Definition Of Turnover Under Gst Audit

Aggregate turnover in gst can be described as the taxable value of supplies of goods and services exempt supplies of goods and services export of goods and services and inter state supplies.

Definition of turnover under gst audit. Say a registered person is liable to get the accounts audited under section 35 of the gst act. Audit under gst involves examination of records returns and other documents maintained by a gst registered person. Aggregate turnover means the aggregate value of all taxable supplies excluding the value of inward supplies on which tax is payable by a person on reverse charge basis exempt supplies. As defined in the previous section aggregate turnover is calculated on all india basis having the same pan.

Turnover in gst turnover in common parlance is the total volume of a business. Audit under gst means an examination of returns records and other documents maintained or furnished by the registered person under the gst act. You may also read gstr 9. It also ensures correctness of turnover declared taxes paid refund claimed input tax credit availed and assess other such compliances under gst act to be checked by an authorized expert.

Every business entity engaged in exclusive supply of goods and whose aggregate turnover in the financial year does not exceed rs 40 lakhs in a financial year is required to be registered under the gst act. Sales of taxable products and services this excludes value of inward supplies on which tax is payable by a person on reverse charge basis sales of exempt products and services. Gst audit is carried out to verify the correctness of the turnover taxes paid itc refund claimed and itc availed and to assess the compliance with the provision of the gst act. There are three types of audit under gst audit by a chartered accountant or a cost accountant section 35 5 read with section 44 2 read.

According to the central board of excise and customs this number includes. Turnover meaning under gst audit. Types of audit under gst. Everyone is aware about applicability of gst audit as per rule 80 3 every registered person whose aggregate turnover during a financial year exceeds 2 crores rupees shall get his accounts audited as specified under sub section 5 of section 35 and he shall furnish a copy of audited annual accounts and a reconciliation statement duly certified in form gstr 9c electronically through the common portal either directly or through a facilitation centre notified by the commissioner.

Turnover in common parlance means value of a business over a period of time. For supply of services aggregate turnover of rs 20 lakhs 10 lakhs in special category states is the limit for registration. Hence each registration acquired under the same pan would also be liable for gst audit in this case.