Overview of GST

GST
Goods and Services Tax

An overview
What is GST?
GST stands for Goods and Services Tax, and is a
comprehensive indirect tax levy on manufacture, sale
and consumption of goods as well as services at the
national level.
The main benefit of the GST is to facilitate a uniform tax levied on goods
and services across the country.
Seamless Input Tax Credit is the defining feature of GST
Relyon Softech Ltd.,

Current scenario Indirect
Taxes
Coverage
Current Tax Structure
Taxes
Point of Levy
Authorities
Returns

Coverage
Trader
Manufacturer
Service Provider

Taxes
Direct Tax Indirect Tax

Taxes - Indirect Tax
Central Taxes State Taxes
Value Added tax or VAT - on sale of goods
Central Excise Duty - On Manufactured Goods
within the state
Duties of Excise - Medicinal and Toilet Central Sales Tax or CST - on sale of
Preparations goods in interstate
Additional Excise Duty - Goods of Special
Luxury Tax
Importance
Additional Duties of Excise - Textile and Textile
Entry Tax
Products
Additional Duties of Customs - CVD on
Entertainment Tax
Imports
Special Additional Duty of Customs - SAD Taxes on lottery, betting and gambling
Service Tax Purchase Tax
All Cess - Swach Bharath, Krishi Kalyan etc Taxes on advertisements
Point of Levy
For Goods Manufacturers
at the time of removal of goods
For Importers
at the time of importation of goods
For Traders
at the time of sale of goods
For Service Providers

at the time of provision of service

Authorities
CBEC - Central Board of Excise and Customs
Commercial Taxes Department

Returns
Central Excise Returns
Service Tax Returns

VAT Returns

GST Again
GST stands for Goods and Services Tax, and is a
comprehensive indirect tax levy on manufacture, sale
and consumption of goods as well as services at the
national level.

Structure of GST
A dual GST is proposed where both Central and State
Government will administer GST
CGST Will be levied by the Centre on Intra State Supply of

Central GST Goods/Service (Revenue from CGST will go to Centre)
SGST Will be levied by the State on Intra State Supply of

State GST Goods/Service (Revenue from SGST will go the State )
IGST Will be levied by the Centre on inter State Supply of

Goods/Service (Revenue from ISGST will go to the State
Integrated GST where the goods are consumed)

Central Taxes
Additional Duties
of Customs Additional
Excise Duty
CGST
Additional Duties
Special
of Excise
Additional Duty
of Customs
Central Excise
Duty
Duties of
Excise Service Tax
All Cess

State Taxes
Value Added tax
or VAT Purchase
Tax
SGST
Taxes on lottery,
Taxes on
betting and
advertisements
gambling
Entry Tax
Luxury Tax
Entertainment
Tax

Central Sales Tax
Central Sales Tax
IGST
or CST - on sale
of goods in
interstate

Point of Levy/Taxable Event
Supply of goods and/or Services will the taxable event
Implications
Stock Transfer from one branch to
another of same entity was tax free
Paradigm under VAT. Now, taxable
change in

Consignment Transfer attracts GST
Barter, lease, rental or disposal
point of levy Exchange of goods
Certain supplies without consideration
Imports

Who is liable for GST?
A person who supplies goods and/or services with a turnover in
excess of Rs. 20 Lakhs
For North-eastern and other smaller States - A person who supplies
goods and/or services with a turnover in excess of Rs. 10 Lakhs
Persons having upto Rs.50 lakhs turnover, can opt for Composition
levy
Registered Dealer above Threshold limit

Exempt Branches
Within same state
Person Multi state Registration
Composition

Commodities not covered by GST
Alcohol for human consumption
Petroleum Products
Electricity

Probable Rates Structure under
GST
Exempt
Standard Rate
De-merit Rate
Special Rate for Precious Goods

Valuation
The value of taxable goods/supply will normally be the

transaction value which is the actual price paid or
payable
It is the same value for both CGST, SGST and IGST

Tax Calculation VAT vs GST
Under Central Excise and VAT Under GST
Sale bill of a Refrigerator Sale bill of a Refrigerator

Manufacturer (Within the State) Manufacturer (Sale Within the State)
Item Qty Rate Value Item Qty Rate Value

Refrigerator 10 5500 55000.00 Refrigerator 10 5500 55000.00
Cenvat 15% 8250.00 CGST 10% 5500.00

Cess 1% 82.50 SGST 10% 5500.00
63332.50
VAT 15% 9499.87
Total 72832.37 Total 66000.00

