Sep 032019
 

Due dates for the Month of September 2019
7th
Income Tax
– TDS Payment for August
10th
GST
– Return for authorities deducting tax at source – GSTR 7 for August
– Details of supplies effected through e-commerce operator and the amount of tax collected –
GSTR 8 for August.
11th
GST
– Details of outward supplies of taxable goods and/or services effected – GSTR 1 for August
13th
GST
– Return for Input Service Distributor – GSTR 6 for August
15th
Income Tax
– Advance Income Tax for all assessees

Providend Fund
– PF Payment for August
ESIC
– ESIC Payment for August

20th
GST
– Monthly return on the basis of finalisation of details of outward supplies and inward supplies along with the payment of amount of tax – GSTR 3B for August
– Return for Non-Resident foreign taxable person – GSTR 5 for August
28th
GST
– Details of Inward Supplies to be furnished by a person having UIN and claiming refund – GSTR 11 for August
30th
Income Tax
– Return of Income for others covered under Audit and Companies but other than covered under Transfer Pricing Regulations.
30th
Profession Tax
– Monthly Return (covering salary paid for the preceding month) (Tax Rs. 50,000 or more)
Sensys Technologies Pvt. Ltd.
HO: 904, 905 & 906, Corporate Annexe, Sonawala Road, Goregaon East, Mumbai- 400 063.
Tel.: 022-6820 6100| Call: 09769468105 / 09867307971
Email: enquiry@sensysindia.com | Website: http://www.sensysindia.com
Branches: Delhi & NCR | Pune | Bangalore | Hyderabad | Ahmedabad | Chennai | Kolkata
Visit our BLOG for latest news and updates related to XBRL, Income Tax, HR & Payroll, PF / ESIC / TDS / PT etc.. Click here to visit Sensys BLOG
Aug 062019
 

MSME Concepts

Meaning and definitions:

The Micro Small and Medium Enterprises have been defined under MSME Act, 2006. According to the Act, MSME have been broadly classified in two categories:

  1. Enterprises engaged in the manufacturing and production of goods pertaining to any industry;
  2. Enterprises engaged in providing or rendering services

(a) Manufacturing Enterprises- The enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the industries (Development and Regulation) Act, 1951 and are defined in terms of investment in Plant & Machinery.

(b) Service Enterprises: The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.

Sector Micro Small Medium
Manufacturing <= Rs 25 lacs <= Rs 5 Crore <= Rs 10 Crore
Service <= Rs 10 Lacs <= Rs 2 Crore <= Rs 5 Crore

Cost which are included from calculation of cost of plant and machinery:

  1. Equipment such as tools, jigs, dyes, moulds and spare parts for maintenance and the cost of consumables stores;
  2. Installation of plant and machinery;
  • Research and development equipment and pollution controlled equipment
  1. Power generation set and extra transformer installed by the enterprise as per regulations of the State Electricity Board;
  2. Bank charges and service charges paid to the NSIC or the SSIC;
  3. Procurement or installation of cables, wiring, bus bars, electrical control panels (not mounted on individual machines), oil circuit breakers or miniature circuit breakers which are necessarily to be used for providing electrical power to the plant and machinery or for safety measures;
  • Gas producer plants;
  • Transportation charges (excluding sales-tax or value added tax and excise duty) for indigenous machinery from the place of their manufacture to the site of the enterprise;
  1. Charges paid for technical know-how for erection of plant and machinery;
  2. Such storage tanks which store raw material and finished products and are not linked with the manufacturing process; and
  3. Firefighting equipment.

Objective Udyog Aadhar Memorandum (UAM):

The main purpose of Registration is to maintain statistics and maintain a roll of such units for the purposes of providing incentives and support services. The objectives of registration are as follows:

  1. To enumerate and maintain a roll of small industries to which the package of incentives and support are targeted.
  2. To provide a certificate enabling the units to avail statutory benefits mainly in terms of protection.
  3. To serve the purpose of collection of statistics.
  4. To create nodal centres at the Centre, State and District levels to promote SSI.

