With the introduction of GST, the goods and services have been classified into Nil Rated, Exempted, Zero Rated and Non-GST supplies. The Purchase or Sales of these goods to a local or interstate customer does not attract GST, and can be recorded using a Purchase / Sales voucher. Let us take a look at what distinguishes each of them with some examples:
|Supply||GST Applicable||Type of Supply||Eligibility for ITC||Examples|
|NIL Rated||0%||Everyday items||No||Grains, Salt, Jaggery, etc.|
|Exempted||–||Basis essentials||No||Bread, Fresh Fruits, Fresh Milk, Curd etc.|
|Zero Rated||0%||Overseas supplies, Supply to Special Economic Zones (SEZ) or SEZ Developers||Yes||–|
|Non- GST||–||Supplies for which GST is not applicable but can attract other taxes||No||Petrol, Alcohol etc.|
In case of above Items and Goods , the option Nil Rated / Exempt has to be selected as the Taxability in the GST Details screen of the item or item group master.
Setting Nil-Rated & Exempted items and Goods :
Sold the following items in Cash which are Nil Rated and Exempted
|Name of items||Quantity||Rate||Value|
|Moong Dal||50 Kg.||100||5000||(Nil Rated)|
|Salt||20 kg.||30||600||(Nil Rated)|
Sale Invoice of above goods are given below :
GST Details of the above invoice :
When you Press Ctrl + I (More Details) and select GST – Tax Analysis from Additional Details and Press Alt + F1 for Details…you will see the GST Analysis as below by default.