Page 11 - Chapter 9 Registration

making inter-state supply of goods in the form of exports to England.
Notes:-

1) As per section 2(47), exempt supply includes non-taxable supply. Thus, supply of diesel, being a
non-taxable supply, is an exempt supply and is specifically includible in aggregate turnover as per of
section 2(6).
2) Supply of goods after completion of job work by a principal by declaring the place of business of job

worker its additional place of business shall be treated as the supply of goods by the principal in
terms of explanation (ii) to section 22.
3) Export supplies are specifically includible in the aggregate turnover as per section 2(6).

4) Supply made without consideration to units within the same State (under same registration) is not a
supply and hence, not includible in aggregate turnover.
5) Outward supplies taxable under reverse charge is included in aggregate turnover of the supplier of
such supplies. Such turnover is not included as turnover in the hands of recipient.

CCP 09.05.12.00
Decide with reason whether the registration is required under CGST Act, 2017 in the following
independent cases:-
1) A casual taxable person (CTP) has provided inter-State supply of notified products being

textiles hand printing amounting to ₹ 19.25 lakh during the month of January, 20XX. Those
products were made by craftsmen by both hand and machines equally. CTP had obtained
PAN and generated e-way bill for supply.
2) Mr. Bantu of Delhi is doing trading business across India and his intra-State turnover details

are as below,
a) Taxable supplies made from Delhi - ₹ 18 lakh.
b) Exempt supplies made from Andhra Pradesh - ₹ 10 lakh.
c) Both taxable and exempt supplies made from Tamil Nadu - ₹ 5 lakh & ₹ 6 lakh

respectively. [CA Final Nov 2020 Exam]
3) Mr. A from London is engaged in supplying of Online money gaming to Mr B in Pune & Mr. A's
turnover is ₹ 18 Lakh during the month of October, 20XX. Determine Mr. A's liability to get
registered under GST.

Answer:-
1 Legal Provision:-
Ü As per section 24 of CGST Act, a casual taxable person (CTP) making taxable supply is liable to

be registered compulsorily under GST irrespective of the threshold limit.
Ü However, CTPs making inter-State taxable supplies of notified products, when made by the
craftsmen predominantly by hand even though some machinery may also be used in the
process, have been exempted from obtaining registration if their aggregate turnover does not
exceed ₹ 20 lakh [₹ 10 lakhs in special category states of Manipur, Mizoram, Nagaland, Tripura]

in a financial year.
Discussion & Conclusion:-
Ü In given case, since the notified products were made by craftsmen by both hand and machines
equally, they are not eligible for exemption and are required to obtain registration

mandatorily.

244 CA VISHAL BHATTAD 09850850800 www.vsmartacademy.com V’Smart Academy