The other benefit available for MSME registration are as below:

  • Easy finance availability from Banks, without collateral requirement
  • Protection against delay in payment from Buyers and right of interest on delayed payment
  • Preference in procuring Government tenders
  • Stamp duty and Octroi benefits
  • Concession in electricity bills
  • Reservation policies to manufacturing / production sector enterprises
  • Time-bound resolution of disputes with Buyers through conciliation and arbitration
  • Reimbursement of ISO Certification Expenses
  • Credit prescription (Priority sector lending), differential rates of interest etc.
  • Excise Exemption Scheme
  • Exemption under Direct Tax Laws.
  • Financial Assistance for setting up testing facilities through NSIC
  • Statutory support such as reservation and the Interest on Delayed Payments Act.
  • Subsidy on ISO Certifications
  • Subsidy on NSIC Performance and Credit ratings
  • Participation in Government Purchase registrations
  • Registration with NSIC
  • Counter Guarantee from Government of India through CGSTI
  • Waiver in Earnest Money (Security Deposit ) in Government tenders
  • Stamp duty and Octroi benefits,
  • Weightage in price Preference.
  • Reduction in rate of Interest from banks (Subject to ratings)
  • Free of Cost Government tenders
Feb 052019
 

Tax proposal in Budget 2019

  1. Existing rates of income tax will continue for FY 2019-20. Thus, it is important to note that slab rate for taxing income remains intact.

Thus, slab rates for financial year 2019 -20 will be summarized as below:

Income tax slab Individual Tax Payers (Less Than 60 Years Old) & HUF Senior Citizens (60 Years Old Or More but Less than 80 Years Old) Super Senior Citizens(80 Years Old Or More)

 

Up to Rs 250,000/- NIL NIL NIL
Next up to Rs 300,000/- 5% NIL NIL
Next up to Rs 500,000/- Rs 2,500/- + 5% 5% NIL
Next up to Rs 10,00,000/- Rs 12,500/- + 20% Rs 10,000 + 20% 20%
More than Rs 10,00,000/- Rs 1,12,500/- + 30% Rs 110,000/- + 30% Rs 100,000 + 30%
  • On the above cesses @ 4% and surcharge at the rates as may be applicable are extra.

The above rates are also applicable for salaried class individuals for deducting income from their salary for financial year 2019-20.

  1. Individual taxpayers having taxable annual income up to Rs 5 lakhs will get full tax rebate.

Impact of above proposal:

As a result, even persons having gross income up to Rs 6.50 lakhs may not be required to pay any income tax if they make investments in provident funds, specified savings, insurance etc. (No tax is payable on initial income of Rs 250,000 + Deduction under section 80C can be claimed up to Rs 150,000 + Rebate on income tax payable on further income of Rs 250,000 can be claimed for income earned in FY 2019-20.)

In fact, with additional deductions such as interest on home loan up to Rs 2 lakh, interest on education loans, National Pension Scheme contributions, medical insurance, medical expenditure on senior citizens etc, persons having even higher income will not have to pay any tax.

Effect of above amendment:

Now in financial year 2019-20 individuals earning up to Rs 650,000/- are no longer needs to pay tax if they invest Rs 150,000/- in eligible investments as mentioned under section 80C.

However, in case individual is earning anything more than Rs. 650,000/- then he needs to pay tax at normal rates as per slab rates applicable to him as mentioned in point no 1 above.

It is worth to note here that for financial year 2019-20 the amount of rebate is increased and slab rates are kept intact. Thus, income tax will be computed normally as per slab rates applicable to individuals first and thereafter rebate in computed for those whose taxable income (Gross income minus Deduction allowable w.r.t. investments) is less than Rs 500,000/-.

The above rule may be explained in below cases:

Case No Taxable total income Tax payable
1 Rs 500,000/- NIL
2 Rs 500,100/- Rs 12,500/- + 4% Cess
  1. In case of salaried persons standard deduction is raised from Rs 40,000 to Rs 50,000

This effect of this amendment is that in case of all salaried class individual from financial year 2019-20 onwards an additional deduction of Rs 50,000/- in computing income from salary income.

