Dear sir,
A Trader dealing in supporting activity in looms (weaving a cloth ) ,
He purchases raw threads from a supplier who charges GST at some rate .,
The trader who purchases it paying price cum GST and do the job and further sells that to customer but doesnt charge GST , since the trader is not in the obligation to Levy tax ,
Can the trader claim Input GST credit on purchase and take refund ??
Kindly clarify ..🙂
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GST input Credit refund.
Replies (2)
the trader cannot claim input tax credit as he is not a registered dealer. Only people who have registered themselves in gst can take the benefit of input tax credit
Thank you sir,
But , The trader is registered under GST ,And he has a GSTIN .
However his turnover is below the prescribed limit and to the trader , his purchase is added with tax resulting in higher cost of purchase and cannot pass on that, to the buyer . Consequently he has to charge to the customer a higher price .. that results ineffecient pooling of customers .
But , The trader is registered under GST ,And he has a GSTIN .
However his turnover is below the prescribed limit and to the trader , his purchase is added with tax resulting in higher cost of purchase and cannot pass on that, to the buyer . Consequently he has to charge to the customer a higher price .. that results ineffecient pooling of customers .
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