[Bomi]

Maharashtra has adopted the RERA (Real Estate Regulatory & Development Act). Check if your builder has registered the project in which you are interested. If yes, then the penalty for delay by builder is already a mandatory clause in the agreement.

[KiloAlpha]

Lawyers on the forum, please advice on how I need to proceed in this case.

Recently, some NSCs matured. I went to the post office to get the maturity amount. The post office gave me a cheque. I deposited the cheque in my bank account. The cheque bounced for reasons of "Exceeds Arrangements".

NSCs matured on 7th July. Cheque dated 15th July was picked up by me from the post office on 18th July, deposited that evening, sent for clearing on 19th July.

The cheque is issued by the Post Master, Basavanagudi, Bangalore.

So, what next?

[carboy]

This is a question from a cousin of mine. Do people who export services (worth around 25 Lakhs annually) need to register for GST?

Different CAs he consulted gave different answers.
- All of them agreed that he is exempt from paying GST if he is exporting services.

However, some of them said he still needs to register for GST & file returns even if he is exempt - so as to get the exemption.

However, as per the CGST Law section 23 (1)
23. (1) The following persons shall not be liable to registration, namely:––
(a) any person engaged exclusively in the business of supplying goods or
services or both that are not liable to tax or wholly exempt from tax under this Act or
under the Integrated Goods and Services Tax Act


Can someone clarify this?

[sasi@8689]

Originally Posted by carboy

This is a question from a cousin of mine. Do people who export services (worth around 25 Lakhs annually) need to register for GST?

Yes, he is required to get registered as the turnover is in excess of the threshold limit that is exempt from registration. The section quoted by you is not applicable in this case because, exports are not exempt from GST, they are taxable, but at zero rate. Correct technical term for them would be 'zero rated services' and not 'exempt services'

This is same even in the earlier service tax regime

[carboy]

Originally Posted by sasi@8689

Yes, he is required to get registered as the turnover is in excess of the threshold limit that is exempt from registration. The section quoted by you is not applicable in this case because, exports are not exempt from GST, they are taxable, but at zero rate. Correct technical term for them would be 'zero rated services' and not 'exempt s20ervices'

Thank you. Is this even if he does not want to claim any input credit - does he still have to register? And if yest, how many returns does he have to file per year? Is it 40 or whatever - even if he wants to claim no input credit.

One more question. What about people who export services but below 20 lakhs - are they required to register?

Originally Posted by sasi@8689

This is same even in the earlier service tax regime

What did they have to register for in the earlier service tax regime? He hadn't registered for anything.

[sdp1975]

Is there a website where I can get the exact wording of an Act , as it stands amended over the years ?

For example , If I wanted to know the EPF & MP Act as it stood in 1986 , 2008 , and in 2014, is there a reliable place to look at ?

[sasi@8689]

Originally Posted by carboy

Thank you. Is this even if he does not want to claim any input credit - does he still have to register? And if yest, how many returns does he have to file per year? Is it 40 or whatever - even if he wants to claim no input credit.

Yes; registration requirement is independent of claiming input tax credit. Persons with 'aggregate turnover' exceeding Rs 20 lacs (10 lacs in certain cases) should get registered. Aggregate turnover has been defined to include exempt services, export services etc. Returns should be a minimum of 37 per year

Originally Posted by carboy

One more question. What about people who export services but below 20 lakhs - are they required to register?

Not required - assuming that the person is engaged in only export of services, turnover from which does not exceed Rs 20 lacs

Originally Posted by carboy

What did they have to register for in the earlier service tax regime? He hadn't registered for anything.

Export of services is considered as a taxable service but zero rated and any person whose turnover from taxable services exceeds Rs 10 lacs per annum should get himself registered under service tax act. It is logical as well because what constitutes export of services has been defined under service tax and there are certain conditions to be fulfilled. Unless a person gets himself registered and files periodical returns, department would not be having direct access to his data for scrutiny / audit etc

[carboy]

Originally Posted by sasi@8689

Not required - assuming that the person is engaged in only export of services, turnover from which does not exceed Rs 20 lacs

Which law is this from. As per the IGST law, the below 20 lakh exemption does not apply for interstate traders and export is considered as interstate, right? How come the below 20 lakh turnover does not require GST registration applies?

And thank you very much for all your answers.

