RUBINA DSOUZA Dsouza & Co Solicitors and Legal Consultant, Proprietor
3 years ago
Definition of Aggregate turnover in accordance to GST Section 2 (6)
Aggregate turnover: Means the aggregate value of all taxable supplies (excluding the value of inward supplies on which tax is payable by a person on reverse charge basis), exempt supplies, exports of goods or services or both and inter - state supplies of persons having the same Permanent Account Number, to be computed on all India basis but excludes central tax, State tax, Union territory tax, integrated tax and cess.
** A business whose aggregate turnover (i.e, taxable turnover) in a financial year exceeds Rs 20 lakhs has to mandatorily register under the Goods an d Service Tax . This limit is set at Rs 10 lakhs for North Eastern and hilly states flagged as special category states.
** Further this limit was amemded and a messsive relief made available to small bussiness as the GST councli doubled the limit for exemption from payment of Goods and Service Tax to Rs 40 lakhs and announced that the higher turnover cap of Rs. 1.5 crore for availing composition scheme of paying 1 per cent tax will be effective from April 1, 2019. Also for the north eastern states, the exemption would now be Rs 20 lakhs instead of Rs 10 Lakhs as was earlier.
Following are the states that fall under the definition of north eastern states:
5) Himachal Pradesh
10) Jammu & Kashmir
11) Arunachal Pradesh