1. Goods and Service Tax
City Name

2. COVERAGE . What is GST GST benefits to trade GST benefits to consumers
Taxes to be subsumed
Taxes to continue
Taxable Event & Rates
Nature of Supply
Composition Dealer
Type of GST levied .

3. COVERAGE Time & value of Supply Input Tax Credit Registration Returns
Payment of taxes
Transitional Provisions
Invoice
Action plan for LPG Dealers
Action plan for Lube selling Dealers
Action plan for Vendors

4. WHAT IS GST
GST is the biggest tax reform in the history of independent India
Making India one single market with uniformity of taxation across states single tax economy
GST means tax on SUPPLY of Goods or Services or both from 1st July 2017
All the Existing Taxation like
Excise Duty, Service Tax
VAT , CST etc.
will be subsumed in GST.
Supply includes Sale, transfer, barter, exchange, lease, license, rental & disposal
Transaction with relation to securities & money not covered in GST

5. GST COUNCIL
GST Council- Cooperative federalism is at work in true spirit
a collective decision making body
best example of democratic decision making governance structure
Taxes are decided jointly by states and center. --> sharing sovereignty
The GST council has met 15 times with man-hour spent to make collective decisions.

6. GST BENEFITS TO TRADE
Reduction in complexity and simplification of procedures by harmonization of laws, procedures and rate of taxes will make compliance easier and simple.
Currently there are more than 20 different taxes that are imposed by center and states on goods and services which will now be subsumed
The new GST law merges all existing central and states taxes (except customs) into a single tax GST and make it uniform with few tax rates - 5 % / 12% / 18% / and 28%
Tax Payer will be allowed to avail full input tax credit paid on inputs

7. GST BENEFITS TO TRADE Tax refund in a speedy manner and automatically.
GST is technology driven - no human interface between tax payer and tax authority  corruption will go down
Small traders with annual turnover upto Rs 20 lakhs have an optional exemption from GST
Special provision for hilly and north eastern states traders - the GST exemption threshold upto 10 lakhs

8. GST BENEFITS TO TRADE
GST will enable smooth flow of goods and services from one part of the country to the other parts.
Corruption and leakages will go down as culture of compliance will be up
Reduced tax burden will lead to more investment leading to more employment and thus GDP will increase by 1 to 2 %.
GST will give boost to make in India by making domestic goods and services competitive (currently imported inputs get favor vis-à-vis domestically manufactured goods.)

9. GST BENEFITS TO TRADE
Nearly 81 per cent of the items will fall under below-18 per cent GST rate slabs and only 19 per cent of the goods will be taxed above 18 per cent.
Self policing- more compliance leading to more tax credits
Two months extension to file tax: In order to handhold the tax payers and make them fully aware of the systems, it has been decided that the tax filing for the month of July and August can be done in September.

10. GST BENEFITS TO CONSUMERS
Simpler Tax system by subsuming all indirect taxes under GST.
Transparency in taxation system
Reduction in prices of goods & services due to elimination of cascading/ double taxation as now final consumer is paying almost 35% as taxes.
GST law merges all existing central and states taxes (except customs) into a single tax GST and make it uniform with few tax.
Most of the commodities of mass consumption and essential day today goods are zero rated Aam Aadmi consumption

11. GST BENEFITS TO CONSUMERS
Final consumer end up paying 30 to 35% tax due to multiple taxes and cascading of taxes (that means tax on tax).
Reduced taxes under the GST will bring down inflation by 0.5 to 1.5 %

12. EXISTING TAXES

13. TAXES TO BE SUBSUMED STATE TAXES: CENTRAL TAXES: VAT / Sales Tax /CST
Central Excise Duty
Additional duties of excise
Excise duty levied under Medicinal & Toiletries Preparation Act
Additional duties of customs
(CVD & SAD)
Service Tax
Surcharges & Cess
STATE TAXES:
VAT / Sales Tax /CST
Purchase Tax
Entertainment Tax
(not levied by the local bodies)
Luxury Tax
Entry Tax ( All forms)
Taxes on lottery, betting & gambling
Surcharges & Cess

