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Gst on work contract

vikash kumar (49 Points)

27 July 2020

Meri panchayt se contract leta hu street light lagane ka
uska gst me kaise hoga

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6 Replies

Vijayprakash P (1313 Points)
Replied 27 July 2020

In this case, rate of GST is 18%.

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 28 July 2020

In this case if your turnover is more than 20 lakh/10 lakh as the case may be, than you are required to take registration under GST and charge GST on service @ 18%
If your turnover is less than above limit, than there is no need to take GST registration.

vikash kumar (49 Points)
Replied 28 July 2020

And goods ka

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 28 July 2020

If you purchase Goods on behalf of Panchayat and bill of purchase is in name of Panchayat, and you are taking only reimbursement of same , than there is no GST.

But if you purchase Goods on your name and than sale it to panchayat or provide with your service, than Same GST @ 18% is applicable.

if You can invoice both Goods and services separately,
Than for service @ 18%
For Goods @ as per applicable rate.