There was a recent Decision in case of a Writ Petition No. 405/23 Karnataka HC.

If life certificate is not submitted by pensioner; before stopping his pension, it is the duty of the bank to visit the house of pensioner and know the reason for non-submission.

Court ordered payment of all arrears,

and also imposed a fine of ₹. One lakh on the Respondent.

Payment is to be made in two weeks, with 6% interest._
If payment not made in 2 weeks, the rate of interest increased to 18% percent interest.

All Bankers to note.
A useful judgement for all the pensioners.
My Dear
Kindly circulate this post to all Pensioners

GST Rate Change for Corrugated Box, Mono Cartons from 18% to 12%

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Notification No. 02/2024-Central Tax (Rate)   Released to Public on 12-7-2024 …

Effective from 15th -July-2024

GST on most of the Cartons ( Both Corrugated boxes, and Mono Cartons ) Changed to 12%

GST Rate change is applicable from today – 15th-July-2024

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[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUBSECTION

(i)]

GOVERNMENT OF INDIA

MINISTRY OF FINANCE

(Department of Revenue)

Notification No. 02/2024-Central Tax (Rate)

New Delhi, the 12th July, 2024

G.S.R. ……(E).- In exercise of the powers conferred by sub-section (1) of section 9 and sub-section (5) of section 15 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No. 1/2017-Central Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 673(E), dated the 28th June, 2017, namely:-

In the said notification, –

(c)        in Schedule II – 6%, –

            (iii)      for S. No. 153A and the entries relating thereto, the following S. No. and the entries shall be substituted, namely: –

“121A.

4819

Cartons, boxes and cases of, – (a) corrugated paper or paper board; or (b) non-corrugated paper or paper board”;

Focus of Government was on the Fruit growers, since their output is GST free,… and input was having 18% GST …..

Anyway.. it effects us all – Either as Buyers or as Sellers

For the Manufacturers of Corrugated Boxes and Mono Cartons, the Cash Flow problem gets reduced a bit

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Action required for Web Finsys users… see thispowerpoint on this Google link below

Action required for Main VB Finsys users… see thispowerpoint on this Google link below

Notification Copy / Circular Copy official from CBIC / GST Dept

An Old video we made in 2021… for Change the GST Rate on your Sale Invoices in your ERP Software from 12 to 18

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However, unlike in 2021 change… all Other items continue at existing rates and remain in 18% example :

 following items connected with the Printing and Packaging Industry

157D.	4909	Printed or illustrated postcards; printed cards bearing personal greetings, messages or announcements, whether or not illustrated, with or without envelopes or trimmings.
157E.	4910	Calendars of any kind, printed, including calendar blocks.
157F.	4911	Other printed matter, including printed pictures and photographs; such as Trade advertising material, Commercial catalogues and the like, printed Posters, Commercial catalogues, Printed inlay cards, Pictures, designs and photographs, Plan and drawings for architectural engineering, industrial, commercial, topographical or similar purposes reproduced with the aid of computer or any other devices.”;

and also change in case of Debit Notes or Credit Notes you make for past Price Increases or Decreases

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Purchase Side

for all manufacturers…if you buy any of the above mentioned items, you also have to be aware of this, and Purchase Orders, MRR, and Purchase Voucher passing will change accordingly

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Click the button below to download the original notification by the Government.

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Once again, Remember to Change the GST Rate on both sides,

if you sell Corrugated boxes and Mono cartons, or you purchase the Corrugated Boxes and Mono Cartons

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“Do it yourself” 1 step manual in the youtube above

Effects on you, on your ERP, on your Sales, and on your Purchase… due to the Change in the GST rates for Corrugation and Mono Cartons

Do you know what changes you have to do in Finsys ERP for the Correct action on the GST Rate change in Mono Cartons and Corrugated Boxes ?

Tax ALERT

 

This is normal yearly Quarterly SOP. Nothing new. But sending this reminder only for ready reference.

We all know that we must pay advance tax before the financial year ends in 4 instalments: 15th June, 15th September, 15th December and 15th March.

This is not applicable if your Tax due is nil, of Tax due is less than the TDS already deducted by your customers etc.

Points to remember

1. Estimated ? Yes.  make your best estimate .
2. How much ? This is 15% of the Annual Tax payable by 15th June for FY 23-24
3. This is not applicable if your Tax due is nil, (example due to any loss)
4. Similarly, if your Tax due is less than the TDS already deducted by your customers etc. then, again Advance tax is not required
5. What will happen if you don’t pay in time ? Govt will charge a bit of interest… this is approx 1% p.a. ( for a block of 3 months, in 1 go )
6. How to pay ? Online only
7. Site name = either your Bank account will have a link, or
8. Official sites are : https://incometaxindia.gov.in/ and
9. https://incometaxindia.gov.in/Pages/tax-services/pay-tax-online.aspx

Benefits of Paying Advance Tax
1. Avoidance of interest and penalty charges
2. Better cash flow management
3. Avoidance of last-minute rush and stress
4. Avoidance of default notice by the tax department

SO
PLS AVOID LAST DATE. and pay in time, as per normal annual SOP.

