Skip to main content

12 Immediate Points of Action Before the Roll Out Date of GST

The roll out date of GST is round the corner and it is time all business owners get going. It is believed that GST is going to revolutionize the tax structure. This is said that issuing invoice is going to be a burdensome process. But only time will tell whether or not is this true. Till then we can only wait and prepare for the thing that’s coming our way.
There are still apprehensions about what are the points of action before the roll out date of GST. Here is a guide to those points of action:
1. HSN/SAC
HSN code means Harmonized System of Nomenclature code is used for classifying goods under the GST. SAC means Service Accounting code under which the services that fall under GST are classified. Both these codes are used to classify goods and services under GST regime.
2. Carry forward of CENVAT/VAT credit forward on inputs/input services
3. Adjustment of CST Differential Tax Liability for carry forward of VAT Credit balance. (Applicable in case of refund carried forward under GST)
4. Capital Goods in Transit
There is no provision under GST, for claiming credit of capital goods which will be in transit during GST rollout.
5. Treatment of excise and service tax credit on input/WIP/finished goods held in stock
The registered persons under GST Act who were not eligible to take credit under the existing excise/VAT acts will be able to take credit of excise and service tax on all kinds of goods held in stock as on 30/06/2017, such as
a. traders
b. SSI units
c. units manufactured exempted goods/services or both
d. work contractors
6. Assesses engaged in manufacture of taxable as well as exempted goods or services
All the assesses engaged in the manufacture of taxable as well as exempted goods or services will be eligible for availing input tax credits.
7. Credit on inputs and input services in transit can be availed.
8. Credit on switching over from composition scheme under existing regime.
9. Transfer of credit under Centralised registrar.
10. Goods sent for job work
If inputs/semi-furnished goods are sent for job work under existing laws on or before 30 June and returned within 6 months of GST regime, then no tax shall be payable on such goods. But if they are received after 6 months, then assesse has to reverse input tax credit.
11. Treatment of TDS
If a company has sold any goods in respect to which TDS was required to be deducted and the payment has not been received, then no TDS will be paid.

12. All GST taxpayers are free to design their own invoice format. There are no restrictions for that. Only some fields must be mandatorily present in the invoice.

This article has been contributed by Simmi Setia, Content Writer at LegalRaasta, an online portal for GST Software, GST Return Filing, GST Registration, Section 8 Company Registration, Nidhi Company Registration, IEC Registration, Fssai License, File ITR Online.

Comments

Post a Comment

Popular posts from this blog

How can digital marketing help your startup to grow faster?

No one can deny the fact that startups need recognition. Startups, being new to the market, need to tell people that they exist. Market primarily consists of potential customers, investors as well as partners. And these are vital for any business. Without marketing, you and your startup is nothing. No one knows you, so they won’t even bother to spare you a glance. Your idea may be unique and outstanding, but without marketing, that idea is completely useless. Being an entrepreneur, you need to know how to sell your products and services. To sell, people need to know about your existence. You need to attract them. To attract customers, you need marketing. Now, there are two primary forms of marketing. First is traditional marketing and the second being, digital marketing. How are you supposed to choose the best way? How are they going to help? The same is discussed below. Traditional marketing is nothing but the old ways of promoting a company. It can be done via posters and banners. ...
7 comments
Read more

The 3 Relationships That Matter When Your Company Is Being Acquired

Getting acquired is one of the major moments of your life. It is a mix bag of feeling because your startup is like a baby that you nurtured from the start and now after selling it away, things will never be the same and you might not have the same freedom to run that business as you used to. The whole process itself is very tedious and involves a lot of aspects. Your legal advisor and countless manuals may furnish you with all the details however you might not have anyone who would guide you how to handle the people aspect related to you’re the whole process of acquisition. So let me help you now. There are a lot of people involved and you need to have cordial relation with almost all of them and have no grudge against any. During this delicate time, it is essential for you to maintain your calm and no matter how stressed you are from the inside, you must stay calm on the outside. And in this critical time, it is imperative for you to have soft skills and here are three important rela...
2 comments
Read more

5 Tips to Help Your Startup Operate Smoothly from Day 1

To pass the different stages of building a startup, you need not climb the treacherous mountains but pass through the valleys paved by others. Starting your own venture can be a quite daunting task. The can be like hurtling down a potholed road with the ups and downs and the unpredictability that takes extra efforts to overcome. It is good to heed the advice of the experienced people. It is always advised to take away from experiences of a person who has gone through the potholed road. To be an entrepreneur in competitive times like these can be a daunting and a demanding task. You need to give in all you have with zero complaints. The following are the best ways to get through the startup transition on day 1: 1. Keep your heart full, your mind clear and your body active You need to keep yourself well through the transition process. It’s good to take some time out for yourself. Do some physical activity, read in your free time and learn every time. You need to understand that...
1 comment
Read more