INTRA STATE GST REFUND

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Hello,
I have a small query regarding the gst refund, recently i bought 30 kg almonds from a supplier from navi mumbai and he told me that i can get the refund of the gst which i paid to him. But though i am new in the business and we need to sell it further to retailers, so i wanted to know that can i get the gst back which i paid to him because if we don't get it back, we will be in loss. So your guidance would be really helpful in our future buying and making any losses in future. 

Note: All the transaction are happening in the state of Maharashtra.

Thanks in Advance,
Prince Kumar Tiwari.

Replies (5)
GST that is paid on purchases can be set off against GST that is payable on sales
When you buy goods or services (Eg. Rs 100) for the purpose of further business then you can claim the credit of Gst paid (eg. 18% = rs. 18) at the time of purchase!!

You will be able to use this credit of Rs. 18 at the time of making payment of GST liability on sales made by you.

For more details -
CA Sachin M Jain .8O975. l5447
Mumbai

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Are you registered under GST ?

No,
That's what i was thinking that if i can get the refund of the gst which i paid while making the purchase, than i can register for gst otherwise currently i don't fall under the compulsory registration of gst. And sales made by me happens mostly in cash and retailers prefers that only and they don't even need gst as if we add gst to our selling price than the price goes too high as the we all are dealing with very low margin. if we add gst to our cost than also it reaches to the price on which consumer buys than how we can expect retailers to buy from us. So i just want to understand that is there any way that we can get the refund not the input credit which i can settle on my sales as it's not possible only to do so.

 

Thank You!

Refund is not possible, whether you are registered or unregistered.
If registered, than also only Input tax credit is available, but in that case you have to pay tax on your sale.

As per you case, it's not advisable to you to register and refund is also not available.

So, kindly consider that GST Paid on Purchase as your Cost and decide on that basis.


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