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Goods & Services Tax (GST)

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1 For
09850850800 GST May 18
examination
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LEVY, COLLECTION & PAYMENT
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Goods Services
Sec 2 (52) Sec 2(102)
Collection
LEVY Person Liable
MEANS
TIME OF SUPPLY to Pay
Charging Event Any kind of
movable property
Anything other
than goods
Description Sec 12- TOS - Goods Sec 13 - TOS - Service
Intra - State (Sec 8) Inter-State (Sec 7) EXCLUDES
Normal
Charge
Sec 12(2)
-Invoice
Sec 13(2)
(a) Invoice within time : (i.e.30 days or 45 days)
Normal ECO u/s
Where LOS & POS are in a Where LOS & POS are in a Charge 9(5)
Same State or UT

Location of Supplier (LOS)

Different State or UT

Place of Supply (POS)

Supply Money
Securities
- Last date of Invoice
- Payment received whichever is
earlier
- Date of invoice
- Payment received whichever is earlier
(b) Invoice not within time :
- Date of completion
Supplier
Reverse
Charge

- Payment received whichever is earlier

Supply Inter -State Supply Levy of IGST INCLUDES INCLUDES (c) if not (a)&(b); date on which receipt shown in
Import Supply When to say export for benefits u/s 16. books of accounts.
Inter State within India outside India
Actionable Claims Separate consideration is
Export goods means taking out of India Reverse Sec 12(3) Sec 13(3)
Growing Crop etc charged Use of Money Passenger transport Accommodation
Sec 7(1) : Location of supplier & Sec 7(2) : Imported into territory of India Sec 7(5)(a) : Supply 10(a) place outside India. Charge - Date of receipt of goods - Date of Payment
Conversion of money Service by cab or for lodging or residential
Place of Supply till it cross custom frontiers of goods where Comment : - Date of Payment - 61st day from invoice date Motorcycle purpose in hotels, inn,
- Two different States Comments : location of supplier is 1) For supply of export goods there is no - 31st day from invoice date whichever is earlier guest house etc.
any specific condition for receipt of whichever is earlier Proviso - If all 2 above do not apply - date of book
Supply - State & UT 1) Import goods means bringing into in India & place of
amount in convertible foreign
of - UT to UT India from aplace outside India. supply outside India. Proviso - If all 3 above do not entry 100% tax payable by ECO
exchange. apply - date of book entry
Goods Comments : 2) IGST is payable as ACD 3(7) or ACD Comments :
2) Supply is treated as export supply
1) Location of supplier of goods is 3(9) under Customs Act 1) As per Sec 11
not defined, hence normally it 3) Value - As per provisions of Customs POS for export even though goods are supplied to Sec 7(1)=Supply Includes Sec 7(2)(a)=Supply Excludes excess amt. Proviso to Sec 12(2) or 13(2) - TOS to the extent of such excess payment received at (Whether Cab operator is Hotel is Hotel is
includes a place from where act [Refer circular for high sea sale] goods is location another establishment of a same upto 1000 option of supplier shall be date of issue of invoice related to such excess payment registered or not) registered not
goods are dispatched 4] Place of Supply shall be determined outside India person.
