| Posted on : - May 07, 2018 |
| Question |
Mr. A wants to purchase AC worth Rs 35,000/- plus 28% GST i.e. 9,800/-, what amount Mr. A will have to pay for this purchase if he use this AC in his home. |
| Answer |
If Payment in cash: Rs
44,800/- but if payment is made through cheque or digital mode then 2%
concession on GST will be allowed i.e. now he will have to pay Rs 44,100/- i.e.
35,000/- plus 26% GST, but one need not forgot ceiling limit of Rs. 100/-per
transaction therefore in this case Mr. A must pay Rs. 44,700/- for AC. |
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| Posted on : - May 07, 2018 |
| Question |
What happened to above transaction if Mr. A purchases AC for his proprietorship business? |
| Answer |
in this case he must pay Rs 44,800/- whatever
the mode of payment i.e. either in cash or online. |
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| Posted on : - May 07, 2018 |
| Question |
Mr. B purchased unworked precious stone worth Rs. 2, 00,000/- plus 0.25% GST i.e. Rs 500/- , what amount Mr. B will have to pay for this transaction if he purchased for personal use? |
| Answer |
He must pay full amount i.e. Rs. 2, 00,500/-,
means without concession because rate of GST is less than 3% which is basic requirement
of availing concession. |
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| Posted on : - May 07, 2018 |
| Question |
Mr. C purchased one pizza for Rs. 400/- plus 5% GST i.e. Rs. 20/-, what amount will he have to pay? |
| Answer |
If
payment made in cash then Rs. 420/- but if through online mode then Rs. 412
i.e. Rs 400/- plus 3%. This means Rs 8/- benefit will be there which is under
ceiling limit of concession. |
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| Posted on : - May 07, 2018 |
| Question |
How will pizza shop will create invoice in above case assuming there is online payment by Mr. C? |
| Answer |
They will charge Rs 400/- plus 1.5% CGST and
1.5% SGST. |
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| Posted on : - May 07, 2018 |
| Question |
Is there any concession if there is IGST involved? |
| Answer |
Council clearly mention
B to C sale, which means there will not be any scope of concession if sale is
made interstate, because in most of the cases B To C sale attracts Place of
supply which is generally place of seller.
Analysis
why this concession is given:
There must be two
parameters one is crystal clear that our officials want India as digital nation
the other one is to provide benefits to end user who cannot take credit of
their purchases and which leads extra burden on pocket of consumer, this 2%
concession will reduce some amount of burden on the consumer.
Conclusion:
One must check all the
aspects before allowing any concession i.e. mode of payment, nature of
purchase, ceiling amount of concession and rate of GST on supply. |
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