Yet another positive step taken by the government by releasing model Goods and Services Tax (GST) law on June 14, 2016 which takes us one step closer to the introduction of GST in India. GST is expected to be the biggest indirect tax reform in India and is aimed at removing the shortcomings of the […]
GST is a value added tax which provides for adjusting GST paid on purchases and expenses, against GST payable on output supplies. The impending GST implementation is widely considered to have a liberalized credit mechanism which decently ensures free flow of credit across the value chain. However, where a supplier is engaged in making exempt […]
The reverse charge provisions have been there in the current service tax law for over a decade. Still these provisions are always difficult for entrepreneurs to comprehend, appreciate or follow. Sensing this attitude, the focus of the tax department officials nowadays is also is to identify transactions on which service tax was payable under reverse […]
A person may be engaged in supply of exempt and taxable supplies. In such a scenario, he will not be eligible to claim full input tax credit on inputs and input services. The draft ITC rules provide a detailed procedure to compute the input tax credit entitlement of such person. The following chart explains the […]