  1. Now income tax will be not levied under the head “Income from House Property” in case of an individual is having 2 self occupied houses.

Impact of above amendment is that now onwards from financial year an individual can claim two of his properties as self occupied and may claim his assumed rental income as NIL or even negative in can a running loan is there on that property. This loss can be set off against the income from salary also.

  1. TDS deduction limit on interest earned on bank / post office deposits is being raised from existing Rs 10,000 to Rs 40,000. Thus, in FY 2019-20 no TDS will be deducted by bank or post office on interest earned by depositors for interest income up to Rs 40,000/-

It was observed that in large number of cases retired individuals have to file their return of income as their annual interest income on deposits are high to get refund of TDS deducted on their interest income with no other income. Now this amendment is being made to relief compliance burden from such individuals.

  1. TDS deduction limit on rental income is to be increased from existing Rs 1,80,000 to Rs 2,40,000. Thus, TDS on rental income up to Rs 2,40,000/- is TDS free now for FY 2019-20.
  2. Rollover of capital gains under section 54 of the Income Tax Act will be increased from investment in one residential house to two residential houses for a tax payer having capital gains up to Rs 2 crore.
  3. For making more homes available under affordable housing, the benefits under Section 80-IBA of the Income Tax Act is being extended for one more year, i.e. to the housing projects approved till 31st March, 2020.
  4. It is proposed to extend the period of exemption from levy of tax on notional rent, on unsold inventories, from one year to two years, from the end of the year in which the project is completed.
Dec 242018
 

TDS procedure under GST

Legal background:

NN 50/2018 read as follows:

In exercise of the powers conferred by section 1(3) of the CGST and in supercession of the notification of the Government of India in the Ministry of Finance, Department of Revenue No. 33/2017-Central Tax, dated the 15th September, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 1163 (E), dated the 15th September, 2017, except as respects things done or omitted to be done before such supersession, the Central Government hereby appoints the 1 st day of October, 2018, as the date on which the provisions of section 51 of the said Act shall come into force with respect to persons specified under clauses (a), (b) and (c) of sub-section (1) of section 51 of the said Act and the persons specified below under clause (d) of sub-section (1) of section 51 of the said Act, namely:-

  1. an authority or a board or any other body, – (i) set up by an Act of Parliament or a State Legislature; or (ii) established by any Government, with fifty-one per cent. or more participation by way of equity or control, to carry out any function;
  2. Society established by the Central Government or the State Government or a Local Authority under the Societies Registration Act, 1860 (21 of 1860);
  3. public sector undertakings.

GST – TDS compliance in essence:

  • Recognize transaction on which TDS is to be deducted
  • Undertake TDS deduction under GST,
  • File GST-TDS returns,
  • Issue GST-TDS certificates and
  • Take-up all other entailing compliances

GST – TDS recognition provision:

Who will Deduct TDS:

a)           a department or establishment of the Central Government or State Government; or

b)          local authority; or

c)           Governmental agencies; or

d)          such persons or category of persons as may be notified by the Government on the recommendations of the Council.

The Central Government vide Notification No. 33/ 2017-Central Tax, dated 15th September, 2017 notified the persons under clause (d) of section 51(1) namely: –

(i)           an authority or a board or any other body, –

(a)   set up by an Act of Parliament or a State Legislature; or

(b)  established by any Government,

with 51% or more participation by way of equity or control, to carry out any function;

(ii)         society established by  the  Central  Government  or  the State Government or a Local Authority under the Societies Registration Act, 1860 (21 of 1860);

(iii)       public sector undertakings;

Transaction on which GST – TDS will be deducted:

GST TDS will be deducted in case contract value > Rs 250,000/-

Applicable rate of GST-TDS deduction:

Nature of Supply Rate of TDS
Intra-State supply (1% CGST + 1% SGST)
Inter-State supply 2% (IGST)

Practical issues:

Issues Solutions
Whether for the purpose of TDS deduction:

1.     Value of the whole contract is to be considered or

2.     Individual invoices even if each such invoice is raised for < Rs. 2,50,000/-

Value of the whole contract for the supply of goods or services has to be considered.
What is included in term “Value” to consider whether contact is liable for TDS deduction or not? Value of supplies excluding CGST/ SGST/ UTGST/ IGST and cess.
Whether GST – TDS shall be deducted on retention amount? GST-TDS has to be deducted on the value including any retention monies withheld.
Whether GST – TDS forms part of cash ledger of deductee? Yes. However same is being route through Part C of FORM GSTR – 2A.
GST – TDS deducted on accrual basis? Either at the time of payment or credit to the account of deductee which ever is earlier.

Dec 042018
 

GST paid under wrong heads – IGST instead of CGST / SGST

Relevant provision of GST laws:

IGST Act

CGST / SGST / UTGST

Section 19 (1) A registered person who has paid integrated tax on a supply considered by him to be an inter-State supply,

–  but which is subsequently held to be an intra-State supply,

shall be granted refund of the amount of integrated tax so paid in such manner and subject to such conditions as may be prescribed.

(2) A registered person who has paid central tax and State tax or Union territory tax, as the case may be, on a transaction considered by him to be an intra-State supply,

–  but which is subsequently held to be an inter-State supply,

shall not be required to pay any interest on the amount of integrated tax payable.

Section 77. (1) A registered person who has paid the Central tax and State tax or, as the case may be, the Central tax and the Union territory tax on a transaction considered by him to be an intra-State supply,

–  but which is subsequently held to be an inter-State supply,

shall be refunded the amount of taxes so paid in such manner and subject to such conditions as may be prescribed.

(2) A registered person who has paid integrated tax on a transaction considered by him to be an inter-State supply,

–  but which is subsequently held to be an intra-State supply,

shall not be required to pay any interest on the amount of central tax and State tax or, as the case may be, the Central tax and the Union territory tax payable.

Implications of Section 77 of the CGST Act read with Section 19 of the IGST Act

It is possible for taxable person to come across situations where he has paid the wrong nature of tax viz, CGST and SGST / UTGST in lieu of IGST and vice versa. Therefore, such incorrect payment of tax, if any, should be identified and ought to be considered appropriately.

A plain reading of Section 77 of CGST Act and Section 19 of IGST Act, 2017 (which are pari- material as reproduced above), a reasonable inference can be drawn that the provisions of the said sections shall apply only in a situation where an adjudicating authority holds an interstate transaction as intra-state transaction or visa versa.

A situation where parties themselves decides that wrong tax has been charged and paid would not fall within these two provisions, whereas the effect of it must be given through table 9A of GSTR 1 read with GSTR 3B.

Section 77 of the CGST Act provides for the adjustment of taxes paid incorrectly. Where a registered person has considered a transaction to be an intra-State supply and paid CGST and SGST/UTGST, but it is subsequently held to be an inter-State supply and IGST is liable to be paid, the registered person, is required to pay IGST on such transaction. The registered person is entitled to claim refund of CGST and SGST/UTGST paid on the transaction.

In such situations interest is not payable by virtue of Section 77(2) of the CGST Act and 19(2) of the IGST Act, 2017.

Similarly, where the registered person has considered a transaction to be an inter- State supply and paid CGST and SGST/UTGST, but it is subsequently held to be an intra-State supply and CGST and SGST/UTGST is liable to be paid, the registered person is required to pay the applicable CGST and SGST/UTGST on such transaction.

In this situation also, it is to be noted that interest is not liable to be paid when the correct tax is paid.

Nov 202018
 

Who is auditor under GST?