Voucher 12(4)/ 13(4) registered
2)Place of supply shall be as per Sec 11 (i.e. location & Schedule III (Transaction not (a) Supply against voucher identifiable – Date of issue of voucher
determined as per Sec 10 importer) be treated as supply) (b) Other case – Date of redemption ECO is not ECO is
Sec 7(3) Location of supplier & Sec 7(4) : Supply of Service imported Sec 7(5)(a) : Supply Export of service Sec 2(6) Supply of goods / Services with consideration Supply of goods / service without liable to liable to
Residual case 12(5)/ 13(5)
place of supply into territory of India. of Services where 1) Supplier of service located in India consideration [Deemed supply] 1 Service by an employee to the employer in the (a) Periodic return has to be filed – Date when return required to be filed pay tax pay tax
Supply - Two different States Comment :
of location of Supplier 2) Recipient of service located outside course of or in relation to his employment. (b) Other case – Date of tax payment
- State & UT 1) As per Sec 2(11) import of service of Service is in India India Normally The ECO of the service
Service -UT to UT where (i) SS located outside India. Schedule I Interest, late 12(6)/ 13(6)
& Place of Supply 3) Place of supply is outside India. Sec 7(1) (a) Sec 7(1) (b) Import of Services 2 Service by any court / tribunal established if the ECO does not have a any person representing the
Comments : i)Recipient located in India outside India. 4) Amount received in convertible foreign under any law for time being in force fee or penalty Date on which supplier receives such interest, late fee or penalty on delayed payment physical presence in the ECO for any purpose
All forms of supply of goods / services in the taxable territory
1) Location of supplier of service ii) Place of supply in India Comment : exchange Note : It does not includes Arbitral tribunal. taxable Territory
is defined u/s 2(15) : 2) Place of supply shall be determined
1 Permanent transfer or disposal of business asset Note : Date of payment received means Date of book entry or bank realisation — whichever is earlier
1) Place of supply 5)Services not supplied own Import of service for consideration where ITC has been availed on such assets. if the ECO does not have a the ECO shall appoint a person in
2) Place of Supply Shall be as per Sec 13 shall be establishment. whether or not in the course or 3 a) Functions performed by MP / MLA etc. physical presence or does the taxable territory for the
determined as per Sec 12. 3) If supplier in non-taxable territory & determined as Such as In the course of furtherance furtherance of business b) Duties by person on constitutional post Sec 14- Change in Rate of Tax (CRT) (applicable to both supply or goods & services) not have a representative purpose of paying service tax and
recipient in taxable territory then Made or Agreed to For consideration 2 Supply of such goods / services or both
per Sec 13 of Business [Sec 2(17)] - Between related person c) Duties by person on body established by for any purpose in the such person shall be liable for
IGST is payable under reverse be made Import of Service (Analysis) govt as a director chairperson or member. Sec 14 (a) 12% CRT 18% 12% CRT 18%
If completion
•Sale - Distinct person (as per sec 25) taxable territory, paying service tax.
charge, except OIDAR service to In case a S S before CERT
•Transfer When made in the course or furtherance of business
NTOR a b Any activity or transaction 4 Services of funeral, burial, crematorium or taxable TOS TOS
then Sec 2(45) : E Commerce Operator - means any person who owns,
4) Valuation as per Sec 15 of CGST Act. •Barrier •There is an Note : Gift by employer to employee more than ` 50,000 in
Any trade, Profession Adventure Wager Any Other With Without mortuary including transportation of service has operates or manages digital or electronic facility or platform for
agreement a financial year,called as supply. 12% CRT 18%
•Exchange commerce, vocation similar In connection or Incidental or Ancillary to consideration consideration deceased. ben supplied TOS is on date of electronic commerce
•An advance (ii)
•Licence before the S
POS of Goods •Rental
has been manufacture activity with 3 Supply of goods
a) By principle to his agent who undertakes the supply on behalf
5 Sale of land & building other than change in TOS
invoice or receipt
whichever is
received Sub - Clause (a) In the Not in Related/ Other para 5(b) of schedule II. effective rate earlier.
•Lease the distinct cases of principle. 12% CRT 18%
Whether or not for pecuniary benefit. course or
POS of goods other POS of Goods •Disposal For supply of furtherance course or person b) By an agent to his principle where agent undertakes to receive (iii) S
such goods on the behalf of principle. 6 Actionable claims other than lottery,
than import or export (Sec 10) imported or exported (Sec 11) goods / provision c Any activity or transaction in nature of Sub Clause (a) of business furtherance + Non betting & gambling. TOS
d Supply or acquisition of goods including
of service capital goods & service in connection with
of business In the
course or
Taxable
4 Import of service by a taxable person from related person outside 12% CRT 18% If completion Reverse Charge
Sec 2(31) for consideration Whether or Not India or from any of his other establishment outside India in the Sec 14(b) after CERT then
furtherance S
Sec 10(1) Sec 10(2) Import Export Commencement or Closure of business of business course or furtherance of business. Sec 7(2)(b)= Notified In case a
a b There is a volume, frequency, continuity or regularity of such transaction. Taxable taxable service
TOS
TOS is on date of
If POS cannot be activities by Government has been invoice or receipt
determined as per Sec 10(1) : Location Place Any payment The monetary e Provision by a 12% CRT 18% 12% CRT 18%
f Admission for a consideration of Related person (Explanation to Sec 15 of CGST act) Sec 25 : Deemed Distinct person supplied after (ii) whichever is later.
