Maintenance in Finsys ERP

Preventive Maintenance

Why you should do Preventive Maintenance?

1.Preventive Maintenance helps us in preventing the break down.

2.It’s important to record our maintenance team’s things like –

 What they are doing?

How they are going with their workings?

How finsys is helping you?

1.

Finsys has a option named Planned Maintenance which helps us to plan that which equipments we required to go in maintenance after production.

2.

This helps in synchronizing  of the production team and maintenance team about the equipments which will go for the maintenance by the android Finsys application’s notification on their smart phones.

3.

The senior member of the maintenance team now can mark the workings to his/her team mates and the members can follow up on the workings by notification on their phones.

Wishing Good Health for your Server during the “Long Holidays” for Diwali ( 31 October to 3rd November 2024)

( Those with server on the Cloud, may ignore this message. Since Cloud is always “on”)

Friends, This year 2024, we all have a rather long and happy Diwali festivities and also Diwali Holidays. They may extend to between 4 days to 6 days in some companies

Sometimes the Factory “Electricity Generator” is also “switched off”. And this leads to Electricity being switched off for over 2 to 24 hours to the server.

Effective Result : Server improper shutdown. And this may lead to Hard Disk Crash. Effectively your Server may CRASH.

Every year, we get news of server ‘crash’ from around 3 to 6 customers.

Server Crashes during Diwali are encountered usually due to long breakdown of power supply.

Team Finsys Wish you a bright and joyous Diwali.
May your festival of light celebrations be fun, safe, and spiritual.

We also need your kind attention on Backup Policy. Please take action before going to leave.

Question 1 =  Backup taken properly ? , Before going on leave ?
Ans. Must be YES. We strongly recommend this.

Ques 2 = Is your Manual or Auto backup saved offsite ( on google drive) ?

Ans. Must be YES. Note mere external hard disk is not sufficient.

Ques 3 = Are you Saving “Backup” on a Google Drive / One-Drive,  separately other than server ? Is it Working Fine ?

Ans. Must be YES

Ques 4  = Your U.P.S should have capacity of 24 hours ? Is it working fine ?

Ans. Must be YES

Ques 5 = Size of Backup is increasing gradually regularly ? There is no erratic reduction ?

Ans. Must be YES.

Take Precautions and have a Happy Diwali

We wish you the Seasons Greetings and Happiness, and Prosperity, always. We in India love our Diwali festival. Let us enjoy and make our Country and our World Stronger, Happier always.

Prevent server Crash during Diwali holidays Finsys ERP guideline advisory. Links www.finsys.co.in and www.finsys.in, and www.finsys.biz

( Those with server on the Cloud, may ignore this message. Since Cloud is always “on”)

Going on a Long Diwali Festival Holiday. Before you start your holiday, do these 4 things for server safety and data safety. Finsys Advisory.

Helpline numbers during the holidays : 9015220220 – Dial  1 or 2

Things to remember while  adding Scrap invoice in any ERP software:

1.Keep track of the scrap while production-the proper moment and conversion of rejection should be done.

2.

Documentation and signing of the hard copy

of the scrap voucher (conversion process) should be done.

These points make it ready for the permanent audit.

External Reasons

1.GST-The scrap created while production should be sold in market as the sale of scrap is liable to output GST on applicable rates i.e.,5% or 18% according to scrap.

2.TCS-TCS collection should be done as under Income tax.

Internal reasons

1.Keep check on the scrap if its purely a scrap or a part of raw material.

2.Logical rejection should be addressed and signed.

RCM – GST on Metal Scrap Purchase from Unregistered Persons,

Also TDS Starts for  Same Metal Scrap Purchase from Registered Suppliers

This is a Big News. First Time Ever. Govt has started 2% TDS on Purchase of Metal Scrap from Registered Persons.. + Also RCM GST on Purchase from URP

Note there are TWO separate NEW ITEMS…. they are related but NOT SAME.

We start with the First one : RCM

This has come up with the introduction of Notification No. 06/2024-Central Tax (Rate), dt 8th Oct 24

All businesses involved in metal scrap PURCHASE should take immediate steps to comply with the reverse charge mechanism provisions.So, Starting from October 10, 2024, registered persons purchasing metal scrap from unregistered sellers must ensure that the appropriate GST is paid under RCM.

Notification No. 06/2024-Central Tax (Rate): Amendments to GST on Metal Scrap

Date of Notification: October 8, 2024
Notification No.: 06/2024-Central Tax (Rate)
Effective Date: October 10, 2024
Issued by: Ministry of Finance (Department of Revenue), Government of India

Key Dates:

The metal scrap industry often involves transactions between unregistered suppliers and registered businesses. By mandating that registered recipients must pay the GST under RCM, the government aims to bring more transparency and compliance to this sector, preventing revenue leakages.

The source of this is the Recommendation of the GST council in 54th Meeting

The 54th GST ( Goods and Services Tax ) council meeting held on 9th September 2024 has recommended 2% TDS on the supply of metal scrap by registered persons in B to B supply. It had provided the clarifications on the RCM. The meeting was presided by the Finance minister Nirmala Sitharaman.

The Council has recommended the introduction of the Reverse Charge Mechanism (RCM) on metal scrap transactions

Under this new provision, when a metal scrap supplier is unregistered AND HE supplies to a registered entity,the recipient (buyer) will be liable to pay tax under RCM.

