Romeo Small Finance Bank Ltd is engaged in providing financial related services and of various types of loan facilities to its constituents, furnishes the following information relating to various services provided and t

Romeo Small Finance Bank Ltd. Computation of Value of Taxable Supply and of GST payable for the month of December, 2019 Particulars Amount (₹) Commission received on debt collection 10,00,000 Discount earned on Bills Discounted [Exempt Entry 27 of Notification No. 12/2017-CT (Rate)] Exempt Penal interest charged for delay in repayment [Includible in value as per Section 15(2)(d) of the CGST Act] 2,00,000 Commission received for services rendered to Government for collection of taxes. [Since an activity carried out for consideration and there is no exemption in force, liable to GST] 5,00,000 Interest earned on Reverse Repo transaction [Reverse Repo are 'securities'–Not covered in goods as well as in services. Additionally, interest earned on securities is exempt vide Entry 27 of Notification No. 12/2017-CT (Rate), hence not taxable] Exempt Service to merchants accepting credit/debit card payments using Point of Sale machine (POS) of Bank [in 30% cases, the amount per transaction was up to ₹ 1800 hence exempt vide Entry 34 of Notification No. 12/2017-CT(R); while in other cases, the amount was exceeding ₹ 2000 hence liable to GST] (70% of 20,00,000) 14,00,000 Value of Taxable Supply 31,00,000 Total GST payable @18% on ₹ 31,00,000 5,58,000