Goods and Services Tax (GST)

                                                                                                                                                            

Prakash K Prakash at Delhi/ NCR provides complete GST solutions to the clients which includes all such services like:

  • Obtaining registration under GST

  • Regular GST compliances

  • Tax invoice design

  • Preparation and filing of monthly/ Quarterly GST returns

  • Preparation and filing of GST refund Application & follow up in the case of exporter

  • Preparation and filing of Annual return.

  • Preparation and filing of Annual Reconciliation Statement.

  • GST Assessment

  • Cancelation of GST Number

  • Revocation of GST Number

  • Amendment in GST Certificate

  • Co-ordination and liaisoning with GST Department

  • Consultancy on day to day queries

GOODS & SERVICES TAX (GST) - SALIENT FEATURES      
 

The Govt. of India by way of enactment of New Tax i.e. Goods & Services Tax Act known as GST has sub-merged various Central and State Levy into GST – such as Excise Duty, Service Tax, Central Sales Tax, Additional Custom Duty, Special Additional Duty, VAT, Entry Tax, Purchase Tax, Luxury Tax, Entertainment Tax, Octroi, Taxes on lottery, Batting, and gambling apart from CESS and Surcharge. It is single tax regime for whole economy which will convert the whole nation into one market place.

 

The registration in GST is PAN based and state specific. The supplier has to register in each of such state or union territory from where he effects supply. A person registered in one state is considered “unregistered person” outside the State.

 

The State GST (SGST) and Central GST (CGST) shall be levied on all the transactions of goods and services, concurrently. Due credit against GST is available to an entity in respect of taxes paid on any supply of goods or services or both used or intended to be used in the course business. It is destination based tax on consumption of Goods and Services. Hence, the credit of SGST shall be transferred to the Destination State in the form of Integrated GST (IGST). IGST will be imposed on all Inter-State Transactions.

 

Compulsory Registration:-

  • Persons who are required to pay tax under Reverse Charge.

  • Causal Taxable persons making taxable supply.

  • Every e-commerce operator.

  • Every person who supplies goods/and/or services, other than branded services through e-commerce operator.

  • Aggregator to supply services under their own brand name

  • Non Resident Taxable persons making taxable supply.

  • Persons who make taxable supply on behalf of other taxable persons whether as an agent or otherwise.

  • Input Service Distributor.

  • Every persons supplying online information and data base access or retrieval services from a place outside India to a person in India, other than a registered person

  • Person required to deduct /collect tax at source (TDS/TCS)

GST Registration – Occasion base:-

  • Non Resident Taxable person who are not having fixed place of business or residence in India can make taxable supplies only after obtaining the registration and they have to deposit in advance the estimated tax liability at the time of applying for registration. The registration to a non-resident is given on the basis of valid passport ( in the case of individual) or on the basis of the tax identification number (TAN) issued by respective country (if it is incorporated business entity). They are given registration with 90 days validity, which can be further extended to another 90 days.

  • Casual Taxable person is one who is registered under GST in some state in India, but wants to effect supplies from some other state in which he is not having any fixed place of business. For example: the registered dealer intents to participate in trade exhibition being placed outside the state of their home state. Such person has to apply for registration atleast 5 days in advance before making any supply. The registration is granted to such category of entities for the period of operation which may be further extended after making advance deposit of tax liability.

GST Registration – for Foreign diplomatic mission and Embassies:-

  • Foreign Diplomatic mission and embassies are required to get it some registered under GST for obtaining Unique Identification Number (UIN). Such notified agency can have refund of GST paid on supply of material and services.

GST Registration not required:-

  • By the Agriculturalists/farmers

  • Person engaged exclusively in the business of supplying of Goods and /or services that are not liable to tax or wholly exempt from tax.

Threshold limit of turnover for Registration under GST:

 

States

For Goods

For Services/ For Goods & Service

Mizoram, Tripura, Manipur and Nagaland

10 lakhs

10 lakhs

Arunachal Pradesh, Meghalaya, Puducherry, Sikkim, Telangana, Uttarakhand

20 lakhs

20 lakhs

Jammu and Kashmir, Assam, Himachal Pradesh and all other States

40 lakhs

20 lakhs

Voluntary Registration

 

As the name suggest, anyone can register under GST even though he may not required by law.

 

Compliance

 

Present time line for deposit of GST and filing of GSTR-3B for all tax payers are as follows:

 

If turnover in previous year is more than 1.5 Crore or current year Turnover likely to be more than 1.5 Crore: - 


For GSTR-1 : 11th day of the succeeding month

 

If turnover in previous year is less than 1.5 Crore or current year Turnover likely to be less than 1.5 Crore: 

 

IFF (Optional) : 13th day of the succeeding month

 

GSTR-1 (Quarterly): 13th day of the succeeding quarter

 

Payment of Taxes: 25th Day of Succeeding Month

 

If turnover in previous year is more than 5 Crore :

For GSTR-3B: 20th day of the succeeding month

If turnover in previous year is less than 5 Crore :

GSTR-3B (Quarterly) : 22th day of the succeeding month for following States/UT

State of Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana or Andhra Pradesh or the Union territories of Daman and Diu and Dadra and Nagar Haveli, Puducherry, Andaman and Nicobar Islands and Lakshadweep

 

GSTR-3B (Quarterly) : 24th day of the succeeding month for following States/UT

Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, the Union Territories of Jammu and Kashmir, Ladakh, Chandigarh and New Delhi

 

  • Late deposit of tax will attract penal interest @ 18% p.a.

  • All the tax payers are required to file their GST returns depending upon the category of tax payer, turnover quantum, residential status, etc. Different time lines have been prescribed for filing the same. However, late deposit fee of GST return is Rs. 50/- per day and for filing Nil return is Rs. 20/- per day.

  • Filing of Annual Return  / GST Reconciliation Statement - Last date of FY – 2021-22 is 31st December, 2022

Registration Scheme for Small Traders – Composition Scheme

Composition Scheme is a simple and easy scheme under GST for small taxpayers. Small taxpayers can avoid hardship being faced by them while complying various GST formalities and can pay GST at a fixed rate. The benefit of the Scheme is available only to the taxpayer whose sales turnover is less than Rs. 1.5Crores.In case of North Eastern States and Himachal Pradesh, the limit is now Rs. 75 Lakhs. However, the benefit of scheme is not available to the following category of business entity/individual:-

  • Manufacturer of ice cream, pan masala, or tobacco

  • A person making inter state supplies

  • A casual taxable person or a non resident taxable person

 

Eligibility criteria for availing Composition Scheme

 

The composite scheme is subject to fulfilment of following terms and conditions:-

  • No Input Tax Credit can be claimed by a dealer opting for composition scheme

  • The dealer cannot supply goods not taxable under GST such as alcohol.

  • The taxpayer has to pay tax at normal rates for transactions under the Reverse Charge Mechanism (RCM)

  • If a taxable person has different segments of businesses ( such as stationery, medicines, electronic accessories, furniture etc.) under the same PAN, they must register all such businesses under the scheme collectively.

  • The taxpayer has to mention the words “ composition taxable person” on every bill of supply issued by him

 

Contact PKP for more on GST Services

Contact Person : Vikas Mishra

Email -  pgupta@pkpconsult.com

Telephone Numbers : +91-11-23382207/ 23388753

Mobile Number : +91-9560649119