This document contains answers to frequently asked questions about applying GST to the mining sector in India. Some key points addressed include:
- Small mining leaseholders with turnover under Rs. 75 lakhs can operate under the composition scheme.
- The GST rates for minerals and ores under composition scheme are 1% CGST/SGST for manufacturing processes and 0.5% CGST/SGST otherwise.
- Buyers cannot claim input tax credit for purchases from suppliers under the composition scheme.
- Inter-state supplies are not allowed for those availing the composition scheme.
This document provides answers to various questions regarding exports under the GST regime in India. It explains that exports are treated as inter-state supplies under IGST and are zero-rated, meaning taxes paid on inputs can be refunded. Procedures for exports have been simplified, removing paperwork. While some export incentives like MEIS and SEIS scrips can no longer be used to pay GST, exports will remain competitive. EOU and SEZ units pay GST but have simplified procedures for imports and refunds. Drawback rates have changed and applications are now filed with customs authorities.
This document contains questions and answers about how imports, exports, and other cross-border transactions will be treated under the Goods and Services Tax (GST) regime in India. Some key points addressed include:
- Imports will be subject to IGST in addition to other import duties, and full input tax credit will be available on the IGST paid.
- Exports will be treated as zero-rated supplies, and exporters can claim refunds on taxes paid or export without payment under bond.
- Refunds to exporters for taxes paid on inputs/services for exports must be sanctioned within 60 days.
This document provides a 100 question and answer FAQ on various aspects of the Goods and Services Tax (GST) in India. The questions cover topics such as registration, refunds, the composition scheme, input tax credit, invoices, returns, supplies, and transition provisions. For each question, a brief but concise reply is given to address the key issue raised. The FAQ serves to help clarify common queries around GST compliance and administration in a clear and accessible format.
The document provides market updates on stock indices and compliance due dates. Key points:
- The Sensex closed at 28,743.32 on February 28, 2017, up from 27,655.96 on December 31, 2016. The Nifty closed at 8,879.60 on February 28, 2017, up from 8,561.30 on January 31, 2017.
- Various income tax, service tax, VAT, EPF, and ESI compliance due dates for March 2017 are listed, including dates for filing returns and depositing taxes.
- The government plans to make all ration shops Aadhaar enabled by June 30, 2017 to digitize the public distribution system. LIC will equip its
The document contains frequently asked questions and answers regarding banking, insurance, and stock brokers in relation to GST.
Some key points addressed are:
- Banks are not required to provide ATM details in their GST registration as ATMs alone do not constitute a place of business.
- Third party places like ATMs, business correspondents, or warehouses used by banks are not required to be included in their GST registration.
- For services provided up to June 30, 2017, the applicable tax (GST or prior tax) depends on whether the invoice was issued or payment was made before or after July 1, 2017.
- Banks/insurers must report exempt, non-GST and invoice
INCOME TAX – INTERNATIONAL TAXATION
Tax Residency Certificate – DTAA Benefits
The Punjab and Haryana High Court, has held that Tax Residency Certificate issued by a foreign country can be considered valid for the purpose of claiming benefit under the Indo – Mauritius DTAA. The Court reversed the AAR Ruling and relied upon CBDT Circular No. 789 to the effect that certificate of residence issued by the Mauritius Authorities constitute sufficient evidence for residential status.
Tax weekly 12 July-2020- N Pahilwani & AssociatesNitin Pahilwani
This document provides a weekly newsletter with updates on GST and income tax. For GST, it summarizes two court cases - one where the government appealed a case allowing Airtel to claim GST refunds, and another related to invoking writ remedy. For income tax, it outlines CBDT actions like facilitating TDS verification for banks, extending refund processing timelines, and clarifying tax benefits for NPS contributions.
The document provides an overview of key concepts in India's income tax law, including definitions of common terms like person, assessee, income, residential status, taxable income heads, and tax exemptions. It summarizes procedures for determining tax liability and exemptions for various types of retirement payments like gratuity, pension, and leave encashment.
This document provides answers to various questions regarding exports under the GST regime in India. It explains that exports are treated as inter-state supplies under IGST and are zero-rated, meaning taxes paid on inputs can be refunded. Procedures for exports have been simplified, removing paperwork. While some export incentives like MEIS and SEIS scrips can no longer be used to pay GST, exports will remain competitive. EOU and SEZ units pay GST but have simplified procedures for imports and refunds. Drawback rates have changed and applications are now filed with customs authorities.
This document contains questions and answers about how imports, exports, and other cross-border transactions will be treated under the Goods and Services Tax (GST) regime in India. Some key points addressed include:
- Imports will be subject to IGST in addition to other import duties, and full input tax credit will be available on the IGST paid.
- Exports will be treated as zero-rated supplies, and exporters can claim refunds on taxes paid or export without payment under bond.
- Refunds to exporters for taxes paid on inputs/services for exports must be sanctioned within 60 days.
This document provides a 100 question and answer FAQ on various aspects of the Goods and Services Tax (GST) in India. The questions cover topics such as registration, refunds, the composition scheme, input tax credit, invoices, returns, supplies, and transition provisions. For each question, a brief but concise reply is given to address the key issue raised. The FAQ serves to help clarify common queries around GST compliance and administration in a clear and accessible format.
The document provides market updates on stock indices and compliance due dates. Key points:
- The Sensex closed at 28,743.32 on February 28, 2017, up from 27,655.96 on December 31, 2016. The Nifty closed at 8,879.60 on February 28, 2017, up from 8,561.30 on January 31, 2017.
- Various income tax, service tax, VAT, EPF, and ESI compliance due dates for March 2017 are listed, including dates for filing returns and depositing taxes.
- The government plans to make all ration shops Aadhaar enabled by June 30, 2017 to digitize the public distribution system. LIC will equip its
The document contains frequently asked questions and answers regarding banking, insurance, and stock brokers in relation to GST.
Some key points addressed are:
- Banks are not required to provide ATM details in their GST registration as ATMs alone do not constitute a place of business.
- Third party places like ATMs, business correspondents, or warehouses used by banks are not required to be included in their GST registration.
- For services provided up to June 30, 2017, the applicable tax (GST or prior tax) depends on whether the invoice was issued or payment was made before or after July 1, 2017.
