CCI Online Learning
50% OFF in CA/CS/CMA Subjects
     
CIBIL

Upgrad

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Gst on unbranded rice


srikumar (audit staff)     06 June 2020

srikumar
audit staff 
 55 likes  1132 points

| My Other Post

sir, my client has traders, sell rice to people. now gst is liable or exempt?.
some one says rice is exempt you wil get affidavit, otherwise taxable. now I am trader gst is exempt or not sir?
pls clarify sir

avater

KRISSHNAN KP   06 June 2020

KRISSHNAN KP

 448 likes  4210 points

View Profile | My Other Post

Your client is registered trader or not

avater

Shivam RC (Student)     06 June 2020

Shivam RC
Student 
 2879 likes  22714 points

View Profile | My Other Post

@ Srikumar Sir,

If the Rice is being sold under a Registered Brand Name ( like India Gate, Fortune etc ), then it is Taxable. The applicable Rate of GST is 5%.

However if no Brand Name is associated ( Non-Brand Items ), then it is EXEMPTED vide Notification No. 2/2017 - Central Tax ( Rate ), dated 28.06.2017. GST Not applicable. It's an Exempt Supply. Moreover as per the Provision of Section 23(1) of the CGST Act 2017, Person's dealing in Exclusive Supply of Exempt Goods are not liable to take GST Registration.

Regards,
Shivam RC.

1 Like
avater

srikumar (audit staff)     06 June 2020

srikumar
audit staff 
 55 likes  1132 points

View Profile | My Other Post

He is trader, also sell other goods like milk, rice, organic foods

avater

Shivam RC (Student)     06 June 2020

Shivam RC
Student 
 2879 likes  22714 points

View Profile | My Other Post

Then if his Aggregate Turnover exceeds Rs. 40 lakhs ( assuming him to be dealing in EXCLUSIVE SUPPLY OF GOODS ), he has to opt for GST Registration. Aggregate Turnover includes both Exempt as well as Taxable Supplies.

avater

srikumar (audit staff)     06 June 2020

srikumar
audit staff 
 55 likes  1132 points

View Profile | My Other Post

Taxable and exempt turnover was 8 lakhs

avater

Shivam RC (Student)     06 June 2020

Shivam RC
Student 
 2879 likes  22714 points

View Profile | My Other Post

Then not required to take GST Registration

avater

srikumar (audit staff)     06 June 2020

srikumar
audit staff 
 55 likes  1132 points

View Profile | My Other Post

He already registered at fy 17-18 ,

avater

Shivam RC (Student)     06 June 2020

Shivam RC
Student 
 2879 likes  22714 points

View Profile | My Other Post

Then the Trader needs to collect GST on Goods supplied by him according to the GST Rates prescribed under Notification No. 1/2017 - Central Tax ( Rate ), dated 28th June 2017 as amended from time to time.

For Exempted Goods, he will not collect GST. He needs to issue Invoice cum Bill of Supply when both Taxable and Exempted Goods are supplied together.

As far as the Rice is concerned, as replied earlier if it is Branded Rice then GST @ 5% is applicable. If Non-Branded Rice, No GST applicable.

avater

srikumar (audit staff)     06 June 2020

srikumar
audit staff 
 55 likes  1132 points

View Profile | My Other Post

Sales to end user i.e. public people by cash sales by raise invoice with gst and exempt goods also


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register  


Bajaj Finserv

Related Threads


Loading

Trending Tags
GST Live Class    |    x