1. GST – CURRENT / CRITICAL ISSUES
CA. SANJEEV MALHOTRA
FCA, FCS, ACMA, LL.B.
Sanjeevmalhotrablog.wordpress.com/

2. Charging Section 9(3) & 5(3)
Govt. may notify category of supply of goods or services
Tax on which shall be paid by RECIPIENT
On reverse charge basis
All provisions shall apply to such RECIPIENT
As if he is the person liable for paying tax.

3. Recipient 2(93) In respect of supply of goods
Where the consideration is payable - Person liable to pay the consideration.
Where no consideration is payable – Person to whom goods are delivered or made available or to whom possession or use of goods is made available.
In respect of supply of services
Where the consideration is payable – Person liable for payment of consideration.
Where consideration is not payable – Person to whom service is rendered.
Shall include an agent acting on behalf of the recipient of goods or services or both.

4. Registration 22 - 24 Persons liable for registration – Section 22
Section 23 – Persons not liable for registration
EXCLUSIVELY engaged in not taxable or exempt supply
Notification no. 5/2017 dated 28/06/17 – Exempts registration of person total tax on whose case is payable on reverse charge.
Section 24 - Notwithstanding anything contained in section 22(1)
Persons who are required to pay tax under reverse charge.

5. Input Service Distributor (ISD)
Point no. 4 of return – ISD paying tax on reverse charge will register as normal taxpayer.

6. Unregistered persons 9(4) & 5(4)
Tax on Supply of TAXABLE goods or services
by a supplier not registered
To a registered person
Shall be paid by registered person on reverse charge basis as recipient.
All provisions of Act shall apply to such recipient.

7. Proposed Changes Composition Scheme.
Limit to be raised to Rs. 1.5 Crores.
Rate of tax to be reduced to 1%.
Inter state supply to be allowed.
Rate of tax on restaurants to be reduced to 12% (for 18%).
New Category of taxable persons – Aggregate turnover less than Rs. 1.5 crores

8. Exports and Deemed Exports
Export of goods - meaning.
Export of services – meaning
Zero rated Supply – Sec 16 of IGST.
Export of goods or Services
Supply to SEZ.
Eligible for refund of ITC or IGST paid.
Deemed Export – Sec 147 of CGST.
Supply to EOU.
Supply against Advance license/EPCG.
Merchant Exporter

9. Sale of Second hand Vehicles
Notification no. 37/2017 dt. 13/10/2017
Supplier is a registered person
Vehicle purchased before
Has not availed any ITC / Cenvat Credit.
Rate of tax is 65% of tax.
Schedule I clause I.
Section 17(5).

10. Important Points Supply by person of Composition Levy
Exemption of Rs. 5,000/- per day.
Reverse charge on Advance payment.
Will Supplier absolved of liability in case payment on reverse charge u/s 9(4).
Supplier charging tax on reverse charge 9(3) items.
ITC on reverse charge payments.
GTA – Who is liable to pay reverse charge – Consignor or Consignee
Transportation of goods other than GTA.

11. Important Points….. Contd.
Payments made by employees.
Payments made to employees.
Recipient default on reverse charge – Implication on Supplier.
Reverse charge transaction in a state where supplier is not registered.

12. THANK YOU CA. SANJEEV MALHOTRA FCA, FCS, ACMA, LL.B. 9810995282
Sanjeevmalhotrablog.wordpress.com/