- Banks/insurers must report exempt, non-GST and invoice
INCOME TAX – INTERNATIONAL TAXATION
Tax Residency Certificate – DTAA Benefits
The Punjab and Haryana High Court, has held that Tax Residency Certificate issued by a foreign country can be considered valid for the purpose of claiming benefit under the Indo – Mauritius DTAA. The Court reversed the AAR Ruling and relied upon CBDT Circular No. 789 to the effect that certificate of residence issued by the Mauritius Authorities constitute sufficient evidence for residential status.
Tax weekly 12 July-2020- N Pahilwani & AssociatesNitin Pahilwani
This document provides a weekly newsletter with updates on GST and income tax. For GST, it summarizes two court cases - one where the government appealed a case allowing Airtel to claim GST refunds, and another related to invoking writ remedy. For income tax, it outlines CBDT actions like facilitating TDS verification for banks, extending refund processing timelines, and clarifying tax benefits for NPS contributions.
The document provides an overview of key concepts in India's income tax law, including definitions of common terms like person, assessee, income, residential status, taxable income heads, and tax exemptions. It summarizes procedures for determining tax liability and exemptions for various types of retirement payments like gratuity, pension, and leave encashment.
This document provides an overview of the Goods and Services Tax (GST) system in India. It explains that GST aims to create a unified indirect tax system and reduce the overall tax burden. It describes how GST is levied on the supply of goods and services across India, with Central GST, State GST, and Integrated GST applying depending on the nature of the supply. Threshold limits for registration and key tax rates are also outlined. Administrative responsibilities under GST are shared between central and state governments.
Tax weekly 19 july-2020- N Pahilwani and AssociatesNitin Pahilwani
This document provides a summary of updates related to GST and income tax for the week of July 19th, 2020.
Some key updates include:
1) The CBIC has granted deemed approval for pending GST registration applications and extended the due date for filing GSTR-4 returns for financial year 2019-20 to August 31st, 2020.
2) Several advance rulings addressed the classification and taxation of various supplies such as reimbursements, charges by chit companies, rental properties, free supplies, consultancy services and medicines supplied by hospitals.
3) The new Form 26AS will display additional transaction details to facilitate voluntary tax compliance and ease of income tax filing.
4) The
This document provides a summary of various tax law updates across Income Tax, Service Tax, Excise, Customs and VAT for November 2015 from K. Vaitheeswaran & Co., Advocates and Tax Consultants. Key highlights include the Bangalore Tribunal holding that software development and software product companies cannot be comparable for transfer pricing, the Karnataka High Court allowing foreign tax credit on Section 10A income, and the Supreme Court ruling that landing and parking charges for aircraft are not rent.
Gst tax invoice-debit note-credit note & returns ivth unitSureshBabuMannarColl
1. The document discusses various types of invoices and bills required under GST law including tax invoices, debit notes, credit notes, and returns.
2. A tax invoice must be issued for all taxable supplies made by registered persons and must contain information such as supplier details, recipient details, tax rates, and HSN codes.
3. Bills of supply are issued instead of tax invoices for exempt supplies, supplies by composition scheme taxpayers, and supplies below Rs. 200 to unregistered persons.
Final gst vth unit payments of tax interest penalty and tdd&tcsSureshBabuMannarColl
1. The document discusses various ways of paying GST in India, such as using input tax credits, cash payments, or tax deduction at source.
2. It explains the different entities responsible for tax payments like suppliers, recipients, tax deductors, and e-commerce operators. Deadlines vary from monthly to quarterly based on the entity.
3. Input tax credits must be used in a priority order of IGST first, then CGST and finally SGST/UTGST. Non-payment can result in interest charges, penalties, and in serious cases, prosecution.
Vivad se vishwas scheme handbook - ca vaishali kharde - ca pritam mahure an...CA Vaishali Kharde
Please find our 3rd edition of 'Viavd Se Vishwas' which contains:
- Brief about Vivad Se Vishwas Scheme
- Procedure to apply for Vivad Se Vishwas Scheme.
- Analysis of Vivad Se Vishwas Scheme.
- Impact to Coronavirus epidemic on Scheme
- Emerging Challenges
1. The document discusses the impact of GST implementation on JK Tyre Industries, a major Indian tyre manufacturer.
2. A survey of JK Tyre employees found that most found the previous tax structure easier to understand, and believed training on GST implementation was needed to help with the transition.
3. The key impacts of GST implementation identified include changes to revenue generation, purchase processes, and purchasing strategies, requiring management support to help employees adapt to the new system.
This document provides step-by-step instructions for applying for an income certificate through the Tamil Nadu e-District portal. It describes the process of registering for a Citizen Access Number (CAN), filling out the income certificate application form, uploading required documents, making payment, and downloading the approved certificate. The manual covers general information about starting computers and the tools required, an overview of the e-District project, and the various services offered under the Revenue Department, with a focus on guiding users through the income certificate application workflow.
The document is the December 2013 issue of the monthly publication "Missive" from the Knowledge Management Team. It provides an index of topics covered in the issue, including Direct Tax, Transfer Pricing, Service Tax, and others. The main article summarizes several important tax court rulings on issues like TDS credit availability, interest liability for non-residents, capital gains tax rates for non-residents, and whether payments for ship charters constitute royalties. It also briefly summarizes other rulings related to transfer pricing documentation and the application of stamp duty valuation rules.
E book GST Transitional Credits - Disputes & Way ForwardTaxmann
CONTENTS
1. Background of Transitional Provision
2. Practical issues faced in transitional provisions
a) Problems due to the automation process Other reasons
3. The issues in transitional credit can be summarized
as follows:
a) Applicable to all sub-sections (1) to (8) of Section 140.
b) Section 140(1) & (2) – Transfer of closing balance of credit
4.Impact of retrospective amendment in explanation 11
1, 2, and 3 of Section 140.
Rule 43 of the CGST Rules, 2017 deals with input tax credit in respect of capital goods. It provides that ITC can be claimed on capital goods over a period of 5 years (60 months or 20 quarters). The rule assumes capital goods have a useful life of 5 years. It also specifies that if capital goods are used for exempt or non-business purposes during a tax period, the proportionate ITC for that period must be reversed along with applicable interest. The document analyzes and critiques various aspects of Rule 43, such as how it calculates ITC amounts, its treatment of capital goods used for common purposes, and situations it does not clearly address. It uses an example transaction to illustrate potential issues or inconsistencies
Presentation on GST Transitional Credits - Disputes & Way ForwardTaxmann
Topics Covered in this Presentation:
1. Background of Transitional provisions
A. Different circumstances under Section 140
2. Practical Issues
A. Judgments on Transitional Credits
B. Deemed Credit
3. Impact of transitional provisions amendment
Krishi Kalyan Cess (KKC) is introduced at 0.5% on the value of all taxable services from June 1, 2016 to finance and promote initiatives to improve agriculture and farmers' welfare. KKC is charged on the value of services, not the tax amount. It is applicable to all taxable services except those under the negative list or exempt notifications. KKC is also applicable under the reverse charge mechanism and needs to be calculated and paid on the taxable portion of partially exempt services. Assessees must create separate ledgers to account for KKC and can avail input tax credit of KKC to use against KKC output tax liability only.
