The old regime does not clearly distinguish between goods and services, leading to many instances of double taxation.There are concerns about increased compliance burden, and on the other side, there are expectations of simplicity and excellent features such as input tax credits. But how exactly will GST impact the service providers.
This is a new concept introduced in GST which will cover supplies made together whether the supplies are related or not. The concept of composite supply in GST regime is similar to the concept of bundled services under Service Tax Law. With the implementation of GST it has become very important to understand the difference between Composite Supply and Mixed Supply.
Input Service Distributor (ISD) means an office of the supplier of goods or services or both which receives tax invoices towards receipt of input services and issues a prescribed document for the purposes of distributing the credit of central tax (CGST), State tax (SGST)/ Union territory tax (UTGST) or integrated tax (IGST) paid on the said services to a supplier of taxable goods or services or both having same PAN as that of the ISD.
Bill of Supply is issued in cases when a registered person is a supplier of exempted goods/ services or they have opted to pay under GST Composition scheme. In either of these cases, the registered person cannot charge GST to the buyer, and hence there is no tax amount listed on the bill.
Rent paid by patients for hospital rooms will be exempted from the Goods and Services Tax (GST). The Central Board of Excise and Customs (CBEC) clarified that the tax on rooms in the hotel, guest house or inns will be payable on the actual amount charged and not on declared or published tariff. Declared or published tariff is relevant only for the determination of the tax rate slab.