Whether gst applicable in this case

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

16 June 2017 Dear Sir/Madam,

If we make purchase from a person/dealer who is unregistered under GST (as his turnover does not cross Rs.20 lakh), whether GST would be applicable in this case?

Thanks in advance.

Amol S Joglekar

Amol S Joglekar (Expert)
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17 June 2017 what is your turnover? can you please specify?

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)
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17 June 2017 If depends on your turnover not on turnover of other person from whom you purchasing.

Querist : Anonymous

Querist : Anonymous (Querist)

17 June 2017 The turnover of the buyer is Rs.1000 crore while that of the seller is below Rs.10 lakh.

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)
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17 June 2017 Then no need to register under GST.

Amol S Joglekar

Amol S Joglekar (Expert)
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18 June 2017 then is your worry?

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2017 Thanks. What I want to say is this: In the above case we are a buyer having turnover exceeding Rs.1000 crore and we are buying goods/services from a seller who has turnover less than Rs.10 lakh. Whether in this case we would be liable for GST under reverse charge if the goods/services in this case are not exempt otherwise?

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)
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18 June 2017 Yes you are covered under reverse charge mechanism.

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2017 Thanks again!

CA Rashmi Gandhi

CA Rashmi Gandhi (Expert)
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18 June 2017 Always welcome

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