K. Vijaya Kumar, Asst. Commissioner of C.Excise, presents on the determination of value of goods and services under GST law. The key points are:
1. The determination of value is essential for calculating tax liability under GST law. Section 15 of the CGST Act outlines how to determine the transaction value, which is the price actually paid or payable.
2. The valuation rules provide various methods for determining value when the transaction value is not available, such as open market value, value of like goods/services, and cost plus 10% method.
3. Specific rules cover valuation of supplies between related parties, through agents, and supplies where consideration is not wholly monetary
What is GST and its Impact on current entrepreneurs ?Zaheer Sayyed
The document discusses the Goods and Services Tax (GST) bill in India. Some key points:
1. GST will consolidate indirect taxes like VAT, service tax, etc. into a single tax to make compliance easier. It will be levied on manufacture, sale, and consumption of goods and services.
2. GST is expected to benefit businesses, especially startups, by simplifying tax compliance, increasing exemptions for new businesses, and reducing logistics costs through seamless inter-state movement of goods.
3. However, some drawbacks are also discussed, such as potential increased costs for e-commerce companies and possibility of higher tax burden for low-turnover manufacturing startups.
This document provides an overview of Goods and Services Tax (GST) in India, including how GST works, its history and implementation, types of GST, registration requirements, returns, rates, and advantages. It also provides profiles of two Indian companies, Jindal Steel and Power Ltd and Sun Pharmaceutical Industries Ltd, including their business activities and histories. The document contains this information across multiple chapters in order to analyze these companies' tax rates before and after GST implementation in India.
The document provides an overview of the framework of GST laws in India. It discusses key concepts such as the types of GST (CGST, SGST, IGST), taxes subsumed under GST, exclusions from GST, laws governing GST, and the GST council. It also explains important aspects like the administration of GST, levy and collection of tax, the concept of supply which is the taxable event, and import of services under GST.
This document provides answers to questions about the Goods and Services Tax (GST) for textile suppliers and manufacturers. Key points addressed include: raw jute and raw silk suppliers are not required to register for GST; cotton farmers are not required to register but buyers of raw cotton must pay GST on a reverse charge basis; the rates for bags made of jute is 18%; and a saree manufacturer is provided guidance on issues like treatment of returns, opening stock, invoices for composition scheme buyers, and input tax credit eligibility.
This document contains answers to frequently asked questions regarding goods and services tax (GST) for drugs and pharmaceuticals.
It addresses questions about how formulations will be assessed under GST, requirements for clearance of free physician samples, procedures for movement of expired medicines, treatment of supplies to special economic zones, and whether separate registrations are required for input service distributors and units located in SEZs.
It also provides details on transitional credit that can be availed for existing stock, treatment of purchases from unregistered persons, and the effect of non-payment of consideration for supplies received.
The document contains questions and answers related to various GST concepts and provisions. Some key points addressed are:
- Discount provided at the time of supply is allowed under GST and should not be included in the value of supply.
- Input tax credit can only be availed after receipt of goods or services, not in advance.
- A practicing consultant providing services outside their state of registration does not need additional registration if there is no fixed place of business in the other state.
- Gold attracts 3% GST along with other duties due to its high value, increasing the overall tax rate from the previous 2%.
- Reversal of input tax credit is required for exempt supplies and free supplies provided under schemes
This document provides an overview of the Goods and Services Tax (GST) system in India. It explains that GST aims to create a unified indirect tax system and reduce the overall tax burden. It describes how GST is levied on the supply of goods and services across India, with Central GST, State GST, and Integrated GST applying depending on the nature of the supply. Threshold limits for registration and key tax rates are also outlined. Administrative responsibilities under GST are shared between central and state governments.
Tax weekly 19 july-2020- N Pahilwani and AssociatesNitin Pahilwani
This document provides a summary of updates related to GST and income tax for the week of July 19th, 2020.
Some key updates include:
1) The CBIC has granted deemed approval for pending GST registration applications and extended the due date for filing GSTR-4 returns for financial year 2019-20 to August 31st, 2020.
2) Several advance rulings addressed the classification and taxation of various supplies such as reimbursements, charges by chit companies, rental properties, free supplies, consultancy services and medicines supplied by hospitals.
3) The new Form 26AS will display additional transaction details to facilitate voluntary tax compliance and ease of income tax filing.
4) The
This document provides a summary of various tax law updates across Income Tax, Service Tax, Excise, Customs and VAT for November 2015 from K. Vaitheeswaran & Co., Advocates and Tax Consultants. Key highlights include the Bangalore Tribunal holding that software development and software product companies cannot be comparable for transfer pricing, the Karnataka High Court allowing foreign tax credit on Section 10A income, and the Supreme Court ruling that landing and parking charges for aircraft are not rent.
Gst tax invoice-debit note-credit note & returns ivth unitSureshBabuMannarColl
1. The document discusses various types of invoices and bills required under GST law including tax invoices, debit notes, credit notes, and returns.
2. A tax invoice must be issued for all taxable supplies made by registered persons and must contain information such as supplier details, recipient details, tax rates, and HSN codes.
3. Bills of supply are issued instead of tax invoices for exempt supplies, supplies by composition scheme taxpayers, and supplies below Rs. 200 to unregistered persons.
Final gst vth unit payments of tax interest penalty and tdd&tcsSureshBabuMannarColl
1. The document discusses various ways of paying GST in India, such as using input tax credits, cash payments, or tax deduction at source.
2. It explains the different entities responsible for tax payments like suppliers, recipients, tax deductors, and e-commerce operators. Deadlines vary from monthly to quarterly based on the entity.
3. Input tax credits must be used in a priority order of IGST first, then CGST and finally SGST/UTGST. Non-payment can result in interest charges, penalties, and in serious cases, prosecution.
