Galaxy Cube Private Ltd., a registered person in Bharuch, Gujarat, engaged in various lines of business, provided the following details regarding…

(i) Computation of output tax liability of Galaxy Cube Pvt. Ltd. for May, 2024 Particulars Value (₹) CGST (₹) SGST (₹) IGST (₹) GST payable under forward charge Supply of laptop to Managing Director's Friend [Since supply is made to an unrelated person (Managing Director's friend not being a related person) and price is the sole consideration, value of supply is the transaction value i.e. the price actually paid or payable for the said supply.] 60,000 3,600 [60,000 × 6%] 3,600 [60,000 × 6%] Supplied printed letter cards to M K Industries [Since letter cards are supplied by the printer using its own physical inputs to print the logo supplied by the recipient, it is a composite supply wherein the predominant/ principal supply is supply of goods. It is an intra-State supply since the place of supply is Gujarat being the location where movement of goods terminates.] 5,00,000 30,000 [5,00,000 X 6%] 30,000 [5,00,000 X 6%] Transportation of passenger services by an omnibus provided through electronic commerce operator (ECO) [Tax on transportation of passengers services by an omnibus provided through ECO by a company is not a notified service under section 9(5) of the CGST Act, 2017 and hence tax is payable by Galaxy Cube Private Ltd. and not by the ECO since the person supplying such service through ECO is a company.] 12,58,000 1,13,220 [12,58,000 X 9%] 1,13,220 [12,58,000 X 9%] Catering services to Excel University [Taxable/Not exempt since catering services are exempt only when such services are provided to an educational institution providing services by way of pre-school education & education up to higher secondary school or equivalent. In this case, catering services are provided to an educational institution providing education as a part of a curriculum for obtaining a qualification recognized by any law. Thus, same are taxable. Further, it is an inter-State supply since place of supply is Patna being the place of performance of services.] 2,12,000 38,160 [2,12,000 X 18%] Supply of goods in territorial waters [Where supply is in the territorial waters, the place of supply is deemed to be in the coastal State where the nearest point of the appropriate baseline is located, viz. Gujarat in the given case. Hence, supply will be intra-State supply of goods.] 4,50,000 27,000 [4,50,000 X 6%] 27,000 [4,50,000 X 6%] Total GST payable under forward charge 1,73,820 1,73,820 38,160 Less: Eligible ITC Goods purchased from composition dealer [ITC is not available since input tax does not include the tax paid under the composition levy and a composition supplier does not collect tax from the recipients. Also, ITC on inward supplies received from a composition supplier is blocked.] - - - Residential house taken on rent for MD [ITC is available as said services are used in course or furtherance of business.] (4,500) [50,000 X 9%] (4,500) [50,000 X 9%] Net GST 1,69,320 1,69,320 38,160 Add: GST payable under reverse charge [Tax on renting of residential dwelling to a registered person is payable by such registered person under reverse charge, IN CASH since ITC can only be utilized for paying the output tax. Further, GST liability on said services arises in the month of May since time of supply is 31.05.2024, being earliest of (i) date of payment or (ii) 61 st day from the date of issue of invoice by supplier.] 4,500 [50,000 X 9%] 4,500 [50,000 X 9%] Minimum net GST payable in cash 1,73,820 1,73,820 38,160