Quiery in relation to GST liability in case of an advocate who has obtained GST registration.

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This query is : Resolved

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An advocate with GST registration, earning income from both professional services and a farming business, is unsure if their professional receipts need to be declared for GST. While the farming business turnover necessitates registration, the professional receipts are from unregistered persons. The consensus is that professional services supplied to unregistered persons are typically considered exempt supplies under GST, and therefore do not need to be declared by the service provider.

Chandrashekarir

Chandrashekarir (Querist)
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23 November 2024 Case:
1. An advocate has professional receipts and he has an income of around Rs. 15,00,000/-
2. He has another business i.e., like a farm they buy animals and feed them, and once they reach the exact weight as per the requirement they sell them. He has a turnover of around Rs. 40,00,000/- and as a result he has obtained GST registration.

He'll declare the business receipts in GST,

Doubt:
Is he required to declare the professional receipts in GST? all the receipts are from unregistered persons and hence RCM is not applicable.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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23 November 2024 Yes, he must declare these under exempt supply and supply under RCM, whichever applicable.

Chandrashekarir

Chandrashekarir (Querist)
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25 November 2024 As per the provisions of the GST Act, the service provider is not obligated to declare this. The responsibility to declare lies with the recipient of the service. In this case, since the recipient of the service is an unregistered person, the obligation to declare does not apply.

In my opinion, the transaction does not fall under the purview of GST.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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25 November 2024 The services to registered dealer are under RCM, while those to unregistered are under exempt category. As a registered dealer you are supplying services!!!

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