gst on advances

[kantipudi satyanarayana]

Pl clarify GST liability of a person registered under composition scheme u/s.10(2A) in respect of advances received for supply of services

[Alkesh Jani]

Shri

I am of the view that, in this case RP shall issue receipt voucher and shall discharge tax liability for the amount received as advance. For balance amount the tax liability shall be discharged when Invoice is issued.

AI Summary

GST on advances: composition scheme registrant must issue receipt voucher and discharge tax on advances.
A composition registrant receiving an advance should issue a receipt voucher and discharge tax liability for the advance; tax on the balance is discharged when the invoice for the supply of services is issued.