Conditions in GST for Export indirect …

Deemed Exports via Merchant Exporter…0.1% GST is not your “Right”, unless you do these duties.

Terms and conditions

(i) The registered supplier shall supply the goods to the registered recipient on a tax invoice;

(ii) The registered recipient shall export the said goods within a period of ninety days from the date of issue of a tax invoice by the registered supplier;

(iii) The registered recipient shall indicate the Goods and Services Tax Identification Number of the registered supplier and the tax invoice number issued by the registered supplier in respect of the said goods in the shipping bill or bill of export, as the case may be;

(iv) The registered recipient shall be registered with an Export Promotion Council or a Commodity Board recognised by the Department of Commerce;

(v) The registered recipient shall place an order on registered supplier for procuring goods at concessional rate and a copy of the same shall also be provided to the jurisdictional tax officer of the registered supplier;

(vi) The registered recipient shall move the said goods from place of registered supplier –
(a) directly to the Port, Inland Container Deport, Airport or Land Customs Station from where the said goods are to be exported; or
(b) directly to a registered warehouse from where the said goods shall be move to the Port, Inland Container Deport, Airport or Land Customs Station from where the said goods are to be exported;

(vii) If the registered recipient intends to aggregate supplies from multiple registered suppliers and then export, the goods from each registered supplier shall move to a registered warehouse and after aggregation, the registered recipient shall move goods to the Port, Inland Container Deport, Airport or Land Customs Station from where they shall be exported;

(viii) In case of situation referred to in condition (vii), the registered recipient shall endorse receipt of goods on the tax invoice and also obtain acknowledgement of receipt of goods in the registered warehouse from the warehouse operator and the endorsed tax invoice and the acknowledgment of the warehouse operator shall be provided to the registered supplier as well as to the jurisdictional tax officer of such supplier; and

(ix) When goods have been exported, the registered recipient shall provide copy of shipping bill or bill of export containing details of Goods and Services Tax Identification Number (GSTIN) and tax invoice of the registered supplier along with proof of export general manifest or export report having been filed to the registered supplier as well as jurisdictional tax officer of such supplier

 

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Ideas Courtesy : Mr Rajesh Khandelwal, CA and learned speaker on GST matters , across India.

There are the MANDATORY  conditions in GST, for sale to merchant exporter.

If you can fulfil these, then good…. Instead of 18% normal GST rate you can charge only 0.1% GST on the sale in this situation

Points to remember

MANY PEOPLE MISS SOME OF THESE POINTS… AND RISK GOES BIG

 

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Conditions in GST for Export indirect … via Merchant Exporter…0.1% GST is not yet right, unless you do these duties.

 

Recap on conditions….Conditions and GST precautions for Sale to Merchant Exporter for 0.1%

Terms and conditions

(i) The registered supplier shall supply the goods to the registered recipient on a tax invoice;

(ii) The registered recipient shall export the said goods within a period of ninety days from the date of issue of a tax invoice by the registered supplier;

(iii) The registered recipient shall indicate the Goods and Services Tax Identification Number of the registered supplier and the tax invoice number issued by the registered supplier in respect of the said goods in the shipping bill or bill of export, as the case may be;

(iv) The registered recipient shall be registered with an Export Promotion Council or a Commodity Board recognised by the Department of Commerce;

(v) The registered recipient shall place an order on registered supplier for procuring goods at concessional rate and a copy of the same shall also be provided to the jurisdictional tax officer of the registered supplier;

(vi) The registered recipient shall move the said goods from place of registered supplier –
(a) directly to the Port, Inland Container Deport, Airport or Land Customs Station from where the said goods are to be exported; or
(b) directly to a registered warehouse from where the said goods shall be move to the Port, Inland Container Deport, Airport or Land Customs Station from where the said goods are to be exported;

(vii) If the registered recipient intends to aggregate supplies from multiple registered suppliers and then export, the goods from each registered supplier shall move to a registered warehouse and after aggregation, the registered recipient shall move goods to the Port, Inland Container Deport, Airport or Land Customs Station from where they shall be exported;

(viii) In case of situation referred to in condition (vii), the registered recipient shall endorse receipt of goods on the tax invoice and also obtain acknowledgement of receipt of goods in the registered warehouse from the warehouse operator and the endorsed tax invoice and the acknowledgment of the warehouse operator shall be provided to the registered supplier as well as to the jurisdictional tax officer of such supplier; and

(ix) When goods have been exported, the registered recipient shall provide copy of shipping bill or bill of export containing details of Goods and Services Tax Identification Number (GSTIN) and tax invoice of the registered supplier along with proof of export general manifest or export report having been filed to the registered supplier as well as jurisdictional tax officer of such supplier

 

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What are the conditions in GST, for sale to merchant exporter. Instead of 18%GST you can charge only 0.1% points to remember

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Conditions in GST for Export indirect … via Merchant Exporter…0.1% GST is not yet right, unless you do these duties.

