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Turnover exceed rs. 20 lakh

24 June 2018

I have registered under gst on Sept but my turnover exceed rs. 20 laks on july whether i have to pay tax under gst for amount exceeding rs. 20 lakh. Please provide Under which section i can refer it?

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10 Replies

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 24 June 2018

Yeah... If Your Turn Over exceeding above 20lakhs or July then Registration required from July. After GST will be charged from July from the value of 20lakhs...

But,
You are registered on September. So, Between July to September sales is GST applicable. You ll be pay GST with interest and Penalty if You sell anything in that time...

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Vinod Babu (24191 Points)
Replied 24 June 2018

Yes. I agree with Raja sir views.
But how can the tax payer pay gst amount from July to gst registration approved date(sep), as he has not collected it. Also he can't collect tax while he was unregistered.

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Hardik Lashkari (Content Writer) (3449 Points)
Replied 24 June 2018

Hi Nilesh,

Let's analyse the various provisions of the CGST act to understand the aspects related to your query -

Meaning of Registered Person - "Registered Person" means a person who is registered under section 25 of CGST Act.

Meaning of Taxable Person - "Taxable Person" means a person who is registered or liable to be registered under section 22 or section 24

According to Section 22 of CGST Act,

Every supplier shall be liable to be registered under this Act in the State or Union territory, other than special category States, from where he makes a taxable supply of goods or services or both if his aggregate turnover in a financial year exceeds twenty lakh rupees.

If we analyse your query in light of the above provisions, we can conclude that you will be a TAXABLE PERSON under GST Act from July onwards.

Let's analyse the charging section now -

Section 9(1) is the charging section of CGST Act. According to the section -

There shall be levied a tax called the central goods and services tax on all intra-State supplies of goods or services or both, except on the supply of alcoholic liquor for human consumption, on the value determined under section 15 and at such rates, not exceeding twenty per cent., as may be notified by the Government on the recommendations of the Council and collected in such manner as may be prescribed and shall be paid by the taxable person.

Since the charging section puts the liability on the taxable person and not the registered person, you are liable to pay GST from July itself when you became liable for the registration.

I hope I have answered your query. For any further problems, you can message me here on on my mail ID.

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prakin singhal (314 Points)
Replied 24 June 2018

Well explained Hardik Sir. Agree with your perception.

Vinod Babu (24191 Points)
Replied 24 June 2018

Yes I agree the statement of Mr Hardik sir.
But practically speaking, no taxpayer shall not bear the liability of paying the taxes before the gst registration date.
Because legally gst department can't assess the threshold limit of taxpayer. The taxpayer when self declared his turnover only that time we can know that he is crossing the threshold limit.

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RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 24 June 2018

Originally posted by : Vinod Babu
	Yes I agree the statement of Mr Hardik sir. But practically speaking, no taxpayer shall not bear the liability of paying the taxes before the gst registration date. Because legally gst department can't assess the threshold limit of taxpayer. The taxpayer when self declared his turnover only that time we can know that he is crossing the threshold limit.

Bro.,

Above said replies is suggestions and based on rule...

May be he can't supply any goods from july to septemeber (on or before registration). If in this way he don't want pay any taxes or PENALTY...

In case he made any supplies and keep bills on or before registration and after reach thrhold limit (As per his statement) then HE MUST PAY TAX & PENALTIES. If he is collect or NOT...

Vinod Babu (24191 Points)
Replied 24 June 2018

Yes agree with you point Raja sir.
I just told the practical view of tax payers.

So the tax payer is liable to pay gst from the time of crossing the threshold limit.

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 24 June 2018

Originally posted by : Vinod Babu
	Yes agree with you point Raja sir. I just told the practical view of tax payers. So the tax payer is liable to pay gst from the time of crossing the threshold limit.

practical view : Yes.. Noramally Taxpayers can't will. (But, Govt not accepted other views. Except based on Law...

liable to pay gst from the time of crossing the threshold limit : Yes... As per his Statements

1 Like