Vivad se vishwas scheme handbook - ca vaishali kharde - ca pritam mahure an...CA Vaishali Kharde
Please find our 3rd edition of 'Viavd Se Vishwas' which contains:
- Brief about Vivad Se Vishwas Scheme
- Procedure to apply for Vivad Se Vishwas Scheme.
- Analysis of Vivad Se Vishwas Scheme.
- Impact to Coronavirus epidemic on Scheme
- Emerging Challenges
1. The document discusses the impact of GST implementation on JK Tyre Industries, a major Indian tyre manufacturer.
2. A survey of JK Tyre employees found that most found the previous tax structure easier to understand, and believed training on GST implementation was needed to help with the transition.
3. The key impacts of GST implementation identified include changes to revenue generation, purchase processes, and purchasing strategies, requiring management support to help employees adapt to the new system.
This document provides step-by-step instructions for applying for an income certificate through the Tamil Nadu e-District portal. It describes the process of registering for a Citizen Access Number (CAN), filling out the income certificate application form, uploading required documents, making payment, and downloading the approved certificate. The manual covers general information about starting computers and the tools required, an overview of the e-District project, and the various services offered under the Revenue Department, with a focus on guiding users through the income certificate application workflow.
The document is the December 2013 issue of the monthly publication "Missive" from the Knowledge Management Team. It provides an index of topics covered in the issue, including Direct Tax, Transfer Pricing, Service Tax, and others. The main article summarizes several important tax court rulings on issues like TDS credit availability, interest liability for non-residents, capital gains tax rates for non-residents, and whether payments for ship charters constitute royalties. It also briefly summarizes other rulings related to transfer pricing documentation and the application of stamp duty valuation rules.
E book GST Transitional Credits - Disputes & Way ForwardTaxmann
CONTENTS
1. Background of Transitional Provision
2. Practical issues faced in transitional provisions
a) Problems due to the automation process Other reasons
3. The issues in transitional credit can be summarized
as follows:
a) Applicable to all sub-sections (1) to (8) of Section 140.
b) Section 140(1) & (2) – Transfer of closing balance of credit
4.Impact of retrospective amendment in explanation 11
1, 2, and 3 of Section 140.
Rule 43 of the CGST Rules, 2017 deals with input tax credit in respect of capital goods. It provides that ITC can be claimed on capital goods over a period of 5 years (60 months or 20 quarters). The rule assumes capital goods have a useful life of 5 years. It also specifies that if capital goods are used for exempt or non-business purposes during a tax period, the proportionate ITC for that period must be reversed along with applicable interest. The document analyzes and critiques various aspects of Rule 43, such as how it calculates ITC amounts, its treatment of capital goods used for common purposes, and situations it does not clearly address. It uses an example transaction to illustrate potential issues or inconsistencies
Presentation on GST Transitional Credits - Disputes & Way ForwardTaxmann
Topics Covered in this Presentation:
1. Background of Transitional provisions
A. Different circumstances under Section 140
2. Practical Issues
A. Judgments on Transitional Credits
B. Deemed Credit
3. Impact of transitional provisions amendment
Krishi Kalyan Cess (KKC) is introduced at 0.5% on the value of all taxable services from June 1, 2016 to finance and promote initiatives to improve agriculture and farmers' welfare. KKC is charged on the value of services, not the tax amount. It is applicable to all taxable services except those under the negative list or exempt notifications. KKC is also applicable under the reverse charge mechanism and needs to be calculated and paid on the taxable portion of partially exempt services. Assessees must create separate ledgers to account for KKC and can avail input tax credit of KKC to use against KKC output tax liability only.
K. Vijaya Kumar, Asst. Commissioner of C.Excise, presents on the determination of value of goods and services under GST law. The key points are:
1. The determination of value is essential for calculating tax liability under GST law. Section 15 of the CGST Act outlines how to determine the transaction value, which is the price actually paid or payable.
2. The valuation rules provide various methods for determining value when the transaction value is not available, such as open market value, value of like goods/services, and cost plus 10% method.
3. Specific rules cover valuation of supplies between related parties, through agents, and supplies where consideration is not wholly monetary
What is GST and its Impact on current entrepreneurs ?Zaheer Sayyed
The document discusses the Goods and Services Tax (GST) bill in India. Some key points:
1. GST will consolidate indirect taxes like VAT, service tax, etc. into a single tax to make compliance easier. It will be levied on manufacture, sale, and consumption of goods and services.
2. GST is expected to benefit businesses, especially startups, by simplifying tax compliance, increasing exemptions for new businesses, and reducing logistics costs through seamless inter-state movement of goods.
3. However, some drawbacks are also discussed, such as potential increased costs for e-commerce companies and possibility of higher tax burden for low-turnover manufacturing startups.
This document provides an overview of Goods and Services Tax (GST) in India, including how GST works, its history and implementation, types of GST, registration requirements, returns, rates, and advantages. It also provides profiles of two Indian companies, Jindal Steel and Power Ltd and Sun Pharmaceutical Industries Ltd, including their business activities and histories. The document contains this information across multiple chapters in order to analyze these companies' tax rates before and after GST implementation in India.
The document provides an overview of the framework of GST laws in India. It discusses key concepts such as the types of GST (CGST, SGST, IGST), taxes subsumed under GST, exclusions from GST, laws governing GST, and the GST council. It also explains important aspects like the administration of GST, levy and collection of tax, the concept of supply which is the taxable event, and import of services under GST.
This document provides answers to questions about the Goods and Services Tax (GST) for textile suppliers and manufacturers. Key points addressed include: raw jute and raw silk suppliers are not required to register for GST; cotton farmers are not required to register but buyers of raw cotton must pay GST on a reverse charge basis; the rates for bags made of jute is 18%; and a saree manufacturer is provided guidance on issues like treatment of returns, opening stock, invoices for composition scheme buyers, and input tax credit eligibility.
This document contains answers to frequently asked questions regarding goods and services tax (GST) for drugs and pharmaceuticals.
It addresses questions about how formulations will be assessed under GST, requirements for clearance of free physician samples, procedures for movement of expired medicines, treatment of supplies to special economic zones, and whether separate registrations are required for input service distributors and units located in SEZs.
It also provides details on transitional credit that can be availed for existing stock, treatment of purchases from unregistered persons, and the effect of non-payment of consideration for supplies received.
The document contains questions and answers related to various GST concepts and provisions. Some key points addressed are:
- Discount provided at the time of supply is allowed under GST and should not be included in the value of supply.
- Input tax credit can only be availed after receipt of goods or services, not in advance.
