REGISTRATION. AKOLA Branch of WIRC of ICAI. CA. Dhiraj C Baldota Solapur. June 17, 2017

Transcription

1 REGISTRATION June 17, 2017 AKOLA Branch of WIRC of ICAI CA. Dhiraj C Baldota Solapur

2 EXCISE / SERVICE TAX / VAT and on.

3 take taxes but reduce compliance.

4 a smooth n healthy act????

5 Why Liability to Register Exemption from Registration CONTENTS Registration Procedures & Features Casual Taxable Person & Non Resident Amendment in Registration Cancellation / Revocation of Registration Relevant Rules & Forms

6 Unique Identification as taxpayer in any law GST -Legally recognized as supplier WHY Authorized to collect taxes Linking of all transactions Passing of tax credit to purchaser Utilizing tax credit paid on purchase Ease in compliance

7 FLOW WHO WHEN WHERE HOW

8 Compulsory sec.24 Suo moto by officer Rule 9 WHO Existing Registrants sec. 22(2) Optional sec.25(2) Exceeding Turnover sec. 22(1) Registration Chapter VI Voluntary sec.25(3)

9 Sec. 22(1) Exceeding Turnover Every supplier shall beliabletoberegisteredunderthisact in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both, if his aggregate turnover in a financial year exceeds Rs. 20 lakh; Provided that where such person makes taxable supplies of goods or services or both from any of the special category states, he shall be liable to be registered if his aggregate turnover in a financial year exceeds Rs. 10 lakh.

10 AGGREGATE TURNOVER Sec. 2(6) Exceeding Turnover Includes NON TAXABLE SUPPLY all taxable supplies all exempt Supplies export of goods of services or both Interstate supplies of persons having the same PAN supplies made on his own account or made on behalf of all his principals value of inward supplies on which tax is payable by a person under RCM central tax, state tax, union territory tax, integrated tax & cess on all INDIA basis

11 Location of Supplier Goods Place of Business Sec 2 (85) a place from where the business is ordinarily carried on, Exceeding Turnover includes a warehouse, a godownor any other place where a taxable person stores his goods, supplies or receives goods or services or both. or a place where a taxable person maintains his books of account; a place where a taxable person is engaged in business through an agent, by whatever name called; or

12 Location of Supplier Service [Sec 2 (15) CGST Act] Supply from registered place of Business Location of such place of business Exceeding Turnover Supply from other unregistered place (a fixed establishment) Supply from more than one establishment (business or fixed establishment) None of the above The location of such fixed establishment Location of the establishment most directly concerned with provision of the supply. Location of usual place of residence of the supplier.

13 Transfer of Business Sec. 25(3) Transfer of Business Liability to Register When Registration as going concern Transferee or Successor date of -Transfer or - Succession

14 Sec. 22(2) Existing Registrants Rule 17 Every person who, on a day immediately preceding the appointed day, is registered or holds a license under an existing law, shallbe liable to be registeredunderthisact with effect from appointed day. enroloncommonportal provisional certificate of registration GST REG-25, submit application in GST REG-26 electronically within 3 months, Certificate of Registration in GST REG-06

15 Compulsory Sec. 24 i. persons making any inter-state taxable supply; ii. casual taxable persons making taxable supply; iii. persons who are required to pay tax under reverse charge; iv. personwhoarerequiredtopaytaxundersub-section(5) of section 9(specified categories); v. non-resident taxable persons making taxable supply; vi. persons who are required to deduct tax under section 51, whether or not separately registered under this Act; vii. An agent; viii. Input Service Distributor; ix. persons who supply goods or services or both, through such electronic commerce operator; x. every electronic commerce operator; xi. every person supplying online information and database access or retrieval services from a place outside India to apersoninindia,otherthanaregisteredperson;and xii. Notified persons or class of persons.

16 Rule 9 Liable person fails to obtain registration, pursuant to any survey, enquiry, inspection, search or any other proceedings under the Act - proper officer Suo moto finds that person liable to registerbutfailedtodoso register such person on temporary basis( GST REG-12) submitapplication orfileappeal within30days

17 Sec. 25(2) Person having multiple business verticals in state or union territory, may be granted a separate registration for each business vertical Optional Business Vertical means a distinguishable component of an enterprise that is engaged in the supply of individual goods or services or a group of related goods or services which is subject to risks and returns that are different from those of the other business verticals. Factors to be considered include (a) the nature of the goods or services; (b) the nature of the production processes; (c) the type or class of customers for the goods or services; (d) the methods used to distribute the goods or supply of services; and (e) the nature of regulatory environment (wherever applicable), including banking, insurance, or public utilities;

18 Sec. 25(3) notliabletoregisterundersection22or24, may get himself registered voluntarily, all provisions of this Act, as are applicable to a registered person, shall apply to such person Voluntary need to commence business within 6 months cannotapplyforcancellationwithin1year.

