74 Latest FAQs on GST as replied by GOI twitter handle

Question No. 1: I am restaurant owner and also have supply of some other services worth Rs. 1 lakh. Am I eligible for Composition scheme ?

Answer: No. Please refer to Section 10 of CGST Act.

Question No. 2: Challan for Job work in farm ITC-04 needs to be filed by 25th of next quarter. Is there any provision of relaxation in it?

Answer: Yes. Please refer to the Notification No. 51/2017-Central Tax

Question No. 3: What is taxable value in case of export under LUT or bond as shipping bill show taxable value not applicable in filing GSTR 1. Which value whether FOB value or CFR /CIF or invoice value consider as taxable value?

Answer: Valuation needs to be done on basis of Section 15 of CGST Act & Chapter IV of CGST Rules. The same would be mentioned on tax invoice raised in accordance with rule 46 of CGST Rules.

Question No. 4: Hi, I have a software solutions firm & I also supply service to few clients situated out side of India & they pay me via services like @paypal @trasferwise. Do I have to apply GST on the invoices & if yes, how many? Is there any bond I have to supply? PLEASE HELP!!]

Answer: Export of services can be done, with or without payment of iGST, as per section 16 of the IGST Act.

Question No. 5: Are the government agencies and government bodies exempted from GST?? Is there a notification to this effect?

Answer: No.

Question No. 6: From which date, I will make export transaction with pay 0.1% IGST. This facility for all exporter?

Answer: Kindly refer to Notification No. 41/2017—integrated Tax (Rate)

Question No. 7: We are a private ltd co registered in India. Our Parent company is in Europe. We supply ITES services to our parent co in Europe. Query: Whether the services provided by us to our parent co will be treated as Export Services as per GST Act..? Please clarify?

Answer: No as they will be treated as distinct entity

Question No. 8: I am a transporter and does not need to get registered in GST. But, I do business with registered persons. Do I have to maintain any details?

Answer: Yes. Please refer to Chapter VII – Accounts & Records of CGST Act.

Question No. 9: I need advance ruling on my business (supply)? Online process is not working. Need guidance.

Answer: Manual application can be given. Please refer to Notification no. 55/2017-Central Tax. A new rule 107A has been added for the same. 

Question No. 10: I am supplying services to Nepal/Bhutan and receiving consideration in INR. Will I have to pay IGST on such supplies?
Answer: Supply of services to Nepal/Bhutan for which consideration is received in INR have been notified as exempt. Therefore No tax is required to be paid.

Question No. 11: Will I have to reverse ITC on supply of services to Nepal/Bhutan on which consideration is received in INR?

Answer: No. Supply of services to Nepal/Bhutan for which consideration is received in INR are exempt supplies but need not be added to the turnover of exempt supplies for the purpose of calculation of amount of ITC to be reversed.

Question No. 12: I am a real estate developer registered in Delhi. I have received a contract for developing a project in Haryana. Do I need to register in Haryana?

Answer: No. As per section 7(3) of the IGST Act, such supplies are ISGT supplies.You need not take any registration in Haryana but you need to charge IGST on your works contract services.

Question No. 13: I am a real estate developer registered in Delhi. I have a sales office in Mumbai, Chennai and Kolkata. Do I need to take registration in Maharashtra, Tamil Nadu and West Bengal?

Answer: yes as the sales office will be treated as distinct entity providing service to the registered office in Delhi

Question No. 14: My supplier has also provided transportation of my goods. How much tax do I need to pay on the transportation charges?

Answer: Depends upon terms of contract. Normally, it will be part of supply of goods and will be subject to same tax rate as goods.

Question No. 15: Can Banks issue a consolidated invoice?

Answer: Banks/Financial Institutions have the option of issuing a consolidated invoice for supplies made during the month at the end of the month.Alternatively, banks have to issue their invoices within 45 days of the provisions of supplies.

Question No. 16: What will be the treatment of supplies received by individuals but later reimbursed by the employer?

Answer: Such supplies would be treated as consumed by the supplier. The transaction would be treated as a supply to consumer and no credit will be available to the employer on these transactions.

Question No. 17: Some States are asking for e-way bills. Has the e-way bills been notified?

