Vimal Ltd. received the following services from the Government of India during the taxable period (1st April, 2022 to 31st March, 2023): (i) Received a registration certificate required under a law by paying ₹20,000 as a

Computation of GST payable: (i) Application fee paid for issuance of registration certificate required by a law: Exempted. Services by way of any activity in relation to any function entrusted to a municipality or a Panchayat under Article 243W or Article 243G of the Constitution respectively are exempt. Services provided by Government by way of issuance of any document including registration certificate required under any law for the time being in force are exempt. (ii) Merchant Over Time fees paid to Customs Department: Exempted. Services by way of any activity in relation to any function entrusted to a municipality or a Panchayat under Article 243W or Article 243G of the Constitution respectively are exempt. Services provided by Government by way of issuance of any document including registration certificate required under any law for the time being in force are exempt. (iii) Fee paid to Inspector of Factories to get Safety certificate on voluntary basis: Taxable under Reverse Charge Mechanism. Services provided by Government or local authority to a business entity are taxable under RCM, unless specifically exempted. Since this is a voluntary certificate not required under law, it is not covered by the exemption for services by way of issuance of any document required under any law. (iv) Fees paid to Government Security agency: Exempted. Fees paid to Government Security agency is taxable only when the total consideration paid in a financial year exceeds ₹5,000. Here, out of five months, three months (January, February and March 2023) fall under the financial year 2022-23. For these three months, the fee paid was ₹4,500 (₹1,500 x 3), which is less than ₹5,000. Hence, the whole amount is exempted.