EXAMPLE

In the following cases determine the point of taxation (time of supply) and due date of return and self assessed tax of GST.

S.NO

Date of Removal of goods

Date of Invoice

Date of Payment is received

1

03.07.2017

29.06.2017

15.07.2017

2

03.07.2017

02.07.2017

29.06.2017

3

03.07.2017

05.07.2017

05.07.2017

4

03.07.2017

03.07.2017

29.06.2017 (Entry in books on receipt of cheque) and credited on  04.07.2017

5

03.07.2017

02.07.2017

29.06.2017 (Part payment) and 03.07.2017 (remaining)

ANSWER

As per section 12(2) time of supply of goods shall be the earliest of the following dates:-

(a)                Date of issue of invoice

(b)               Last date on which invoice required to be issued

(c)                Date on which suppliers receive payment

 

In view of the above provision time of supply of goods in above cases will be the following;

S.NO

Date of Removal of goods

Date of Invoice

Date of Payment is received

Time of Supply (Section 12)

Relevant event (under section 12)

Earlier Event

1

03.07.2017

29.06.2017

15.07.2017

29.06.2017

Date of Invoice

2

03.07.2017

02.07.2017

29.06.2017

29.06.2017

Date of Payment is received

3

03.07.2017

05.07.2017

05.07.2017

03.07.2017

Last date of issue of invoice u/s 31(1)

4

03.07.2017

03.07.2017

29.06.2017 (Entry in books on receipt of cheque) and  credited on 04.07.2017

29.06.2017

Date of payment is received (earlier of entry in books or credited in account)

5

03.07.2017

02.07.2017

29.06.2017 (Part payment) and 03.07.2017 (remaining)

29.06.2017 (for Part payment)

02.07.2017(for balance)

Part payment (on payment basis)

Balance (earlier is invoice)


 

Note: If the amount of advance has been received on or after 15.11.2017 then the time of supply of goods in respect of such amount shall be date of  issue of invoice Vide Notification No.66/2017-Central tax dt.15/11/2017.

So as per the above notification if the supplier receives advance in respect of supply of goods to be made in future,such sum shall be taxable for the month in which invoice relating to such amount will be issued or the last date of issue of invoice whichever is earlier,such notification is applicable from 15.11.2017 i.e advance received on or after 15.11.2017.