FAQs on GST

Question   Is GST registration open for new users before July?

Answer     No.

Question   How would GST work with regards to Cinema halls? Can you please share some details?

Answer    Admission to Cinema hall for the exhibition of a film is a supply and GST is leviable on the value of supply for such admission.

Question   Whether a separate GSTIN would be allotted to a registered person for deducting TDS (he has PAN and TAN as well)?

Answer     Separate registration as supplier and tax deductor is required.

Question   What are the list of formats of composition schemes?

Answer

Sr. No.	Form No.	Description
1	GST CMP-01	Intimation to pay tax under section 10 (composition levy) (Only for persons registered under the existing law migrating on the appointed day)
2.	GST CMP-02	Intimation to pay tax under section 10 (composition levy) (For persons registered under the Act)
3	GST CMP-03	Intimation of details of stock on date of opting for composition levy (Only for persons registered under the existing law migrating on the appointed day)
4.	GST CMP-04	Intimation/Application for withdrawal from composition Levy
5.	GST CMP-05	Notice for denial of option to pay tax under section 10
6.	GST CMP-06	Reply to the notice to show cause
7.	GST CMP-07	Order for acceptance / rejection of reply to show cause notice

 

Question  Can input credit of SGST of one state be used to pay output SGST of  another state? Can it be used to pay IGST of another state?

Answer  One State SGST to another State SGST – No

One State SGST to another State IGST – Yes

Question  Implication on manufacturing under excise notification no 49 & 50 of year 2003 Will they also be paying CGST?

Answer    Yes, in GST regime, there is no provision for area based exemptions and thus CGST would be payable which can be recovered from customers

Question  Current VAT6%, GST 18%, if I charge 18% GST to my customer on my existing Stocks the price goes up > MRP or margin finished?.

Answer    Excise component would be embedded. Besides, Cascading of VAT over   Excise too possibly present, resulting in likely total incidence of ~18%.

Question  What is the GST rate on textile and readymade garment?

Answer    Textiles GST rate, including that for readymade garments, yet to be considered and recommended by the GST Council.

Question  GST Registration starting from 1st June, is it also opening for people who had no registration before, no VAT /no ST etc & want to register fresh in GST?

Answer   15 days’ window will be opened for migration of existing registrants only.

Question  Can one invoice contain both taxable as well as exempted supplies?

Answer    No. As for exempted items, bill of supply is required to be issued.

Question  How job worker will avail ITC on inputs recd from supplier and adjust against supply because ITC reflect in GSTR2 of principal.

Answer   ITC is on inward supply received on a duty paying docx. Inputs supplied for job work belongs to principal and so is the credit thereof

If principal makes a supply, in a particular situation, job worker, such supply gets reflected in GSTR2 and job worker gets ITC.

Question   Are the cesses additive or multiplicative? i.e. 28% GST and 15% cess =   43% or 1.28×1.15 => 47.2%?

Answer    The cess will be additive

Question  GST Regn starting from 1st June, is it also opening for people who had no  registration before, no VAT /no ST etc & want to register fresh in GST?

Answer    It is only for migrating assessees.

Question   In respect of exports, will GST be directly credited to a/c.or rebate papers have to be filed?

Answer Refund / Rebate application is to be filed after processing of which eligible amount would be directly credited to bank account.

Question   Whether Electricity co. can avail ITC on Dry Fly ash/other taxable goods/services whereas electricity is out of GST

Answer ITC is allowed only if engaged in taxable supplies.

Question Whether invoice to be raised by Head office to branches on salary charges incurred by Head office

Answer   No, services by employee to employer shall be treated neither as supply of goods nor of services.

Question do you know when to expect the final GST return formats and corresponding APIs for the same?

Answer   GST Return forms are likely to be finalized in the 15th GST Council meeting scheduled to be held on 3 June 2017.

Question what will be the position of SSI Exemption Limits on Excise duty now CGST. SSI units are back bone of our Economy

Answer  No separate limit for excise duty exemption in GST. Anybody w aggregate turnover up to Rs.20 lakh (10 lakh in Special Category) is exempt.

Question  What is the rate of GST for purchase of flat?

Answer  Rate of GST on purchase of flat before completion is 12% of value including value of land.

Question On formulations GST will be on MRP or at sale price?

Answer  No concept of payment of GST on MRP basis.

Question  Restaurant with annual turnover upto 20lakhs are exempted under GST. Is it correct?

Answer  Anybody with aggregate turnover of up to Rs. 20 lakh (Rs. 10 lakh in Special Category States) is exempt except cases listed in Sec 24, CGST

Question What is GST rate for apparels and readymade garments?

Answer GST Rate for readymade garments and apparels are yet to be finalized by the GST Council.

Question Do registered dealers have to upload sale details of unregistered dealers also in GSTR1?

Answer   Generally not. But required in case of inter-State supplies having invoice value of more than Rs 2.50 Lakhs.

Question  Will there be GST in A& N Islands – previously there was no VAT..?

Answer  Yes. For supplies within A& N, CGST plus UTGST would be leviable

Question What will be the impact of closing stock which has been already paid vat on 1st July?

Answer The supplier would be eligible to carry forward ITC on such stock and would be liable to pay GST when supplied in new regime.

Question What will be the impact of GST on coal? Will the clean energy cess on coal go or stay?

Answer  Clean Environmental Cess on coal will continue in form of GST Compensation Cess.

Question Whether maritime commissioner will be there for rebate and refund on export, in GST regime? If not, how rebate be sanctioned?

Answer    Refund will be sanctioned by the jurisdictional Commissioners of GST.

Question What would be implications of gst for jewellery retailers? At present 1% vat for sale will be diff in GST?

Answer    Rates are yet to be finalized by the GST council