Of the assets without consideration, without taking any
money, against which you have availed your ITC, that supply
will be taken in our case.
See a dealer of AC permanently transfer and give the motor
vehicle free of cost.
ITC is blocked on motor vehicles.
So when ITC is blocked, he did not get ITC, he could not
avail ITC, what will happen in our case?
There will be no supply in our case. The transaction will
not constitute a supply.
It's all a simple point.
Is the first point clear to you?
Drive everything on second point.
Second point is, if there is any supply between any related
person or distinct person.
What do you say sir?
What supply is supplied between any related person or
distinct person without consideration, in our case, what
means will our supply be taken?
Supply, a proper supply will be taken.
If sale of goods or provision of services is made by a
related person, to another related person or to a distinct
person, then in our case the supply of goods will be deemed
to be a purchase without consideration.
Sir, what ball did you say?
Kya bol gaye sir, kuch samajh mein nahiega, kya bol rahe
hoon?
Don't know what you keep saying, what nonsense you keep
talking all day?
We will not even have any of your children in our society.
Friend, I am in the right place.
Brother, you will come to understanding, don't be tense,
stop.
I have said that if there is any related person, related
person or any distinct person, these are two words, I will
understand their meaning, do not take tension friend.
Related person hai or distinct person hai, aur yeh jo hai,
related person or distinct person, friend related person or
distinct person, giving some goods or services, providing
them, free of cost.
There is no money left.
This is the case.
In this case this supply will be available monthly.
Goods and services are being provided without money.
What will you mean between related person and distinct
person?
Supply will be taken from land.
Who says so?
This is called schedule one.
Now sir, who is this related person?
Who is this related person?
Tell me dear.
There was a girl who was crazy, she beat a boy, she stole
secretly, she wrote letters.
Don't know what she said to you, don't know who hurt her.
Whenever she met, she asked, what was this related person?
What is this distinct person?
And I gave him this answer, brother related person means
that someone is someone's employer.
Meaning basically you understand, if the concerned person
understands, that the band in front is in a position to
control you or not.
Whether the person in front of you holds a position of
control over you or not will be based on the definition of
the person related to you.
This point will make you clear, definition of related
person.
Like an employer, employee.
Can an employer control his employee?
Yes.
Can you control?
Any person who can control you, like if the shareholding in
your company is more than a specified percentage, if the
shareholding is more than 25%, it is said.
Take control.
Partners belong to one another, directors exist in
another's business, we will follow the definition of
related person here.
What is it? Have seen it once, come more.
Have you seen this? Come one more time.
What is the definition of related person?
You will see more definition of related person.
Look here.
What does this related person mean?
Officers, directors in another's business.
Legally recognized partners are able to control each other.
Employer is employee.
A third group holds more than 25% shares of both.
One of them controls the other.
A third person controls both of them.
Definition of related person.
Who am I trying to control you and what am I? Related
person.
I am your employer, you are my employee, what is your main
importance? Related person.
Aap aur main kya hai, aap aur main kya hai?
Related person.
Now live tomorrow, I will supply you something.
For example, this is a water bottle, I supply it to you.
Supply or sale of goods is happening for example.
And I am doing it without consideration.
I will also give you this main bottle of water without
paying.
So what does it mean in our case? Sale of goods is going on.
This provision of services is happening.
You are in between the related person.
Friend, in our case there is without consideration, so here
it will be understood that there is no talk without
consideration, still there is supply.
And if this is a supply then GST should be charged on it.
This is the related person.
The other group is in a position to control you.
Trying to control.
Employer-employee.
Partners are there.
Are in a position to control.
Whatever is your shareholding, he has more than 25%
shareholding.
Oh sir.
What was the second point? Distinct person.
What is Samaajna more distinct person?
The meaning of distinct person is the symbol that GST is,
GST is basically a state based registration.
Matlab, your for example, a business is in UP.
And you have a business
I am in Bihar.
And yours is a business.
It is in Haryana.
Do you have to take a registration or do you have to take
teen registration?
GST is called
The mechanism of GST is, it says, not one, do not, but you
will have to take teen registration.
State specific registration will be required.