19 Sec. 23 Any person engaged exclusively in the business of supplying goods or services or both: - that are not liable to tax (Schedule III) or - wholly exempt from tax; No Registration An agriculturist, to the extent of supply of produce out of cultivation of land; Specified category of persons as may be notified by GST Council.

20 Compulsory sec.24 Suo moto by officer Rule 9 WHO Existing Registrants sec. 22(2) Optional sec.25(2) Exceeding Turnover sec. 22(1) Registration Chapter VI Voluntary sec.25(3)

21 Sec. 25 (1): WHEN WHERE Everyperson who is liable to be registered shall apply for registration in every such State or Union territory in which he is so liable within thirty days from the date on which he becomes liable to registration. Supply from territorial waters: in the coastal State or Union territory where the nearest point of the appropriate baseline is located.

22 OTHER FEATURES SEZ/Developer shall make separate application for registration as a business vertical distinct from its other units outside SEZ WHEN WHERE There shall be separate registration for ISD Delay in application beyond 30 days: credit for purchases prior to date of registration not allowed. once granted in any act (CGST/SGST) deemed to granted in another act(sgst/cgst) can not reject application without SCN and opportunity of being heard once rejected in any act (CGST/SGST) deemed to rejected in another act(sgst/cgst)

23 REGULAR TAXPAYER Form GST REG 01 (PART A) Declare PAN, mobile number, id & state on common portal / facilitation centre PAN verification CBDT data base Mobile no. & id One time password (OTP) HOW Form GST REG 01 (PART B) File online application along with specified documents Like business proof, address proof, bank details, authorized signatory, photograph etc. Form GST REG 02 Acknowledgment complete automation; no interface between tax payer and authorities; however provision for physical verification in certain cases (at discretion of authorities) will dilute said effect.

24 VERIFICATION of APPLICATION: Application in GST REG 01 HOW Acknowledgment in GST REG 02 if no deficiency found / no action taken within 3 working days Certificate of Registration in GST REG 06 if deficient Inform deficiency electronically in GST REG 03 (3 working days) if unsatisfied if satisfied/ Furnish deficiency in GST REG 04 if no action is taken in 7 working days Reject in writing in GST REG 05

25 From Tally Solutions

26 GOODS & SERVICE TAX IDENTIFICATION NO.: Structure of GSTIN: STATE CODE PAN ENTITY CODE BLANK DIGIT CHECK DIGIT Display of GSTN : Every registered person would be required to display his certificate of registration in prominent location at his principal place of business and at every additional place/s of business. Further,hewouldberequiredtodisplay GSTINinthe name board exhibited at the entry of the principal place of business and at every additional place/s of business.

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28 CASUAL TAXABLE PERSON NON RESIDENT TAXABLE PERSON SPECIAL CATEGORY Sec. 27 Occasionally supplies goods/services in taxable territory where he has no fixed place of business Desires to conduct business in state for limited period Shall apply for registration at least 5 days prior to commencement of business Can obtain registration for the period of 90 days (can be extended for further 90 days) Required to advance tax at time of registration by estimating tax liability Occasionally supplies goods/services but has no fixed place of business in India Makes an intra state supply of goods/services and is not resident in that state Shall apply for registration at least 5 days prior to commencement of business Can obtain registration for the period of 90 days (can be extended for further 90 days) Required to advance tax at time of registration by estimating tax liability

29 Amendment Sec 28 Registered person to inform about changes in registration certificate electronically within 15 daysofchangeinformgstreg14 Changes relating to i) Legal name of business, ii) address of principal place or any additional place i) addition, deletion or retirement of partners or directors, Karta, Managing Committee, Board of Trustees, Chief Executive Officer or equivalent, responsible for day to day affairs of the business, Approval of proper officer within 15 days and order in Form GSTREG15. For other minor changes approval of proper officer is not requiredandwillbedoneonrealtimebasis. If proper officer rejects amendments not without SCN and opportunity to be heard Approval / rejection of amendments in one of the act CGST/SGST deemed to be approval /rejection in another SGST/CGST act.

30 CANCELLATION OF REGISTRATION Cancellation of Registration Amendment Cancellation By registered taxable person / Legal heir (in case of death) By the Proper Officer

31 Sec. 29 By registered taxable person Amendment Cancellation Business discontinued or fully transferred - -death Change in constitution of business Not liable to register (except voluntary reg.) - amalgamation -demerger -disposed of etc.

32 Amendment Cancellation Sec 29 By department: contravention of provisions of GST law; composition dealers returns not filled for consecutive 3 periods all other dealers returns not filled for consecutive 6 months voluntary registrations business not started for 6 months from date of registration registration obtained by fraud, willful misstatement, suppression of facts etc. may cancel from retrospective date. No cancellation without SCN& opportunity to be heard Required to pay liability determined earlier or later

33 Sec 29 The registration granted to a person is liable to be cancelled if the said person (a) does not conduct any business from the declared place of business; or Amendment Cancellation (b) issues invoice or bill without supply of goods or services in violation of the provisions of this Act, or the rules made there under.