Answer: The e-way bill rules have been notified but will be implemented in a staggered manner from 2018. However, in the intervening period, States are free to continue with their existing e-way bill structure.

Question No. 18: If the ECU is in the same state, will the supplier to ECU levy CGST/SGST or IGST?

Answer: Supply to EOU are treated as deemed exports but levy would depend upon nature of transaction

Question No. 19: Will refund of IGST on exports be allowed for deemed exports?

Answer: Notification No. 49-CGST may be referred. Refund willbe available to the supplier.

Question No. 20: if our tour operator only book hotel for his customers how GST is to be charged? Can he opt for 5% rate of tour operate?

Answer: if the tour operator acts as a pure agent then he may charge 5% on his own commission whereas the hotel will charge the applicable rate on its own services.

Question No. 21: GST paid wrongly in interest head instead of correct tax head. No option is available in GST Act to off set tax liability except paid further to get credit in cash ledger. What to do?

Answer: In such cases refund of cash ledger may be sought.

Question No. 22: Is FTWZ under GST?

Answer: Yes, FTWZ is under GST and all taxes leviable in SEZ under GST are also applicable on FTWZ.

Question No. 23: I am located in Delhi. My recipient is in Gujarat but asks me to get goods delivered in Delhi. Should I charge IGST/CGST/SGST?

Answer: You need to charge CGST/SGST as per provisions of section 10(a) of the IGST Act, 2017

Question No. 24 :Will I get credit if I distribute a part of my output as free supplies?

Answer: Free supplies are not supplies as per GST law and hence no ITC is required. You need to reverse credit for the same.

Question No. No. 25: If services rendered & bill is raised befor 01/07/2017 but payment received now with Service tax (following receipt basis). Whether to pay Service Tax or GST. Please Guide.

Answer: If service tax has been charged on a supply, then GST will not be Leviable under Section 142(11)(b) of the CGST Act, 2017.

Question No. No. 26: Sir, if someone is not providing proper bill and charging GST on blank/rough page, as a consumer what can we do?

Answer: You can approach the jurisdictional authority to give a complaint.

Question No. 27: GSTR-3B amendment in only after submitted return but not after filing return?

Answer: No GSTR-3B can not be amended after filing of return

Question No. 28: How can I know my GST jurisdictional officer to submit my refund application as per Notification No. 17/17/2017 dated 15.11.2017?

Answer: Please refer to 02/2017 Central Tax dated 19/06/2017

Question No. 29: late fees for GSTR-3B for first three months had been waived and and fees already paid was going to be reflected in cash balance, but no such cash balance under any head is being reflected?

Answer: This will be available shortly

Question No. 30: Are we supposed to file GSTR-2 for July?

Answer: Details about filing of GSTR-2 will be notified on a future date.

Question No. 31: How to receive refund from previous regime of CBEC at Cenvat Credit of my pre-deposit?

Answer: Refund under existing laws, will be provided under provisions of the existing Acts only. You may contact your jurisdictional authorities for this.

Question No. 32: Our company gave late payment to supplier who has raised a debit note to us for interest along with GST @ 18% against delayed payment. Is IGST applicable on such payment?

Answer: Yes. GST is leviable on interest or late fee or penalty for delayed payment of any consideration. Please see section 15 of CGST Act, 2017

Question No. 33: If we have to sell vehicle to employee and the amount of vehicle had already recovered from their salary as EMI then what will be invoice value for GST?

Answer: Since this transaction is not in furtherance of business then such transaction would not be considered as supply.

Question No. 34: if GST paid under wrong head can not be refunded at the moment at least they should allow to swap with other head?

Answer: Such cases may be handled through amendment of GSTR-3B return and subsequently claim cash ledger refund.

Question No. 35: Can I take Input Tax Credit of tax paid on reverse charge?

Answer: Yes

Question No. 36: Can tax liability arising out of reverse charge be discharged from available ITC?

Answer: No tax liability arising out of reverse charge can only be paid from the cash ledger.

Question No. 37: CMP-03 form is compulsory for migrated dealer or for new dealer who opt composition scheme or for both?

Answer: Yes, CMP-03 Form has to be filed by everyone whom files an intimation under sub-rule (1) of Rule 3.

