Exempted income -GST Payable suomoto -

[SIVARAMA KUMAR]

Dear experts,

Is there any provision under the GST act which prohibits a registered dealer who has not opted for composition scheme, to Pay Gst on his exempted income (without collecting it from consumers ) out of his pocket in cash ( No ITC would be availed or adjusted)

AI Summary

Registered Dealer Cannot Voluntarily Pay GST on Exempted Income Without Collecting from Consumers or Availing ITC A query was raised regarding whether a registered dealer, not under the composition scheme, can voluntarily pay GST on exempted income without collecting it from consumers and without availing of Input Tax Credit (ITC). The responses clarified that GST is applicable on taxable outward supplies, not on income, and must be charged on invoices for taxable supplies. There is no provision allowing or requiring GST to be paid on exempted supplies voluntarily, as taxes cannot be deposited at one's discretion. The consensus was that exempted supplies do not attract GST.