Gst query

We have been alloted a work order for integrated power development project by Pujnjab state power corporation.
The first part of the work order pertains to the supply of material portion and the second part is for erection installation and commissioning of the material .
Now my query is as under:-
1. What will be the rate of applicable GST
2. Should we quote HSN code of the individual items to be supplied for the supply portion or SAC no. For the contract work will have to be quoted only both for supply as we’ll as erection portion of the work contract more

Helpful All GST Queries Answered Mar 11

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P K Mukherjee

Depending on the terms of contract, it is theoretically possible to separately supply goods mentioning respective codes for goods at respective GST rates. more

Mar 12

P K Mukherjee

In case of single contract, however, it would be works contract-in which case supply of goods would be treated as supply of service— Sec. 2(119) of CGST Act’17. more

Mar 12

Sasidharan B

Dear Harbans Jindal You need to quote individual HSN code. The GST rate for installation is 18% under SAC 998732. If your GST rate of product supplied is 18% then there is no harm in clubbing both supply and service in same invoice.You should mention the respective HSN and SAC for product and service. If GST for the product varies say 12%,18% and 28% then do not club product and service for product items of GST 12% and 28% because if you club then that becomes a composit supply and GST will be the highest .That is product of GST 12% is clubbed with Serice then the GST will be 18% for both product and service. If you club product of 28% and service together in a single invoice then the GST rate will be 28%. Hence supply products in separate invoice.You can have products of 12 or 18 or 28% Invoice Service and use SAC and apply 18%. Ideally you should discuss with Buyer to issue separate POS or proceed with what they suggest .Some time if the project is a mega power plant there could be GST NIL also. more

Mar 12

Girdhari Luthria

Medical equipment supplied has similar problems. Some of the items used are also used are included in luxary items and others as acupressure items. what should be done under these circumstances. more

Mar 12

BALACHANDRAN MUTHUSWAMY (Charteed Engineer)

WRT to the question from Mr. Harbans Jindal, I submit as follows: [1] How are you going to supply the equipment portions for the integrated power development project? [2] Are you going to supply the Hydro / thermal / Solar power station, transmission system lines, circuit breakers, substation equipment, carrier communication systems etc, as separate elements. [3] Are you going to import some part of the systems and supply. If you can clarify these vital points, I can help you. Please note that I am NOT a tax consultant, but has practical knowledge of Customs, Central Excise, a TIP of GST. I am a chartered engineer by profession. What you need now is not a ,"money-for-advice", but, some practical hints, to make you float and swim, and not drown. Just like doctors' opinions vary, consultants opinions are bound to vary. No one can get full exposure by reading the acts, rules, FAQs etc., that too within a very short spell of 9 months. Please be alert. M.Balachandran On Sun, Mar 11, 2018 at 8:01 PM, HARBANS JINDAL < support@localcirclesmail.com> wrote: > more

Mar 11

Yogendra Garg

If the order is in two parts, respective HSN and SAC for the respective supplies with applicable rate would apply.in case is order is composite, higher rate of the two would apply. more

Mar 11

K Chatterjee

yes you are right. we practice the same in EPC of the power plants. more

Mar 12

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