Cosmetic business related gst query

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saurabh (Querist)

25 May 2017 Dear Experts,

I am trader of cosmetic products like beauty creams, we get manufactured creams from non excisable units .They sell us the product through cst invoice at 2%.We further sell at 13.125% vat on it.
1)In GST the cosmetic products are at 28% bracket.
My question is that stock lying with me on 30 th june will sell @28% GST on it and practically I have no input with me since all billing is at 2% CST. I have to pay 28%(15% extra) from my pocket, is there any gst provision which can help me save tax as addition 15% burden is implicated on me.
2) Post GST Implementation , as per my understanding my cost will increase by 15%. Is it right?? I will be getting bill from supplier/manufacturer @ 28% with GST.

CA CS Jainam Shah

CA CS Jainam Shah (Expert)

25 May 2017 I think you are thinking about loss since it is a MRP product. For MRP product price is likely to revise by the mfg of the product to adjust the GST component. So I advise you to contact your mfg. GST you will pay is you are going to collect from customers.. So there is no extra cost to you.

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