In every state, from where you make a taxable supply, if
your turnover exceeds a particular limit, then you will
have to take registration in that state, it may be
different.
In every state you will have to take registration.
Yes Mr.
X is there.
Mr. X has a teen business, in different states, they will
have to take teen registration.
Now understand, these are teen businesses, which have
different registrations, what do they mean? He is
considered a distinct person.
It is understood that, brother, this has nothing to do with
business.
Toh alag person hain, main alag person hoon.
Giving her bread and bread is different, giving me bread
and bread is different.
Whatever I do, I see it, whatever I do, I keep seeing
myself.
You are distinct from me,
I am distinct from you.
Both are different.
Distinct persons are considered, if an entity has an
establishment, it has different registrations in different
states, then it is considered a distinct person.
Now take the moon, here in your UP,
You have a factory in UP.
And your showroom is there,
Your showroom is in Haryana, Gurgaon.
Your factory is in UP, Noida.
In Noida you are making things, making money, and you are
giving us the first transfer to Gurgaon.
Your money goes directly from here to Jahan.
It is like this, it is practically possible.
There is a factory in Noida, there is a factory in UP.
I have a showroom in Gurgaon, Haryana.
What are both, both are distinct persons.
Now, if a distinct person gives any goods to another
distinct person, or is providing any services, he gives it
without money, then what will be considered as supply, that
will be considered as supply.
This means that if you are transferring the stock, where
are you transferring the stock, branch is transferring,
stock is transferring, where are you transferring the stock.
Do this, this stock is being transferred, and money is
being transferred, we are not charging them.
The goods are going from the godown to the showroom.
I am giving a very real life example.
The goods are going from the godown to the showroom.
The problem is that the godown has taken a separate
registration in GST.
The showroom has taken a separate registration in GST.
There are different separate registrations.
So what is this?
This is a distinct person.
A distinct person can supply anything to each other.
If you do it without consideration, then it will be
considered as a supply.
And as soon as it becomes a supply, you will have to charge
GST.
This is the point.
Did you understand the meaning of distinct person?
A person has taken different registrations.
So what are they?
They are distinct persons.
It is also possible that in one state.
It is also possible.
A child once asked me this doubt.
It is also possible.
For example, this is UP.
And I have taken two registrations in UP.
I have some electronic work here.
My sweets shop is here.
There are different businesses.
So I have taken different registrations for different
businesses.
The shop of electronics.
It happened that there is a shop of electronics.
And goons came there at night.
The goons came with guns.
I talked to those goons.
They said, what do you want?
We have electronic equipment.
If you want a laptop, take it.
We are giving you a laptop.
Take it.
I said, no, I have not come to take a laptop.
Someone told me that there is a shop of electronics.
We get good sweets there.
We came to buy sweets.
Get us sweets.
Get us 100 kgs of besan laddoos.
100 kgs of besan laddoos.
The problem is that he went to the wrong address.
The goon had to go here.
He went here.
Now the goon is sitting here.
What should I tell him?
He is sitting here with a gun.
What should I tell him?
Get out of here.
Go to the sweets shop.
Should I tell him this?
Or what will I do quietly?
I will call the sweets shop.
I will tell him, do one thing.
You have your stock.
You transfer your stock to the shop of electronics.
You transfer the stock of besan laddoos to the shop of
electronics.
What will happen?
A stock transfer will be accepted.
The stock will be transferred.
This will also be accepted as a distinct person.
The stock is being transferred for free.
It is being done between distinct persons.
There is no consideration.
In this case also, the supply will be accepted.
Do you have registration?
There is registration in different states.
Even then you are a distinct person.
There are two different businesses running in one state.
Both have different registrations.
Even then you will be accepted as a distinct person.
Ok Sir.
This was the point.
Let's read it once.
What does it say?
What does the definition of a distinct person say?
Establishment of a person with separate registration.
Whether within the same state.
Like in UP, an electronics shop and another sweets shop.
Or in different states.
Like Mr. X in Haryana, UP and Bihar.
They are considered as distinct persons.
Or where a person having one registered establishment in a
state has another establishment in a different state.
It is not necessary that they are registered.
