GST FAQ's - PART (II) - for Traders

As promised at the Ist part of these GST FAQ's series, now here we presenting some other but important queries related to GST in the aspect of Indian business market.

For the purpose of awareness of Business personnel like traders and exporters; for the new tax regime of India, We have started publishing some of the GST FAQs to understand GST things easily. We have published our first GST FAQ article last week, Now here is the 2nd discussion of full series of GST FAQ with their answer to understand GST things more easily.

This section is a supplement to the “Munshijee.com-knowledge Portal” published earlier. To read the full report Click here

Today GST FAQ's are based on Excise Duty related problems:

Question (1) - If a trader buys directly from the manufacturer and has an excise document, will he get 40% of the full excise duty or CGST?

• Answer - If you have the relevant Duty Paying Exceeds Documents on the existing stock, then the full transfer credit of the given duty will be obtained which will be subject to the conditions of section 140 (3) of the CGST Act.

Question (2) - If the FSD buys directly from the manufacturer and the bill is written with the excise duty, but the excise duty is not shown separately, will it get the full credit?

• Answer - If you have a related duty paying exemption document on the current stock, then the full transfer credit of the given duty will be obtained which will be subject to the conditions of section 140 (3) of the CGST Act.

Question (3)- Weight refund has been taken in the June 17 returns. And there is no balance remaining in the GST. So what will be the condition of submitting Form 'C' ?

• Answer: Under the existing law, the claim is that the refund will be settled by the existing law. The C Forms will be submitted in accordance with Rule 1 (1) of the Transfer Act.

Question (4) - A service was provided but the bill will be made. Do we have to pay service tax or GST?

• Answer: If the point of the tax is after the due date, GST will be applicable on such supply.

Question (5) - How to get the input credit of the closing stock of the spare part purchased from the paid bill by paying excise duty, CST and entry fee in another state?

• Answer: The concerned CGST and SGST credits will be available for all available input and duty paid documents. But the credit of the CST will not be available.

Question (6)- A trader buys the product from a producer who is not registered in excise duty because his business is less than 1 crore. So in such cases, would the trader receive 40% of the ITC?

• Answer: Deemed credits will be available on existing stock, provided the terms of section 140 (3) read with the rule 1 (4) of the transfer act should be completed.

Question (7)- Will there be GST in the Andaman and Nicobar Islands because there was not the first weight?

• Answer: Yes. CGST and UTGST will be applicable on supply within the Andaman and Nicobar Islands. "Andaman and Nicobar" is a union territory of India.

Question: (8)- What is clean energy on imported coal? 400 per m Will the ton apply?

• Answer: No. Clean energy is being terminated. It will be compensated by the rate of 400 per ton on coal.

Question (9) - Can you clarify the benefit of 40% on closing stock, whether the closing limit is applicable?

• Answer: Deemed credit will be available for all stocks received within a period of one year.

Question (10)- How long is the transfer credit available? Where do I have to declare my input stock?

• Answer: The deadline to declare the transition credit form is three months from the appointed date. Please see the transfer rule for more details.

You can also ask about your queries related to GST by comment below or on the website: www.munshijee.com/ Facebook page: munshijee or LinkedIn page: munshijee

This section is a supplement to the “Munshijee.com-knowledge Portal” published earlier. To read the full report Click here

Authored by Prakash R. Pandey, & Neeraj Nagar

? July 2017 Munshijee.com Management Solution. All rights reserved.

This content of info has been compiled for information purpose only. The content is based on current public information that we consider reliable, but we do not represent it as accurate or complete. The information, opinions, estimates, and forecasts contained herein are as of the date hereof and are subject to change.