Sir,
I am govt contractor.I have taken contract of sanitation arrangements. In this contract i have purchased all things from gst non registered person.
If tender amount is 6 lacs but have quoted 1% below as 5.94 lacs as per 12% gst my tax liability will be approx 72000 rs.as i have purchased goods( sand,bricks,pipe etc) which are required for works contract from gst unregistered person I have followed RCM ( as on bricks,sand,pipe etc)and Will pay 60000 rs gst under RCM
so remaining as 72000- 60000=12000
1)Above calculation is correct?
2)Can I avail avail ITC on RCM and this type of govt contract?
3) 12%GST will be on 6lacs or below quoted amount which is 5.94 lacs?
1. Yes, your calculation is correct.
2. Yes you can avail ITC on this type of contract. No issue about ITC.
3. GST will calculate on 6 Lac, and i think rupees 6,000 that is under quoted to you is TDS under GST because there is a provision of deducting TDS @ 1% any supply to govt. and you are eligible to claim that amount also :- 72000-6000-12000
CAclubindia
