Gst query for old gold jewellery

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This query is : Resolved

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This discussion explores the GST implications for composite scheme jewellery dealers purchasing and reselling old gold. It questions whether GST is applicable on sales transactions, particularly when the jewellery undergoes repairs or polishing. The core issue is determining the correct GST rate and the value on which it should be charged, with a specific focus on the applicability of the margin scheme for composite dealers.

Kollipara Sundaraiah

Kollipara Sundaraiah (Querist)
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22 July 2021 Sir,
A gst registered jewellery business composite scheme dealer
1 purchase of old gold jewellery from urd persons after same any changes (repairs,polish etc) sales to customer
2.purhcases of old gold jewellery from urd persons some changes after sales to customer
Question:
Dealer above two options sales transaction gst applicable or not.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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22 July 2021 Charge GST on sale value.

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)
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23 July 2021 In both case GST payable on sales@1%

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)
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23 July 2021 in case 1 value of supply shall be difference between the selling price and purchase price that is on margin under rule 32(5) as the goods does not change its form.