Last Date was 15-5-2024 .. Hope you have already paid the MSME’s of last year fully.

Alert dated 14th May-2024 at — 9 pm

 

1. Hope you have already paid  all MSME vendors bills of 29-2-2024, by 15th April 2024…..

2. Hope your MSME vendors Bills upto 15th March 2024 are also paid between 20th and 30th April 2024.. 

3. Hope your planning includes MSME vendors Bills upto 31st March 2024 are also paid between  30th April and 10th May 2024. (Just to be safe)……

4. anyway tomorrow 15-5-2024 is the official final final final last date

5. See this yourself.

6. Also remember to clear all the MSME dues…
7. Short cut :Vigilance point
8. 5th March by 5th April ( start the process by 30th day.. so that you are safe bye 45th day )
   10th March by 10 April
   15th March by 15th April
   20th Mar. by 20th April
   25th Mar by 25th April
   31st March… by 30th April( I have kept a Buffer )
9. 
10. If you are an MSME … you might have been benefited from this in the March payment wave
11. So, similarly, the WAVE continues

12. Nobody can save your company from accidental tax later .. 

13. This is a benefit Govt is giving to MSME’s and if you are a MSME take this benefit from your customers….
14. Almost 4 Crores MSME are already registered and are claiming this benefit… are you taking this Benefit ???
15. Have you made your Financial Budget to pay all eligible MSME vendor’s : Arrange Funds as soon as possible. Keep Buffer for new creditors, new invoices of this period.
16. 

17. Sent letters to all creditors ? Kept evidence ? Two rounds of emails is a must evidence.

18. Do you have letters or MOU with each MSME vendor, … with overriding clause for 45 days, irrespective of the PO’s and Invoices. ( get the format in the Google drive link below )
19. Reduce your advance tax ? Pay MSME in Advance. …. yes possible ( most likely.) But conditions apply. Risk involved. But likely due to a past Supreme Court Judgement
20. Section 43B(h)  

21. Sales Idea.. if you have power to do more sales, and have sufficient funds : Deregister in MSMED Act…. give affidavit to your Potential Customers… “Get More Sales” and “Get more Margin”

    

22. Non Registered MSME Vendors ….? The Udhyam Adhar is compulsory. No need to see the Balance Sheet, or take a CA Certificate. Not relevant and not required.

23. Past or Future ? Future bills only ( old bills prior to 1-4-2023 are not in problem in this section.. they are problem in section 41 .. with bigger consequences …… Since they are like … why unpaid… why are you not paying… are they not a liability at all ?????

    

24. Three year MSME category Rule notification dt 18-10-2022.. Change of category upwards… you can take the benefit of previous classification for three long years. Yes you can. ( see notification in the Google drive link below )

1. Cheque Hand over   ( Cheque in Transit ?)……….? This idea can work only if you have 100% clear balance in your bank account… Else… It will not be acceptable. 

2. Money is coming automatically to most MSME’s .. every day… Congratulations, if you are the beneficiary too.

3. Hope the PSU’s also start paying in the same way. The PSU chief will be shocked with huge tax if he does not organise the payments to all the MSME vendors in time… this will create a new culture.

 

Ideas, Tips, things to take care of… MSME act related 43B(h) income tax topic . Good ideas you can work around with and make more money.

Google Drive link for the Powerpoint presentation , Copies of Letters, Emails, MOU.. as discussed in the Session by Mr Sangeet Kr Gupta. in the last Zoom seminar

MOU copy inside

 

43B(h) benefit ? 43B(h) action ? 43B(h) what to do ? 43B(h) safety ? 43B(h) annexure ? 43B(h) when to follow ? 43B(h)penalty? 43B(h)areyousafe?

How to do this in Finsys ? Very simple… Just ask the accounts to take out the Vendor Outstanding report.. in Future date… say 1st May 2024… and see what will come as overdue on that date… all those invoices are fit to start processing.. so that you are safe.. by 1st May and so on….

Team at your service.. Contact us page

Ideas MOU format letter format … uploaded on the google drive link above