apply Rules as may be prescribed. of Importer outside India made or agreed value of any act or S S But if invoice &
person to any premises
Clause Condition Place of Supply
to be made whether forbearance i Such person are officers or directors of one
A Person
the change in TOS TOS receipt occurred 9(3) 9 (4)
in money or otherwise Club or Association or Society or Any Such body another business As per N/N 14/2017 - Central Tax (Rate) effective rate before CRT then
(a) Movement involved-supply directly be Location at which movement of goods -Inrespect of Supply -Inrespect of
ii Such person are legally recognised partners in business
Services by way of any activity in relation to a of tax 12% CRT 18% TOS is on invoice or Notified
iii Such person are employer & employee Who has obtained or Required to obtain (iii) receipt whichever is
supplier to recipient terminates for delivery to recipient -Inresponse to of goods/
services
-Inresponse to of facilities or benefits for it’s members.
iv An person directly or indirectly owns, controls or holds
function entrusted to a Panchayat under article S
TOS
earlier. Cases Unregistered
(b) Movement involved-Supply where goods Principal place of business of third -For inducement -For inducement 243G of the Constitution, shall be treated
are delivered at direction of third person person
g Services supplied by a person as a holder of h Services provided by a race club by way
of totalisator or a licence to book maker
25% or more of o/s voting stock or shares of both of them
v One of them directly or indirectly controls the other
neither as a supply of goods nor a supply of Proviso to Date of Payment shall be date of credit in book in following cases
to Registered
excludes an office which has been accepted by him 25 (4) 25 (5) Registration in service.
(c) Movement not involved Location of goods at time of delivery in such club vi Both of them are directly or indirectly Date of i)Entry in books Credit in Bank
1) Any subsidy given by central or state govt. More than 1 registration CRT/First
Any activity or transaction under taken controlled by 3rd person Payment
(d) Goods are assembled or installed at site Place of installation or assembly 2) Deposit unless supply applies such deposit In course or furtherance Profession Vocation i
by CG/SG/ local authority in which they vii Together they directly or indirectly control a 3rd person
State or Union territory (UT)
I) Credit in bank after 4 working days from date of CRT Date of payment = Date of Suspended
as consideration for the said supply. of his trade or They are members of the same family.
(e) Goods supplied on board or conveyance Location at which goods are taken on
are engaged as public authorities. In 1 State or In 1 UT or More than 1
state or UT
In respect of establishment ii) Payment is made by way of an instrumetn credit in bank
till 31.03.18
board or conveyance
Has establishment in another
Shall in respect of each registration
POS of Services Schedule II : Activities to be treated as State or Union territory
Be treated as distinct person Goods Services
supply of goods or services The Such establishment
Sec 13 - POS where LOS or LOR of services is outside India Be treated as distinct person Notified Goods Notified Services under CGST, SGST & IGST
Sec 12 - Pos where LOS and LOR of Services in India
Sec Description of Service Place of Supply S.N. Description Supplier Recipient Description of Services Person liable for payment of GST under RCM
Sec Condition Place of Supply
1. Cashew Nuts Agriculturist Reg. Person
Supply to 13(2) All services other than covered POS = LOR 1. Service by an Insurance Agent to a person carrying insurance business located in taxable territory Insurer carrying life or general insurance business.
