Alisha Mehta asked 5 years ago
Professional Tax Payment to be shown in GSTR 3B?
Hi,
We have made PTEC payment for company. So it is a company expense. Does it need to be shown in GSTR 3B? And where to show?
Thanks
CMA Deepa N. Tanna answered 5 years ago
It is not compulsory to show in 3B as it is gst not applicable under GST. However, for safer side, you can show in table 5. Values of exempt, nil-rated and non-GST inward supplies.
CA Nikhil S Bohra answered 5 years ago
Though the PTEC is an expense for the business, in substance it is a tax levied by the state government. Tax levied by a government cannot be subject to another tax so that there are no cascading effects. Nil rate supply, exempt supply and non taxable supply are specifically mentioned in the act. The said transaction or class of transaction are not covered in any other categories. Therefore it is not in the ambit of GST law and it doennot apply to the said transaction. Hence reporting of the same is not required in 3B.
While taking above view, reference can be taken with Sec 7(2) of CGST act.
