Q. I deal in stationery items and stationery is a taxable item under GST Law. I am based in Delhi. My gross turnover is Rs.16 Lakhs. Should I get registered myself under GST law?.

Ans. No, if you have a turnover less than 20 Lakhs then you need not to be registered under GST law. Please note that you should not make any supply of out of Delhi. This limit of Rs.20 Lakhs applies only for sale within the state.

Q. I am dealing in tax free items under GST law. I am based in Delhi. My turnover is Rs.80 Lakh. Should I get registered under GST law?

Ans. You are not liable to registered under GST law since you are dealing in tax free items  irrespective of any amount of turnover. Please remember that you are not supposed to sell any taxable item. If the above turnover includes any sale of taxable item under GST law then you are supposed to be registered under GST law.

Q. I am based in Delhi. I want to opt the composition scheme. What are the conditions for composition scheme?.

Ans.  Yes, any dealer can opt for composition scheme. To opt for composition scheme your turnover should not exceed 75 Lakhs. You must get yourself registered under GST law. You are not allowed to supply the goods out of Delhi under composition scheme. Composition scheme is not applicable in respect of   sale of petroleum crude, high speed diesel, motor sprits, natural gas, aviation turbine e fuel and alcohol for human consumption.

What is rate of GST under composition scheme?

Ans. 2% for manufacturer, 5% for restaurants and 1% in other cases

Q. I am providing courier services in Delhi My gross turnover is less than Rs.20 lakh. Should I get registered under GST law?

Ans. No, you need not to get registered under GST law since your turnover is less than 20 Lakhs. But remember, your turnover should not include any supply of services out of Delhi. In case if you are supplying any services out of the state then you must get registered yourself under GST law irrespective of any turnover.

Q.  I am a composition dealer in Delhi. Can I purchase the goods out of Delhi State?

Ans. Yes, under composition scheme you can purchase the goods from other states.

Q. I am Delhi based dealer. Before GST law I was claiming Input Credit of VAT but now I have opted composition scheme under GST law. Can I claim the Input Credit?.

Ans. No, a dealer covered under composition scheme can not claim Input Credit.

Q. I am based in Delhi and covered under composition scheme with effect from 01.07.2017. What should I do in respect of stock lying as on 30.06.2017?

Ans.  There are following rules in respect of stock lying on 30.06.2017 under composition scheme:-

  • Stock includes the purchases from registered dealers from Delhi, no need to pay any tax on that.
  • Stocks includes any purchases from unregistered dealers (Delhi or other state), the tax is to be deposited under Reverse Charge Mechanism.
  • Any stock which was not taxable under VAT system but which is taxable under GST law then tax is to be deposited under Reverse Charge Mechanism.

Q. I am Delhi based trader and I am covered under composition scheme. What will I do if my gross turnover exceeds Rs.75 Lakhs?

Ans. After your gross turnover exceeds Rs.75 Lakhs during the year, you will be treated as regular trader under GST law. You can not enjoy the benefit of composition scheme. You also have to inform the concern authorities after your sale exceeds Rs.75 Lakhs.

Q. What are the provisions under GST law in respect of rent received from house property?

Ans. There is no GST on rent received from residential property. In case the rent is received from commercial use of property then the GST will be applicable on such rent.

Q. I am Delhi based registered dealer under GST. What should I do in case I want to do business in Himachal and Uttrakhand?

Ans. You should get registered yourself under GST in Himachal and Uttarakhand separately.

Q. I am Delhi based registered dealer under GST. I have to pay GST on all purchases made from other states. I sell my goods in Delhi. I am charging GST on my sales. What should I do in respect of payment of GST to the concerned authorities?

Ans. You can adjust Input Credit against the GST collected from your customers.

Q. What is reverse charge mechanism?

Ans. When a registered dealer under GST law, purchases any taxable goods or services under GST law from unregistered dealer then the registered dealer is liable to pay GST on such purchases. This is called reverse charge mechanism. Later on he can claim Input Credit of the GST paid by him.

Q. I am registered under GST law and purchase goods from unregistered dealer and pay GST under reverse charge mechanism. Will this type of inward supplies be added to my turnover?

Ans. No, the supplies received under reverse charge mechanism will not be included in the turnover of the purchaser.

Q. I am based in Delhi. I want voluntarily registration under GST law though my local turnover is less than 20 Lakh. I am not supplying the goods out of Delhi. Should I collect the GST from my customers from Ist supply?

Ans. Yes, you have to collect the GST from your customer from first supply since you will be treated as normal taxable person.

Q. I am Delhi based registered dealer under GST law. I hold only one event in Haryana. Should I get registered in Haryana also?

Ans. No, you need not to be registered in Haryana. If you make any supply from Haryana to Delhi then you must get registered in Haryana. In this case you have to pay IGST on supplies made from Delhi to Haryana.

Q. What is the time limit for getting registered under GST law?

Ans. You have to get registered with GST authorities within 30 days from the date of liable to get registration.

Q. I am running a shop and dealing in taxable and exempted item under GST law. Should I issue the separate bill for taxable items and exempted items?

Ans. No, you can issue one tax invoice for taxable items and declare exempted items in that invoice only. You need not to issue bill of supply separately.

Q. I am registered dealer under GST law. Am I required to record the Aadhaar Number or PAN details in respect goods sold to the unregistered dealers?

Ans. No.

Q. What about the expenses charged in sales invoice from the point of taxability in GST?

Ans. Expenses like packing, transportation expenses etc. will be included in the value of supplies and tax will be charged

Q. Is there any limit in respect of reverse charge liability under GST law relating to small amounts of purchases?

Ans. Exemption of Rs.5000/= per day is available for purchases from unregistered dealer.