Concept of Input Service Distributor in GST
GST FAQ 2nd Edition – June 2017 as Updated as on 1.1.2018 – GST Frequently Asked Questions (FAQs)
GST
Q 1. What is Input Service Distributor (ISD)?
\nAns. ISD means an office of the supplier of goods or services or both which receives tax invoices towards receipt of input services and issues a prescribed document for the purposes of distributing the credit of central tax (CGST), State tax (SGST)\/ Union territory tax (UTGST) or integrated tax (IGST) paid on the said services to a supplier of taxable goods or services or both having same PAN as that of the ISD.
\nQ 2. What are the requirements for registration as ISD?
\nAns. An ISD is required to obtain a separate registration even though it may be separately registered. The threshold limit of registration is not applicable to ISD. The registration of ISD under the existing regime (i.e. under Service Tax) would not be migrated in GST regime. All the existing ISDs will be required to ob<\/p>\n
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Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n being distributed are attributable. Secondly, distribution would be done amongst the operational units only. Thirdly, distribution would be done in the ratio of turnover in a State or Union territory of the recipient during the period to the aggregate of all recipients to whom input service being distributed is attributable. Lastly, the credit distributed should not exceed the credit available for distribution. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n bute SGST and IGST credit as SGST \/ UTGST credit for the recipients located in same State. = = = = = = = =<\/p>\n Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n","protected":false},"excerpt":{"rendered":" Concept of Input Service Distributor in GSTGST FAQ 2nd Edition – June 2017 as Updated as on 1.1.2018 – GST Frequently Asked Questions (FAQs)GSTQ 1. What is Input Service Distributor (ISD)? Ans. ISD means an office of the supplier of goods or services or both which receives tax invoices towards receipt of input services and … Continue reading “Concept of Input Service Distributor in GST”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-16063","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/16063","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=16063"}],"version-history":[{"count":0,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=\/wp\/v2\/posts\/16063\/revisions"}],"wp:attachment":[{"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=16063"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=16063"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodsandservicetax.in\/GST\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=16063"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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\nQ 6. What does the turnover used for ISD cover?
\nAns. The turnover for the purpose of ISD does not include any duty or tax levied under entry 84 of List I and entry 51 and 54 of List II of the Seventh Schedule to the Constitution.
\nQ 7. Is the ISD required to file return?
\nAns. Yes, ISD is required to file monthly return by 13th of the following month in form GSTR-6.
\nQ 8. Can a company have multiple ISD?
\nAns. Yes, different offices like marketing division, security division etc. may apply for separate ISD.
\nQ 9. What are the provisions for recovery of excess\/wrongly di<\/p>\n
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\nQ 14. How to distribute common credit among all the recipients of an ISD?
\nAns. The common credit used by all the recipients can be distributed by ISD on pro rata basis i.e. based on the turnover of each recipient to the aggregate turnover of all the recipients to which credit is distributed.
\nQ 15. The ISD may distribute the CGST and IGST credit to recipient outside the State as_______
\n(a) IGST
\n(b) CGST
\n(c) SGST
\nAns. (a) IGST.
\nQ 16. The ISD may distribute the CGST credit within the State as____
\n(a) IGST
\n(b) CGST
\n(c) SGST
\n(d) Any of the above.
\nAns. (b) CGST.
\nQ 17. The credit of tax paid on input service used by more than one supplier is ________
\n(a) Distributed among the suppliers who used such input service on pro rata basis of turnover in such State.
\n(b) Distributed equally among all the suppliers.
\n(c) Distributed only to one supplier.
\n(d) Cannot be distributed<\/p>\n
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