This is to bring these transactions in GST Net…. Since the unregistered Scrap dealers were slightly a GREY AREA

New Accounts required in your Finsys ERP / Tally / any Accounting package

Either create Three new accounts to create in your books

CGST RCM Payable ( Scrap )

SGST RCM Payable ( Scrap )

IGST RCM Payable ( Scrap )

CGST RCM ITC Receivable ( Scrap )

SGST RCM ITC Receivable ( Scrap )

IGST RCM ITC Receivable ( Scrap )

or you can continue with your current generalised RCM Accounts also… if you can manage with them

Specifically, under the new amendment, unregistered persons selling metal scrap (falling under categories 72, 73, or 81) will be subject to the reverse charge, meaning the registered buyer will be responsible for paying the GST instead of the seller.

Read more at: https://taxguru.in/goods-and-service-tax/gst-reverse-charge-mechanism-rcm-metal-scrap.html
Copyright © Taxguru.in

Source Links

Link 1 : Govt GST Site : https://taxinformation.cbic.gov.in/view-pdf/1010100/ENG/Notifications

Link 2 : https://taxguru.in/goods-and-service-tax/gst-reverse-charge-mechanism-rcm-metal-scrap.html

Notification No. 06/2024-Central Tax (Rate) | Dated: 8th October, 2024 G.S.R. 614(E).— In exercise of the powers conferred by sub-section (3) of section 9 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), notification No. 4/2017-Central Tax (Rate), published in the Gazette of India, Extraordinary, Part II, Section 3, Sub­section (i), vide number G.S.R. 676(E), dated the 28th June, 2017, namely:-

In the said notification, in the Table, after S. No. 7 and the entries relating thereto, the following S. No. and entries shall be inserted, namely: – 2. This notification shall come into force on the 10th day of October, 2024. (1) (2) (3) (4) (5)

“S No 8.

Chapters 72, 73, 74, 75, 76, 77, 79, 80 or 81 Metal scrap

Seller = Any unregistered person

Buyer = Any registered person.

Now the second topic…… A new GST TDS of 2% will be applicable on supply of metal scrap by registered person in B to B supply.

Note : Income tax TDS will be zero upto 50 lakhs.. since this is not a service… and will be 0.1% after Rs 50 lakhs year purchase

But…. this GST TDS will start from Rs 2,50,000 per contract onwards…..

TDS of 2% to Be Applicable on Supply of Metal Scrap by Registered Person in Case of B2B Supplies | Notification

The CBIC has issued notification to provide that any registered person receiving supplies of metal scrap shall deduct TDS of 2% on B2B transaction. This notification shall be applicable from 10th October, 2024.

GST is in the eighth year of its implementation.  When the CGST Act was enacted in 2017, Section 51 contained the provisions of TDS. But this section was made applicable only w.e.f 01.10.2018. Section 51 of the CGST Act causes obligation on the recipient of the supplies (deductor) to deduct some percentage as tax at source from the payments to be made to supplier (deductee) and pay it to the Government.

Till now , upto now, from July 2017 to September 2024 ….. the provisions were made applicable only to government bodies and PSUs.

However, clause (d) of section 51(1) empowers the government to notify any other category for the purpose.

A TDS of 2% will be applicable on supply of metal scrap by registered person in B to B supply.

NOTIFICATION New Delhi, the 9th October, 2024. No. 25/2024-Central Tax G.S.R. 629(E).— In exercise of the powers conferred by sub-section (3) of section 1 read with section 51 of the Central Goods and Services Tax Act, 2017 (12 of 2017), hereafter in this notification referred to as the said Act, the Central Government, on the recommendations of the Council, hereby makes the following further amendment in the notification of the Government of India in the Ministry of Finance, Department of Revenue No. 50/2018-Central Tax, published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (i) vide number G.S.R 868 (E), dated 13th September, 2018, namely:– In the said notification, (i) after clause (c) and before the first proviso, the following clause shall be inserted,-

“(d) any registered person receiving supplies of metal scrap falling under Chapters 72 to 81 in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), from other registered person”;

(ii) for the third proviso, the following proviso shall be substituted, namely- “Provided also that nothing in this notification shall apply to the supply of goods or services or both, which takes place between one person to another person specified under clauses (a), (b), (c) and (d) of sub-section (1) of Section 51 of the said Act, except the person referred to in clause (d) of this notification.”

>>>> means Registration is mandatory for the Supplier and he cannot take exemption under this 2017 notification

2. This notification shall come into force with effect from the 10th day of October, 2024. [F No. CBIC-190354/149/2024-TO(TRU-II)] AMREETA TITUS, Dy. Secy.

Note:- The principal notification no. 50/2018- Central Tax, was published in the Gazette of India, Extraordinary, Part II, section 3, sub-section (i) vide number G.S.R 868 (E), dated 13th September, 2018 and last amended vide notification no. 73/2018-Central Tax, number G.S.R 1250(E), dated 31st December, 2018.

Read more at: https://taxguru.in/goods-and-service-tax/gst-tds-applicable-metal-scrap-supplies.html#
Copyright © Taxguru.in

New Accounts required in your Finsys ERP / Tally / any Accounting package

Three new accounts to create in your books

CGST TDS Payable

SGST TDS Payable

IGST TDS Payable

And a New return to file every month GSTR7

name of this return is GSTR-7

And

Last date of GST TDS Deposit is 10th of next month

So, yes, GST TDS on Purchase of Metal Scrap if Regd vendor, and GST RCM if Purchased from Unregistered Vendor