Capital Forex Private Limited, registered in Delhi, is engaged in the business as an authorized money changer and has opted to charge for the service so provided as per Rule 32(2)(b) of the CGST Rules, 2017. It has under

Determination of value under CGST Rules, 2017 Capital Forex Pvt. Ltd. doing the business as Authorized Money Changers require to value for the services so provided under any of sub-rule (a) or (b) of Rule 32(2) of the CGST Rules, 2017. Capital Forex Pvt. Ltd. as given in the question has opted to value the services as per Rule 32(2)(b), which is explained hereunder:- S. No. Currency Exchanged Value of Supply 1. Upto ₹ 1,00,000 1% of the gross amount of currency exchanged OR amount of ₹ 250 whichever is higher 2. Exceeding ₹ 1,00,000 and upto ₹ 10,00,000 ₹ 1000 + 0.50% of the (gross amount of currency exchanged above ₹ 1,00,000) 3. Exceeding ₹ 10,00,000 ₹ 5,500 + 0.1% of the (gross amount of currency exchanged above ₹ 10,00,000) OR the amount of ₹ 60,000 whichever is lower Thus, the value of supply in the given cases would be computed as under: Gross amount of currency exchanged = ₹ 70 x 1,400 = ₹ 98,000. Gross amount of currency exchanged is less than ₹ 1,00,000, value of supply is 1% of the gross amount of currency exchanged i.e. 1% of ₹ 98,000 or ₹ 250, whichever is higher = ₹ 980 Gross amount of currency exchanged = ₹ 69.50 x 2,500 = ₹ 1,73,750. Since the gross amount of currency exchanged exceeds ₹ 1,00,000 but is less than ₹ 10,00,000, value of supply is ₹ 1,000 +0.50% of (₹ 1,73,750 - ₹ 1,00,000) = ₹ 1,369