Sale of goods by URP

Dear sir,

 

We are a charitable trust registered under Indian trusts act and are an Unregistered person ((URP) under GST.

 

We had purchase some scaffolding material for construction activities in our trust of Rs 5 crs and now wish to sell them as that activity has concluded.

 

How can we sell these items without generating invoice (as we don't have GST number)? We can generate delivery challan and e-way bill. But how will the buyer be able to claim GST if we don't raise an invoice.?

 

Please advise.

 

 

Regards 

Replies (1)

As a charitable trust and an Unregistered Person (URP) under GST, you can sell the scaffolding material without generating an invoice. Since you don't have a GST number, you can use a Delivery Challan and e-way bill for the sale. However, the buyer may face challenges in claiming input tax credit (ITC) without a GST invoice. To facilitate the sale, consider the following options: 1. _Provide a tax invoice_: Although you're not required to generate a GST invoice, you can provide a tax invoice for the buyer's convenience. This will help them claim ITC. 2. _Declaration or Certificate_: Issue a declaration or certificate stating that you're an URP and not required to issue a GST invoice. This may help the buyer in their records. 3. _Buyer's responsibility_: Inform the buyer that they may need to pay GST on reverse charge basis (RCM) since you're an URP. 4. _Consult a tax expert_: Seek guidance from a tax professional to ensure compliance with GST regulations. Remember to maintain proper records and documentation for the sale, including the Delivery Challan, e-way bill, and any declarations or certificates provided to the buyer.

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