a decision can also be taken by a bench consisting of only t

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 11 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 11 – Q 11. What would be the place of supply of services provided for organizing an event, say, IPL cricket series which is held in multiple states? Ans. In case of an event, if the recipient of service is registered, the place of supply of services for organizing the event shall be the location of such person. However, if the recipient is not registered, the

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 4 – Draft-Bills-Reports – Settlement Commission – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 4 – Q 4. What will be the composition of members which will consider/hear settlement application? Ans. Every application for settlement shall be heard by a bench presided over by the State Chairman and shall consist of two other members. The State Chairman shall be a sitting or a retired judge of a High Court. The other two members will be Technical members drawn from the CG

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 10 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 10 – Q 10. The place of supply in relation to immovable property is the location of immovable property. Suppose a road is constructed from Delhi to Mumbai covering multiple states. What will be the place of supply? Ans. Where the immovable property is located in more than one State, the supply of service shall be treated as made in each of the States in propo

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 9 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 9 – Q 9. What is the default presumption for place of supply in respect of unregistered recipients? Ans. In respect of unregistered recipients, the usual place of supply is location of recipient. However in many cases, the address of recipient is not available, in such cases, location of the supplier of services is taken as proxy for place of supply. – Statuto

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 3 – Draft-Bills-Reports – Settlement Commission – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 3 – Q 3. What is meant by a Case under the provisions of Settlement in the MGL? Ans. As per Section 11, Case means any proceeding under the IGST Act for levy, assessment and collection of IGST before an IGST officer or before a First Appellate Authority in connection with such levy, assessment or collection of IGST pending on the date on which an application for settlement i

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 8 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 8 – Q 8. What is the default presumption for place of supply in respect of B2B supply of services? Ans. The terms used in the IGST Act are registered taxpayers and non-registered taxpayers. The presumption in case of supplies to registered person is the location of such person. Since the recipient is registered, address of recipient is always there and the sam

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 2 – Draft-Bills-Reports – Settlement Commission – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 2 – Q 2. Can tax disputes arising on account of both intra-state and inter-state transactions be settled under the MGL? Ans. In the Model GST Law, the provisions for Settlement Commission are incorporated only under the IGST Act (sections 11 to 26). This implies that cases cannot be settled in relation to tax liability pertaining to intra-state transactions. However, there i

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 7 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 7 – Q 7. What will be the place of supply where the goods or services are supplied on board a conveyance, such as a vessel, an aircraft, a train or a motor vehicle? Ans. In respect of goods, the place of supply shall be the location at which such goods are taken on board. (Section 5(5)of IGST Act) However, in respect of services, the place of supply shall be t

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 6 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 6 – Q 6. What will be the place of supply if the goods are delivered by the supplier to a person on the direction of a third person? Ans. It would be deemed that the third person has received the goods and the place of supply of such goods shall be the principal place of business of such person. (Section 5(2A) of IGST Act) – Statutory Provisions, Acts, Rules,

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 5 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 5 – Q 5. What would be the place of supply where goods are rem

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 1 – Draft-Bills-Reports – Settlement Commission – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 1 – Q 1. What are the basic objective of Settlement Commission? Ans. The basic objectives of setting up of the Settlement Commission are:- i. to provide an alternate channel for dispute resolution for the taxpayer; ii. to expedite payment of GST involved in disputes by avoiding costly and time consuming litigation process; iii. to provide an opportunity to tax payers to come

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 4 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 4 – Q 4. What is the need to have separate rules for place of supply in respect of B2B (supplies to registered persons) and B2C (supplies to unregistered persons) transactions? Ans. In respect of B2B transactions, the taxes paid are taken as credit by the recipient so such transactions are just pass through. GST collected on B2 B supplies effectively create a

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 3 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 3 – Q 3. What proxies or assumptions in a transaction can be used to determine the place of supply? Ans. The various element involved in a transaction in services can be used as proxies to determine the place of supply. An assumption or proxy which gives more appropriate result than others for determining the place of supply, could be used for determining the

