• Summon and Arrest Guidelines

  • GST_Update_-_Clarification_dated_20_September_2021

  • News_Flash_31.8.2021

  • Application-for-extension-of-AGM-Date-FY 20-21

  • GST Updates in GSTR9 & GSTR9C for F.Y 20-21

  • GST News Flash dated 20 July 2021

  • New Functionality for 206AB 206CCA

  • GST Update

  • GST Flash News Update

  • Tax Alert Content - Slump Sale Amendment

  • TDS Rate Chart for FY 2021-22

  • GST Update - Amendments in GST Rules

  • Changes in Income Tax Due Dates.

  • SEBI Updates: Relaxation in SEBI ICDR Regulations w.r.t Public Issue & Right Issue.

  • MCA Update: MCA Relaxation on Holding Of AGM

  • SEBI LODR & MCA Update

  • MCA Updates: Web-based CAR Form

  • Announcements made by the Finance Minister

  • Amendments to Finance Bill 2020 -Passed by Parliament

  • MCA Updates: LLP Settlement Scheme 2020

  • MCA Update: Companies Fresh Start Scheme, 2020 (CFSS-2020)

  • MCA Update: Disqualified/ Deactivated DIN and Active Non-Compliant Companies

  • MCA Update: Special Measures provided by MCA under Companies Act 2013 & Limited Liability Partnership Act,2008

  • Taxation and other Laws (Relaxation of Certain Provisions) Ordinance, 2020 today issued by Finance Ministry

  • Key Direct Tax Provisions as per Finance Act 2020

  • MCA Update: Conducting Of EGM through VC OR OVAM

  • MCA Update: FAQ'S ON CSR

  • MCA Update: Conducting Of EGM through VC OR OVAM - Amendment

GST Overview

CONCEPTUAL FRAMEWORK

Goods and Service Tax (GST) is a comprehensive Indirect Tax levied on goods and services consumed in an economy. GST is levied at every stage of the supply chain with eligibility of Input Tax Credit in respect of the tax remitted at previous stages. It is basically a tax on final consumption with tax being collected at each stage. To explain it in simple words, GST is a tax on supply of goods and services, which is levied at each point of supply of goods / services with a mechanism to claim input tax credit paid on procurement of goods or services.

EXAMPLE :

Let us understand the working of GST on a manufactured commodity from point of view of a manufacturer, wholesaler, retailer and final consumer.

Assuming GST rate is 20%.
Stage of Supply Chain Value of Supply Rate of GST GST on Output Purchase Value of Input Input Tax Credit (ITC) Net GST Payable = GST on Output – ITC
Manufacturer to Wholesaler 1300 20% 260 1000 200 260 - 200 = 60
Wholesaler to Retailer 1500 20% 300 1300 260 300 - 260 = 40
Retailer 1600 20% 320 1500 300 320 - 300 = 20

The adoption of GST is perceived as a positive form of tax since it increases consumption and encourages savings and investments. It is a form of taxation which will be more evenly spread across the population, minimizing economic distortions by providing comprehensive coverage.

GST shall subsume various central and state indirect tax levies which is tabulated as under

CENTRAL LEVIES

  1. Central Excise Duty
  2. Additional Duties of Excise
  3. Service Tax
  4. Counter – Veiling Duty
  5. Special Additional Duty
  6. Central Sales Tax
  7. Excise Duty On Medicinal And Toilentries and Perparations

STATE LEVIES

  1. State Level VAT
  2. Sales Tax
  3. Entertainment Tax
  4. Luxury Tax
  5. Taxes On Lottery, Betting and Gambling
  6. Entry Tax Not In Lieu Of Octroi
  7. Surcharges and Cesses
IND AS

Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (herein after referred to as “Amnesty Scheme” or “the scheme”) introduced in the Current Budget Amendment i.e. in July 2019. This is a dispute resolution cum amnesty scheme for resolution and settlement of legacy cases. The scheme offers substantial relief to the taxpayers and is a bold endeavor to unload the baggage relating to the legacy taxes viz. Central Excise and Service Tax and other indirect tax allied acts. This Scheme covers more than 20 Acts. The scheme is already operational from 01 September 2019.

The scheme is specifically designed and can be implemented only for the proceedings pending on 30 June 2019. The person who are eligible under the scheme is been elucidated below for your reference:
Further, the benefits available under the Scheme, are elucidated below:
Entire process under the scheme is fully automated and the last date for taking the relief is 31 December 2019
We, therefore, request you to take a note of the above and do the needful and oblige by taking the benefit of the scheme at the earliest
For any assistance in the said scheme you can reach out to us at info@sgco.co.in