Gst on books and stationery
GST on printing industryWhen year-old Vishank Nayyar thought of expanding his edtech start-up from Bangalore to Mumbai and Delhi, the only thing that bothered him was the pain of setting up branch offices in various cities. This was when one of his clients introduced him to a new-age B2B e-commerce platform for office supplies that appeared as a one-window fulfillment destination, consolidating everything required for his venture, which would spare him the hassles of bothering about traditional sourcing methods. Although there are not many platforms available at present to simplify the business-buying experience, it is the implementation of the GST that is going to help the overall scheme of things for the businesses to take the path of growth and expansion successfully across the country. And how? In fact, it will be a single comprehensive tax regime, relevant across all states in terms of sale, manufacture and consumption of goods and services, thereby converting the country into a unified market. So basically, if GST manages to see the daylight, it will change the way India does business.
Even stationery items not spared from GST
This article is less legal and more for information purpose. I have intently tried to tone down legal reference to make this more suitable for an interpretative understanding of GST Applicability on Printing Works. Let's Start. So we will not say it as works contract anymore. So whenever there is confusion in GST in regard to whether printing leads to goods or services, simply apply what was the dominant intention. For Example, you took content from the publisher and printed the books then you are rendering printing services but the publisher is a seller and he will be deemed as selling goods under Chapter and HSN Code rate of GST will apply.
This article is less legal and more for information purpose. I have intently tried to tone down legal reference to make this more suitable for interpretative understanding of GST Applicability on Printing Works. So we will not say it as works contract anymore. So whenever there is confusion in GST in regard to whether printing leads to goods or services, simply apply what was dominant intention. For Example, you took content from publisher and printed the books then you are rendering printing services but the publisher is a seller and he will be deemed as selling goods under Chapter and HSN Code rate of GST will apply. I Trust the above would become a useful reference for all related to Printing Industry and help them undertstand law and rates better.
Businesses in this industry sell stationery and office supplies, including office furniture, office technology, printing consumables and art supplies. These benchmarks use information reported on tax returns and activity statements for the —17 financial year, and are updated each year. This is the most current data. The benchmarks show ranges of business income to business expenses that you can use to compare your performance against similar businesses in your industry. Cost of sales to turnover is the key benchmark range for this industry — it is likely to be the most accurate when predicting business turnover. If you don't report cost of sales, or only report a small amount, use total expenses to turnover as your key benchmark range instead.
Disclaimer: Rates given below are updated as per 31st GST council meeting held on 22nd December to the best of our information. There may be variations due to Government's latest updates. We are not responsible for any wrong information. Against each rate, please check the "Effective from" date. If you need to check a rate before "Effective from", please check on government website.
GST blues is still looming large over various sectors and the education sector is one that is yet to get settled. School supplies, right from notebooks to craft stationery, has been levied per c. School supplies, right from notebooks to craft stationery, has been levied per cent after the implementation of the new tax regime. Earlier the same products used to be taxed at 5 per cent but post-GST, they have been placed in 12 to 18 per cent tax bracket. Wholesale merchants are little worried about the impact on sales, as a majority of the book suppliers are contemplating to increase the cost of books. Interestingly, it is not the end products which are being taxed but the components that go into making the products that are being taxed, thereby increasing the cost of the end product. Post GST, it was moved to the 18 percent tax slab from the existing 5 percent.
My client is a manufacturer , he purchased some stationery for office use such like paper A-4 ,Letter head, calculator, writing pad, pens, highlighter pen, etc. I agree with Ramaswamyji. Any article or thing purchased for its use in business ITC is available. Input tax credit is eligible on stationery if it used in course or furtherance of business and the final product is taxable. Further, if the same is incurred at Head office level then it has to be distributed to respective units on proportionate basis. However, wef