34 Apply for revocation within 30 days from date of cancellation Proper officer accept revocation or reject after giving SCNandopportunitytobeheardwithin30days Amendment Revocation of Cancellation

35 On cancellation, registered taxable person to pay higher of, Amendment Cancellation a. IncaseofInputs: 1. ITCinrespectof i. inputs held in stock and ii. inputs contained in semi-finished or iii. finishedgoodsheldinstockor 2. Output tax payable on such goods. b. In case of capital goods: 1. Amount of ITC taken reduced by prescribed percentage points; 2. Tax on transaction value.

36 Failure to Register: 1. Penalty higher of Rs.10, OR Tax evaded 2. Non availability of ITC Amendment PENALTY

37 Sl. Form Number Description VARIOUS FORMS 1. REG 01 Application for Registration 2. REG 02 Acknowledgement 3. REG 03 Notice for Seeking Additional Information relating to Registration / Amendments / Cancellation 4. REG 04 Application for filing clarification Registration / Amendment / Cancellation / Revocation of Cancellation 5. REG 05 Order of Rejection of Application for Registration / Amendment / Cancellation / Revocation of Cancellation 6. REG 06 Registration Certificate 7. REG 07 Application for Registration as TDS or TCS 8. REG 08 Order of Cancellation of Application for Registration as TDS/TCS 9. REG 09 ApplicationforAllotmentofUniqueIDtoUN Bodies/ Embassies/any other person

38 Sl. Form Number Description VARIOUS FORMS 10. REG 10 Application for Registration for Non Resident Taxable Person 11. REG 11 Application for Amendment in Particulars subsequent to Registration 12. REG 12 Order of Amendment of existing Registration 13. REG 13 Order of Allotment of Temporary Registration/ Suo Moto Registration 14. REG 14 Application for Cancellation of Registration 15. REG 15 Show Cause Notice for Cancellation of Registration 16. REG 16 Order for Cancellation of Registration 17. REG 17 Application for Revocation of Cancelled Registration 18. REG 18 Order for Approval of Application for Revocation of Cancelled Registration

39 Sl. Form Number Description VARIOUS FORMS 19. REG 19 Notice for Seeking Clarification / Documents relating to Application for Revocation of Cancellation 20. REG 20 Application for Enrolment of Existing Taxpayer 21. REG 21 Provisional Registration Certificate to existing taxpayer 22. REG 22 Order of cancellation of provisional certificate 23. REG 23 Intimation of discrepancies in Application for Enrolment of existing taxpayer 24. REG 24 Application for Cancellation of Registration for the Migrated Taxpayers not liable for registration 25. REG 25 Application for extension of registration period by Casual / Non-Resident taxable person 26. REG 26 Form for Field Visit Report

40 INVOICE June 17, 2017 AKOLA Branch of WIRC of ICAI CA. Dhiraj C Baldota Solapur

41 TAX INVOICE

42 Refund Voucher RCM Invoice Receipt Payment Voucher Voucher CHAPTER VII Bill Of Supply Kinds Of Invoice Credit Note Tax Invoice

43 CURREMT REGIME GST REGIME INVOICE Tax Invoice Excise Invoice Professio -nal Bill Bill of Supply Tax Invoice

44 Sec 31 (1) : SUPPLY OF GOODS When to Issue Tax Invoice Involves movement of Goods Before delivery or At time of delivery Any other case Delivery of goods or Making available to recipient

45 Sec 31 (2) : SUPPLY OF SERVICES When to Issue Tax Invoice Before Date of Provision of service but within 30 days (banks -45 days) after Proviso: for categories of services may specify any other document to be treated as tax invoice or Taxinvoicemaynotbeissued

46 Sec 34(4) : CONTINEOUS SUPPLY OF GOODS When to Issue Tax Invoice Before Successive statement of Accounts involved Accounts are received Successive payments are involved At the time of each such payment received

47 Sec 34(4) : CONTINEOUS SUPPLY OF SERVICES When to Issue Tax Invoice Due date of payment is ascertainable Due date of payment is not ascertainable Payment linked to completion of event Onor Beforedue date of payment Before or At time of receipt of pay. Onor Before completion of event

48 Sec 31(3)(C) BILL OF SUPPLY Exempted Supply No Tax on Supply Composition Scheme Tax invoice issued under any other act for any non taxable supply under GST will be considered as Bill of Supply.