Supply to unregistered person Para 1 : Transfer Para 2 : Land & Para 3 : Treatment Para 4 : Transfer Para 5 : Following Para 6 : Composit 2. Bidi Wrapper Agriculturist Reg. Person
registered person in 13 (3) to 13(13) default Rule if LOR is not available = POS = LOS
of goods Building or process of business asset activities always supply treated as 3. Tobacco Leaves Agriculturist Reg. Person 2. Services by any recovery agent to a banking company, Such banking company, Financial institution or NBFC
Default rule for all services (i) Address in records exists – LOR 13(3) Supply on services on- Goods POS = Place of performance Any treated as supply of supply of service Financial Institution or NBFC in a taxable territory.
12(2) physically made available by Exceptions : 4. Silk yarn Manufacturer Reg. Person

}
except covered in 12(3) to 12(14) (ii) Address in records does not treatment or service under GST 4A Used vehicles; seized or SG, SG, Reg. Person Services in relation to transportation of goods by road by GTA(who has not paid CGST 6% &
3. Notified person who is liable to pay freight
exists– LOS recipient or (i) Electronic Means - Location of Permanent transfer Temporary
- Individual physically present Goods process which a Renting of immovable a Works contract confiscated goods, old used, UT or SGST 6%), where person who pays freight is Note : GTA liable in following cases
12(5) Training and performance Place of performance 1) Transfer Transfer Any lease, Any lease, is applied to of Business Asset transfer of Also refer a) Any factory. b) Any registered Society . c) Any Co-operative Society d) Any person registered 1. If notified person located in non-taxable territory.
(ii) Imported temporarily for repairs property scrap and waste Local Authority
appraisal of title in of right in tenancy, letting of another person If goods as a part of business assets b Restaurant, chart below under GST e) Body corporate or; f) Partnership firm, (including LLP & AOP) f) Any CTP 2. If person liable to pay freight is not falling under notified categories.
& exported without use in India b Construction 5 Supply of Lottery SG, UT, Local Lottery
- POS 13(2) LOR goods goods or easement, building goods the asset are If goods as a catering or any
12(7) Organisation of events including Place where event is actually held
2) Transfer undivided license to including of complex, building, Authority distributor or 4. Sponsorship Service to any body corporate or partnership firm located in taxable territory. Such body corporate or Partnership Firm located in a
ancillary services, sponsorship If held outside India – POS = LOR POS permanently transferred part of business supply of service selling agent Taxable territory.
13(4) Supply of service directly on POS = Place where immovable of Title in share in occupy commercial, civil structure
Location of Supply of or disposed off with or asset are put to where food/drink
such registered immovable property (includes property located or intended to be Goods on goods land industrial of complex, building 5. Services by Arbitral to business entity in a taxable territory Such business entity.
12(8) transportation of goods including Place where goods are handed over Service without consideration any private use is supplied for
mail or courier for their transportation person experts renting, architect, located.
future date without complex for or are used for
intended for sale to buyer.
consideration. GTA Service Services by an individual advocate including a senior advocate by way of representational
interior design etc.) But in following case 6. services before any court, tribunal or authority, directly or indirectly, to any business entity
(Ex. Hire transfer Supply of business / Supply of Goods. any purpose Such business entity.
12(9) Passenger transport service Place where person embarks on the 13(5) Admission/Organisation to POS = Place where event is it shall not be treated Payment of GST@ 12% (6%+6%) Payment of GST@ 5% (2.5%+2.5%) located in the taxable territory, including where contract for provision of such services has
Exception : Right to passage conveyance for continuos Journey
Purchase) of title in Service commerce Note : Transfer of other than with full ITC of GTA without ITC to GTA
events including ancillary actually held goods as supply. been entered through another advocate or a firm of advocates or by a firm (including LLP) of
– POS as per 12(2) business Assets business with
services
Supply of Supply of When entire consideration Para 7 : advocates, by way of legal services, to a business entity.
