Ans: In such a case, firstly, the rules regarding place of supply of a service will be applicable for determining the taxability of the transaction. The second implication is that this disallows the supplier of the software service to opt for the composition scheme of GST.
Traders & composition levy
- Is there any scheme for payment of taxes under GST for small traders?
- What is the eligibility category for opting for composition levy? Which are the Special Category States in which the turnover limit for Composition Levy for CGST and SGST purpose shall be Rs. 75 lakhs
- Whether software is regarded as goods or services in GST?
- What are the implications of recognising the development, design, programming, customisation, adaptation, upgradation, enhancement, and implementation of information technology software as a service?