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 2 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 2 – Q 2. Why are place of supply provisions different in respect of goods and services? Ans. Goods being tangible do not pose any significant problems for determination of their place of consumption. Services being intangible pose problems w.r.t determination of place of supply mainly due to following factors: (i) The manner of delivery of service could be altered easily. For example telecom service could change from mostly post-paid to mostly pre-paid; billing address could be changed, billers address could be changed, repair or maintenance of software could be changed from onsite to online; banking serv

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

right for distribution and exhibition of film could be assigned for many states in single transaction or an advertisement or a programme is broadcasted across the country at the same time. An airline may issue seasonal tickets, containing say 10 leafs which could be used for travel between any two location in the country. The card issued by Delhi metro could be used by a person located in Noida, or Delhi or Faridabad, without the Delhi metro being able to distinguish the location or journeys at the time of receipt of payment; (v) Services are continuously evolving and would thus continue to pose newer challenges. For example 15-20 years back no one could have thought of DTH, online information, online banking, online booking of tickets, int

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 15 – Draft-Bills-Reports – Advance Ruling – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 15 – Q 15. Can the AAR & AAAR order for rectification of mistakes in the ruling? Ans. Yes. Section 101 of the Act gives power to AAR and AAAR to amend their order to rectify any mistake apparent from the record within a period of six months from the date of the order. Such mistake may be noticed by the authority on its own accord or may be brought to its notice by the applican

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 1 – Draft-Bills-Reports – Place of Supply of Goods and Service – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 1 – Q 1. What is the need for the Place of Supply of Goods and Services under GST? Ans. The basic principle of GST is that it should effectively tax the consumption of such supplies at the destination thereof or as the case may at the point of consumption. So place of supply provision determine the place i.e. taxable jurisdiction where the tax should reach. Th

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 14 – Draft-Bills-Reports – Advance Ruling – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 14 – Q 14. What are the provisions for appeals against order of AAR? Ans. The provisions of appeal before AAAR are dealt in section 99 and 100 of Model GST Law. If the applicant is aggrieved with the finding of the AAR, he can file an appeal with AAAR. Similarly, if the prescribed or jurisdictional officer of CGST/SGST does not agree with the finding of AAR, he can also file an ap

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 23 – Draft-Bills-Reports – Frontend Business Process on GST Portal – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 23 – Q 23. What are the security measures being taken by GSTN to ensure security of the GST system? Ans. GST Systems project has incorporated state of art security framework for data and service security. Besides high end firewalls, intrusion detection, data encryption at rest as well as in motion, complete audit trail, tamper proofing using consistent has

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 13 – Draft-Bills-Reports – Advance Ruling – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 13 – Q 13. What happens if there is a difference of opinion amongst members of AAR? Ans. If there is difference of opinion between the two members of AAR, they shall refer the point or points on which they differ to the AAAR for hearing the issue. If the members of AAAR are also unable to come to a common conclusion in regard to the point(s) referred to them by AAR, then it shall

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 22 – Draft-Bills-Reports – Frontend Business Process on GST Portal – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 22 – Q 22. Will the return and registration data furnished by the taxpayers on the GST Common Portal will remain Confidential? Ans. Yes, all steps are being taken by GSTN to ensure the confidentiality of personal and business information furnished by the taxpayers on GST Common Portal. This will be done by ensuring Role Based Access Control (RBAC) and encr

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 21 – Draft-Bills-Reports – Frontend Business Process on GST Portal – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 21 – Q 21. Will GSTN put training videos on various aspects of working on GST portal for the benefit of taxpayers? Ans. Yes, GSTN is preparing Computer Based Training materials which have videos embedded into them for each process to be performed on the GST portal. These will be put on the GST portal as well as on the website of all tax authorities. – Stat

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =

Question 12 – Draft-Bills-Reports – Advance Ruling – FAQ on GST dated 21.9.2016 based on Draft Model GST – Question 12 – Q 12. What is the procedure to be followed by AAR once the application is admitted? Ans. If the application is admitted, the AAR shall pronounce its ruling within ninety days of receipt of application. Before giving its ruling, it shall examine the application and any further material furnished by the applicant or by the concerned departmental officer. Before giving the rulin

= = = = = = = =

Plain text (Extract) only
For full text:-Visit the Source

= = = = = = = =