Advances received before GST Registration

[Deepak Bihani]

Is GST applicable on advances received before GST Registration in a service organization for which service is rendered after the registration.

What if part advance is received before registration and part is received after registration.

AI Summary

GST Applies to Advances Received Before Registration if Service Rendered Post-Registration, per Section 13 of CGST Act. A discussion on the applicability of GST on advances received before GST registration in a service organization concluded that GST is applicable. If an advance is received before registration and the service is rendered after registration, GST is payable based on the time of supply. According to Section 13 of the CGST Act, the tax liability arises at the time of supply, determined by the earliest of the invoice date or payment receipt. Even if part of the advance is received before and part after registration, GST applies if the service and invoicing occur post-registration.