GST and it’s Impact on Employer, Employee

A specific exemption was notified under service tax for services rendered by an employee to an employer. Employees all over the country should be relieved that the same exemption has been continued as the opening entry in Schedule III of the Central Goods and Services Tax (CGST) Act — services by an employee to the employer in the course of or in relation to his employment shall never be treated as supply of either goods or services. As far as the employer is concerned, Schedule I of the CGST Act states that gifts not exceeding Rs 50,000 in value in a Read more


Rs 5000/- per day or Rs 150,000/- per month?

The most discussed topic under GST is probably the reverse charge mechanism. In particular, Section 9(4) which reads as follows:   (4) The central tax in respect of the supply of taxable goods or services or both by a supplier, who is not registered, to a registered person shall be paid by such person on reverse charge basis as the recipient and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to the supply of such goods or services or both.   In essence, any Read more


NON-STOP NOTIFICATIONS

As too many things are happening on GST at the same time, everyone is finding it difficult to absorb the heaps of information being cast upon them at regular intervals. To add to the confusion, the CBEC has commenced the activity of issuing Notifications. One can expect a flood of Notifications soon.   One of the biggest disappointments is that the CBEC has not thought of simplyfing the Notifications. Every Notification has the following :   In exercise of the powers conferred by……. on being satisfied that it is necessary in the public interest so to do, intra-State supplies of Read more


GETTING READY FOR GST

As per the latest decision of the GST Council, GST will be introduced in India from July 1st. It is going to be launched on 30th June 2017 midnight. This, despite the fact that taxpayers have no idea how the portal would work save for some screen-shots which ask more questions that they answer. The GST Council has made an announcement that the GSTR 1 form, with invoice-wise details, which has to be filed by the 10th of the month following the assessing month has to be filed by September 5 and for August by September 20. A new form Read more


BIDDING GOODBYE TO EXISTING INDIRECT TAX LAWS

There is enough literature on the pluses and minuses of GST- this article doesn’t want to add to the literature. Instead, it shall focus on bidding adieu to the Central Excise Act, Finance Act 1994 and VAT Acts of State Governments. Though these Acts will continue to be used for goods and services that have not been subsumed under GST (petroleum products) and for the existing cases pending, they will no longer be used on a day to day basis from July 1st.   Central Excise Act The Central Excise Act is the oldest of the lot-it has lived for Read more