TaxTMI 
TaxTMI 
Vide Notification No. 8/2-17-Central tax (Rate), dated 28.06.2017 the Central Government fixed the threshold limit of ₹ 5,000/- per day on the value of supplies of goods or services or both received by a registered person from any or all the suppliers, who is or not registered. This exemption is applicable to intra-State supplies. Whether it is applicable also to inter-State supplies?
REVERSE CHARGE - THRESHOLD EXEMPTION
25 Jul 2017 
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Reverse charge threshold exemption may be limited to intra State supplies; inter State applicability remains contested and unclear.
Whether the reverse charge threshold exemption under Notification No. 8/2-17-Central tax (Rate), dated 28.06.2017 - fixing a per day threshold for supplies received by a registered person from suppliers (registered or not) - applies to inter State supplies is disputed: one view treats the exemption as limited to intra State supplies requiring a separate notification to cover inter State transactions, while others point to practical scenarios where a registered buyer may purchase from an unregistered person in another State and contend the threshold could apply. (AI Summary)
Whether the reverse charge threshold exemption under Notification No. 8/2-17-Central tax (Rate), dated 28.06.2017 - fixing a per day threshold for supplies received by a registered person from suppliers (registered or not) - applies to inter State supplies is disputed: one view treats the exemption as limited to intra State supplies requiring a separate notification to cover inter State transactions, while others point to practical scenarios where a registered buyer may purchase from an unregistered person in another State and contend the threshold could apply. (AI Summary)