Summary:
For service providers limit continues to be Rs 20 lakh.Experts said over 60 per cent dealers involved in small business have some kind of income from services in which case question of eligibility arises. I am not even clear on my eligibility. I will have to take assistance from tax consultant.”Experts said that the law is not clear whether limit of Rs 20 lakh or Rs 40 lakh will apply on a person, who is selling goods and has even small service income like rent or product placements at his shop. The dependency of small business on tax experts have grown due to lack of clarity.According to tax experts and consultants, lack of clarity in amended threshold limit has escalated troubles for small businesses, majority of which are into both supply of goods and services.Chartered accountant Kirti Joshi said, “The amendment was brought to give relief to small business, especially those who are operating at local levels. Indore: Enhanced threshold limit for registration under Goods and Services Tax (GTS) to Rs 40 lakh from Rs 20 lakh to provide relief to small local business has led to ambiguity hitting return filings as dealers into supply services are excluded from the benefit.The amended threshold limit that comes into effect from new financial year starting April 1 is applicable only for sales of goods..