49 CONTENT Rule 1 A registered person shall issue Tax invoice containing following particulars : Name, address and GSTIN of supplier A consecutive serial number, not exceeding 16 characters in one or multiple series, containing alphabetsornumeralsorspecialcharacters or /, and any combination thereof Dateofissue Name, address and GSTIN or UIN of recipient, if registered Name, address of recipient, address of delivery along with name of state and its code, if such recipient is unregistered and where the value of taxable supply is fifty thousand rupees or more. HSN codeofgoodsoraccountingcodesofservices Description of goods or services

50 CONTENT Rule 1 Quantity in case of goods and unit or Unique Code thereof Total valueofsupplyofgoodsorservicesorboth Taxable value of supply of goods or services or both considering discount or abatement, if any Rate of tax (CGST, SGST, IGST, Union territory tax or cess) Amount of tax charged in respect of taxable goods or services (CGST, SGST, IGST, Union territory tax or cess) (Sec 33) Place of supply along with name of State, in case of inter-state transaction Address of delivery where the same is different from the place of supply Whethertaxispayableon reverse charge basis Signature or Digital signature of the supplier or his authorized representative

51 GST Tax Invoice: SUPPLIER RECEIPEINT Name Addre ss GSTN Date Inv. No. Name Addre ss GSTN Delivery Add Invoice SUPPLY TAXES HSN/ SAC Descrp Qty Value Tax Rate Tax Type Tax Amt RCM? with Digital Signature

52 GST Tax Invoice: in Triplicate for goods In Duplicate for services

53 Sec 31(3)(a) & Rule 8 Revised Tax Invoice a registered person may, within one month from date of issuance of certificate of registration issuearevised tax invoice against invoice already issued during the period beginning with the effective date of registration till the date of issuance of certificate of registration to him RevisedInvoice tobeindicated Serial number & date of corresponding tax invoice should be mentioned consolidated revised invoice supplies made to unregistered person (except in case of interstate supply wherevaluedoesnotexceed2.5laks)

54 Sec 31 (3) (d) & (e) Receipt Voucher Refund Voucher RECEIPT VOUCHER on receipt of advance payment inrespectofsupplyofgoodsorservices even rate of tax & amount of tax should be mentioned Ifratenotdeterminable 18% Ifnatureofsupplynotdeterminable Interstate REFUND VOUCHER against receipt voucher issued Ifnosupplyismadeandnotaxinvoiceisissued Attimeofmakingrefundofamountreceived

55 Sec 34(1)&(2) When Tax invoice is already issued Credit Note Value or tax charged in tax invoice exceeds than value or tax payable Goods supplied are returned by the receipient Goods or services are found to be deficient Issue credit note (Amount payable) Mention in the return of month when it is issued Not later than 30 th September following the end of FY or date of filling annual return (earlier)

56 Sec 34(3)&(4) When Tax invoice is already issued Debit Note Value or tax charged in tax invoice is less than value or tax payable Issue debit note (Amount receivable) mention in the return of month when it is issued

57 Sec 31 (3)(f) & (g) RCM Invoice Payment Voucher RCM INVOICE by registered person liabletopaytaxundersec9(3)or9(4) issue invoice if supply is from unregistered supplier ondateofreceiptofsupply RAYMENT VOUCHER by registered person liabletopaytaxundersec9(3)or9(4) attimeofmakingpaymenttosupplier

58 ACCOUNTS & RECORDS June 17, 2017 AKOLA Branch of WIRC of ICAI CA. Dhiraj C Baldota Solapur

59 Accounts & Records CHAPTER VII: Sec35(1): Every registered person shall keep and maintain, at his principal place of business as mentioned in the certificate of registration atrueandcorrectaccountofa) Production or manufacture of goods; b) Inwardandoutwardsupplyofgoodsorservicesorboth; c) Stockofgoods; d) Input tax credit availed; e) Outputtaxpayableandpaid;and f) Such other particulars as may be prescribed; At each place mentioned in certificate separately. can be kept electronically

60 Accounts & Records Sec35(2): Everyowneroroperatorofwarehouseorgodownor anyother placeusedforstorageofgoodsand every transporter, irrespective of whether is a registered person or not, shall maintain the records of the consignor, consignee and other relevant details of the goods in such manner as may be prescribed. Sec35(3)&(4):TheCommissionermaynotify: taxable persons to maintain additional accounts or documents where can not mention as above maintain account as may be prescribed. Sec35(5):AuditbyCAorCWA

61 Sec 36 untiltheexpiryof 72 months from the due date of furnishing of annual return for the year pertaining to such accounts and records Retention Period In case of any proceedings: before any Appellate Authority or Revisional Authority or Appellate Tribunal or Court, books of accounts and other records pertaining to the subject matter of such appeal or revision or proceedings or investigation, Forperiodof one year after final disposalorfortheperiod specified above, whichever is later.

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67 CA. DhirajC Baldota Chartered Accountants Solapur cell: ;