Reverse Charge Mechanism (RCM) on Commissions Charged by Global E-Marketplaces to Indian Sellers

In the realm of e-commerce, Indian sellers leveraging global e-marketplaces for exports often encounter complexities regarding taxes, particularly concerning commissions and other fees deducted by these platforms. This blog aims to shed light on the applicability of the Reverse Charge Mechanism (RCM) under the GST Act to such transactions. Background: Global e-marketplaces, while facilitating transactions […]

E-Way Bill Penalties: A Comprehensive Guide to Avoid Mistakes

What is an E-Way Bill? The e-way bill contains vital information about the consignment, including about the consignor, consignee, point of origin, and destination. It is an important document in which all relevant shipment information is uploaded in the GST portal before shipping. It is part of the compliance mechanism and helps curb tax evasion. […]

Mastering GST Reconciliation: A Comprehensive Guide with Essential Tips

Introduction: Effective GST reconciliation not only helps in avoiding penalties but also provides valuable insights into the health of your business operations. In this guide, we’re going to explore GST reconciliation and give you some handy tips to make it easier. Understanding GST Reconciliation: GST reconciliation involves matching the data filed by businesses in their […]

Understanding HSN Codes: A Comprehensive Guide

What is an HSN Code? The Harmonized System of Nomenclature (HSN) code is an internationally accepted system of product classification developed by the World Customs Organization (WCO). It assigns a unique code to each product, facilitating uniform classification across borders. Originally developed in 1988, the HSN system has undergone several revisions to accommodate evolving trade […]

Navigating the Maze of Taxpayer Audits in the GST Regime

In the maze of tax rules, audits are like guards making sure taxpayers and the taxman do everything right. In India, under the GST system, audits are super important for checking if taxpayers follow the rules in the CGST Act, 2017. Let’s explore the details of taxpayer audits and understand the basic principles, rights, and […]

Understanding GST on Commission from Foreign Entities in Foreign Currency

When businesses from different countries trade with each other, they often pay commissions to each other. These commissions are sometimes paid in foreign money. When this happens, it affects how taxes work under India’s Goods and Services Tax (GST) rules. Let’s take a closer look at how GST applies to commissions from foreign entities in […]

Streamlining Tax Compliance: GSTN’s Enhanced E-Invoicing Initiatives

As we mark the one-year anniversary of the successful implementation of the additional five new IRP portals, the e-invoice master information portal, and the e-invoice QR Code Verifier app, GSTN is delighted to introduce the revamped e-invoice master information portal: https://einvoice.gst.gov.in. This upgrade represents our commitment to continuously enhancing taxpayer services. Let’s delve into the […]

Understanding Inverted Duty Structure under GST and How to Claim Refunds

Understanding Inverted Duty Structure: The Inverted Duty Structure refers to a scenario where the tax rate on inputs (raw materials, components, etc.) is higher than the tax rate on the output (finished goods). This misalignment can lead to the accumulation of excess input tax credit (ITC) and liquidity issues for businesses. New formula as per […]