Share
ReportDear Experts
When there is a currency conversion from INR to USD this conversion attracts 18% GST
In this Scenario listed below
- USD 98010 is converted using Exchange rage of 65.07 and the total amount utilized for this purpose is INR 6377510.70 from a particular bank account
- There is a Bank Charge component of INR 1250 which attracts GST at 18% this is amounting to INR 112.50 for CGST +SGST
- When the Currency conversion is done by the bank 18% GST is charged which is INR 978.98 for CGST +SGST
- This GST of 18% is calculated on a amount 10877.55 which will not get reflected into our books which is a notional value
- If We do this in the current scenario 10877.55 is also getting debited /Credited in GL which should not happen so
|
|
INR |
RATE |
USD |
Dr |
Cr |
|
Currency Conversion |
6377511 |
65.07 |
98010 |
|
6377510.70 |
|
Bank Charges |
|
|
|
|
1250.00 |
|
SGST on BC 9% |
|
|
|
|
112.50 |
|
CGST on BC 9% |
|
|
|
|
112.50 |
|
SGST on Currency conversion 9% |
|
|
|
|
978.98 |
|
CGST on Currency Conversion 9% |
|
|
|
|
987.98 |
|
Net Amount Debited in Bank |
|
|
|
6380952.66 |
|
|
TOTAL |
|
|
|
6380952.66 |
6380952.66 |
|
|
|
|
|
|
|
|
Base amount for Currency conversion |
|
|
|
10877.55556 |
978.98 |
Need to have a solution for this
*This post is locked for comments
All responses (
Answers (
15
