GST on journals for services paid directly through cash or bank
You can post invoices and credit memos from journals. The GST calculation logic applied to journals is same as the logic used for documents.
This article explains the GST calculation process.
Create a general journal or a bank or cash payment voucher
- [!INCLUDE [open-search](../../includes/open-search.md)] Enter General Journals, and then choose the related link.
Select Party Type, Party Code, and Location Code.
Hinweis
You must set the GST Party Type to Vendor, and the GST vendor type in Party Code should be Unregistered.
Select G/L Account in account type and G/L Account or Bank Account in balancing account type, and then select the cash or bank accounts.
- Enter the service expense and the relevant GST Group Code and HSN/SAC Code. Review the GST calculation before posting.
Example
For example, there's an expense of INR 10,000 and 18% GST (that is, 9% CGST and 9% SGST/UTGST in case of Intra-State or Intra-Union Territory transaction or 18% IGST in case of Inter-State transaction) has to be charged on expense amount.
The example assumes a reverse charge service transaction for which input credit is available. The rates illustrate the calculation; use the rates and reverse charge setup applicable to your transaction.
GST calculations in the Fact Box
In this example, GST calculations appear in the Fact Box as shown in the following table.
CGST and SGST apply to the intrastate example. IGST is the alternative for the interstate example.
| Component | Amount |
|---|---|
| GST Base Amount | 10,000 |
| CGST | 900 |
| SGST | 900 |
| IGST | 1800 |
GL entries for intra-state or intra-union territory purchase
For this example, the following table shows the GL entries for intra-state or intra-union territory purchases of services where service provider is unregistered.
| Particulars | Amount |
|---|---|
| Service Account | 10000 |
| SGST/UTGST Receivable Account | 900 |
| CGST Receivable Account | 900 |
| Cash/Bank Account | -10000 |
| SGST/UTGST Payable Account | -900 |
| CGST Payable Account | -900 |
GL entries for inter-state purchase
For this example, the following table shows the GL entries for inter-state purchase of services where service provider is unregistered.
| Particulars | Amount |
|---|---|
| Service Account | 10000 |
| Bank/Cash Account | -10000 |
| IGST Receivable Account | 1800 |
| IGST Payable Account | -1800 |