Now a days it is a practice by Medical shops without GST registration, they used to sell charging MRP which is including all taxes. Suppose MRP Rs.160 inclusive of 12% GST they should sell at Rs.142.86. Purchase price of the same is Rs.110 + Rs.13.20 the cost price is Rs.123..20 means profit is Rs.36.80 means profit for single medicine is 29.72%. Is it correct? Where is antiprofiting Rule? There is n numbers of medicine buyers, we should something for this matter. Please guide.
| Originally posted by : RAJA P M | ||
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It's not something.In previous Tax regime they all are collect Tax from customers. But, they seller can't registered and collect the tax and use his own... |  |
It is like this to increase undue proofit. I personally discussed with medical shop owners they are following this cut practice
There is no restriction to profit to be earned by a supplier unless it can be proved that the supplier has not reduced prices even when the incidence of tax on the item/commodity/service on such supply has come down. you have to see the issue in this light.
MS
Consumer disputes can be raised either with
The Medical Shop owner is not registered under GST. Though he is selling at MRP which is inclusive of GST. How? is it right?
The Medical Shop owner is not registered under GST. Though he is selling at MRP which is inclusive of GST. How? is it right?
| Originally posted by : Mahesh Shaha | ||
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The Medical Shop owner is not registered under GST. Though he is selling at MRP which is inclusive of GST. How? is it right? | |
Yeah...
You are exactly good question My Dear Mahesh Shaha...
Above said way not only GST. It's also in VAT sales. Who can made end user sales for "WITHOUT BILLING & WITHOUT REGISTRATION" they all are collect tax from End users / Puplic then he ll save his pockets...
Generally it's not correct...
But, Rules may be allowed as per ceiling limit... So, No restriction the way 
At least for essential things such as medicines, govt has to make it complusory under GST Act to issue invoices, or at any time officer can visit the shop and may force to check all stock maintain is correct without taking any bribe
The reason today given by shop owner is government had issued a notification regarding old manufactered medicines that the shop owner can sell medicine on old MRP which was inclusive of VAT. I think the principal of tax is if you are collecting tax, you have to pay the collected tax. Am I right?
Their association is also telling the medical owners to sell the medicines as per todays practice
What is format for GST return of Medical Shops and there may a lot of HSN, then how can somebody HSN summary in return?
CAclubindia
