Please explain. If you see medicines purchase price and mrp,the ratio is maintain @ 20% as in the vat regime
GST is profit or loss
Page no : 2
Rahul Srivastava
(Practice)
(101 Points)
Replied 02 October 2017
profit and loss is depends upon your business condition, business style, business costing and product margin.
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 02 October 2017
means that MRP includes 14.5% vat means 87.30 sale plus 12.7 vat my cost was 90 including vat @ 14.5% means 78.6 purchase price plus 11.4 vat my profit was 87.3-78.6=8.70 profit which is 10% now under GST same 78.1 sale plus 21.9 GST means 100 purchases70.3 plus GST 19.7 means 90 here 78.10-70.3=7.80 profit @ 10% means my margin is same but amount of profit is lesd
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 02 October 2017
is it profit or loss for me under GST because I am one of the original Enfield spare parts dealer in my area the company gives @ 10% discount on MRP before vat and after GST
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 02 October 2017
means in vat regime also 10% in GST also 10%
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 02 October 2017
so amount of profit decreased or not
CA Rashmi Gandhi
(Chartered Accountant)
(86323 Points)
Replied 03 October 2017
For sure amount of profit decreased. Only margin is same.
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
so Rashmi ji by GST traders loss their amount of profit is it correct
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
means in vat regime a person who earned 10 lakh as a profit now in GST only 9 lakh he will earn 1lakh he will loose
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 03 October 2017
In my view.,
GST is overall profit to all dealers. But, Starting stage it's not reflect.
After 9months or 1year it ll reflect....
GST is overall profit to all dealers. But, Starting stage it's not reflect.
After 9months or 1year it ll reflect....
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
OK let us see Raja for the last 3 months I am loosing my profit
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
means amount of profit
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
those who are having lakhs of closing stock on June 30 also loosing their profit because of GST
RAJA P M
("Do the Right Thing...!!!")
(128091 Points)
Replied 03 October 2017
How to you get loss...?!
Are you less your basic Prize...?
Are you sell without profit or with loss of value...?
But, May be its starting way is going down. But, it's reach to Successfully in future...
Benefits of Input credit is many ways...
Also get adjustments for inter State purchases tax...
Service oriented bills ITC allowed
Assets related tax is taken as ITC.
Unused ITC taken as refund
Are you less your basic Prize...?
Are you sell without profit or with loss of value...?
But, May be its starting way is going down. But, it's reach to Successfully in future...
Benefits of Input credit is many ways...
Also get adjustments for inter State purchases tax...
Service oriented bills ITC allowed
Assets related tax is taken as ITC.
Unused ITC taken as refund
g mahesh Mundra
(Business and tax consultant)
(3296 Points)
Replied 03 October 2017
the government will never refund unused ITC to the traders they can set-off their liabilities against unused ITC
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