[sasi@8689]

Originally Posted by carboy

Which law is this from. As per the IGST law, the below 20 lakh exemption does not apply for interstate traders and export is considered as interstate, right? How come the below 20 lakh turnover does not require GST registration applies?

Mandatory registration requirement is for interstate 'taxable' supplies and not for all interstate supplies. Export has been classified under zero rate supplies which is included under the definition of 'exempt' supplies. So, registration shall not be mandatory in the case of exports unless they breach the threshold of 20 lacs per annum

[carboy]

Originally Posted by sasi@8689

Mandatory registration requirement is for interstate 'taxable' supplies and not for all interstate supplies. Export has been classified under zero rate supplies which is included under the definition of 'exempt' supplies. So, registration shall not be mandatory in the case of exports unless they breach the threshold of 20 lacs per annum

If you are considering export as 'non taxable' interstate supply, then registration is not required even for more than 20 lakh as per CGST Law Section 23 (1)

23. (1) The following persons shall not be liable to registration, namely:––
(a) any person engaged exclusively in the business of supplying goods or
services or both that are not liable to tax or wholly exempt from tax under this Act or
under the Integrated Goods and Services Tax Act


The reason we say that exports doesn't fall under this is by considering exports as a taxable thing but taxable at zero-rate.

[sasi@8689]

Originally Posted by carboy

If you are considering export as 'non taxable' interstate supply, then registration is not required even for more than 20 lakh as per CGST Law Section 23 (1)

I was thinking of this while I used the word 'exempt' for exports. But why I said so is because the definition of exempt supplies specifically includes nil rated supplies which I had interpreted to be zero rated supplies i.e., exports in this case.

I understand the point you are making though. It leaves us with two interpretations - one that exports are covered under exempt services which doesn't require registration and second, that zero rated and Nil rated supplies are different to each other, so exports being zero rated would come out of exempt definition, thus making registration mandatory without any threshold as they form part of interstate trade. Yes, the second interpretation seems to be correct as there is no way that govt would give blanket exemption for exports from registration and compliances.

[carboy]

Originally Posted by sasi@8689

Yes, the second interpretation seems to be correct as there is no way that govt would give blanket exemption for exports from registration and compliances.

So you are saying that even people with below 20 lakhs would require registration & filing of GST returns, right?

Even the guy who is doing software freelancing for foreign clients at upwork.com etc & having a turnover of 5-10 lakhs would require it.

[sasi@8689]

Originally Posted by carboy

So you are saying that even people with below 20 lakhs would require registration & filing of GST returns, right?

Yes, seems to be so. Though need to dig further to understand the interplay between Zero rated and Nil rated supplies from exempt supplies definition perspective.

[carboy]

Originally Posted by sasi@8689

Yes, seems to be so. Though need to dig further to understand the interplay between Zero rated and Nil rated supplies from exempt supplies definition perspective.

Thank you. It seems that FIRC (Foreign Inward Remittance Certificate) will be required for claiming Input credit. But he is not going to claim any input credit so it doesn't matter to him. But do you know if FIRC also be required for filing the GST returns itself.

The case here is that payment is being done through an intermediary bank. The contract is with a foreign company in Rupees rather in Foreign Currency (this was done to avoid uncertainties of rate fluctuation). So the foreign remitter transfers money through an intermediary bank - i.e. if they have to pay Rs 10,000 - they pay in forex from their bank to an intermediary bank & the intermediary bank pays exactly 10,000 into the oreceiver's account. So the receiver cannot get a FIRC from his bank. However, he has proof in the form that his contract is with a foreign company. Also he can get the remittance slip from the foreign company which shows that the foreign company remitted Rs 10,000 from their bank outside India (not an Indian bank either) to his bank in India.

This has never created a problem in the service tax regime. Because he never had service tax registration. And the only thing he used to file was Income Tax returns (unaudited).

With GST, will this be a problem.


Also even about whether to file GST or not, there are varying opinions

https://community.upwork.com/t5/foru...ge/true/page/1


And thank you again for all your replies.

[mail4ajo]

Team, I am a NRI and is liable for Capital Gains Tax for next AY. Would appreciate some help.

I believe investing in govt notified Sec 54EC bonds is the best option to avoid LT. Have no intention to buy/build house property. Plus I already have few

Queries:

1. Do I have to be physically present in India to invest? Could be an issue if yes
2. Also is it available for my NRI status?
3. Any other provisions under sec 54 to avoid tax? Is PSU Banks deposits still an option (CGAS 1988)?