14. TAXES TO CONTINUE CENTRAL TAXES:
Customs Duty (Import & Export) ONLY BCD
Petroleum products
(Petroleum crude / MS/ HSD / ATF & Nat Gas)
STATE TAXES:
Property Tax
Stamp Duty
Vehicle Tax (Road & Passenger Tax)
Electricity Duty
Excise on Alcoholic Liquor
(Human Consumption)
Toll Tax ( local bodies)

15. TAXABLE EVENT & RATES Tax on supply of goods or services rather than
Manufacture / production of goods,
Provision of services or
Sale of goods
Confusion whether supplies are supply of goods or as services is clarified
Declare certain activities/transactions neither as supply of goods nor services like sale of land declared in Schedule III of CGST Act.
Maximum rate ring fenced in law at 28% except for Sin Goods

16. NATURE OF SUPPLY Determination of nature of supply:
Elaborate Rules provided for determining the place of supply
Intra-State supply of goods or services –
where the location of the supplier and
the place of supply are in the same State
Inter-State supply of goods or services –
the place of supply are in different States

17. COMPOSITION DEALER
A Composition dealer is a dealer whose turnover is between Rs 20 Lakhs to Rs 75 Lakhs in a financial year. The rates of tax for composition supply are as follows. Businesses dealing only in goods can only opt for composition scheme Service sector not eligible for composition except restaurant sector. Composition Scheme is not available if there is any inter-state supply
Business
Rate of tax
Manufacturer 1%
Restaurant
2.5%
Others
0.5%

18. COMPOSITION DEALER
Composition Dealer is not allowed to avail input tax credit of GST paid to their supplier. The taxable person is required to furnish only one return i.e. GSTR-4 on a quarterly basis and an annual return in FORM GSTR-9A. Composition Dealer is not allowed to collect composition tax from buyer A composition dealer cannot issue a tax invoice and cannot participate in ITC chain.

19. TYPES OF GST LEVIED TYPES OF GST LEVIED SGST + CGST Supplier Gujarat
Customer
Gujarat
Supplier Rajasthan
Customer
Gujarat
IGST
Customer
DNH
UTGST+CGST
Supplier
DNH

20. GST Principle Destination Based* Fungibility of Credits Dual GST
CGST & SGST on Intra-State Supplies
IGST on Inter-State Supplies
Administration : Origin (Location of Supplier)
Enjoyment : Destination (Place of Supply)
CGST & SGST not inter-fungible
IGST acts as a bridge across States
Dual GST
Concept
Destination
Based*
Fungibility of
Credits
based
Fungibility of
Credits

21. IGST – Acts as a bridge to flow credit
CREDIT POOL
(CGST / SGST)
CREDIT POOL (CGST / SGST) C D A B E F
A : Manufacturer
B,C,D,E : Traders in supply chain
F : Final Consumer
CREDIT POOL (IGST)
CREDIT POOL (IGST)
Maharastra
Goa
Karnataka

22. TIME & VALUE OF SUPPLY Time & Value of supply
Elaborate principles devised for determining the time of supply with following being crucial determinants with certain exceptions.
Date on which supplier issues invoice
Date on which supplier receives the payment, whichever is earlier
Tax is to be paid on Transaction value (TV) of supply generally i.e. the price actually paid or payable for the supply of goods or services between unrelated parties

23. INPUT TAX CREDIT
ITC is available in respect of taxes paid on any supply of goods or services used or intended to be used in the course or furtherance of business
ITC of tax paid used for making taxable supplies by a taxable person allowed subject to four conditions:
possession of invoice;
receipt of goods or services;
tax actually paid by supplier to government;
furnishing of return
Full ITC allowed on capital goods in one go as against the part allowance in the first year of purchase.
Negative list provided for non-allowance of ITC Ex : Tax paid of buildings, club membership etc.