Under Central Excise and CST Under GST
Sale bill of a Refrigerator Sale bill of a Refrigerator

Manufacturer (sale outside the State) Manufacturer (sale outside the State)

Cenvat 15% 8250.00 IGST 20% 11000.00

Cess 1% 82.50
63332.50
CST 2% 1266.65
Total 64599.15 Total 66000.00

Under Service Tax Under GST
Sale bill of a Service Provider Sale bill of a Service Provider (within

the State)
Item Value Item Value

Consultancy 100000.00 Consultancy 10 100000.00
Cenvat 15% 15000.00 CGST 10% 10000.00

Cess 1% 150.00 SGST 10% 10000.00
15150.00 120000.00
Total 115150.00 Total 120000.00

Under GST
Sale bill of a Service Provider (outside the State)
Item Value
Consultancy 100000.00
IGST 20% 20000.00
Total 120000.00

Under Central Excise and VAT Under GST
Sale bill of a Trader (Within the State) Sale bill of a Trader (Within the State)

VAT 15% 11250.00 CGST 10% 6500.00

SGST 10% 6500.00
78000.00
Total 86250.00 Total 78000.00

Under GST
Sale bill of a Trader (Within the State)
Item Qty Rate Value

Refrigerator 10 6500 65000.00
IGST 20% 13000.00
78000.00
Total 78000.00

ITC or Input Tax Credit
What is ITC?
Provision to take credit of taxes paid on inputs (on
purchase/receipt of goods/services) and utilising the
same for payment of output tax (on sale/supply of
goods/service)

Pre-requisite for taking credit
Registered under GST

Possession of Invoice
Receipt of Goods / Services
Tax charged on the supply should have been paid
to the Government
Return should be furnished
Time limit for taking ITC ITC Cannot be taken
beyond September of the following FY
Negative List
Motor Vehicles (except in certain cases)

Goods and services such as insurance, outdoor
catering, etc. primarily used for personal
consumption of employees
Goods and services in relation to the execution of
works contract when such contract results in creation
of immovable property
Goods and services on which Composition Levy
is charged

ITC Matching concept
Matching of details of Inward supply with the
corresponding outward supply (of the taxpayers
supplier) is ITC Matching concept.
This is done based on the GST returns filed.
Reverse Charge Mechanism

Provision where the recipient of the goods/service has
to pay the GST is called Reverse Charge Mechanism.
List of Goods/Services will be notified.
Set-off of ITC
Tax payable to the

CGST SGST IGST
government
CGST SGST IGST
Credit permitted
CGST
(in the following order)
IGST IGST SGST

Invoice under GST
Tax To be issued by a regular

Invoice GST Dealer
Bill of To be issued by a Composition

Supply Dealer

Types of Tax Invoice:
Regular
Revised
Supplementary/Debit Note/Credit Note
Tax Invoice Special Cases - ISD

Contents of a Tax Invoice
Name, Address and GSTIN of the supplier
A consecutive serial number containing only alphabets and/or
numerals, unique for a financial year
Date of its issue
Name, Address and GSTIN/ Unique ID Number, if registered, of
the recipient
Name and address of the recipient and the address of delivery,
along with the name of State and its code, if such recipient is
unregistered and where the taxable value of supply is fifty
thousand rupees or more
HSN code of goods or Accounting Code of services
Description of goods or services

Cont..

Quantity in case of goods and unit or Unique Quantity Code
thereof
Total value of goods or services
Taxable value of goods or services taking into account discount
or abatement, if any
Rate of tax (CGST, SGST or IGST)
Amount of tax charged in respect of taxable goods or services
(CGST, SGST or IGST);
Place of supply along with the name of State, in case of a supply
in the course of inter-State trade or commerce
Place of delivery where the same is different from the
place of supply

Cont..

