Time and Supply of Goods and Services

GST - Goods and Services Tax, India
GST Computation & Accounting

Why is Time of Supply Important?

It helps in Determining when GST is payable

Suppose Time of Supply is of AUGUST, it means it is GST Liability of Aug to be paid in September

Example 1

Suppose Goods Sold to Customer on 10 May but received by Customer on 11 May. The Bill issued to Customer on 15 May.

Amount is received from customer on 20 May by cheque which was cleared on 22 MayCalcuate Time of Supply

Calculate Time of Supply

 Particular Date Date of Invoice Last Date of Issue of Invoice Date of Payment Time of Supply(Earlier of 3)

 Particular Date Date of Invoice 15-May Last Date of Issue of Invoice 10-May Date of Payment 20-May Time of Supply(Earlier of 3) 10-May

Suppose Company entered into a Contract to Sell goods for Rs 100000+ 2.5% CGST+2.5% SGST

Goods taken by Customer from shop on 18 September and Invoice issued the Same Date

Calculate Time of Supply

 Particular Date Date of Invoice Last Date of Issue of Invoice Date of Payment Time of Supply(Earlier of 3)

 Particular Date Date of Invoice 18-Sep Last Date of Issue of Invoice 18-Sep Date of Payment 20-Jul Time of Supply(Earlier of 3) 20-Jul

Suppose Company entered into a Contract to Sell goods for Rs 100000+ 2.5% CGST+2.5% SGST

Goods taken by Customer from shop on 18 September and Invoice issued Same Date

Balance Payment made on 11 November

 Particular 20% 80% Date of Invoice Last Date of Issue of Invoice Date of Payment Time of Supply(Earlier of 3)