Clarification on various issue pertaining to GST

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..... ue, Ministry of Finance, Government of India, New Delhi, has issued Circular No. 186/18/2022-GST, dated 27.12.2022 on the recommendations of the GST Council. Hence, following pari materia circular is issued:- Representations have been received from the field formations seeking clarification on certain issues with respect to - i. Taxability of No Claim Bonus offered by Insurance companies; ii. Applicability of e-invoicing for an entity. 2. In order to clarify the issue and to ensure uniformity in the implementation of the provisions of law across the field formations, the Commissioner, in exercise of powers conferred by section 168 of the Tamil Nadu Goods and Services Tax Act, 2017 (hereinafter referred to as TNGST Act ), here .....

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..... Bonus provided by the insurance company to the insured can be considered as an admissible discount for the purpose of determination of value of supply of insurance service provided by the insurance company to the insured? As per clause (a) of sub-section (3) of section 15 of the TNGST Act, value of supply shall not include any discount which is given before or at the time of supply if such discount has been duly recorded in the invoice issued in respect of such supply. The insurance companies make the disclosure of the fact of availability of discount in form of No Claim Bonus, subject to certain conditions, to the insured in the insurance policy document itself and also provide the details of the no claim Bonus in the .....

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..... per sub-rule (4) of rule 48 of Tamil Nadu Goods and Services Tax Rules, 2017. It is hereby clarified that the said exemption from generation of e-invoices is for the entity as a whole and is not restricted by the nature of supply being made by the said entity. Illustration : A Banking Company providing banking services, may also be involved in making supply of some goods, including bullion. The said banking company is exempted from mandatory issuance of e-invoice in terms of TN Notfn No.II(2)/CTR/232(h-5)/2020, dated 13-4-2020 [Issue No. 158], as amended, for all supplies of goods and services and thus, will not be required to issue e-invoice with respect to any supply made by it. Sd/- Dheeraj Kumar Principal .....

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