- A practicing consultant providing services outside their state of registration does not need additional registration if there is no fixed place of business in the other state.
- Gold attracts 3% GST along with other duties due to its high value, increasing the overall tax rate from the previous 2%.
- Reversal of input tax credit is required for exempt supplies and free supplies provided under schemes
This document contains answers to frequently asked questions regarding the application of GST to banks and the gems and jewellery industry. It addresses questions about whether providing advertising materials to distributors constitutes a supply, how import of precious metals by banks will be treated under GST, the GST treatment of gold and silver imported and held in stock by banks on consignment, and clarifies the methodology for payment of provisional GST by banks on gold loans and setting off excess payments.
This document provides answers to frequently asked questions regarding food processing and GST. Some key points addressed include:
- Manufacturing units in a state can take a single registration or separate registrations for business verticals.
- Transporting semi-cooked food between branches in different states is an inter-state supply subject to IGST.
- Transportation charges paid by the recipient are considered part of the supply value.
- Rental costs for a factory premises can be claimed as input tax credit.
- Tax rates for food supplied in air conditioned vs. non-air conditioned restaurants and composition scheme eligibility.
- Input tax credit eligibility and registration requirements for a rice wholesaler with branded and un
This document provides answers to frequently asked questions about electronic commerce and the Goods and Services Tax (GST) in India. It defines key terms like electronic commerce, e-commerce operator, and tax collection at source (TCS). Some of the main points covered include: e-commerce operators and suppliers making supplies through e-commerce operators are not eligible for GST registration thresholds; e-commerce operators may need to pay GST on notified services supplied through their platforms; and e-commerce operators are required to collect TCS on the net value of supplies made by other registered suppliers through their platform.
This document provides an overview of key transition provisions under the GST Act relating to claiming input tax credit for taxes paid under previous indirect tax regimes. It explains that transition provisions allow earlier taxpayers to migrate to GST with ease by carrying forward eligible input tax credits. It outlines conditions for claiming credits for cenvat, VAT, entry tax and capital goods, as well as for persons who were previously unregistered or exempt suppliers. It also summarizes the process for filing GST TRAN-1 and TRAN-2 forms.
Presentation on Industry 2020: Emerging GST Issues due to COVID-19Taxmann
Topics Covered in this Webinar:
1. ITC on invoices not uploaded by vendors – Amendment in Rule 36(4)
2. Refund/Adjustment of GST already paid on bad debts, and discounts
3. ITC implications if goods are destroyed/disposed off.
4. Eligibility of ITC on masks and sanitizers
Important Topics Covered in the Webinar:
1. How to claim ITC on Invoices of February to
August 2020?
2.Whether full ITC can be availed on invoices
pertaining to period 09.10.2019 to 03.04.2020 on
which no ITC was previously availed?
3. Whether remaining ITC can be claimed in any of
the subsequent months GSTR 3B’s where partial
ITC (10/20%) was availed previously as per Rule
36(4)?
Gst Alert 10 : Changes in registration and return filing normsMeet Raval
The document summarizes recent changes made to key GST rules in India that will impact how taxpayers avail credits and comply. Key changes include:
1) Stricter registration processes requiring Aadhaar authentication and increased processing times from 3 to 7 or 30 days.
2) Increased powers for officers to suspend or cancel registrations for violations like incorrect credit claims or return filing discrepancies.
3) Restrictions on input tax credit claims to 105% of the amount in GSTR 2B from January 2021.
4) Tighter return filing rules preventing filing if earlier returns are not filed and restrictions on using credits if returns are not filed.
5) A new rule restricting the use of
GST Alert 10 Changes in Registration and Return filing normsNiteshJain148
The document summarizes recent changes made to key GST rules in India that will impact how taxpayers avail credits and comply. Key changes include:
1) Stricter registration processes requiring Aadhaar authentication and increased processing times from 3 to 7 or 30 days.
2) Increased powers for officers to suspend or cancel registrations for violations like incorrect credit claims or return filing discrepancies.
3) Restrictions on input tax credit claims to 105% of the amount in GSTR 2B from January 2021.
4) Tighter return filing rules preventing filing if earlier returns are not filed and restrictions on using credits if returns are not filed.
5) A new rule restricting the use of
CA Vikas singh chauhan gst presentation VMRVIKAS CHAUHAN
The document provides information about Goods and Services Tax (GST) in India. It discusses what GST is, how it replaced other indirect taxes, its key components like CGST, SGST and IGST. It explains the multi-stage nature of GST and how tax is levied at each stage of supply chain. It also outlines the registration requirements for GST, advantages of GST registration and composition scheme. The document lists the various GST return types and their filing due dates. It provides details about the concessional 5% GST rate for renewable energy devices and solar power plants. It highlights benefits of Udyog Aadhaar registration for MSMEs and situations that can lead to GST
Impact-GST-Manufacturing-Sector in IndiaSuresh Kumar
The document summarizes the key impacts of GST on the manufacturing sector in India. Some of the major changes include abolishing multiple indirect taxes and introducing a single indirect tax called GST. This will simplify tax compliance through a unified return filing system. It will also widen the tax base by allowing input tax credit on a wider scope of expenses. Under GST, inter-state movement of goods will be easier with no check posts between states. The cost of production may reduce for manufacturers due to increased availability of input tax credits.
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This document discusses transitional provisions under the Goods and Services Tax (GST) in India. It summarizes that under GST, various central and state taxes will be subsumed. It outlines the taxes that will be replaced and transitional provisions that allow transition from existing laws to GST. It discusses GST registration procedures for existing taxpayers, availability of credits for taxes paid previously, and treatment of returns, capital goods and inventory during the transition period to GST.
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The document summarizes key proposed amendments to GST law in the Indian Budget 2021. Some of the major changes proposed include:
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This document provides answers to frequently asked questions regarding government services and GST. It explains that not all services provided by the government or local authorities are exempt from GST. It clarifies the meaning of key terms like "government" and "local authority" under the GST Acts. It also discusses the tax treatment and compliance requirements for government departments and authorities in relation to supplying services, deducting tax at source, and obtaining registrations.
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Question 1: Can small mining leaseholders with a
turnover less than Rs.75 lacs operate under composition
scheme?
Answer: As per Sec. 10(1) of the CGST Act, 2017, a
registered person whose aggregate turnover in the
preceding FY did not exceed Rs.75 lakhs, would be eligible
for paying GST under the composition scheme.
Question 2: What is the GST rate for minerals and ores in
Composition Scheme?