Question No. 38: When the facility for filing GSTR-1 for Aug-2017 to Oct-2017 will be available on GST portal? Due date is 31^st Dec. as per recent notification for below /above 1.5 crore kindly guide?

Answer: The facility to file quarterly GSTR-1for taxpayers will turnover less than Rs. 1.5 Crore will be available soon.

Question No. 39: Is IGST payable under RCM on consultancy fee paid to a lawyer located outside India for services rendered abroad?

Answer: In case, the service provider is outside India and the recipient of such service is in India, then RCM will be applicable.

Question No. 40: Is registration compulsory on inter state movem.ent of goods?

Answer: Yes, the facility of exemption ·from registration on inter sta·te supply is available only for service provider and certain goods like handicrafts. All other suppliers of goods need to be compulsory register if they are making inter-state supplies

Question No. 41: I have set up a stall at Trade Fair. I have not brought any goods for sale. I am just booking orders on advance the delivery of which will happen directly from my place of business to the customers. Is there any GST liability/registration required at the time of booking orders at Trade Fair?

Answer: No GST liability arises at the time of booking orders/receiving advances. Liability to pay GST will arise at the time of issuing invoice for delivery of goods from place of business.

Question No. 42: I have used 100 units of inputs in manufacturing process during which 20 units of inputs go to waste. Do I need to reverse credit on the 20 units of wasted input?

Answer: No, there is no need for reversal of inputs which are used in the manufacturing process and end up getting wasted/destroyed.

Question No. 43: Is there any liability to pay GST on advance received by a works contractor?

Answer: Yes, works contractor have been defined as services in GST Act. Therefore, GST is payable at the time of receipt of advance.

Question No. 44: I am located in New Delhi. I procure goods on behalf of my custome located at Bombay from a supplier in Kanpur who raises bills in my name but delivers goods directly to Bombay. What will be GST Treatment?

Answer: IGST will be payable by the supplier in the Kanpur on invoice raised to you in Delhi. You will take ITC of the IGST so paid and take credit. You will issue invoice to buyer in Bombay and charge IGST.

Question No. 45: Do I need to take registration if my turnover is Rs. 10 lakhs. What to do about migration from service tax?

Answer: No. registration is not required for service providers if aggregate turnover is less than Rs. 20 lakhs. If migrated from service tax, then please use Form REG-29 to cancel your registration.

Question No. 46: if my turnover goes from below Rs. 20 lakhs to above Rs. 20 lakhs in FY 2017-18, when am I required to take registration?

Answer: You must apply for registration as soon as turnover crosses Rs. 20 lakhs. You will be liable to pay tax on all taxable supplies made from the effective date of registration.

Question No. 47: During transition, can I take CGST credit of VAT paid earlier?

Answer: No CGST credit can not be taken of VAT paid earlier. Only SGST credit is available for the same.

Question No. 48: During transition, can I take SGST credit of Central excise/Service Tax paid earlier?

Answer: No, SGST credit can not be taken of Central Excise/Service Tax paid earlier. Only CGST credit is available for the same.

Question No. 49: Do I need to declare all items of trade/manufacture/provision of service while registration?

Answer: No. Only the top five items need to be declared while registration.

Question No. 50: Is there any extension of GSTR-3B return for the month of October?

Answer: No, it has to be filed by 20^th November, 2017. Late fee will be applicable otherwise.

Question No. 51: What is penalty for late filing of GSTR-3B return?

Answer: There is no late fee for late filing of GSTR-3B for July, August and Sep 2017. From Oct onwards, the late fee for GSTR-3B will be Rs. 50 per day (Rs. 20 per day for NIL Filers)

Question No. 52: How to claim refund of amount deposited in wrong head?

Answer: A Circular for manual filing of such refund applications is under process.

Question No. 53: is it necessary to file return through CA, GST Practitioner?

Answer: No, taxpayer can file their return himself on the common portal www.gst.gov.in

Question No. 54: Is there a simple procedure for filing NIL returns?

Answer: Currently there is no such facility. It is envisioned that a simple facility for NIL filers shall be introduced in the system in the future.

Question No. 55: I was migrated as an assessee from the service tax law but under GST I have no liability since my business turnover is less than Rs. 20 lakhs. Am I still liable to file returns?

