To determine the value on which GST would be levied has been described in the Chapter IV of CGST ACT, 2017. The Provision says that there are five items such as taxes under other statutes, interest or late fee for the delayed payment of consideration, incidental expenses, subsidy etc, which should be included in the transaction value. There is one exclusion i.e. Discount which should be excluded from the Transaction Value. However there are certain transactions (such as barter, exchange, transaction with related parties, transaction between principal and agent) for which we have to refer to the valuation rule prescribed under GST Act. Different scenario under which we have to refer Valuation rule has been provided in the PPT enclosed. Detailed provisions of Transaction Value u/s 15 of the CGST act are as under:
Lok Shaba has passed Four Bills on 29.03.2017 namely CGST, UTGST, IGST, Compensation (to State) relating to Goods and Service Tax (GST). RajyaSabha also passed these 4 bills on 05.04.2017.
