Registration threshold increase permits higher turnover limits for suppliers, altering GST registration scope and related compliance obligations.
Notification 01/2020 raises registration thresholds for certain suppliers, contemplates mandated electronic payment modes, empowers Commissioners to extend filing deadlines for annual returns and TCS statements, permits transfers within the electronic cash ledger via the common portal (deemed refunds/deposits), and introduces a ten percent penalty for proven profiteering with waiver if the amount is deposited within thirty days; Rule 117 transitional filing deadlines are also extended. (AI Summary)

Input tax credit reversal for post sale discounts may be required where discounts reduce taxable payment received.
AAR held that recipients must reverse ITC proportionate to post sale discounts under the proviso conditioning credit on payment. The article emphasises that while the Act omits a definition of "payment," the definition of "consideration" includes payments "in money or otherwise," so supplier discounts may qualify as payment reductions triggering ITC reversal. It also notes a government circular recognising commercial/financial credit notes as outside GST consequences and argues the AAR ruling can be appealed and may require reconsideration. (AI Summary)

Slump sale as going concern treated as supply of service and exempt; transferee entitled to transferred ITC.
Slump sale of a business unit as a going concern is a supply of service and qualifies for full GST exemption under the notification for transfer of a going concern. The supplier must issue a bill of supply; the transferee cannot claim ITC on the exempt supply but may receive transfer of the transferor's unutilised input tax credit through the prescribed electronic procedure with certification and acceptance. Valuation between related parties ordinarily excludes Rule 28; if Rule 30 is inapplicable, Rule 31 permits using reasonable means, and the agreed net consideration will generally constitute the transaction value. (AI Summary)

Inter state stock transfers: GST not attracted where supplier and recipient share same PAN under Schedule I analysis.
Inter state stock transfers are treated as taxable under GST where inter state self supplies fall within supply without consideration per Schedule I; Schedule I(5) deems supply where a taxable person supplies goods to another taxable or non taxable person. The author contends that multiple state registrations under the same PAN do not constitute different persons for Schedule I(5), and therefore inter state transfers within the same PAN should not attract GST; a respondent notes IGST paid on transfer yields input credit at the receiving unit, impacting working capital timing. (AI Summary)

Aggregate turnover consolidates all supplies across India, shaping threshold computation and inclusion of capital goods for GST.
Aggregate turnover includes the aggregate value of all taxable and non taxable supplies, exempt supplies and exports of goods and/or services of a person having the same PAN on an all India basis, excluding taxes charged under CGST/SGST/IGST and excluding supplies on which tax is levied on reverse charge and inward supplies; supplies generally include sale, transfer, barter, exchange, licence, rental, lease or disposal, importation of services and certain deemed supplies without consideration, with Schedule II determining classification between goods and services. (AI Summary)