Question ID :
41033
136281
Dear All,
Should we include value of unbilled revenue for calculating threshold limit of 5 crore (turnover) for GST audit.
Posted by
chetan jadhav
on
Apr 29, 2021
Filed Under
GST
Respected Sir,
To answer your question, we need to understand the term Unbilled Revenue under GST.
Unbilled revenue means the revenue, which is recognized in the books of accounts before issuing an invoice at the end of a particular period.
Every registered person required to comply with more than one law. Therefore due to compliances of such laws, unbilled revenue arose.
Unbilled revenue is two types for the purpose of GST.
1. Opening unbilled Revenue
2. Closing Unbilled Revenue
Now, the main thing is that opening Unbilled revenue is already included as the Invoices are issued during the period. Closing unbilled Revenue is only for the purpose of accounts during that period not need to include in the aggregate turnover for the period under consideration.
Posted by
GAURAV SHARMA on
May 05, 2021
Answer ID :
81097
The definition of 'aggregate turnover' is silent about unbilled revenue. Therefore. if the unbilled revenue can be treated as such per 'time of supply' , then no need to include to check the threshold. Otherwise, it may be considered in 'aggregate turnover' and the threshold may be checked accordingly.
Posted by
B.CHACKRAPANI WARRIER on
May 06, 2021
Answer ID :
81104
As the turnover for the financial year Include the unbilled revenue and even for the purpose of application of tax audit under section 44AB the unbilled revenue shall be considered the part of the turnover. Therefore even though it is not expressly explained in the CGST Act,2017. But in my professional view it must be included in the turnover computation.
Posted by
CA. JHA SHANKAR KUMAR on
May 13, 2021