FAQ – 17

What are the various reasons where the GST Liability as per financial statements and GST Returns could be different?

There could a difference due to the following reasons commonly

a) Revenue Recognition

b) Stock Transfer outside the states

c) Advance Receipt from customers

d) GST on paid on job work if not returned in stipulated time

e) Reverse charge on certain goods on outward supplies

f) Reverse charge on inward supplies paid

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GST Tip – 385

As per Rule 138 of the CGST Rules, every registered person under GST has to generate Part A of FORM GST EWB-01, when goods worth more than Rs 50,000 are being transported in relation to supply or for stock transfer from one location to another location or for movement of material for other than supply or in case of inward supplies from unregistered taxpayers.