Answer: In a case where the process amounts to
manufacture, the rate of tax will be 1% (CGST) and 1%
(SGST/UTGST). In any other case, the rate will be ½%
(CGST) and ½% (SGST/UTGST).
Question 3: Will they have to deposit GST under SGST/
CGST heads separately?
Answer: Yes. GST has to be paid separately under CGST
and SGST/UTGST by generating a single challan through
the common portal under a single return.
Question 4: Can a small Mine Lease holder undertake
inter-State supply if it avails composition scheme?
Answer: No. If a supplier chooses to avail of composition
scheme, he shall not undertake inter-State supply.
Question 5: What is the IGST rate for minerals and ores
in case of inter – State supply?
Answer: At present, the IGST rate is the sum of CGST
and SGST/ UTGST rate. These rates have been notified
and are available in public domain.
FAQ: Mining
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Mining
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Question 6: Can the buyer get input credit on the supply
of minerals from a mine owner in composition scheme?
Answer: No,the buyer cannot avail of the credit of
tax paid by the supplier who is under the composition
scheme as the person paying tax under composition
scheme cannot issue a tax invoice and collect taxes on his
supplies.
Question 7: Will the recipient have to pay tax under
reverse charge?
Answer: GST on reverse charge mechanism is payable
under section 9(4) of the CGST Act, 2017 only in case
of purchases from unregistered suppliers. As the mine
owner who is paying tax under composition scheme is
registered, the recipients need not pay GST on reverse
charge mechanism.
Question 8: What is the threshold limit and conditions
when a small mine owner/lease holder under Composition
Scheme has to migrate into full GST System?
Answer: As per section 10(3) of the CGST Act, 2017,
the option availed of by the small mine owner/lease
holder shall lapse with effect from the day on which his
aggregate turnover during a financial year exceeds Rs. 75
lakhs. For details regarding other conditions, section 10 of
the CGST Act, 2017 and the rules framed there under may
be referred to.
Question 9: Is the Return filing and compliance simpler
under composition scheme?
Answer: Yes, Return filing and compliance is simpler
under the composition scheme. The registered person
has to file only one return on a quarterly basis in Form
GSTR-4.
Question 49: Will ITC be available on steel, timber and
sometimes cement which are used in the underground
mines to provide a protective device for security purpose?
Answer: Credit will not be available if these goods are
supplied for construction of an immovable property. But
if these are temporarily placed for protective purposes,
credit will be available.
Question 50: As per Section 54 (3), it is clear that no
refund of ITC will be available for export in the cases
where product is subject to export duty. Iron Ore export
is subjected to export duty. In the earlier regime, the
exporters were allowed to take refund of service tax paid
on exports. Will not ourexports become uncompetitive
as no refund of ITC will be available?
Answer: The refund of ITC credit is not admissible in
view of the second proviso to section 54(3) of the CGST
Act, 2017.
Note: Reference to CGST Act, 2017 includes reference to
SGST Act, 2017 and UTGST Act, 2017 also.
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Question 10: Will the basic exemption limit from GST be
applicable to the tiny & micro segment in mining?
Answer: Yes, the basic exemption limit of Rs. 20 lakhs
(Rs.10 lakhs in the case of special category States) is
applicable to the tiny and micro segment even in mining.
However, a person engaged in making taxable supply and
having aggregate annual turnover (more than Rs.20 lakhs
in any State other than the special category States) would
be liable to obtain registration under GST. The return has
to be filed on monthly basis by regular taxable persons
and on quarterly basis by the taxable persons registered
under the composition scheme. .
Question 11: What is aggregate turnover?
Answer: As per section 2(6) of the CGST Act, 2017,
“aggregate turnover” means the aggregate value of all
taxable supplies (excluding the value of inward supplies
on which tax is payable by a person on reverse charge
basis), exempt supplies, exports of goods or services or
both and inter-State supplies of persons having the same
Permanent Account Number, to be computed on all India
basis but excludes Central tax, State tax, Union territory
tax, integrated tax and compensation cess.
Question 12: Will the buyer of goods from unregistered
person pay reverse tax?
Answer: A registered person receiving taxable goods
or services from a supplier who is not registered, would
be liable to pay GST under reverse charge mechanism.
However, in terms of notification no. 8/2017-Central Tax
(rate) dated 28th June, 2017, aggregate value of supplies
of goods and/or service received by a registered person
from any or all the suppliers, who is or are not registered,
upto five thousand rupees in a day is exempt from tax un-
der reverse charge mechanism. This exemption will not
apply if the value exceeds Rs.5000/-.
Question 45. In case of coal, the applicable
Compensation Cess is a Fixed Amount of Rs.400/- per
MT. Under above situation, how such apportionment
is possible since in case of FSA Sale, supply of different
grade of coal as per availability of stock against single
bulk receipt of “Advance” is to be adjusted?
Answer: If tax rate is not determinable, the tax rate may
be determined and paid on the amount of advance at 18%.
Question 46. Whether Railway siding in mining
industry exclusively utilized for effecting dispatch of
taxable goodsvz.coal (i.e. directly used in the course
or furtherance of business) will be treated as Plant and
Machinery and ITC under GST will be allowed or treated
as civil structure and ITC will be denied?
Answer: ITC will not be available as railway siding is not
plant and machinery as defined in section 17 of the CGST
Act, 2017.
Question 47. According to HSN Code 2516 calcareous
building stone comes under 5% tax rate, but
simultaneously under HSN Code 6802 it comes under
28% tax rate. Clarity on the same may be provided by the
Government
Answer: Chapter 68 covers value added articles of
sandstone etc. which are further worked other than by
way of roughly trimmed or merely cut into blocks or slabs.
Question 48. Whether supply of HSD free of cost for
mining operation would attract GST and whether the
input tax credit would be available for GST so charged by
the Service provider?
Answer: HSD is outside GST and therefore, input tax
credit would not be admissible.
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Question 13: Can a buyer of goods and services pay the
value of services / goods to the supplier and deposit the
GST component of the invoice in the supplier’s account so
that when the buyer claims input credit, he may get the
same cross entry tallied from the supplier’s account?
Answer: No. This option is not available under GST Law.
Question 14: In case there are disputes regarding quality,
weight, etc. between the buyer and the supplier and the
goods are returned fully or partially, as found unfit for
use, can the excess paid tax component be adjusted from
future tax liability?
Answer: In such cases, the supplier may issue a credit
note to the recipient in accordance with the provisions of
section 34(1) of the CGSTAct, 2017.