24. INPUT TAX CREDIT
Proportionate credits allowed in case inputs, inputs services and capital goods are partly used for business and partly for non-business purposes, exempt (including non-taxable) supplies ITC cannot be availed after filing of return for the month of September of next Financial Year or filing of Annual Return which ever is earlier. Matching of supplier’s and recipient’s invoice details ITC to be confirmed only after matching of such information ITC to be reversed in case of mis-match

25. REGISTRATION
PAN based Registration required to be obtained for each State from where taxable supplies are being made. In case of Proprietorship- Name in the registration should be same as in PAN. In case of Firm/Company GSTN & PAN should be in Firm/Company name. If firm PAN is not available, PAN for the firm to be obtained for GST registration A person, though not liable to be registered, may take voluntary registration and avail the benefits of GST Certain suppliers liable for registration without threshold limit eg: Vendors making inter state supply , E commerce operator

26. REGISTRATION
Liability to be registered: Every person who is registered or who holds a PAN Every person whose turnover in a year exceeds the threshold limit including supplies of GST Goods or services. Dealer with sales of Rs 20 Lakhs of MS & HSD( Non GST ) and Rs 1000 of Lubes (GST) Needs to be registered. Dealer having ONLY sales of Rs 25 Lakhs of MS & HSD only: No registration. Video for GST

27. RETURNS

28. RETURNS
Single Return for CGST, SGST & IGST to be filed State wise Annual return to be filed by 31st December of the following Financial Year along with a reconciliation statement Short-filed returns not to be treated as a valid return for matching & allowing ITC and fund transfer between Centre and States GST practitioners scheme to assist taxpayers mainly in filing of returns No option to rectify any tax returns.

29. PAYMENT OF TAXES
System of electronic cash ledger and electronic ITC ledger Tax can be deposited by internet banking, NEFT / RTGS, debit/credit card and Over The Counter Payment of Tax is made by way of the debit in the electronic cash or credit ledger . Cross-utilization of ITC between CGST & IGST, between SGST/UTGST & IGST allowed However CGST cannot be adjusted with SGST and Vice versa

30. TRANSITIONAL CREDIT
Input Credit for goods lying as stock on will be available only if Goods are purchased within 12 months before 1st July 2017 and
Proper document evidencing payment of tax / duty paid should be available.
Credit of the in transit input & input services will be available for goods / services dispatched on or before , and input & input services are received after , only if:
Goods/Services are received on or before
Documentation evidencing tax payment are available

31. INVOICE

32. ACTION PLAN FOR LPG DEALER
GST registration number has to be updated in the customer portal
LPG Dealer to issue Delivery Challan for empty cylinders returns
ITC of GST will be available for purchases made by dealer for business purpose
Dealer to issue a GST invoice for supply of LPG or ARB activities and receive GST invoice for purchases used in business.
ITC will be available for delivery vehicles used in transporting LPG.
ITC for Tax paid stock as on 30th June 2017 shall be available.(Slide No 30). 
ITC as indicated above is available for setoff against Output Tax liability of dealer.

33. ACTION PLAN FOR LUBE/RETAIL DEALER
GST registration number has to be updated in the customer portal
Dealer selling lubes with turnover above Rs 20 Lakhs needs to be registered.
Invoice needs to be issued if the value of the supply is more than Rs 200
For supplies less than Rs 200 consolidated daily invoice to be prepared.
ITC is available for purchases made for business
GST invoices needs to be raised by dealer for his ARB share, Rent, etc.
ITC will be available for motor vehicles used in transporting of goods.
ITC for Tax paid GST stock as on 30/06/17 shall be available.(Slide No 30). 
ITC so available for goods purchased is available for setoff of Output Tax.
In case of MS/HSD dealer ITC proportionate to MS/HSD volume to be reversed

34. ACTION PLAN FOR VENDOR
GST registration number has to be updated in the BTS portal
GST Invoice needs to be issued for all GST supplies having the GSTN details of location from where the supply is dispatched and recipient location of HPCL.
Supply Invoices to be updated before 10th and GST liability to be discharged before 20th of the succeeding month of supply
Non payment of taxes by Vendor will disallow the ITC for HPCL in all these cases the tax and interest suffered will be recovered.
Any tax benefit due to GST to be passed on to consumers. – Antiprofitering
ITC for Tax paid GST stock as on 30/06/17 shall be available.(Slide No 30). 
In case of unregistered vendor supplying GST Product GST will be paid by HPCL under reverse charge and evaluation will be done accordingly.

35. T h a n k y o u