TaxTMI 
TaxTMI 
TaxTMI 
Interest recovered from employees on loan given
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....nterest recovered from employees on loan given<br> Query (Issue) Started By: - Kaustubh Karandikar Dated:- 28-12-2021 Last Reply Date:- 2-2-2022 Goods and Services Tax - GST<br>Got 11 Replies<br>GST<br>XYZ Pvt. Ltd. Is recovering Interest from employees towards personal loan given to them. Is XYZ required to pay GST on the interest received? Reply By Rajagopalan Ranganathan: The Reply: Sir, Acc....
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....ording to Sl. No. 27 of Notification No. 12/2017-CT (Rate) dated 28.6.2017 as amended "extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount (other than interest involved in credit card services) is chargeable to CGST @ 'Nil' rate. Similar exemption is available under IGST Act also. Reply By KASTURI SETHI: The Reply: In si....
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....mple words, only penal interest is taxable under GST Acts. Reply By CAHemanth Kumar: The Reply: Agreed with the experts view. GST will be applicable only on the following interests 1. Interest which is collected for delay payment of consideration. 2. Credit card Interest. Reply By KASTURI SETHI: The Reply: Dear Sir, Is interest on credit card penal interest or in routine way ? Pl.quench ....
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....my thirst for knowledge on this issue. Reply By KASTURI SETHI: The Reply: Dear Sir, GST is payable on interest recovered on credit card, if the payment was delayed by the consumer. Am I right ? Reply By Kaustubh Karandikar: The Reply: yes kasturi ji, in my view payable. Reply By CAHemanth Kumar: The Reply: Dear Kasturi sethi sir, For credit card, whether it is normal interest or penal ....
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....interest GST will be applicable on both. Reply By CAHemanth Kumar: The Reply: Dear Sir, Interest exemption entry will be as follows Services by way of- (a) extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount (other than interest involved in credit card services); (b) inter se sale or purchase of foreign currency amongst banks or....
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.... authorised dealers of foreign exchange or amongst banks and such dealers. Reply By KASTURI SETHI: The Reply: Agreed, Sir. Thanks a lot for your reply. Reply By CAHemanth Kumar: The Reply: Welcome sir. Im in the process of learning and sharing. Need to learn a lot from experts like u sir. Reply By KASTURI SETHI: The Reply: Dear Sir, A person whose articles are published in EXCUS CD he is....
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.... not at learning stage. He is a learned person. If you say that you are at a learning stage, it is your humbleness and politeness and greatness. Thanks and regards for your such disciplined and liberal behaviour.<br> Discussion Forum - Knowledge Sharing ....