GST Rule 86B Exemption Denied as Neither Firm Nor Individual Partners Paid ₹1 Lakh Income Tax

In re Aadinath Agro Industries (GST AAR Rajasthan) Rajasthan Authority for Advance Ruling (AAR) has ruled that M/s Aadinath Agro Industries, a spice processing firm, is not eligible for an exemption from Rule 86B of the Central Goods and Services Tax (CGST) Rules, 2017, despite the combined income tax paid by the firm and its partners exceeding the specified threshold. The ruling, In re Aadinath Agro Industries (GST AAR Rajasthan), emphasizes a strict interpretation of the rule, which mandates cash payment of at least 1% of monthly GST liability for taxpayers with a taxable turnover exceeding ...