GST Liability

 GST Liability-Basics

Every supplier, who makes taxable supply of goods or services or both, in a State or Union territory, shall be liable to be registered, if his aggregate turnover in a financial year exceeds Twenty Lakh Rupees.

This limit has been increased to Rs. 40 Lakhs, only for those suppliers, who is exclusively engaged in the supply of goods, subject to certain conditions.

In the case of Special Category States, the above said aggregate turnover limit will be Twenty Lakhs Rupees.

In other words, where such person makes taxable supplies of goods or services or both from any of the Special Category States, he shall be liable to be registered if his aggregate turnover in a financial year exceeds Ten Lakh Rupees.

Meaning of Aggregate Turnover

ü      For the purposes of registration,  the expression “aggregate turnover” shall include all supplies         made by the taxable person, whether on his own account or made on behalf of all his principals;

ü      Supply of goods, after completion of job-work, by a registered job worker shall be treated as the supply of goods by the principal and the value of such goods shall not be included in the aggregate turnover of the registered job worker;

List of Special Category States

Special Category States are Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh, Uttarakhand and States of Jammu & Kashmir.