Section 9 - Levy and collection of CGST ACT, 2017

        9. (1) Subject to the provisions of sub-section (2), there shall be levied a tax called the
central goods and services tax on all intra-State supplies of goods or services or both, except
on the supply of alcoholic liquor for human consumption, on the value determined under
section 15 and at such rates, not exceeding twenty per cent., as may be notified by the
Government on the recommendations of the Council and collected in such manner as may be
prescribed and shall be paid by the taxable person.
          (2) The central tax on the supply of petroleum crude, high speed diesel, motor spirit
(commonly known as petrol), natural gas and aviation turbine fuel shall be levied with effect
from such date as may be notified by the Government on the recommendations of the
Council.
         (3) The Government may, on the recommendations of the Council, by notification,
specify categories of supply of goods or services or both, the tax on which shall be paid on
reverse charge basis by the recipient of such goods or services or both and all the provisions
of this Act shall apply to such recipient as if he is the person liable for paying the tax in
relation to the supply of such goods or services or both.
       (4) The central tax in respect of the supply of taxable goods or services or both by a
supplier, who is not registered, to a registered person shall be paid by such person on
reverse charge basis as the recipient and all the provisions of this Act shall apply to such
recipient as if he is the person liable for paying the tax in relation to the supply of such goods
or services or both.
      (5) The Government may, on the recommendations of the Council, by notification,
specify categories of services the tax on intra-State supplies of which shall be paid by the
electronic commerce operator if such services are supplied through it, and all the provisions
of this Act shall apply to such electronic commerce operator as if he is the supplier liable for
paying the tax in relation to the supply of such services:
     Provided that where an electronic commerce operator does not have a physical presence
in the taxable territory, any person representing such electronic commerce operator for any
purpose in the taxable territory shall be liable to pay tax:
    Provided further that where an electronic commerce operator does not have a physical
presence in the taxable territory and also he does not have a representative in the said
territory, such electronic commerce operator shall appoint a person in the taxable territory for
the purpose of paying tax and such person shall be liable to pay tax.

Analysis by Experts

By mohit gupta, 3 months ago

Section -9 CGST ACT- Understanding On – Leavy And Collection Sec-9 of CGST ACT is basically a charging section which ask for charging the tax on intrastate supplies of goods or services, Sec -9 says that GST would be charge on the Value which is determined under sec-15 of the Act. So First we need to check” if there is any supply”, if the answer is yes then we need to charge GST on it , and for charging the GST we need to look at the Section 15 to derive the value on which GST is to be charge. AS Per Sec-9(2) The central tax on the supply of petroleum crude, high speed diesel, motor spirit (Commonly known as petrol), natural gas and aviation turbine fuel shall be levied with effect from such date as may be notified by the Government on the recommendations of the Council. In other words we can said that as per this subsection the Central Govt. is empowered to charge CGST on these products from such date which will be notified by Central Govt. In case of Import the integrated Tax on goods imported into India shall be levied and collected on the value which is determined under Custom Tariff Act at the point when duties are levied on the said goods under section -12 of Custom Tariff Act. Sec 9(3) of CGST ACT and Sec5(3) of IGST deals with Reverse Charge on specified categories of supply of Goods or Services. We will discuss the Reverse Charge separately not here in this section. In my words, I can say that Sec 9(3) of CGST Act talks about the power which given to Government under which Govt can Notify the Specified Categories on Goods and services on which the Tax (Gst) Should be paid on Reverse Charge Basis. And govt has notifies Various Goods and Services by notifications which are effective from 01/07/2017 in simple way we can say that in these specified services and goods the recipient of these will have to pay the Gst to the Govt. Example:-Some of these Services are – Import of services GTA Services Advocate Services Service of Arbitral Tribunal Sponsor Services Govt. Services Services Of Director Royalty Payment to Author Some of These Goods Are:- Cashew Nuts Bidi Wrapper Tobacco Leaves Silk Yarn Used Vehicles/Ceased Goods So above is the list of some Services/Goods on Which are specified By the Govt for Charging the Reverse Charge. There are Basically to kind of Charges One is Forward Charge and Second will be Reverse Charge. In case of Reverse Charge, the liability to Pay the Gst is on the recipient of Goods and Services Received. What we have discussed in Sec-9(3) of CGST Act, more or Less same is Specified Concetually in Sec5(3) of IGST Act. The only difference is CGST/SGST AND IGST Sec 9(4) Of CGST and sec 5(4) of IGST Deals with Reverse charge On procurements of specified categories of goods and services from unregistered suppliers. by a notification the govt there is an exemption has been provided for charging reverse under sec9(4) and 5(4). Section 9(5) Deals with Leavy on Specified Services supplied through E-Commerce Operators According to this subsection the Central Govt is empowered to notify those specified supplies on which e-commerce operator is liable to pay tax under GST. Specified services are -1) Transportation of passenger ola uber. 2) Hotel, guest house etc…except where the person supplying such through e-commerce is liable for registration. oyo 3) House keeping … except where the person supplying such through e-commerce is liable for registration. Exception here means that if the person supplying through e commerce is liable to get registration under the gst act , in that case TCS provision will applicable. In this case the person liable to pay tax i.e. E-commerce is mandatorily required to get its registration irrespective of the Threshold Limit. Actually the Sec 9 is Linked with Some major concept of the Gst , Like Reverse Charge , As I said that Govt by notification can specify the goods and services on which RCM is applicable. RCM is altogether a different concept. Which can be discuss separately. To summarise The Sec-9 of CGST Act few Major issue must be keep in Mind.-  There must be Supply  Supply is the Back Bon of GST  If there is Supply and we look in to Sec 9 about Chargeability of GST.  Sec -9 deals with Chargeability of Gst , but we need to Get Value as per Sec -15 of the act.  Sec-9 empower the Govt to The central tax on the supply of petroleum crude, high speed diesel, motor spirit (Commonly known as petrol), natural gas and aviation turbine fuel.  Sec-9 Empower the Govt . to notify the Categories of Goods and Services on which RCM is Payable.  Sec-9 Specifies the Categories of goods and services on which Rcm when they procure from Unregistered dealer by Register Dealer.  Sec-9 Specify the Chargeability of GST in case of E-COMM operators. Thanks N Regards CA Mohit Gupta

Please, Login to provide explanation for this section.

Never File Wrong GSTR-1

Check your GST numbers in bulk. Check unlimited GST numbers with very cheap packages.

Used by
Browse all sections of CGST ACT, 2017
Ask Question