Question 15: Whether deduction of Liquidity Damage
(LD)/Penalty deduction from contractor’s bills and charging
Penalty for non-lifting of coal till targeted minimum level to
Annual Contractual Quantity (ACQ) will attract GST?
Answer: Yes, it is a service being “tolerating an act” as per
Schedule II of the CGST Act,2017 thus GST shall apply.
Question 16: Will GST be payable at the time of raising an
invoice for supply of goods from a mining lease holder or
it will be applicable on the amount of advance received by
the mining company for booking the order?
Answer: No. As per the provisions of section 12(2) of the
CGST Act, 2017 the time of supply of goods shall be the
date of issue of invoice or the date of receipt of payment,
whichever is earlier. Accordingly, GST would be payable on
advance payment received prior to issuance of the invoice.
Question 40. Education Cess and S&H Education Cess
carried forward in ER-1 – whether eligible for ITC under the
CGST Act, 2017?
Answer: No. Credit of Education Cess and SH Education
Cess cannot be carried forward.
Question 41. What will happen to the balance available in
the current account (PLA) under Central excise, deposited
in cash in advance by any assesse?
Answer: Balance in PLA will not be under transition to GST
since that has not been appropriated to the Government
account which will be determined post completion of the
pending assessment. The same can be claimed as refund
under the Central Excise Law.
Question 42. Whether credit of Green Cess (Clean Energy
Cess) paid on coal and available at the time of transition be
eligible for being carried over?
Answer: No.Credit of Clean Energy Cess cannot be carried
forward on transition.
Question 43. Whether stock held by mining companies on
which Clean Energy Cess has been paid be chargeable to
compensation cess in GST regime?
Answer: Yes.Compensation cess will be charged on supply
of such stock.
Question 44. Can supplies of coal under a particular order
or under FSA (Fuel Supply Agreement) be eligible under
the definition of ‘continuous supply of goods?
Answer: Such supplies are in the nature of continuous
supply as the invoices are raised periodically. The individual
dispatches may be covered under delivery challans and
invoice may be issued for the supplies made during a period
as per the contract.
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Question 17: Will the supplier have to issue “receipt
voucher” against each advance received?
Answer: Yes, as per section 31(3)(d) of the CGST Act, 2017
the supplier has to issue a “receipt voucher” for every
advance received.
Question 18: How do I show the advance received in
GSTR 1?
Answer: Where against an advance the invoice is issued
in the same tax period, the advance need not be shown
separately in Form GSTR-1 but the specified details of
invoice itself can be directly uploaded on the system.
Details of all advances against which the invoices have
not been issued till the end of the tax period shall have
to be reported on a consolidated basis in Table 11 of Form
GSTR-1. As and when the invoices against these advances
are issued, they have to be declared in Form GSTR-1 and
the adjustment of the tax paid on advances against the
tax payable on the invoices uploaded in Form GSTR-1 shall
have to be done in Table 11 of Form GSTR-1.
Question 19: In case no supplies are made against an
advance, will the dealer have to issue a “refund voucher”
only for the advance or for advance including GST?
Answer: Refund voucher has to be made for the full
value of advance, including the amount of GST.
Question 38. Whether an Input Service Distributer (ISD)
will be eligible to distribute the ITC in respect of services
received during April 17 to June 17 even if the invoices are
raised and submitted by contractors after appointed date
i.e. in July 17.
Answer: In terms of section 140(7) of the CGST Act, 2017
the ISD will be able to distribute the available credit even
if the invoices are received after the appointed day.
Question 39. In Table 5(b) of GST-TRAN-1, the details of
Form C, F and H/I are to be given for the period April 15 to
June 17 (i.e. for 27 months) which would be a voluminous
task. Reasons of furnishing the details for last 27 months
may please be clarified?
Answer: In cases where sales were covered by Forms C,
F,H and I, the input tax credit has remained in the account
of the taxpayer because the taxpayer has availed of the
benefit of concessional rate/nil rate of tax on the sale/
stock transfer under CST Act. The benefit of concessional
rate/nil rate is available conditional upon production of
the statutory forms. Therefore,allowing migration of the
credit that has accrued on account of sale/stock transfer
having been made on concessional rate/nil rate should
be given only on production of the statutory forms. Even
otherwise, the taxpayer would have claimed refund of
this ITC and such refund would have been given only on
production of the statutory forms. It has been presumed
that forms for periods before April ‘15 would have either
been presented or the State would have recovered the
additional tax payable on account of non-production of
statutory forms. Production of these forms is a statutory
liability and the taxpayers have already availed the
benefit.
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Question 20: It will be difficult to link between “Advance
Receipt Voucher” and invoices in case of sales billing on
Cash Sale (Rail/Road)/e-Auction etc., especially in case of
Rail Cash sale, where purchasers deposit money in advance
to the tune of many crores for which lifting of coal has to be
made from various loading point and time. In such situation
how will the billing person at one point realize how much
“balance advance” is available for adjustment while raising
invoice at his end at a specific point of time?
Answer: Under GST gross amount of advance is to be
reported and tax has to be paid. Advance can be adjusted
in totality. While raising the invoice subsequent to receipt
of advance, the tax payable will get reduced by the amount
of tax paid on the advance and balance amount of advance
may be adjusted against future supplies.
Question 21: Will GST charged on purchase of all earth
moving machinery including JCB, tippers, dumpers by a
mining company be allowed as input credit?
Answer: The provision of Sec. 17(5) (a) of the CGST Act,
2017 restricts credit on motor vehicle for specified purposes
listed therein. Further, in terms of the provision of Section
2(76) of the CGST Act, 2017 the expression ‘motor vehicle’
shall have the same meaning as assigned to it in Clause (28)
of Section 2 of the Motor Vehicle Act, 1988, which does not
include the mining equipment, viz., tippers, dumpers. Thus,
as per present provisions, the GST charged on purchase of
earth moving machinery including tippers, dumpers used
for transportation of goods by a mining company will be
allowed as input credit.
Question 35. How can we take support during filing of
returns, as huge mines are located throughout the districts
in the country, especially in rural and backward areas, and
the problem will be aggravated as the huge number of
mines are operating without any IT infrastructure?
Answer: Returns may be filed from the central office
of the Company which are usually located in areas with
infrastructure required for filing such returns.