Requirements as to audit under GST:

By provisions of Section 35(5) read with Section 44(2) and other related provision, it indicates that appointments of auditors are subject to conditions and limitations that are specified / prescribed. On an understanding and analysis of these provisions the following facts emerge:

  • Every registered person whose turnover during a financial year exceeds the prescribed limit shall get his accounts audited:
    • by a Chartered Accountant; or
    • by a Cost Accountant.
  • The registered person is required to submit electronically a copy of the:
    • Audited annual accounts;
    • Annual return in the prescribed GSTR 9 (refer Appendix 2 for GSTR 9);
    • Reconciliation statement, duly certified, reconciling the value of supplies declared in the return furnished for the financial year along with the audited financial statement in GSTR 9C (refer Appendix 3 for GSTR 9C); and
    • Such other particulars as prescribed; on or before the 31st day of December following the end of the financial year.
  • Such documents are to be submitted electronically through the common portal either directly or through a Facilitation Centre notified by the Commissioner

Restrictions on appointment of auditor:

Relative or employee of the registered person:

The GST Laws do not prohibit a relative or an employee of the registered person being appointed as an auditor under Section 35(5) read with Section 44(2) of the CGST Act and the corresponding Rule 80(3) of the CGST Rules.

It may, however, be noted that as per Code of Conduct under clause (4) of Part I of Second Schedule, a chartered accountant who is in the employment of a concern or in any other concern under the same management cannot be appointed as auditor of that concern.

Further, as per the decision of the Council, a member who is not in full time practice cannot carry out attest function on and after the 1st of April 2005.

Therefore, an employee of the registered person or an employee of a concern under the same management cannot audit the accounts of the registered person under Section 35(5) read with Section 44(2) of the CGST Act and the corresponding Rule 80(3) of the CGST Rules.

Disclosure of interest of CAs with entity:

It may also be noted that under the Second Schedule to the Chartered Accountants Act, if a member furnishes / gives an audit report in the case of a concern in which he and / or his relatives have substantial interest, it will be necessary for him to disclose his interest in the audit report. This is equally applicable to audit under section 35(5) read with Section 44(2) of the CGST Act and the corresponding Rule 80(3) of the CGST Rules.

Internal auditor can not be a GST auditor:

An announcement is made on 28th September 2018 clarifying that the council of the Institute of Chartered Accountants of India, in its 378th meeting clarified that “an Internal Auditor of an entity cannot undertake GST Audit of the same entity.

Audit fees:

The turnover (aggregate turnover) of a registered person, quantum of tax paid, refunds envisaged etc., cannot be a basis for fee to be charged. Fees cannot be fixed, based on the percentage of trading profits or any such method.

 

Nov 172018
 

Detailed analysis of credit notes and debit notes under GST

Meaning of terms Financial credit notes:

A taxable person may issue a credit note reducing the value of original supply without tax attributable to the reduction claimed. Such credit notes are referred as ‘financial credit notes’.

When financial credit note is issued by a supplier, it would adjust turnover of the original supply and hence the revenue recorded in the books of accounts. However, such credit note would not be declared in the returns under the GST law.

Introduction to Credit Note and debit notes under GST:

In terms of Section 34 of the CGST / SGST Act, 2017 the supplier of goods and / or services is permitted to issue credit notes and debit notes in very specific situations which is summarized in the following manner:

Credit notes Debit notes
taxable value or tax charged in the tax invoice is found to exceed the taxable value or tax payable.  taxable value or tax charged in the tax invoice is found to be less than the taxable value or tax payable.

 

 

Goods supplied are returned by the recipient.
Goods and / or services or both supplied are found to be deficient.
Pre-agreed discount given after issue of invoice subject to conditions.

Situations where credit note can be issued:

  1. Reducing taxable value or tax payable on an earlier supply.
  2. Reducing the taxable value without affecting the tax involved in the amount of such reduction, i.e., financial credit notes
  3. Verify the fact that whether credit notes issued are correctly reported in GSTR 1, it would leave a trail for verification and compliance in due course.

Impact of financial credit notes in annual returns:

There would be difference in revenue as per the audited annual financial statements and the turnover reckoned for purpose of GST returns.

