Please correct me if there is an error in the GST accounting entries mentioned in the attachment. And give me answer to the questions mentioned in the last of the attachment, your replies will be more helpful to me.
I have attached pdf here. Please check it.
Entries will be as follows .
1) Purchase A/c Dr 100000/-
Input CGST A/c Dr 9000/-
Input SGST A/c Dr 9000/-
To Creditors A/Cr 118000/-
( Booking entry of intra-State purchase )
2) Customer A/c Dr 236000/-
To Other Income A/c Cr 200000/-
To Output CGST A/c Cr 18000/-
To Out Put SGST A/c CR 18000/-
( Booking entry of intra-State service provided )
payable entry ( Your out put CGST 18000/- Output SGST 18000/- , Input CGST 9000/- and Input SGST 9000/- balance payable CGST 9000/- and SGST 9000/- )
Out put CGST A/c Dr 18000/-
Output SGST A/c DR 18000/-
To Input CGST A/c Cr 9000/-
To Input SGST A/c Cr 9000/-
To CGST payable A/c Cr 9000/-
To SGST Payable A/c Cr 9000/-
( Being CGST & SGST payable to Govt Account )
Sir as per your entries I have Rs.36000 in output igst and Rs. 18000 balance in input igst. In set off step I can claim 50% (for banking companies)of input only i.e.,Rs.9000 will be transferred from output to input gst.
Now I have output liability of Rs.27000 and input balance of Rs.9000 right. I did set off now. Now brief me about entries of input balance Rs.9000 nullification and output liability of Rs.27000 payment. Thank you.
Sorry earlier it was wrong interpretation by me as inter-state supply now I corrected as intra-state entries as above . .
Out put CGST A/c Dr 13500/-
Out put SGST A/c Dr 13500/-
To Input CGST A/c Cr 9000/-
To Input SGST A/c Cr 9000/-
To CGST Payable A/c Cr 4500/-
To SGST Payable A/c Cr 4500/-
( Balance payable after set off )
| Originally posted by : prasad Nilugal | ||
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Out put CGST A/c Dr 13500/- Out put SGST A/c Dr 13500/- To Input CGST A/c Cr 9000/- To Input SGST A/c Cr 9000/- To CGST Payable A/c Cr 4500/- To SGST Payable A/c Cr 4500/- ( Balance payable after set off ) |
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Sir, but after set off we have only 27000 balance in output and 9000 (ur showing 18000) in input heads. How we pass entries to pay this 27000 output liability and nullification of 9000 Input balance (remaining balance after setoff which get reversed in gst portal). Please reply.
As per section 17(4) of the CGST 2017 , if you have taken 50% Input Tax credit , in our query Rs 9000/- ( CGST -4500 and SGST -4500) then again you can not take Input Tax credit of Rs 9000/- as per above entry . So this balance 9000/- will be lapse , you can not take credit of Balance 50 % .
So in our Case payable is 27000/- ( CGST -13500/- and SGST 13500/- ) and treat above adjustment entry Cancel .
So your entry will be
Out Put CGST A/c Dr 13500/-
Out put SGST A/c DR 13500/-
To CGST payable A/c Cr 13500/-
To SGST Payable A/c Cr 13500/-
( Payable to Govt account ) .
Is there any entry I have to pass for this input balance that get lapse otherwise it will show accumulated balance.
Is there any entry I have to pass for this input balance that get lapse otherwise it will show accumulated balance.
And my view is that actually input is expenditure to me in this case ( remaining input balance after setoff). So, here I debit gst paid account and cr. to this input balance and it get nullified. And I show this gst paid balance I.e.,9000 dr. In p&l account. Is it correct
| Originally posted by : prasad Nilugal | ||
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Before that you please refer rule 38 of the CGST rules 2017 . | |
Yes sir we opted for 50% itc claim option every month. In this case the above entries I posted in gst paid are correct sir.
CAclubindia
