WHO issued Bill of supply?
Table of Contents
WHO issued Bill of supply?
A business registered under GST issues a tax invoice to the buyer. Such an invoice mentions the GST rate charged on the goods and services sold. Such dealers have to issue a Bill of Supply. A Bill of Supply is issued when GST is not applicable on a transaction or when GST is not to be recovered from the customers.
Is RCM exempt supply?
Basics of RCM Reverse charge applies only when there is a charge on supply. If supply is exempted, nil rated or non-taxable, RCM does not apply in such a case. Recipient of goods or services discharges GST under RCM as if he is the person liable for paying the tax on supply procured by him.
What is included in RCM?
What is the Reverse Charge Mechanism(RCM) under GST? Reverse Charge Mechanism is the process of payment of GST by the receiver instead of the supplier. In this case, the liability of tax payment is transferred to the recipient/receiver instead of the supplier.
In which case Bill of supply is issued?
When is a Bill of Supply issued? A bill of supply is usually issued when a business sells goods and services that are classified as exempt from GST. For example, a fruit vendor would not be issuing a regular Tax Invoice on sale but raise a Bill of Supply for his customers.
What is the difference between Bill of supply and invoice?
A business registered under GST issues a tax invoice to the buyer. Such an invoice mentions the GST rate charged on the goods and services sold. A Bill of Supply is issued when GST is not applicable on a transaction or when GST is not to be recovered from the customer.
Which of the following will not be mentioned in a Bill of supply?
Input Tax credit cannot be claimed on the basis of Bill of Supply. Amount of tax & rate of tax is mentioned on Tax Invoice. Amount of tax & rate of tax not mentioned on Bill of supply. Composition dealer cannot issue a Tax invoice.
What are the exemptions to RCM?
Central tax payable on reverse charge basis on INTRA-STATE supplies of goods or services or both received by the registered person from the unregistered person is exempted till an aggregate value of INR 5000 per day. No Reverse Charge Mechanism upto Rs. 5000 per day.
What is intra state supply?
Intra-State supply of goods or services is when the location of the supplier and the place of supply i.e., location of the buyer are in the same state. In Intra-State transactions, a seller has to collect both CGST and SGST from the buyer.
What is bill of supply in e way bill?
It is a document to be issued by a registered person supplying exempted goods or services or both or paying tax under the provisions of section 10 instead of a tax invoice.