Entry tax on imported machinery -2016-17
This query is : Resolved
27 September 2021
Respectable sir
We have imported machinery and parts ( using in bricks making) form chine during the year 2016-17, it is taxable in KTEG in karnatka, please give solution to this sir.
Thanking you
yours truly
Srinivasa Joshi
We have imported machinery and parts ( using in bricks making) form chine during the year 2016-17, it is taxable in KTEG in karnatka, please give solution to this sir.
Thanking you
yours truly
Srinivasa Joshi
06 July 2024
If you have imported machinery and parts from China for use in brick making in Karnataka, you need to ensure compliance with the Karnataka Goods and Services Tax (KTEG) regulations. Here’s how you can proceed:
1. **Verify Tax Liability**:
- Check the applicable GST rates and exemptions for machinery and parts used in brick making in Karnataka. Typically, machinery and equipment used in manufacturing processes may attract GST, but certain items might be eligible for concessional rates or exemptions.
2. **Registration and Compliance**:
- Ensure your company is registered under GST in Karnataka if your aggregate turnover exceeds the threshold limit for registration.
- File GST returns regularly, including GSTR-1 (for outward supplies), GSTR-3B (summary return), and any other applicable returns.
3. **Input Tax Credit (ITC)**:
- You can claim Input Tax Credit (ITC) for the GST paid on machinery and parts imported from China against your output tax liability, provided all conditions for ITC claim are met.
4. **Customs Duty**:
- Customs duty is payable on imported machinery and parts. This should have been paid at the time of import clearance based on the classification of goods and applicable rates.
5. **Documentation and Records**:
- Maintain proper documentation of the import transaction, including the Bill of Entry, invoices, and proof of payment of customs duty and GST.
- Keep records of how the imported machinery and parts are used in your manufacturing process for future audits or compliance checks.
By following these steps and ensuring compliance with KTEG regulations, you can manage the tax implications of importing machinery and parts from China for your brick-making operations in Karnataka effectively.
1. **Verify Tax Liability**:
- Check the applicable GST rates and exemptions for machinery and parts used in brick making in Karnataka. Typically, machinery and equipment used in manufacturing processes may attract GST, but certain items might be eligible for concessional rates or exemptions.
2. **Registration and Compliance**:
- Ensure your company is registered under GST in Karnataka if your aggregate turnover exceeds the threshold limit for registration.
- File GST returns regularly, including GSTR-1 (for outward supplies), GSTR-3B (summary return), and any other applicable returns.
3. **Input Tax Credit (ITC)**:
- You can claim Input Tax Credit (ITC) for the GST paid on machinery and parts imported from China against your output tax liability, provided all conditions for ITC claim are met.
4. **Customs Duty**:
- Customs duty is payable on imported machinery and parts. This should have been paid at the time of import clearance based on the classification of goods and applicable rates.
5. **Documentation and Records**:
- Maintain proper documentation of the import transaction, including the Bill of Entry, invoices, and proof of payment of customs duty and GST.
- Keep records of how the imported machinery and parts are used in your manufacturing process for future audits or compliance checks.
By following these steps and ensuring compliance with KTEG regulations, you can manage the tax implications of importing machinery and parts from China for your brick-making operations in Karnataka effectively.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- Stamp Paper for partnership firm change new income tax 2025
- Capital gain from sale of house property
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- TDS on Purchase of Immovable Property by NRI from NRI
- FORM 26A APPLICABILITY
- SFT Cash Deposit in Current Account
- Annual return in Gst
- When TDS on GST applied
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
- Updated return in budget 2026
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
