Summary of Clarification regarding applicability of GST on certain services through Circular No 228-22-2024 Circular No 228/22/2024 provides Clarification regarding applicability of GST on certain services. It is based on the recommendations of 53rd GST Council Meeting which was held on 22-06-2024. This circular mainly consist of following: Keypoints of the Circular No 228-22-2024 1. … Read more
Summary of Fixing Monetary Limits for Filing Appeals and Reduction of Government Litigation The Government has Fixing Monetary Limits for Filing Appeals and Reduction of Government Litigation by issuing Circular No 207/1/2024 dated 26-06-2024. This Policy mandates that, where the amount of money involved is below a certain limit the appeal should not be filed. This … Read more
Summary of Clarification on the taxability of ESOP/ESPP/RSU Comapnies and tax authorities have asked for Clarification on the taxability of ESOP/ESPP/RSU provided to employees are taxable.These are forms of compensation where employee receives company shares or the option to buy the shares, and there is confusion about how they should be taxed under existing rules. … Read more
Summary of the Valuation of Import Services from Related Person with Full ITC Eligibility Circular No 210/04/2024 has been issued for the Valuation of Import Services from Related Person with Full ITC Eligibility. If a business import services from a related person or from one of its own establishments located outside India, it will be … Read more
Summary of ITC on Vehicle repair expense to insurance company in Claim reimbursement The Insurance Company insures the cost of repairs/damages of motor vehicles and settles the claims in two ways. (i) Cashless Mode:- The Insurance company pay the garage directly for the repair work. The Garage issues the invoice in the insurance Company’s name … Read more
Summary of ITC Availment for RCM Supplies from Unregistered Persons GST circular has been issued to provide clarification regarding ITC Availment for RCM Supplies from Unregistered Persons.it is related to the availment of ITC by the recipient on the tax paid by him under RCM in respect of supplies received from unregistered persons. Businesses can … Read more
Summary of ITC on Ducts and Manholes for Optical Fiber Cables Network Clarification has been issued on ITC on Ducts and Manholes for Optical Fiber Cables Network as some of the GST authorities denying ITC on Ducts and Manholes used in Optical Fiber Network based on the arguments that these items are classified as Immovable Property … Read more
Summary of Clarification on How GST rules apply to warranty related transactions. Circular No 216/10/2024 issued to provide Clarification on How GST rules apply to warranty related transactions. The original clarification in Circular No 195/07/2023-GST mainly focused on the case where only part of product were replaced under warranty, not entire product. However, guidance provided … Read more
Summary of the Mechanism for verification of ITC Reversal on Post sale discounts GST Circular No 212/06/2024 states the Mechanism for verification of ITC Reversal on Post sale discounts. Where the discounts are offered by supplier after delievring goods or services, they issue tax credit notes. Section 15(3)(b)(ii) of the CGST Act,2017 specifies that, this discount … Read more
Summary of Time of Supply for Spectrum usage services GST Circular No 222/16/2024 has been issued for Time of Supply for Spectrum usage services on 26-06-2024. Government has received query for when telecom operators should pay GST on Spectrum allocation. it is specially for when operators choose to pay for the spectrum in installments over time … Read more