Whether the tax is payable on reverse charge
The word Revised Invoice or Supplementary Invoice, as the
case may be, indicated prominently, where applicable along with
the date and invoice number of the original invoice
Signature or digital signature of the supplier or his authorized
representative

Distribution/Manner of issuing
Tax Invoices for Supply of Goods to be prepared in 3 Sets with
Captions
ORIGINAL FOR RECEPIENT
DUPLICATE FOR TRANSPORTER
TRIPLICATE FOR SUPPLIER
Tax Invoices for Supply of Service to be prepared in 2 Sets with

Captions
ORIGINAL FOR RECEPIENT
TRIPLICATE FOR SUPPLIER
Tax Invoice for Exports

Endorsement and additional details
Electronic Ref No
Requirement to obtain Electronic

Reference No for an Invoice similar
to e-Sugam

Supplementary tax invoice &
Credit or debit notes
A supplementary tax invoice under section 23 and a
credit or debit note under section 24 shall contain the
following details
Name, address and GSTIN of the supplier
Nature of the document
Date of issue of the document
Name, address and GSTIN/ Unique ID Number, if registered, of
the recipient

Cont..
Supplementary tax invoice &

Credit or debit notes
Name and address of the recipient and the address of delivery,

along with the name of State and its code, if such recipient is
unregistered
Serial number and date of the corresponding tax invoice or, as
the case may be, bill of supply
Taxable value of goods or services, rate of tax and the amount of
the tax credited or, as the case may be, debited to the recipient
representative

Bill of Supply
To be issued by a Composition Dealer
Contents
Name, address and GSTIN of the supplier

Date of its issue
Name, address and GSTIN/ Unique ID Number, if registered, of
the recipient
HSN Code of goods or Accounting Code for services
Description of goods or services

Cont..
Bill of Supply
Value of goods or services taking into account discount or
abatement, if any
representative
Need not issue a bill of supply if the value of the goods or services
supplied is less than one hundred rupees except where the recipient
of the goods or services does not require such bill.
Consolidated bill of supply shall be prepared by the registered

taxable person at the close of each day in respect of all such supplies
where the bill of supply has not been

Payment of Tax
Payment of Tax is after set off ITC

Payment to be made online
Specific Formats

Returns under GST
Sl.no Return Nature Periodicity Remarks
Details of outward Monthly by Full Data from
1 GSTR 1
supplies 10th user
Major Data will
Details of inward Monthly by
2 GSTR 2 be auto-
supplies 15th
populated
Major Data will
Monthly by
3 GST 3 Monthly return be auto-
20th
populated
18th of the
Quarterly Return for Many data will
month
4 GSTR 4 compounding Taxable be auto-
succeeding
persons populated
Quarter

Cont..
Returns under GST

Sl.no Return Nature Periodicity
Return for Non- 20th of the Month succeeding
5 GSTR 5 Resident foreign the tax period and 7 days from
taxable person expiry of registration
13th of the Month succeeding
6 GSTR 6 ISD return
the tax period
7 GSTR 9 Annual Return
Simplified Annual
8 GSTR 9A Return for
Compounding Persons
Details of Inward 28th of the month following
9 GSTR 11 supply be a person the month for which
having UIN statement is filed

Cont..
Returns under GST
Sl.no Return Nature Periodicity

GSTR 1A, 2A, 3A, 4A, 6A, 7A,
10
9B etc,
11 Other Returns for TRP etc

TDS under GST
As per section 37, this provision is meant for Government

and Government undertakings and other notified entities
making contractual payments in excess of Rs.10 Lakhs to
suppliers.
While making such payment, the concerned

Government/authority shall deduct 1% of the total payable
amount and remit it into the appropriate GST account.

TCS under GST
This provision is applicable only for E-Commerce Operator
under section 43C of MGL.
Every E-Commerce Operator needs to withhold a
percentage (to be notified later on the recommendation of
the GST Council) of the amount which is due from him to
the supplier at the time of making actual payment to the
supplier.
Such withheld amount is to be deposited by such E-
Commerce Operator to the appropriate GST account by the
10th of the next month.
The amount deposited as TCS will be reflected in the
electronic cash ledger of the supplier.

E Ledgers
Once a taxpayer is registered on Common Portal (GSTN), 2 e-

ledgers (Cash & Input Tax Credit) and an electronic tax liability
register will be automatically opened and displayed on his
dashboard at all times.
Cash Ledger
The cash ledger will reflect all deposits made in cash, and TDS/TCS
made on account of the taxpayer.
The information will be reflected on real time basis.
This ledger can be used for making any payment on account of
GST

Cont..
E Ledgers
Liability Ledger
Tax Liability Register will reflect the total tax liability of a taxpayer
(after netting) for the particular month.
ITC Ledger
Input Tax Credit as self-assessed in monthly returns will be

reflected in the ITC Ledger.
The credit in this ledger can be used to make payment of TAX
ONLY and not other amounts such as interest, penalty, fees etc.

