GST is now a reality in India. Still there are confusions among both customers and traders. Few are utilizing this loop hole and making profit by cheating customers in the name of GST. We can restrict this to an extend by ensuring the following checks are done.
If a service provider/dealer is levying GST, then invoice must have GSTIN on it. GSTIN is a 15 digit unique ID for businesses registered under GST. GSTIN has a prescribe format, where first 2 digits represent the state code. For the sake of awareness, remember the state code for your state at least.State code link
Check the validity of GSTIN. There is a service on GST portal to check that.GSTIN Validation
Every trader/service provider registered under GST gets a certificate carrying his/her GSTIN and other details. Govt. has made it mandatory to display that certificate in business premises and to write the GSTIN on business sign-board also. So it’s customer’s right to demand the proof of GST registration.
No VAT or Service Tax can be charged
Check the invoice very carefully. Traders can’t now charge VAT or service tax. Pre-GST regime indirect taxes like VAT, service tax etc have been subsumed in GST . In fact that was the main aim of GST. Only certain items like Alcohol etc. have been kept out of GST for the time being.
GST App for checking tax rates
Unlike other countries we don’t have a single rate for GST. We have multiple slabs. So I think customers should cross-verify the rate of tax levied by the trader. Govt. has provided an app for the same.App Link
GST is not applicable on MRP of the products
Be careful about this as many dishonest traders are making their profit by fooling the customers and charging GST on MRP.