GST Registration Limit

Is Interest on saving and fixed deposits treated as supply of service, if yes then limit of registration under GST ACT was 20 lacs, Is it correct or any other opinion pl.
Replies (2)
Quick Summary
This discussion clarifies that interest earned on savings and fixed deposits is indeed considered an exempt supply under the GST Act. While these interest earnings are exempt from GST themselves, they must be included when calculating your aggregate turnover for GST registration purposes. The standard registration threshold applies to this aggregate turnover.

Aggregate turn over means the aggregate value of all taxable supplies(excluding the value of inward supplies on which tax is payable by a person on reverse charge basis)., exempt supplies, exports of goods or services or both. Rs. 20000.
Yes Interest on Savings and Fixed Deposits will be included in your Aggregate Turnover. Although they are exempted from GST vide Notification No. 12/2017 - Central Tax ( Rate ), dated 28.06.2017, but they will be included while calculating your Aggregate Turnover.

Aggregate Turnover as defined under Section 2(6) of the CGST Act 2017 INCLUDES :

(i). TAXABLE SUPPLIES.
(ii). "EXEMPT SUPPLY."
(iii). EXPORT OF GOODS or SERVICES.
(iv). BRANCH TRANSFER.

but EXCLUDES :

(i). TURNOVER on which TAX is payable under RCM basis.

(ii). CGST, SGST, UTGST, IGST and Cess.

NOTE : There's also an Advance Ruling regarding this matter given by Gujarat Authority for Advance Rulings.

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