Answer: yes, every registered person is liable to file returns. You can cancel your migrated registration by filing Form GST REG-29.

Question No. 56: Please clarify process for applying of refunds?

Answer: For exports with payment of IGST, the shipping bill is considered to be the application for refund and refund will be disbursed directly by Custom authorities. For refund of accumulated credit. Please refer Circular No. 17/17/2017 dated 15.11.2017.

Question No. 57: My turnover is less than Rs. 20 lacs for both exempt, taxable, inter state and intra-State services. Do I need to register?

Answer: No, you do not need to register, since your turnover is less than Rs. 20 lacs.

Question No. 58: Will my PLA balance gets transitioned through my TRAN-1 Form?

Answer: No, PLA balance will not be transitioned through the TRAN-1 Form.

Question No. 59: Is there any requirement for a signed invoice from a registered supplier for every supply?

Answer: yes, It is required in terms of Rule 46(q).

Question No. 60: I am in jewellery business opted composition from 01/07/17 do i need to pay on stock from URD ?as URD purchase for jewellers was not taxable under RCM.

Answer: Pl see press release dated 13/07/17 available at http://www.cbec.gov.in/resources//htdocs-cbec/press-release/Press-Release-Reverse-Charge.pdf 

Question No. 61: wrongly deposit the late fee amount Rs.6800/_ for sept month in to penalty column. How to get it back. Pl. Advice

Answer: U may claim refund. Circular on manual filing of refund application is being issued shortly.

Question No. 62: how can we claim refund of IGST pmt for service exported with the pmt of IGST?

Answer: Pl. see circular no 17/17/2017 dated 15/11/2017.

Question No. 63: where to show Debit notes in GSTR3B

Answer: It is to be shown in Table 3.1 of GSTR-3B.

Question No. 64: sir I have wrongly filed GSTR-3B for the month of October now what can I do now?

Answer: Detailed circular is being issued shortly.

Question No. 65: Dear Sir is it possible to claim Refund of IGST payment with manual filing

Answer: Refund of IGST paid on export of goods cannot be claimed manually. Shipping bill itself is treated as refund application.

Question No. 66: how we can edit invoice number wrongly submit in gstr1, which shown in table 6A of gstr1 while claiming refund on export

Answer: It can be shown in Table 9A of GSTR-1 of next month.

Question No. 67: plz tell me whether gst is applicable for sale of license by an Indian exporter to a Malaysian company (audio &video) content payment received in foreign currency. they will use those contents on YouTube GB etc

Answer: Facts not clear but this appears to be export of services.

Question No. 68: made payment by mistake is there any chance for getting refund, if yes please suggest thank you

Answer: Circular for claiming refund of balance in cash ledger is being issued shortly.

Question No. 69: dear sir one of client had paid wrongly in cess amount what can we do to reverse or can adjust any other tax

Answer: Refund can be claimed. Circular for manual filing of refund application is being issued shortly.

Question No. 70: I missed October filing deadline. From what i can calculate the fine is already more than 2k. How do I file? My return’d be nil

Answer: Late fee for NIL return has already been reduced to Rs. 20/- per day. Pl. see Not No. 64/2017- Central tax dated 15/11/17.

Question No. 71: Pls advise on the following : I was a compound dealer in VAT thereafter i migrated to GST & opt composition within time, my question is do i have to pay tax to fill CMP-03.

Answer: Tax is required to be paid. Pl. see Rule 5(1)(c) of CGST Rules.

Question No. 72: Company purchased commercial vehicle for his own transportation, is ITC available for same?

Answer: It would be available. Pl. see section 17(5)(a)(ii) of CGST Act.

Question No. 73: Monthly or Quarterly for dealer under 1.5 cr…do we need file GSTR3B or pay only challan

Answer: GSTR-3B is to be filed by all taxpayers. Pl. see Not. No. 35/17 dtd 15/09/17 & 56/17 dtd 15/11/17

Question No. 74: (Composition Dealers) Stock declared 30thjune in CMP-3 will it liable for any tax on closing stock inspite of exhausted ITC or no c/f ITC.

Answer: Tax is payable. Pl. see Rule 5(1)(c) of CGST Rules.