GST Compulsary - NO
Rule says that you will get set off of GST if you are registered under GST. Even I registered myself under GST, though my TO is less than 20 Lacs. I get benefit of GST whenever I receive any product or services in connection with my business. If I am not having GST No. then I can not claim offset of GST for receipt of goods or services for my business. But I can continue to do my business without GST No. also, because my TO is less than Rs. 20 Lacs. more
Viewed by 597
View all 8 comments Below 8 comments
No GST Credit can be availed if you are NOT Registered. Once you are Registered, irrespective of turnover below 20L, you are required to Levy GST in your Invoice, pay it to the Govt (net of Credit availed), file required returns. There is NO ambiguity. more
Nov 30
A trader or supplier with turnover below 20 lakhs - IS A SMALL TRADER. For him, being non registered is a big problem. Neither is he able to get refunds on certain raw material bought( with GST PAYMENT) for his own production, PLUS such a small trader gets step motherly treatment from larger buyers who shun such SMALL traders who do not have GST certification. With the result the very idea of the BJP GOVT to help small traders/ manufacturers or start ups IS NON IMPLEMENTABLE/ NOT PRACTICAL. Hence "make in india" is a failure for millions of small suppliers, traders, manufacturers- WHO WANT TO MINIMISE THEIR ADDITIONAL EXPENSES- by paying high charges FOR GST COMPLIANT CAs, as they find the whole GST REGISTERATION OR NON REGISTERATION process - a futile experience, with a number of small industries- either having shut down or making both ends meet- very difficult - for them. And with no forum avaliable to explain our problems. the feedback or support - from GST dept is also lacking. This is the opinion of a number of my known supplier/manufacturer friends. more
Nov 29
Dear Mr Goel, There is no agreement . It is automatic for every one irrespective of how much he earns. My contention is that even if the commission is Rs 100 then 100x18/118 is to be paid to the government. The government is losing few crores every month because of this non compliance. Your views please. more
Nov 28
Let me try to answer the question Mr Prabhakar has raised. 1. Let us assume you have purchased something for your production purposes. This something, let us say, costs Rs.100/- and carries a GST on it, to 18%. That means, you have to pay Rs.118/- whether you are a registered trader or not. 2. Now, suppose you are a registered trader. You use the purchased item for producing your product and then supply that produced product to your client at, say, Rs.200/-. You charge a GST, say, at 18% working out to Rs.36/- or in other words you collect, Rs.236/-. 3. You pay a GST to the government amounting to Rs.36 - Rs.18 which you paid earlier, net payable Rs.18/-. Total 36/-. This is paid by your client. Who may claim this amount when he sells his product. So net GST paid by you, Rs.0/- 4. Suppose you are not registered. You will raise a bill to your client without GST. That is, Rs.200/-. You pay no GST to government. But You have already paid Rs.18/- when you bought the item for making the product. So, total net GST paid by you, Rs. 18/-. 5. Your client will, however, pay GST on your behalf to the government. This would amount to Rs.36/- and this he may reclaim when he charges GST to his client. This clause is not fully implemented for all services. But is valid and is implementable at any point of time. When you are less than Rs.20 laks in turnover, you need not have a registration. But there is no big advantage. You may also raise your queries at India Tax Payer forum. more
Nov 27
Mr Shantha Kumar Ji please see again as here Mr Prabhakar Ayer has not raised any question. Mr Prabhakar has only explained beautifully the legal position if a person if he gets himself registered under GST. Mr Prabhakar's post is a suggestive post not a querry or question. more
Nov 28
Dear Prabai Biswas If you are registered under GST and if you receive a commission for your service,the service receipientt(MF AMC) has to pay you GST. That means if Rs.100 is the commission as per the agreement,they have to pay you Rs.118 and Rs.100 is your TO. If the commission agreement or distribution agreement says that the commission paid is inclusive of GST the if you receive Rs.100 then 84.74 is your commission and 15.26 is GST and your TO is 84.74. So check the distribution agreement. more
Nov 27