Then what will be considered?
Establishment of a distinct person.
Ok Sir.
Let's see.
If we transfer a distinct person or a related person
without consideration, then the supply will be accepted.
Let's see an example.
Mohan, a chartered accountant, has a registered head office
in Delhi.
There is a registered head office in Delhi.
And he has a registered head office in West Bengal.
So, if one person has an establishment in Delhi and the
other in West Bengal, then what will be considered?
Distinct person.
If they serve each other without consideration, then the
supply will be accepted.
Ok Sir.
Stock transfers or branch transfers qualify as supply.
This is the same.
Look at the example.
It is the same thing that I have told you.
Raghuveer Fabric transfers 1000 shirts from the factory.
The factory is in Lucknow.
Where does it transfer?
To the showroom.
And where is the showroom?
In Delhi.
So, factory and retail showroom, they are registered in the
states where they are located.
So, retail showroom is in Delhi.
Registration is in Delhi.
Factory is in Lucknow.
Lucknow means UP registration.
Yogi Adityanath's UP.
And his registration is in that.
Let me tell you one thing.
Since the time of Yogi Adityanath, there has been a
difference in the crime rate.
Since the time of Yogi Adityanath in UP.
This is my personal opinion.
Since the time of Yogi Adityanath,
I think there has been a slight difference in the crime
rate.
Criminals are getting the same treatment that they should
get.
Turning cars at night.
Driving a bulldozer.
Making criminals helpless in their own way.
This is the government of Yogi Adityanath.
Which is able to do.
They are doing a very good job.
If you go and see the position of UP in today's time.
Roads have been made so beautiful.
Development is so strong.
You will not feel that you have come to UP.
So, credit for this goes to Yogi Adityanath.
BJP goes to the government.
I think we should be grateful to him.
Although no consideration is charged.
Now, what was happening in this?
There was a factory in Lucknow.
There was a showroom in Delhi.
Stock transfer was going on.
Branch transfer is going on.
Transfer is going on between distinct persons.
In that case, even if you do not charge any consideration.
Still, what will be considered?
It will be considered as a supply.
Stock transfer.
Now, look at this.
This is the second example.
Raghuveer Fabric has 1000 shirts.
Its factory is in Lucknow.
And the retail showroom is in Kanpur.
They transferred there.
And it has taken different registrations.
It has taken a single registration.
There is a factory.
There is a showroom.
It is working on a single registration.
One will be shown as a principal place of business.
The other will be shown as an additional place of business.
It is a single registration.
We were talking about distinct persons.
We were saying that it is necessary for a distinct person
that there are two people with different registrations.
Two people have taken different registrations.
But have two people taken different registrations here?
Answer is no.
Not taken.
It is working on a single registration.
What will happen in that case?
There will be no supply in that case.
It has taken one registration in the state of UP.
Declaring Lucknow as the principal place of business and
Kanpur as the additional place.
Since no consideration is charged, supply of goods from
factory to the retail does not constitute supply.
Look at this.
Employer and employee services.
A child will ask, is it a related person?
Is the employer and employee a related person?
Because the employer is controlling the employee.
He is in a position to control.
So, is he a related person?
So, will the employee who will provide the services, who
will provide the services to the employee, will he also
come to GST?
Will you and I work somewhere tomorrow and we will deduct
the GST bill from our employer?
We are on a salary basis.
Why should we deduct the GST bill?
So, the case is that there is an employer and there is an
employee.
It is true that they are related persons.
Related person, this is correct.
Very correct.
And if they are related persons
and some other services are being provided, then it is
obvious that they will be considered as a supply.
And if they are a supply, then the GST bill will also be
deducted.
You will have to go and deposit the GST to the employee.
The employee will go and deposit the GST.
This is a big problem.
Whichever employee it is, it means that all the employees
in India, will they come in the category of service
providers?
Will they deduct all the GST bills?
Will they deposit all the GST bills?
This is not wrong.
Someone is working for 15-20,000, will he also go and take
the GST registration?
Will he also go and deposit the GST?
This is not right.
This is not right at all.
That is why, Schedule 3, which I was telling you about,
Schedule 3,