Email from GSTN (firstname.lastname@example.org) – Registered persons whoes Aggregate turnover being more than Rs. 5 Cr during FY 2019-20 has received an email from GST Department (GSTN)
You may have received an email from GSTN on 04/05th August, 2020 about Aggregate turnover being more than Rs. 5 Cr during FY 2019-20. Here we will discuss few take aways and Action points the registered person under GST needs to take in mind (Sample e-mail received from the GST department has been attached at the end of this article).
The summary and probable explanation of the email is as under –
Aggregate turnover for the financial year 2019-20 has been computed by GST system based on the returns filed in Form GSTR-3B by all registrations on the common PAN which exceeds Rs. 5 Cr. The returns of FY 2019-20 filed upto 25th July, 2020 have been considered for the said computation. Read More
What is ITC?
ITC – Input Tax Credit is the tax paid on inward supply of goods/services (e.g. purchases) that can be reduced when paying the Output liability.
Inverted Duty Structure: sec 54(3) of CGST Act,2017
It is a situation where the rate of tax on inputs purchased is more than the rate of tax on outputs sold which leads to accumulation of input credit and the need for refund arises.
Outward supply includes supply of both Goods & Services.