Page 156 - GSTL_20th August 2020_Vol 39_Part 3

370 GST LAW TIMES [ Vol. 39
informing that the GST will be released after the clarity on applicable rate of
GST. In this situation they have been discharging their liability @ 18% through
GSTR-3B as per Section 15 and Rule 35 of the GST Act as mentioned hereunder :
Section 15. (1) The value of a supply of goods or services or both shall
be the transaction value, which is the price actually paid or payable for the
said supply of goods or services or both where the supplier and the recipi-
ent of the supply are not related and the price is the sole consideration for
the supply.
(2) The value of supply shall include -
(a) any taxes, duties, cesses, fees and charges levied under any
law for the time being in force other than this Act, the State
Goods and Services Tax Act, the Union Territory Goods and
Services Tax Act and the Goods and Services Tax (Compensa-
tion to States) Act, if charged separately by the supplier;
(b) any amount that the supplier is liable to pay in relation to such
supply but which has been incurred by the recipient of the
supply and not included in the price actually paid or payable
for the goods or services or both;
(c) incidental expenses, including commission and packing,
charged by the supplier to the recipient of a supply and any
amount charged for anything done by the supplier in respect
of the supply of goods or services or both at the time of or be-
fore delivery of goods or supply of services;
(d) interest or late fee or penalty for delayed payment of any con-
sideration for any supply; and
(e) subsidies directly linked to the price excluding subsidies pro-
vided by the Central Government and State Governments.
Explanation. - For the purposes of this sub-section, the amount
of subsidy shall be included in the value of supply of the sup-
plier who receives the subsidy.
(3) The value of the supply shall not include any discount which is given -
(a) before or at the time of the supply if such discount has been
duly recorded in the invoice issued in respect of such supply;
and
(b) after the supply has been effected, if -
(i) such discount is established in terms of an agreement en-
tered into at or before the time of such supply and specif-
ically linked to relevant invoices; and
(ii) input tax credit as is attributable to the discount on the
basis of document issued by the supplier has been re-
versed by the recipient of the supply
(4) Where the value of the supply of goods or services or both cannot be
determined under sub-section (1), the same shall be determined in such
manner as may be prescribed.
(5) Notwithstanding anything contained in sub-section (1) or sub-section
(4), the value of such supplies as may be notified by the Government on the
recommendations of the Council shall be determined in such manner as
may be prescribed.
Explanation. - For the purposes of this Act, -
(a) persons shall be deemed to be “related persons” if -
(i) such persons are officers or directors of one another’s
businesses;

GST LAW TIMES  20th August 2020  156