Charges for cheque bounce to attract GST
Thursday, December 27, 2018, 12:00 PM
Charges for cheque bounce collected by an entity from its customers are liable to be taxed with the applicable GST rate, the Authority for Advanced Ruling (AAR) in Maharashtra ruled. The applicant, a non-banking financial company, argued that cheque-bounce charges were a form of penalty or liquidated damages and therefore not a consideration for supply. Hence, such charges collected weren't taxable under the GST.
GST Bengaluru division busts fake invoice racket
Friday, November 16, 2018, 1:01 PM
The GST commissionerate of Bengaluru South took three persons in custody for issuing fake tax-invoices worth nearly Rs.1,200-crore in turnover which translates into GST-evasion of Rs.200-crore, a statement issued by the local Central Tax office said. The accused had floated several fake companies engaged in trading fake invoices for availing input tax credit by various steel scrap dealers and manufacturers of iron and steel-products.