GSTN - Goods and Service Tax Network
Non-Profit Company
Central and State Government, Banks and Private Entities
GSTN will render the following services through the Common GST
Portal:
Registration (including existing taxpayer master migration and
issue of PAN based registration number)
Payment management including payment gateways and
integration with banking systems
Return filing and processing
Taxpayer management, including account management,
notifications, information, and status tracking

Cont..
GSTN - Goods and Service Tax Network

Tax authority account and ledger Management
Computation of settlement (including IGST settlement) between
the Centre and States; Clearing house for IGST
Processing and reconciliation of GST on import and integration
with EDI systems of Customs
MIS including need based information and business intelligence
Maintenance of interfaces between the Common GST Portal and
tax administration systems
Provide training to stakeholders
Provide Analytics and Business Intelligence to tax authorities
Carry out research, study best practices and provide training to
the stakeholders.
Basic features of GST common portal
The GST portal shall be accessible over Internet (by Taxpayers and
their CAs/Tax Advocates etc.) and Intranet by Tax Officials etc. The
portal shall be one single common portal for all GST related
services e.g.
Tax payer registration (New, surrender, cancellation, etc.)

Invoices upload, auto-drafting of Purchase register of buyer
Periodic GST Returns filing
Tax payment including integration with agency banks
ITC and Cash Ledger and Liability Register
MIS reporting for tax payers, tax officials and other
stakeholders
BI/Analytics for Tax officials

GSP - GST Suvidha Providers
Taxpayers will interface with GST System via GST system portal or
via GSP ecosystem provided by way of applications for activities
such as Registration, Tax payments, Returns filing and other
information exchange with GST core system. GSTN Provides APIs
and The GSPs will become the user agencies of the GST system
APIs and build applications and web portals as alternate interface
for the taxpayers
The GSP developed Apps will connect with the GST system via
secure GST system APIs. Some of the functions of GSP are:
Development of various apps / interfaces for taxpayer, TRPs
of GST system
Providing other value added services to the taxpayers

Thank you

Overview of GST

Enviado por

Dados do documento

Direitos autorais

Formatos disponíveis

Compartilhar este documento

Compartilhar ou incorporar documento

Opções de compartilhamento

Você considera este documento útil?

Este conteúdo é inapropriado?

Direitos autorais:

Formatos disponíveis

Overview of GST

Enviado por

Direitos autorais:

Formatos disponíveis

GST

Goods and Services Tax

Seamless Input Tax Credit is the defining feature of GST

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Direct Tax Indirect Tax

Relyon Softech Ltd.,

For Service Providers

Relyon Softech Ltd.,

CBEC - Central Board of Excise and Customs

Commercial Taxes Department

Relyon Softech Ltd.,

Central Excise Returns

Service Tax Returns

Relyon Softech Ltd.,

Relyon Softech Ltd.,

CGST Will be levied by the Centre on Intra State Supply of

SGST Will be levied by the State on Intra State Supply of

IGST Will be levied by the Centre on inter State Supply of

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Central Sales Tax

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Registered Dealer above Threshold limit

Relyon Softech Ltd.,

Alcohol for human consumption

Relyon Softech Ltd.,

Relyon Softech Ltd.,

The value of taxable goods/supply will normally be the

It is the same value for both CGST, SGST and IGST

Relyon Softech Ltd.,

Sale bill of a Refrigerator Sale bill of a Refrigerator

Item Qty Rate Value Item Qty Rate Value

Cenvat 15% 8250.00 CGST 10% 5500.00

Relyon Softech Ltd.,

Sale bill of a Refrigerator Sale bill of a Refrigerator

Item Qty Rate Value Item Qty Rate Value

Cenvat 15% 8250.00 IGST 20% 11000.00

Relyon Softech Ltd.,

Sale bill of a Service Provider Sale bill of a Service Provider (within

Item Value Item Value

Cenvat 15% 15000.00 CGST 10% 10000.00

Total 115150.00 Total 120000.00

Relyon Softech Ltd.,

Sale bill of a Service Provider (outside the State)

IGST 20% 20000.00

Relyon Softech Ltd.,

Item Qty Rate Value Item Qty Rate Value

VAT 15% 11250.00 CGST 10% 6500.00

Total 86250.00 Total 78000.00

Relyon Softech Ltd.,

Sale bill of a Trader (Within the State)

Item Qty Rate Value

IGST 20% 13000.00

Relyon Softech Ltd.,

Relyon Softech Ltd.,

Registered under GST

Motor Vehicles (except in certain cases)

Relyon Softech Ltd.,

Reverse Charge Mechanism

Tax payable to the