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Applicability of GST for Kerosene dealer

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iyyappadasan

Student

25 Points Posted on 29 November 2020

one person is selling Kerosene to Cooperative societies which inturn sells the same to the public. The selling price to Cooperative Society is determined by panel of society, hence the person is cant able to charge the GST above the price determined. I need clarification for the below mentioned questions

1. Whether Supply of Kerosene to Cooperative Society can be treated as exempted sale (as the person cant able to charge the GST for the supply)?

2. or The person can charges GST in an inclusive manner of the price determined and utilise the available input credit?

Kindly clarify.

Replies (3)

Quick Summary

This discussion seeks clarification on the Goods and Services Tax (GST) applicability for a kerosene dealer supplying to cooperative societies. The core issue is that the selling price is fixed by the society, preventing the dealer from adding GST. The dealer wants to know if the supply is exempt or if GST can be charged inclusively, allowing for input tax credit. The consensus is that the supply is taxable, and input tax credit is available, but GST should be charged on the transaction value, not inclusively.