Page 5 - Ch15_Computation of GST

Tax levied by the Municipal 2,50,000 As per section 15(2)(a) of CGST Act, Tax other than GST
Authority are includible in value, if charged separately

Packing charges 1,25,000 As per section 15(2)(c) of the CGST Act, the value of supply
shall include incidental expenses, including commission and
packing charges, charged by supplier to recipient
Total value of taxable supplies 15,75,000

2) Computation of ITC that can be availed by Chill Ltd. for the month of March:
Particulars ITC (₹) Remark
Raw Material Nil Since raw material is not received in March, ITC for the

same cannot be availed in March u/s 16(2).
Membership of a club availed Nil ITC is blocked u/s 17(5)(b) of CGST Act as said service is
for employees working in the not provided by employer to employee under any statutory
factory (not obligatory to be obligation
provided under any law)

Inputs to be received in 6 lots, Nil As per 1st proviso to section 16(2) of CGST Act, In case of
out of which 1st lot was received goods received in lots, ITC can be taken only upon receipt
during the month of the last lot.

Trucks used for transport of 1,50,000 ITC is not blocked u/s 17(5)(a) of CGST Act on motor
raw material vehicles used for transportation of goods.
Capital goods 68,000 ITC can be availed only on basis of a valid document u/s
16(2). Thus, ITC for the item for which invoice is missing
cannot be availed (i.e. for ₹ 2,82,000).

Total ITC 2,18,000

3) Computation of net GST payable in cash:

Particulars Value (₹) IGST @ 18%
Supply of machinery 15,75,000 2,83,500
Less: ITC available 2,18,000
Net GST payable in cash 65,500

CCP 15.01.02.00
ABC Ltd., a registered supplier in Surat, Gujarat has calculated output net GST liability after adjusting
ITC in the books for the month of February, 20XX:-

CGST : ` 3,00,000
SGST : ` 2,50,000
IGST : ` 3,00,000
During the above month, the following additional information is provided by ABC Ltd.:-
Sr. No Particulars Amount

[excluding GST]
1 The company had given on hire 5 trucks to one of the transporters of Vadodara 3,75,000
(a goods transport agency) for transporting goods for 10 days. The hiring charges
for the trucks were ` 7,500 per truck per day.

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