The value of such credit notes should be declared against Pt. II Sl. No. 5J as ‘credit notes accounted for in the audited Annual Financial Statement but are not permissible under GST’.

This Pt.5J goes to increase the revenues as appearing in the audited financial statements (minus of a negative value would be a plus).

It is concluded from the above that credits notes not admissible under GST will attract incidence of GST. And for this reason, it is not advisable to issue such credit notes that omit to adjust the tax involved in the reduction sought to be made to the  value of original supply.

Impact of GST credit notes on Annual return:

The credit notes issued under the provisions of Section 34 viz., mentioning the value of taxable value and the tax payable thereon as well is not required to be declared in the reconciliation statement in Form GSTR – GSTR 9C  for the reason that such credit note would have already been declared in the monthly returns / annual returns.

Situations under which the financial credit notes are issued:

  • Discounts offered post supply: The discount issued by the supplier after effecting supply of goods and / or services if not in terms of the provisions as specified under Section 15(3) of the CGST / SGST Act, 2017, the supplier cannot claim the reduction in the output tax
  • Credit notes issued in relation to exempt supplies, zero-rated supplies and non-GST outward supplies Credit notes issued for claiming reduction in the taxable value shall be declared against Pt. II No. 5J of Form– GSTR 9C.
  • Credit notes issued after expiry of the time limit specified under the GST law: In terms of Section 34 of the CGST / SGST Act, 2017, a supplier cannot issue a credit note any time after either of the following 2 events:
    • Annual return has been filed for the FY in which the original tax invoice was issued; or
    • September of the FY immediately succeeding the FY in which the original tax invoice was issued (i.e., for a tax invoice issued in April 2018 as well as a tax invoice issued in March 2019, the relevant credit notes cannot be issued after September 2019;

Compliances and treatment of financial credit notes: The financial credit notes issued by a taxable person should not be declared either in the monthly returns filed in Form GSTR 3B or outward supply statement filed in Form GSTR – 1 since, it does not involve adjustment of output tax payable. This infers that the financial credit notes would also not be declared in the annual return filed in Form GSTR – 9.  In as much as the reconciliation statement in Form GSTR 9C is concerned such financial credit notes may be required to be declared for the reason that the value of credit notes are given effect in the revenue of the audited annual financial statements. Therefore, such credit notes whether issued in terms of Section 34 or otherwise, should be declared against  Pt. II of Sl. No. 5J of the Form GSTR 9C.

Nov 112018
 

International Tourist under GST

Tourist meaning under IGST act –

As per section 8 of IGST act –

Subject to the provisions of section 10, supply of goods where the location of the supplier and the place of supply of goods are in the same State or same Union territory shall be treated as intra-State supply:

Provided that the following supply of goods shall not be treated as intra-State supply –

(i)       Supply of goods to or by a Special Economic Zone developer or a Special Economic Zone unit;

(ii)     Goods imported into the territory of India till they cross the customs frontiers of India; or

(iii)    Supplies made to a tourist referred to in section 15

As per section 15 of the IGST act the term “tourist” means a person not normally resident in India, who enters into India for a stay of not more than six months for legitimate non-immigrant purposes.

Thus, tourist is a person to come to India for non immigrant purpose.

Scope of taxation under GST:

All the supplies made to tourists are inter-State supplies in accordance with Section 8 of the IGST Act, 2017 and accordingly are levied to integrated tax.

Benefit to tourist under GST:

The integrated tax paid by tourist leaving India on any supply of goods taken out of India by him shall be refunded in such manner and subject to such conditions and safeguards as may be prescribed.

Thus, anything sold to tourist on which IGST is paid by him refundable to tourist in case the goods are not consumed by him within India and same is taken by him out of India.

On what supplies refund is claimable:

The tourist can claim refund of integrated tax only on the supply of goods taken out of India. The tourist cannot claim the refund of tax paid on the supply of goods consumed in India or on supply of services.

