9911796707
TMI BlogReverse Charge under GST.X X X X Extracts X X X X X X X X Extracts X X X X ..... Reverse Charge under GST. X X X X Extracts X X X X X X X X Extracts X X X X ..... nder reverse charge.? Reply By KASTURI SETHI: The Reply: No. Not at all. Reply By KASTURI SETHI: The Reply: Service provider is supposed to pay GST from Re. One and take credit. Reply By MARIAPPAN GOVINDARAJAN: The Reply: Since the service provider is registered, even though he is below the threshold limit, he is liable to levy GST and pay the tax since it amounts to voluntary registration. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Since the service provider is a registered person, the service receiver is not required to pay tax under reverse charge scheme. Reply By sadanand pai: The Reply: Sir, My case is that the service provider is not registered and receiver is registered and the registered is paying GST under reverse charge, The receiver though registered , is not doing any activity of supply of Goods/service. Wheth ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er any refund from Govt is there for such cases ?? Reply By KASTURI SETHI: The Reply: Sh.Sadanand Ji, In the example cited by you, refund is not admissible on account of GST paid by Service Receiver under RCM. Anyhow if refund is paid, the very purpose of RCM will be defeated. Reply By Ganeshan Kalyani: The Reply: Service provider is register , hence he is suppose to charge GST. Reply By MARI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... APPAN GOVINDARAJAN: The Reply: If you are not doing any activity then why the transactions had with the service provider? Reply By KASTURI SETHI: The Reply: I am waiting for reply from the querist in respect of counter-query raised by Sh.Mariappan Govindarajan, Sir. If no reply is received, we can presume that initial query was based on imagination. Reply By Rajagopalan Ranganathan: The Reply: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sir, According to Section 2 (107) of CGST Act, 2017 " "taxable person" means a person who is registered or liable to be registered under section 22 or section 24." According to Section 22 (1) of CGST Act, 2017 " every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f goods or services or both, if his aggregate turnover in a financial year exceeds twenty lakh rupees. Therefore ₹ 20 lakhs limit is for the purpose of registration only. There is no notification which exempts supply of goods by a suppler whose turnover is below the limit of ₹ 20 lakhs from payment of gst. Therefore if the supplier of goods/services is not paying gst on the ground that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... his turnover during previous financial year is below ₹ 20 lakhs and the receiver is registered under CGST Act, then the receiver is bound to pay gst on the supply received from a supplier whose turnover is below ₹ 20 lakhs because the supplier is unregistered. This is my opinion. However the Government should clarify whether above understanding is correct or they have to issue an exem ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ption Notification exempting the supply from payment of gst, made by the supplier whose turnover is below ₹ 20 lakhs. Reply By Ganeshan Kalyani: The Reply: Sri Rajagopalan Sir, if service provider is not registered then receiver is liable to discharge the tax under reverse charge. But if he is registered then he cannot take a stand that his turnover is below threshold so he will not charge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... GST . X X X X Extracts X X X X X X X X Extracts X X X X
|
