GST Rule 86B Notice Received? 🚨 What to Do Now | Full Solution Explained скачать в хорошем качестве

GST Rule 86B Notice Received? 🚨 What to Do Now | Full Solution Explained

In this video, we explain Rule 86B of GST in simple language with practical examples. Rule 86B restricts the use of Input Tax Credit (ITC). If your monthly taxable supply exceeds ₹50 lakh, you cannot use more than 99% ITC. Minimum 1% GST must be paid in cash. Applicable Date: 01-01-2021 Notification No: 94/2020 – Central Tax Topics Covered: • What is Rule 86B • When Rule 86B applies • Minimum 1% cash payment rule • Exceptions to Rule 86B • Practical example • Important points for GST taxpayers This video is useful for: • Business owners • Chartered Accountants • GST Practitioners • CA Students • Accountants Subscribe for more GST and Income Tax updates. #Rule86B #GSTIndia #GSTUpdates Rule 86B of GST Rules, 2017 – Restriction on use of ITC SECTION NAME = "Rule 86B – Restriction on use of Electronic Credit Ledger" NOTIFICATION NO = 94/2020 – Central Tax NOTIFICATION DATE = "22-12-2020 APPLICABLE_DATE = 01-01-2021 PURPOSE: Prevent fake ITC usage Ensure minimum GST payment in cash APPLICABILITY_CONDITION: IF Taxable Supply Value Per Month More Than 50,00,000 Rule 86B = APPLICABLE ELSE Rule 86B = NOT APPLICABLE MAIN_RESTRICTION: IF Rule 86B = APPLICABLE: ITC Usage = 99% of Output Tax Liability Cash Payment = 1% of Output Tax Liability FORMULA: Minimum Cash Payment = Output Tax Liability × 1% Maximum ITC Usage = Output Tax Liability × 99% EXAMPLE: Taxable Supply = 80,00,000 GST Liability = 14,40,000 Minimum Cash = 14,40,000 × 1% = 14,400 Maximum ITC = 14,40,000 × 99% = 14,25,600 EXCEPTIONS: Rule 86B NOT applicable IF any condition TRUE: CONDITION_1: Income Tax Paid Last 2 Years = 1,00,000 each year CONDITION_2: GST Refund Last FY = 1,00,000 Refund Type IN ("Export under LUT", "Inverted Duty Structure") CONDITION_3: Cash Payment Current FY = more than 1% of Total GST Liability CONDITION_4: Entity Type IN "Government Department", "Public Sector Undertaking", "Local Authority", "Statutory Authority" IMPORTANT_POINTS: Applies GSTIN-wise Applies Monthly Effective From = 01-01-2021 Checked during GSTR-3B filing #Rule86B #GSTRule86B #GSTIndia #GSTUpdates #GSTLaw #GSTCompliance #InputTaxCredit #ITCRestriction #GSTKnowledge #GSTLearning #GSTPractitioner #GSTConsultant #CharteredAccountant #CAStudents #GSTReturn #GSTR3B #GSTTraining #GSTExpert #TaxCompliance #IndirectTax #GST2021 #TaxUpdate #GSTRules #GSTAdvisory #financeknowledge