What is the procedure of cess in tobacco product sales and purchase? How can treat in sales. Cess credit adjusting in IGST, CGST, SGST tax. Seller collects cess separately.
Reply
Compensation cess is levied on supply of tobacco; therefore, the seller will charge compensation cess from the buyer of tobacco. The GST cess on eligible product will be calculated according to the rate specified in the GST cess rate schedule and on the actual taxable value (transaction value) of the supply.
Credit of GST Cess paid can be utilized only towards payment of the GST Cess liability.
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