21 July 2017
Dear Sir/Madam, MR. B Supplying goods but having total turnover below exemption limit of 20lacs so he did not opt for GST registration (unregistered dealer), he is supplying goods which are chargeable at the rate of 18%. On his behalf company is paying tax on reverse charge basis, we as a company are availing @ 5% GST without input credit for output services. 1) Can we get input credit of same which we have paid on behalf of unregistered dealer i.e. MR. A?? 2) Can we use the same for setting off against 5% tax liability that is to be paid??
CAclubindia
