Notification date 18.07.2022

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This query is : Resolved

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A query was raised regarding GST implications for goods initially below 25kg but later converted to over 25kg. The consensus is that no GST is applicable on the closing stock of goods that were below 25kg on the notification date. This is because the tax rate change applies to new sales, not existing stock that met the previous exemption criteria.

jaigurudev

jaigurudev (Querist)

30 August 2022 dear sir,
govt has changed some tax rate from exempted to 5% for goods below 25kg.i have stock of goods of 25kg on 18072022 now i selling this stock of goods after converting to 26kg.should i pay gst?
with thanks

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

30 August 2022 No GST applicable in such a case.

jaigurudev

jaigurudev (Querist)

30 August 2022 Respected sir, this is not tax evasion as below 25 kg is taxable and i convert the goods to 26kg to escape tax
with thanks

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

30 August 2022 Yes you are right......

jaigurudev

jaigurudev (Querist)

30 August 2022 Dear sir, you write that i are right but sir advice me that i should pay gst on closing stock of goods below 25kg or not to be paid
with thanks

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

30 August 2022 No need to pay GST on closing stock.

jaigurudev

jaigurudev (Querist)

31 August 2022 Thanks for your responce

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