As per Section 2(6) of the CGST Act, “aggregate turnover” means the aggregate value of all taxable supplies (excluding the value of inward supplies on which tax is payable by a person on reverse charge basis), exempt supplies, exports of goods or services or both and inter-State supplies of persons having the same Permanent Account Number, to be computed on all India basis but excludes central tax, State tax, Union territory tax, integrated tax and cess.
Most frequent questions and answers
The definition of aggregate turnover excludes:
(a) Central Tax
(b) State Tax
(c) Union Territory Tax
(d) Integrated tax
(f) Inward supplies on which tax is payable by a person on reverse charge basis.
The Basic pre-requisite for registration in GST us the aggregate turnover. The laws of GST states that any turnover upto 20 Lakhs and completely exempted from GST, 10 Lakhs for special category states.
- Arunachal Pradesh
- Jammu and Kashmir(Fully exempted)
- Himachal Pradesh
- Total value of supply from taxable goods and/or services,
- Total value of supply from exports of goods and/or services,
- Total value of supply from exempted goods and/or services,
- Total value of supply from nil rated goods and/or services,
- Total value of supply from non-gst goods and/or services,
- Total value of inter state supplies between distinct persons having same PAN
- Taxes with respect to CGST, SGST or IGST Acts
- Value of taxes payable on reverse charge mechanism
- Value of inward supplies of goods and services
- Value of Non-taxable supplies of goods or services like Alcohol, Petrol etc.
Value of all (taxable supplies+Exempt supplies+Exports+Inter-state supplies) – (Taxes+Value of inward supplies+Value of supplies taxable under reverse charge + Value of non-taxable supplies) of a person having the same PAN(Permanent Account Number) across all his business entities in India.
Multiple Choice Question for Students
(a) Inward supplies on which tax is payable on reverse charge basis
(b) Exempt supplies
(c) Export of goods or services or both
(d) Inter-State supplies of persons having the same PAN number
Ans. (a) Inward supplies on which tax is payable on reverse charge basis
ABC ltd. has provided following information for the month of Sep, 2018:
(i) Intra-State outward supply 8,00,000/-
(ii) Inter-State exempt outward supply 5,00,000/-
(iii) Turnover of exported goods 10,00,000/-
(iv) Payment made to GTA 80,000/-
Ans. (c) 23,00,000/-
Mr Saurabh is a farmer. His annual turnover is of INR 66,00,000 lakh. This being an agricultural income, the turnover would be exempted from GST.
Mr Anil Kumar is a farmer. His annual turnover is of INR 66,00,000 lakh. This being an agricultural income, the turnover would be exempted from GST. However, Mr Anil Kumar also supplies cardboard cartons along with his yield for which he charges separately. He yields INR 1,20,000 from the sale of cardboard cartons. This turnover of INR 1,20,000 would be chargeable to GST. As defined by law, Mr. Anil Kumar needs to get registered under GST because his aggregate turnover exceeds the threshold limit of INR 20,00,000 lakh. Though, as his aggregate turnover is less than Rs. 1 Crore (as decided in the 22nd GST Council meeting held on 06th October 2017), he may opt for the composition scheme and register himself as a composite dealer.