Dear Sir,
Hope you are doing well !!
I assume your query is related to GST.
Please clarify if it is about GST.
Preferably registered as a Pvt limited company. What tax could be levied on the consumer per box/subscription of multiple boxes and at what rate? Thank you in advance.
Dear Sir,
Hope you are doing well !!
I assume your query is related to GST.
Please clarify if it is about GST.
Yes, it is regarding GST if there are no other taxes applicable on a stationery subscription box being shipped out to consumers via e-commerce.
- On companies, income tax rate is 25% if the turnover of the previous year does not exceeds Rs.250 cr.
- other tax applicable is GST. For rate, check CBIC website.
You need to pay GST and income tax.
Income tax is to be paid by company @25% if their turnover in 17-18 is 400 crore for FY 2019-20 but since you are starting a new company your tax rate would be 30%.
GST rate would depend on type of good and that needs to be check at CBIC website. Also TCS would be collected by such e commerce website from you and you can claim it in GST.
Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.
Thank you.
Apart from corporate tax, GST would be charged on the products.
GST rate needs to be check at CBIC website.
Hi
The GST rate shall have to be checked in context with the type of product.
Further, it's a subscription box, you have 2 options:
1. Mention each item separately in the invoice and individual GST rates shall apply.
2. Mention it as a box and apply 1 GST rate.
In Option 2 above, it has to be determined whether the supply is a composite supply or a mixed supply.
In composite supply, the rate of principal item is applied.
In mixed supply, the max rate of all the products is applied.