What is the tax rate for handloom sarees (cotton & silk). If I am a registered dealer, whether I need to pay gst on reverse charge basis while purchasing from weavers who were unregistered.
Karan Batra
(Creator: TheProTalks)
(2325 Points)
Replied 25 July 2017
Part I of Question:
Raw silk, Silk cocoon and Silk waste are exempted from tax. Other silk items are taxed at 5%, with full Input tax credit, however refund of excess ITC is not available.
Exempted from tax:
Taxed at 5% with full ITC (No refund):
Part II of Question
Yes, RCM will be applicable
ramesh
(Accountant)
(261 Points)
Replied 25 July 2017
Live class on PF & ESI Enrollment & Returns Filing(with recording)
CAclubindia
