CBIC Clarifies GST Liability and ITC for Warranty/ Extended Warranty Cases
The Ministry of Finance released Circular No. 216/10/2024-GST. This circular provides further clarification on GST liability and input tax credit (ITC) availability for warranty and extended warranty scenarios. It continues the explanations from Circular No. 195/07/2023-GST dated 17th July 2023. Key Points and Clarifications: Detailed Breakdown: Replacement Under Warranty: Distributor Handling: Extended Warranty Clarifications: Conclusion […]
Understanding Advance Ruling: A Comprehensive Guide for Taxpayers
Advance Ruling is a significant aspect of the Goods and Services Tax (GST) framework that provides clarity on tax-related matters to businesses. In this blog, we will explore who can apply for Advance Ruling, the matters on which it can be sought, and the detailed process involved. Who Can Apply for Advance Ruling? Both registered […]
Simplify GST Compliance: Expert Services from Fantasies for Your Business
What is GST? Goods and Services Tax (GST) is a comprehensive, multi-stage, destination-based tax levied on every value addition. It replaced multiple taxes levied by the central and state governments, creating a single taxation system for the entire country. GST is designed to make tax compliance easier and more transparent, benefiting both businesses and consumers. […]
Avoiding Interest Penalties: Section 50(1) Under GST
Introduction According to Section 50(1) read with Rule 88B of the CGST Act 2017, anyone liable to pay tax but failing to do so within the prescribed period must pay interest at 18% per annum for the period the tax remains unpaid. Amount Subject to Interest Charges Tax authorities typically charge interest on gross payments, […]
New GSTR-1A Form to Allow Changes Before 3B Filing
Introduction The Goods and Services Tax (GST) Council has introduced a new form, GSTR-1A, aimed at simplifying the tax filing process for businesses. This optional form allows taxpayers to make corrections to their GSTR-1 before submitting the GSTR-3B, ensuring accurate tax liability. Key Features of GSTR-1A 1. Amendment Capability The GSTR-1A form permits taxpayers to […]
Highlights of the 53rd GST Council Meeting Recommendation.
The 53rd GST Council meeting, chaired by Union Finance Minister Smt. Nirmala Sitharaman, was recently held to address critical issues and streamline the Goods and Services Tax (GST) framework. Here are the significant recommendations and decisions from the meeting. Changes in GST Tax Rates GST Rates on Goods Uniform 5% IGST on Aircraft Parts To […]
Non-Resident Taxable Person (NRTP) Under GST in India
The Goods and Services Tax (GST) regime in India brought significant changes to the indirect taxation system. Among the various categories of taxpayers defined under GST, one notable category is the Non-Resident Taxable Person (NRTP). This article explores the concept of NRTP under GST, highlighting the registration requirements, compliance obligations, and other essential aspects. Who […]
Credit Not Taken: Problems in GST Compliance
The Goods and Services Tax (GST) regime, implemented to simplify the tax structure in India, often presents challenges, especially regarding Input Tax Credit (ITC). One of the most significant issues faced by businesses is the inability to claim ITC, leading to increased financial burdens and compliance complexities. This blog explores the primary problems related to […]
Understanding the Costly Structure of GST Compliance: Addressing Common Fears
The Goods and Services Tax (GST) was introduced in India to simplify the taxation process and create a unified market. While its implementation has streamlined many processes, GST compliance remains a complex and often costly affair for businesses. This blog post aims to break down the GST compliance structure, highlight its associated costs, and address […]
GST on FTWZ Transactions: A Case Study of Haworth India Pvt. Ltd.
Introduction A recent ruling by the Tamil Nadu Authority for Advance Rulings (AAR) has provided important insights about the Central Goods and Services Tax (CGST) on transactions in Free Trade and Warehousing Zones (FTWZ). Background M/s Haworth India Pvt. Ltd., a subsidiary of Haworth Inc. (USA), manufactures and sells office furniture under the ‘Haworth’ brand. […]