GST ALERT!!!

Goods Transport Agency (GTA)

GTA has given 2 options to pay under Forward charge

a.     5% Wit0hout ITC
b.      12% With ITC

Where GTA not exercise the options to pay under Forward charge, then recipient have to pay under RCM.


Key exemptions withdrawn in RCM for GTA:

Earlier GST need not to be paid under RCM if,

a.     Gross amount charged for transportation for a consignment transported in a single carriage does not

exceed Rs. 1,500 or

b.     Consideration charged for transportation of all such

goods for a single consignee does

not exceed Rs. 750.

With effect from 18-July-2022, the above exemptions were removed. GST needs to be paid under RCM, if the recipient is liable to pay GST under RCM for GTA services.

An addition to RCM ambit !!!

Renting of Residential Property and GST Impact
Vide notification No 04/2022 dated 13-07-2022, exemption provided for “Renting of property for residential purpose” were withdrawn and GST is introduced under Reverse Charge Mechanism in this regard.
As per the notification, if the residential property is given on rent to a “Registered person under GST” then GST needs to be paid under RCM.
S No
Supplier (Owner)
Recipient (Tenant)
Purpose
Who’s liable to pay

1

Registered Person

Registered person

Residential

Recipient, i.e. Tenant

2

Registered Person

Unregistered

Residential

GST not applicable

3

Unregistered

Registered person

Residential

Recipient, i.e. Tenant

4

Unregistered

Unregistered

Residential

GST not applicable

Eligibility of ITC:
The company takes a residential property on rent for use by its employees, such use is in furtherance of the business by the company, then GST paid under RCM can be claimed as ITC.

Rise in price of Pre-packaged &

Labelled goods !!!

As per Notification no 06/2022 dated 13th July 2022, for the following items if Goods are sold in Pre-packaged and labelled then GST will be applicable, earlier if the following products were sold without put up in Unit container and sold without Brand name are exempt.

Curd, Lassi, Butter milk

New GST Rate

5%

Existing GST Rate

0%

Chena or

paneer

New GST Rate

5%

Existing GST Rate

0%

Natural

Honey

New GST Rate

5%

Existing GST Rate

0%

Wheat and

meslin

New GST Rate

5%

Existing GST Rate

0%

All goods [other than

fresh or chilled]

New GST Rate

5%

Existing GST Rate

0%

Rye, Barley, Oats,

Maize (Corn)

New GST Rate

5%

Existing GST Rate

0%

Rice, Grain sorghum,

New GST Rate

5%

Existing GST Rate

0%

All goods i.e. cereals

New GST Rate

5%

Existing GST Rate

0%

Dried  leguminous   vegetables, shelled, whether  or  not skinned or split

New

GST Rate

5%

Existing GST Rate

0%

Dried makhana, whether or not shelled or peeled

New

GST Rate

5%

Existing GST Rate

0%

Buckwheat, millet and canary seed; other cereals such as Jawar, Bajra, Ragi

New

GST Rate

5%

Existing GST Rate

0%

Cereal flours other than of wheat or meslin i.e. maize (corn) flour, Rye flour, etc.

New

GST Rate

5%

Existing GST Rate

0%

Meal, powder, Flour flakes, granules and pellets of

potatoes

New

GST Rate

5%

Existing GST Rate

0%

Meal and powder of the

dried leguminous

vegetables

New

GST Rate

5%

Existing GST Rate

0%

Cereal groats, meal and pellets, including suji and dalia

New

GST Rate

5%

Existing GST Rate

0%

Jaggery of all types including Cane Jaggery (gur), Palmyra Jaggery; Khandsari Suga

New

GST Rate

5%

Existing GST Rate

0%

Wheat or

meslin flour

New

GST Rate

5%

Existing GST Rate

0%

Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content, frozen, whether or not sliced or in

the form of pellets

New

GST Rate

5%

Existing GST Rate

0%

Puffed rice, commonly known as Muri, flattened or beaten rice, commonly known as

Chira, parched rice, commonly known as khoi, parched paddy or rice coated with sugar or gur, commonly known as Murk

New

GST Rate

5%

Existing GST Rate

0%

1 Comments

  • topic learned clearly

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