without consideration or without GTA Services to GTA services to Service provided Service provided
12(13) Insurance service LOR of service in records of goods Supply of Service – has been received Unincorporated
13(6) Supply of service u/s 13(3), POS = Taxable territory If ITC taken supply as consideration Any Registered any unregistered to registered to unregistered 7. Any Services provided by Government or Local authority to business entity other than renting Such business entity.
insurance Co. (4),(5) in multiple taxable Entire contract in taxable territory Service - after completion certificate / AOP / BOI &
per schedule I person under GST Person person person of immovable property
territory – - It’s 1st occupation their members
12(3) S e r v i c e d i r e c t l y r e l a t e d t o Place where immovable property is located or intended to Note : Sale of land & building If ITC not taken supply Supply of Reverse charge
immovable property including be located whichever is earlier. supply of goods GST is payable GTA Service Service If services If services 8. Services by director of a company or body corporate to the said body corporate Such company or body corporate
13(7) Supply of service u/s 13(3), POS = supply in each respective not treated as supply as per as per Schedule II service is applicable & provided to provided
agents, experts, lodging n hotels, c Temporary transfer of IPR by UAOP/BOI to under normal provided to provided
(4), (5) more than 1 state/UT state schedule 3 other than construction recipient who notified to other
inn, accomodation for functions & if immovable property located outside India - LOR charge by notified person to any other 9. Supply of Services by way of transfer or permitting use or enjoyment of a copyright covered
Note : If any person ceases to be a d Development, design, their members pays the person unregistered A Publisher, Music company, producer or the like, located in the
ancillary services intended for sale [of para 5(b)] GTA above (a to f) unregistered
freight is under sec 13(1)(a) of Copyright Act, 1957 relating to original leterary, dramatic, musical or
13(8) Supply by banks/FI/NBFC to POS = Location of supplier of taxable person then goods forming for person. (above a to f) person taxable territory
programming, customisation liable to GST artistic works by An Author, Music composer, Photographer, Artist to a Publisher, Music
12(4) Restaurant cottage, personal Place where service is actually performed. A/c holders service
part of business asset shall be deemed consideration GST is payable located in
- Intermediary services of information Tech. Software under normal Exempt taxable Exempt company, Producer or the like, located in the taxable territory.
grooming fitness, beauty to be supplied unless :-
- Hiring all means of transport e Agreeing to the obligation to Supply of goods charge by Territory
treatment, health services 10. Supply of Service by Members of Overseeing committee to Reserve Bank of India (RBI)
including plastic surgery upto 1 M other than vessel or (i) Business is transferred as going refrain from an act or to GTA Reserve Bank of India (RBI)
concern to another person. Reverse
Aircraft tolerate an act. charge is
12(6) Admission to events or Place where event actually held or park is located.
Transportation of goods other POS = Place of destination of
(ii) Business is carried on by personal f T. ransfer of right to use any applicable Notified Services only under IGST
amusement park 13(9) representative who is taxable person. above notified
than mail or courier goods goods for any purpose for Note : Read this chart with exemption if service is 11. Any service supplied by Any person from a non taxable territory to Any person other than non
person is liable to Any person located in taxable territory
cash, deferred payment or provided by GTA to unregistered person. taxable online recipient (NTOR)
12(10) Supply of telecom services pay GST
including data transfer, 13(10) Passenger transport service POS = Place where passenger other consideration.
broadcast, cable or DTH embarks for continuos journey 12. In respect of services provided or agreed to be provided by way of transportation of goods Person in India who compiles with section 29,30 or 38 read with
(a) Fixed lease or cable line (a) Location of installation
13(11) On board supply of services POS = First scheduled point of Sec 8 : Composite Supply & Mixed Supply by a vessel from a place outside India up to the customs station of clearance in India By
Person located in non-taxable territory To Person located in non taxable territory
section 148 of the Customes Act, 1962 (Custom broker or Shipping
departure of conveyance company who submit manifest and arrival report.)