Question 36. Whether GST TDS will be applicable on Works
Contract Jobs (to be renamed as Supply of Services) in case
of PSUs, since such GST TDS U/s 51 (1) of CGST Act. 2017
is applicable on: a) Dept. or establishment of the Central
Govt. or State Govt.; or b) Local authority; or c) Govt.
agencies; or d) Such persons or category of persons as may
be notified by the Govt. on the recommendations of the
Council.
Answer: TDS, under section 51 (1) of the CGST Act, 2017
will apply to supplies made to such agencies as may be
mandated by the Government for TDS. As of now, this
section has not been notified and therefore TDS is not
applicable on any supplies. .
Question 37. What is the requirement for E-way bill for
companies operating in the sector?
Answer: As per rule 138 of the CGST Rules, 2017, till such
time as final rules are issued, the Government may, by
notification, specify the documents that the person in-
charge of a conveyance shall carry while the goods are
in movement or in transit storage. As and when the new
e-way bill rules are notified, the person transporting the
goods shall carry the said e-way bill generated from the
common portal along with the invoice (challan in the case
of movement other than by way of supply).
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Question 22: Whether GST is payable on royalty (to be
paid to Government)for Mining Lease granted by State
Govt.
Answer: Yes, on royalty GST will apply under reverse
charge mechanism. Further, such payment of GST under
reverse charge mechanism would be eligible as ITC in the
hands of the recipient of supply for payment of GST.
Question 23: Is ITC available on hiring of immovable
properties (land, office, warehouse, processing unit,
stock yards) for facilitation of mining operations?
Answer: Yes. GST paid on hiring of land, office,
warehouse, processing unit, stock yards when these
are used in the course or furtherance of business,
would be allowed as ITC.
Question 24: What is the time limit for availing input
credit under GST?
Answer: As per provisions of Section 16(4) of the CGST
Act, 2017 the ITC is not available after the due date
of furnishing the return for the month of September
of the next year or furnishing of the annual return,
whichever is earlier.
Question 25. Would the net outstanding amount of
unutilised input credit be refunded by the Government?
Answer: In terms of the provision of Section 54(3) of the
CGST Act, 2017 subject to conditions, refund of unutilized
input tax credit would be available in respect of zero
rated supply or where ITC has accumulated on account of
rate of tax on inputs being higher than the rate of taxon
the output supply. However, such refund of ITC would
not be available if export duty is payable on the goods so
exported out of India.
Question 32. Will the mining companies be eligible to
take ITC for construction of townships, hospitals and
schools?
Answer: No. Mining companies will not be eligible for ITC
on such activities even if used in course or furtherance of
business. In this connection, the provisions contained in
section 17(5) (c) of the CGST Act, 2017 refer.
Question 33. Are minerals sent for export in processed
or raw form fully exempted from payment of GST or
IGST?
Answer: In terms of the provision of Section 16(1) of the
IGST Act, 2017 export of goods is considered as zero rated
supply. Further, in terms of the provision of Section 16(3)
of the IGST Act, 2017 a registered person may export
goods (i) without payment of IGST against bond/letter of
undertaking and claim refund of unutilised ITC, or (ii) on
payment of IGST,utilising eligible ITC and claim refund of
such IGST.
Question 34. What is the procedure for return of goods
under GST?
Answer: In terms of Section 34(1) of the CGST Act, 2017
in case of return of goods on which GST was paid at the
time of supply, the supplier of such goods may issue a
credit note for the full value, including the amount of GST
in favour of the recipient, and will be entitled to reduce
his output tax liability subject to the condition that the
recipient of such supply has not availed credit of such GST
and if availed, has reversed his ITC on the same.
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Question 26. Will GST charged by tax consultants,
advocates, Chartered Accountants, environmental
consultants, canteen service providers and other service
providers to mining companies be allowed as input credit?
Answer: ITC on any input service/ inputs used in the course
or furtherance of business would be available subject to
restrictions and other conditions as per the provisions
of Chapter-V of the CGST Act, 2017. However, tax paid in
respect of canteen service providers shall not be available
as credit.
Question 27. Whether free issue of coal to employees
paid in course of employment and on the basis of wage
agreement with value below Rs.50, 000/- per employee will
attract GST?
Answer: Gifts not exceeding fifty thousand rupees in value
in a financial year by an employer to an employee shall not
be treated as supply of goods or services or both (as per
Schedule 1 of the CGST Act, 2017). Free issue of coal based
on the wage agreement is not a gift. Therefore, free issue
of coal in this case will attract GST.
Question 28. Can GST charged as per transport bilti on
movement of mineral from mine to the buyer be allowed
as ITC to the buyer irrespective of the ownership of the
transporting vehicle?
Answer: In case of an FOR contract for supply of mineral
from the mine to the buyer, it is a composite supply where
the consideration will be inclusive of the transportation
cost. Therefore, GST on forward charge will be payable by
the supplier of the mineral and credit will be available to the
buyer if otherwise available. The supplier of the mineral will
also pay tax on reverse charge basis on the freight charged
by the GTA and the credit of the same will be available to
the supplier of the mineral.
In case of an ex-works contract of supply, where the GTA
service has been booked by the supplier at the instance of
the buyer and the service is billed by the GTA to the buyer
and the minerals are billed by the supplier of the mineral
to the buyer, then GTA on reverse charge shall be paid by
the buyer who shall be entitled to take credit of the same.
The tax on the mineral will be paid on forward charge by
the supplier of the mineral and credit will be available to
the buyer if otherwise available.
Question 29. Will the situation as mentioned above be
different if the value of mineral is less than the cost of
freight in long distance consignments?
Answer: In the aforesaid example relating to FOR
contract, the supply under the contract shall be classified
as ‘composite supply’ where there is a principal supply
and other supplies are naturally bundled and supplied
in conjunction with each other in the ordinary course
of business. The GST rate of principal supply shall be
applicable in this case i.e. GST rate as applicable to the
mineral.
Question 30. Exploration companies undertake
exploration activities for preparing mining blocks for
auction in different States in the country. They use rigs
for exploration. CENVAT credit was available on rig
operations under the existing law. Will the company be
eligible to take ITC under GST?
Answer: Rigs, capitalized in the books of accounts as
capital goods are used in the course or furtherance of
business. Hence, it will be eligible as capital goods and ITC
will be available under GST.
Question 31. Will ITC be available for holding
Environmental Clearance (EC) and Forestry Clearance
(FC) meetings and for obtaining ‘consent to operate’ the
Mines?
Answer: Yes, ITC on expenses incurred in the course or
furtherance of business shall be available.
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