Composite supplies to tourist:

If the principal supply is of the goods, then same will be eligible for refund, though the element of service could be involved.

Mixed supplies to tourist:

In case of Mixed Supplies comprising of goods, or goods & services, if  the supply of goods attracts highest rate of tax, then same will be eligible for  refund.  However, if the mixed supply consists of only services, then the same will not be eligible for refund.

Oct 112018
 

Whether Intermediary Services can be exported under GST

Meaning of intermediary services Section – [Section 2(13) of IGST act]:

Intermediary means a broker, an agent or any other person, by whatever name called,

  • who arranges or facilitates the supply of goods or services or both, or
  • securities, between two or more persons, but
    • does not include a person who supplies such goods or services or both or securities on his own account

Thus, the definition of intermediary is wide enough to include broker as well as agent. The only requirement is that its scope is limited to facilitation of trade.

Case:

Now the question arises that the services provided by an intermediary located in India to a non resident outside India is export of services or intra-state supply or inter-state supply?

Analysis:

  • Point of supply in case intermediary services [section 13]:

Section 13(8) – The place of supply of the following services shall be the location of the supplier of services, namely:––

(a) …….

(b) intermediary services;

(c) …….

Thus, in respect of intermediary services place of supply is the location of supplier. Since the place of supply and location of supplier both are in India and hence services by intermediary services are not export of services within the meaning of section 2(6) of IGST act.

Advance ruling [Global Reach Education Services Pvt. Ltd]:

In the given case the applicant was promoting the foreign university and was helping them in enrolling Indian students. In providing the promotional services, the promotional company was charging commission/fee from the foreign university. Citing the above section in this case AAR decided that in the given case intermediary services are not export of services.

  • Whether intermediary services are inter-state supply:

In the given case location of supplier and place of supply both are in the same state and hence it becomes an intra-state supply.

Whether the intermediary services provided by a banking company to its offshore account holders be treated as an intra-State supply or an inter-State supply for payment of GST?

With the same logic such services are also not export of services.

Impact:

  • Benefit of section 16 (export being zero rated) is not available to such intermediary and all services are taxable at full rate.
  • However, with the same logic import of this services is outside the preview of GST and not GST is payable on it. Means all exports are taxable and all imports are tax free.
  • This, essence is encouraging import and discouraging export.

 

Oct 052018
 

Due dates for the Month of October 2018
7th
Income Tax
– TDS Payment for September
10th
GST
– Details of outward supplies of taxable goods and/or services effected – GSTR 1 for September
– Return for authorities deducting tax at source – GSTR 7 for September
– Details of supplies effected through e-commerce operator and the amount of tax collected –
GSTR 8 for September
13th
GST
– Return for Input Service Distributor – GSTR 6 for September
15th
Providend Fund
– PF Payment for September
ESIC
– ESIC Payment for September
15th
GST
– Details of inward supplies of taxable goods and/or services effected claiming input tax credit – GSTR 2 for September
18th
GST
– Return for compounding taxable person – GSTR 4 for April to September
20th
GST
– Monthly return on the basis of finalisation of details of outward supplies and inward supplies along with the payment of amount of tax – GSTR 3 for September
– Return for Non-Resident foreign taxable person – GSTR 5 for September
28th
GST
– Details of Inward Supplies to be furnished by a person having UIN and claiming refund – GSR 11 for September.
31st
Profession Tax
– Monthly Return (covering salary paid for the preceding month) (Tax Rs. 50,000 or more)
31st
Income Tax
– TDS / TCS Quarterly Statements (Other than Government deductor) for July to September
Sensys Technologies Pvt. Ltd.
904, 905 & 906, Corporate Annexe, Sonawala Road, Goregaon East, Mumbai – 400 063.
Tel.: 022-66278600 | Call: 09769468105 / 09867307971
Email: enquiry@sensysindia.com | Website: http://www.sensysindia.com
Branches: Delhi & NCR | Pune | Bangalore | Hyderabad | Ahmedabad | Chennai | Kolkata
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