Simplifying GST Exemption for Unregistered Suppliers
Central Government exempts registered businesses from paying central tax on goods or services from unregistered suppliers.
The exemption is applicable for intra-State transactions under the Central Goods and Services Tax Act, 2017.
Public interest drives this move, endorsed by the Council's recommendations.
However, the exemption doesn't apply if the total value of such supplies exceeds INR 5,000 in a day.
This exemption took effect from July 1, 2017.
Registered entities benefit from reduced tax burden on transactions with unregistered suppliers.
The measure aims to streamline tax compliance and support business activities in India.