Latest GST Related Questions Answered


Though GST was launched in July 2017 and is now 21-month-old but doubts, queries and issues relating to it refuse to subside. Consequently, through this article we will try to provide some clarity by taking up a few frequently asked GST online questions.    

How is the utilization of credits managed under the GST regime?

Order of Input Tax Credit utilization has now changed, as per rules effective from February 2019, the following rules will apply –

First set off
Payment for
Then set off
IGST
SGST
SGST
IGST
CGST
CGST
IGST
IGST
CGST & SGST


Does an agent or broker require registration or is the limit of 20 lacs applicable to them?
GST registration online process is compulsory for assessees that make taxable supplies on behalf of other person as agents. Thus, one is mandatorily required to obtain registration irrespective of the turnover if working as an agent.     

What is TRANSIN or Transporter ID?

A 15 digit unique number generated by EWB system is called as TRANSIN or Transporter id for unregistered transporter, once they enrol in the system which is similar to GSTIN format and is based on state code, PAN and Checksum digit. This unique code or id can be shared by a transporter with his clients, who can enter this number while generating e-waybills for assigning goods to him for transportation.                

How can the e-way bill be rectified?

There is no way out to correct or rectify the e-way bill if there’s any mistake, incorrect or wrong entry in the e-way bill. It can only be cancelled and then a fresh bill needs to be generated with correct details.    

What is GST Cess?

GST cess is a compensation cess levied u/s 8 of the GST Act, on the intra-state supply of goods or services and inter-state supply of goods or services to provide compensation to the states for loss of revenue due to implementation of GST regime in India. All taxable people under GST, except GST composition scheme, registered taxpayers are expected to collect and remit this cess. The following goods will attract GST Cess:

·         Pan Masala
·         Tobacco & manufactured tobacco substitutes, including tobacco products
·         Coal, briquettes, ovoids and similar solid fuels manufactured from lignite, coal, whether or not agglomerated, excluding jet, peat (including peat litter), whether or not agglomerated
·         Aerated waters
·         Motor cars & other motor vehicles principally designed for the transport of persons (other than motor vehicles for the transport of ten or more persons, including the driver), including station wagons and racing cars.
·         Any other supplies as notified from time to time.

Can a person registered under Composition Scheme of GST opt to pay taxes at any time of the year?

No, the option is required to be given electronically in FORM GST CMP-02, prior to the commencement of the relevant financial year under consideration.

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