Sir/Mam,

We have applied Lut FY 2024-25 in March 23-06-2024 and Received ARN Number. we are using same ARN Number in Export Invoice

Yesterday we have received Deemed Acceptance of LUT Form GST RFD 11 with Order Number.

Deemed Acceptance LUT Means,

My doubt is LUT ARN Previous we have to use the same in Export invoice or Deemed Acceptance LUt Order No.

Please kindly explain and clarify my doubts

Thanking you,

I am also getting the same error while uploading the refund json viz "The return period in uploaded JSON file does not match the return period for which Refund application is created".

What is Gst rate for job work for Hijab ( Burkha)

will there be any penalty if a gst registered business purchase from another gst registered business without providing gst details? That is if the invoice issued does not mention GSTIN of the buyer?

Res/ Sir, Madam,
We make monthly returns, and we purchased goods from one such Proprietary firm which are return quarterly. So Sir, when we should ITC be claimed and how much?

Thanks,
Regards,
Ashok Yadav

We were trying to file ITC04 with a fully validated JSON File but the site was showing that there was some error in validation of structure of the JSON file and to use the latest form of Offline tool. Each time I repeated the filing with a new offline tool the error persisted.

Is there any remedy for this Problem?

A partner of the firm bought a software online using his personal money and then transferred it to the firm through capital account. the website did not have any facility to give gst details, and because it was intented to be used by the firm, an account was opened in firm's name. but the invoice that got generated have the following details:
Sold to: Firm name ( picked up from account details)
partner name ( picked up from billing details)
partner address (billing details)
Now, will firm face any penalty from gst department?
Can the the firm claim depreciation on the software in itr?

One of my client is doing trading business in Arunachal Pradesh. The shop-license is in the name of local tribal and on the basis of a Power of Attorney, my client has started business, taken GST registration in his own name, opened bank a/c in the name of firm (with signature of my client on the basis of Power of Attorney). Whether income of said firm can be shown in my client's file ?

We have recently started operating a marketplace and would like to seek clarification on the tax implications based on the following scenarios:

Case Scenario 1:

In our marketplace model, we receive payments from international clients, and services are provided by Indian developers. We charge a flat 13% commission and a 5% payment gateway fee (Actual as per Paypal).

Please consider the following example:

Client Payment: 1000 USD (converted to INR, Rs. 82,550)
Service provided by: Indian developer
Platform Fee: 13% of Rs. 82,550 = Rs. 10,731.50
Payment Gateway Fee: 5% of Rs. 82,550 = Rs. 4,127.50 (GST included by the payment gateway provider for their service)
The payment breakup to the developer is as follows:

Client Payment Total: Rs. 82,550
Platform Fee: Rs. 10,731.50 + 18% GST (Rs. 1931.67) = Rs. 12663.17
Payment Gateway Fee: Rs. 4,127.50
Amount payable to the developer: Rs. 82,550 - Rs. 12663.17 - Rs. 4,127.50 = Rs. 65,759.33
Additionally, we need to deduct 1% TDS from the final amount payable to the developer:

TDS: 1% of Rs. 65,759.33 = Rs. 657.59
Net Amount payable to the developer after TDS: Rs. 65759.33 - Rs. 657.59 = Rs. 65101.74

Case Scenario 2:
For payments received in INR from domestic clients, the breakup will be as following. If the developer or service provider is under the GST slab, GST needs to be added or adjusted to the client payment, needs to be mentioned on the client invoice.

Client Payment: Rs. 50,000
Service provided by: Indian developer
Platform Fee: 13% of Rs. 50,000 = Rs. 6,500
Payment Gateway Fee: 5% of Rs. 50,000 = Rs. 2,500 (GST included by the payment gateway provider for their service)
The payment breakup to the developer is as follows:

Client Payment Total: Rs. 50,000
Platform Fee: Rs. 6,500 + 18% GST (Rs. 1,170) = Rs. 7,670
Payment Gateway Fee: Rs. 2,500
Amount payable to the developer: Rs. 50,000 - Rs. 7,670 - Rs. 2,500 = Rs. 39,830
Additionally, we need to deduct 1% TDS from the final amount payable to the developer:

TDS: 1% of Rs. 39830 = Rs. 398.3
Net Amount payable to the developer after TDS: Rs. 39,830 - Rs. 398.3 = Rs. 39,431.7

FIRC/FIRA Considerations:
In both scenarios mentioned above, we encounter issues with FIRC (Foreign Inward Remittance Certificate). Payment gateways or banks will not issue FIRC/FIRA in the name of the service provider; they will only issue it in our name. This means the service providers cannot claim the export of service, even if the invoice is generated in their name and in international currency.


Case Scenario 3:

Consider a different approach where all charges are borne by the client.

Client makes a deal of 1000 USD with the service provider.
We take a 13% commission and a payment gateway fee from the client's payment and bill them for it.
The remaining amount, after conversion, is deposited to the service provider (after deducting 1% TDS).
This approach ensures it is classified as an export of service, and GST is zero as we are charging the client (if international), not the service provider. FIRC in our name will still be acceptable since we will be doing the export of service.

To summarize:

Client Payment: 1000 USD (converted to INR)
Commission: 13% charged to the client
Payment Gateway Fee: Charged to the client
Amount Payable to Developer: (Converted Amount - 13% Commission - Payment Gateway Fee) - 1% TDS

We seek your clarification on the GST, TDS, and billing structure for these scenarios.

Queries:
1. Can I do case scenario 3 for my international clients.
2. Case scenarios 3 will be deemed as Export of service for our marketplace?
3. We have to register for GST even if threshold is below 20lacs, Correct?
4. 1% TDS is deducted on all payments we remit to our service providers irrespective of threshold amount, Correct?
5. We will have to raise 2 invoices, correct me if wrong:
a) One invoice service provider to client (display breakup of GST if service provider is registered for GST)
b) Second invoice on the commission we charge (either client or service provider)
c) Invoice numbering will be different for every transaction? Cause one transaction will have two invoice generated.
6. Paypal or payment gateway charges: How do we bill this? We have no extras in this scenario. But payment gateway guys will only bill us, not service provider.
7. FIRC/FIRA is given on our company name, so in GST we can follow case scenario 3 & will it be deemed export of service?

What is the best approach for us?

Your guidance on how to best structure these transactions for compliance would be greatly appreciated.

Hello All,

We are unable to download the LUT acknowledgement from the GST portal.

Can anyone tell us . how to get it.