ॐ असतो मा सद्गमय
Rupee note is money which is neither good nor service but when the Government Press supplies currency notes to (say) RBI, there is a supply and tax needs to be discharged. Printing of currency is a taxable supply of the paper and ink but not of the currency.
(ICAI FAQ PUBLICATION 06-09-2017 : Exemptions on Supply of Goods – FAQ NO. 28)
The ‘date of payment’ referred in provisions relating to time of supply of services shall be the earliest of the following:
(a) date when the payment entry in relation to supply of services is recorded in books of accounts of the supplier; or
(b) date on which the payment is credited to supplier’s bank account.
(ICAI FAQ PUBLICATIONS 06-09-2017 TIME OF SUPPLY OF SERVICES: FAQ NO. 15)
In terms of Section 13 of the CGST Act, 2017 read with Section 31(2) thereof and Rule 47 of the CGST Rules, 2017, if the invoice is issued before supply of service or within a period of thirty days from the date of supply of service, the time of supply of services shall be the earliest of the following:
(a) Date of issue of invoice; or
(b) Date when the payment entry in relation to supply of services is recorded in
books of accounts of the supplier; or
(c) Date on which the payment is credited to supplier’s bank account. Illustration:
| Date of invoice | August 31, 2017 | Time of supply of services shall be August 10, 2017 |
| Date of supply of service | August 7, 2017 | |
| Payment received by way of cheque and the entry for receipt of payment is recorded in books of accounts | August 10, 2017 | |
| Amount credited to bank account of supplier | August 12, 2017 |
However, if the invoice is not issued within a period of thirty days from the date of supply of service, in terms of aforesaid provisions i.e., Section 13 of the CGST Act, 2017 read with Section 31(2) thereof and Rule 47 of the CGST Rules, 2017, the time of supply of service shall be the earliest of the following:
(a) Date of provision of service; or
(b) Date when the payment entry in relation to supply of services is recorded in
books of accounts of the supplier; or
(c) Date on which the payment is credited to supplier’s bank account. Illustration:
| Date of invoice | August 31, 2017 | Time of supply of services shall be July 7, 2017 |
| Date of supply of service | July 7, 2017 | |
| Payment received by way of cheque and the entry for receipt of payment is recorded in books of accounts | August 10, 2017 | |
| Amount credited to bank account of supplier | August 12, 2017 |
In a case where neither of the aforesaid provisions apply, the date on which the recipient shows the receipt of services in his books of account shall be the time of supply of the services.
(ICAI FAQ PUBLICATIONS 06-09-2017 TIME OF SUPPLY OF SERVICES: FAQ NO. 14)
Since HSN based classification is adopted, exemption must be clearly provided so that even minor differences do not cause distortion in the scope of any exemption.
For example, leguminous vegetables may need to be exempted when dried and supplied but other vegetables may need to be exempted when they are fresh or chilled.
(ICAI FAQ PUBLICATION 06-09-2017 : Exemptions on Supply of Goods – FAQ NO. 26)
No, if POS is not in the State of the recipient, there is no occasion for the State of recipient to accept tax on reverse charge basis. In the absence of a specific provision in law, such supplies remain untaxed.
(ICAI FAQ PUBLICATION 06-09-2017 : Levy and collection of tax- FAQ NO. 36)
In terms of Section 12(6) of the CGST Act, 2017, the date on which the supplier receives interest, penalty or late fee which forms part of value will be the time of supply.
(ICAI FAQ PUBLICATION 06-09-2017 TIME FOR SUPPLY OF GOODS: FAQ NO. 13)
Yes, provisions identical to section 9(3) and 9(4) of the CGST Act are available in section 5(3) and 5(4) of the IGST Act.
(ICAI FAQ PUBLICATION 06-09-2017 : Levy and collection of tax- FAQ NO. 35)
The CGST Act, 2017 does not provide separate provisions for ascertaining time of supply of goods through/by e-commerce entities. Accordingly, the same provisions as to time of supply of goods discussed above will be applicable whether a supplier makes supply through e-commerce entity or the e-commerce entity himself makes the supply.
(ICAI FAQ PUBLICATION 06-09-2017 TIME FOR SUPPLY OF GOODS: FAQ NO. 12)
Yes, GST in India is a dual-tax and the provisions of the CGST Act are mirrored in SGST/UTGST Act.
(ICAI FAQ PUBLICATION 06-09-2017 : Levy and collection of tax- FAQ NO. 34)
No, it should not be available to recipient. However as per provisions, supplier who has paid the tax erroneously is free to claim refund.
(ICAI FAQ PUBLICATION 06-09-2017 : Levy and collection of tax- FAQ NO. 33)