(b) Postpaid mobile, internet, (b) Billig Address exists- LOR Amendment
DTH Billing address do not exists - LOS The tax liability on a composite or a mixed supply shall be determined in the following manner, namely:
13(12) OIDAR Service POS = Location of Recipient
(c) Prepaid mobile, internet, DTH (c) Supply through agent/distributor (a) a composite supply comprising two or more supplies, one of which is a principal supply, shall be treated as a supply of such principal supply; and
- Address of agent/distributor supply to final consumer Sec 16 : ZERO RATED SUPPLY Important Definition
- Location of payment recvd. or voucher sold. (b) a mixed supply comprising two or more supplies shall be treated as a supply of that particular supply which attracts the highest rate of tax.
1. “zero rated supply” means any of the following supplies of goods or services or both, SEC 2 (56) “INDIA" Means Sec 2(84) “Person” - includes means a supply of goods or services or
2(108) :
(d) In all other cases (d) LOR if address available otherwise LOS namely:–– both which is leviable to tax under this
Definition - Composite Supply Definition - Mixed Supply a) Territory of India as reffered to in article 1 of Constitution (a) An Individual (g) Any corporation established by or under Taxable Supply
-LOR (a) Export of goods or services or both; or (k) Central Government or a Act
Proviso - Prepaid - electronic (The territory of the Union of India viz., state and the union any Central Act, State Act or Provincial Act or State Government
payment (b) supply of goods or services or both to a Special Economic Zone developer Mixed Supply as per Sec 2 (74) : means territories.) (b) A hindu undivided family a Govt. company as defined in clause (45) of
Composite Supply as per Sec 2 (30) : means a supply made by a taxable 2(78) :
means a supply of goods or services or
or a Special Economic Zone unit. person to a recipient consisting of Ü Two or more individual supplies of goods or services or b) Its section 2 of the Companies Act, 2013 both which is not leviable to tax under this
12(12) Banking & Financial Sector LOR if address available in records of (c) A Company (l) Society as defined under Non-Taxable
2. Credit of input tax may be availed for making zero-rated supplies, notwithstanding that such Ü two or more taxable supplies of goods or services or both any combination thereof Ü Territorial Water, Ü seabed and Act (i.e. CGST Act) or under the
including stock brooking supplier else, LOS (h) any body corporate incorporated by or the Societies Registration Act, Supply
supply may be an exempt supply. (except block credit) or any combination thereof Ü Made in conjunction with each other by a taxable person for Ü sub-soil underlying such waters, Ü continental shelf, (d) A Firm
Integrated Goods and Services Tax Act
under the laws of a country outside India 1860
Ü which are naturally bundled and a single price Ü exclusive economic zone or
12(14) Advertisement services to Govt. or Each of such state/UT where advertisements broadcasted, 3. A registered person making zero rated supply shall be eligible to claim refund under either
Local authority run, played. of the following options, namely Ü supplied in conjunction with each other in ordinary course Ü Where such supply does not constitute a composite supply (e) A limited Liability Partnership (m) Trust
Ü any other maritime zone as defined in the Territorial (i) A co-operative society registered under
(a) He may supply goods or services or both under bond or Letter of Undertaking, without of business one of which is a principal supply Waters, Continental Shelf, Exclusive Economic Zone any law relating to co-operative societies
and Other Maritime Zones Act, 1976 (f) An association of persons or a body of (n)Every artificial juridical
payment of integrated tax and claim refund of unutilised input tax credit; or Illustration.— (Goods + Service) Where goods are packed and transported with insurance, the Illustration.— A supply of a package consisting of canned foods, sweets, chocolates, cakes, dry fruits, aerated
LOS : Location of supplier c) The air space above its territory and territorial waters individuals, whether incorporated or not, person, not falling within any
supply of goods, packing materials, transport and insurance is a composite supply and supply of goods drinks and fruit juices when supplied for a single price is a mixed supply. Each of these items can be supplied (j) A local authority of the above
LOR : Location of Recipient (b) he may supply goods or services or both, on payment of integrated tax and claim refund in India or outside India
separately and is not dependent on any other. It shall not be a mixed supply if these items are supplied separately GS
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POS : Place of Supply of such tax paid on goods or services or both supplied, is a principal supply;
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