enc0dex264
Disciple
Point 1 is correct, but they still expect you to the sell that item which incurred 12k tax, otherwise the govt just lost 12k.
Point 2 is also incorrect.. you cant claim gst input on business expenses, everyone does it now because govt just doesnt have the time or resources to go after every petty bills and verify stock.
The whole point of GST input is so you can sell that item again and not incur gst tax again on the full amount.. if they started giving tax inputs on all business expenses than the business owner has no incentive to actually pay the tax.. ANYONE will rather buy an item and save tax than actually pay the tax.
Point 2 is also incorrect.. you cant claim gst input on business expenses, everyone does it now because govt just doesnt have the time or resources to go after every petty bills and verify stock.
The whole point of GST input is so you can sell that item again and not incur gst tax again on the full amount.. if they started giving tax inputs on all business expenses than the business owner has no incentive to actually pay the tax.. ANYONE will rather buy an item and save tax than actually pay the tax.