Input Tax Credit under GST is the most common word associated with the present day taxation regime. Input Tax Credit incorporated in the GST mechanism in order to minimize the cascading effect (tax on tax). In an ideal tax mechanism, taxes never become a part of the cost of a product, until it reaches the ultimate final consumer.
Input Tax Credit commonly known as ITC is the tax that a registered taxpayer pays on procuring goods or services or both and the same can be utilized in order to reduce its tax liability. In simple words, a registered person can reduce the future tax liability by claiming the input tax credit to the […]
In brief my family was met with an major accident in 2010 and my pretty daughter (minor) got 70% permanent disabilities., literally we have lost everything in that accident even my well established business also. Now the court has given my wife ( guardian and claimant of minor) accident compensation amount ( without deduction of any tax as it was recovered by the court thru attachment order because insurance people never came to deposit the amount by themselves) inclusive interest of last 7 years ( 2010 to 2017). Enhancement amount is 35 lacs and interest amount is 15 lacs. The amount was received in august 2011 in which 75% of the amount i.e. 40 Lacs has been fixed by the court in the name of disable minor for next 15 years. Court has given us one facility to take quarterly interes
In order to ensure compliance under GST law various measure has been taken by the government and GST audit is one of them. The GST Audit limit 2 crore has been set by the government, it means if a taxpayer having a turnover exceeding Rs. 2 crore in a financial, it will create an obligation for compulsory audit under GST . The registered person shall electronically file:
Goods and Services Tax (GST) introduced to the Indian economy to bring a new regime of business compliance by subsuming most of the indirect taxes such as excise, VAT, service tax etc. In order to minimize the tax compliances for Start-ups and Small and Medium Enterprises, the government has introduced the concept of Composition levy under GST.
When Audit under GST is required? 1. If Turnover of the registered person crosses the threshold limit for audit under GST i.e. Rs. 2 cr in a financial year 2. An audit by Tax Authorities
GST composition scheme was introduced under the respective State Tax Laws to ensure greater compliance without the need of maintaining records. This scheme was missing under the Service Tax laws. Conditions for opting composition scheme include: The person opting for composition scheme should be a registered person under GST Goods kept in stock should not […]
The provisions contained under the GST Law facilitate easy compliance for self-assessment and payment of taxes. It also provides a detail explanation in relation to the notices, the demand and recovery provisions (cases where a registered taxable person has not paid/short paid the taxes and/or has failed to file required returns).
Not every taxable person is entitled to opt GST composition scheme. Only taxpayers having aggregate turnover less than Rs 100 lakhs (in case of Special category states, the limit is Rs 75 lakh) in a financial Year can opt for composition scheme. The aggregate turnover shall be calculated by considering all business registered with the same PAN number. This article will provide you with what Returns A Composition Dealer needs to File.
Audit under GST law signifies examination of books and accounts of the registered taxable person to vouch for the correctness of information furnished, input tax credit availed, refund claimed and tax liability discharged.
