The introduction of Goods and Services Tax (GST) in India has transformed the way industries handle taxation, including the furniture manufacturers. GST is a comprehensive indirect tax that applies to various goods and services, including furniture. Understanding how GST affects furniture manufacturers is crucial for ensuring compliance and optimising tax benefits. In this article, we explore the impact of GST rates on furniture manufacturers, covering the different types of furniture, GST slabs, and their implications.GST Rate for FurnitureThe GST rate for furniture varies depending on the material and type of the product. Furniture items fall under HSN Code 9403, with varying GST rates. Here’s a breakdown of the applicable rates:Type of furnitureGST rateWooden Furniture18%Plastic Furniture12%Metal Furniture18%Bamboo or Cane Furniture12%Upholstered Furniture18%Modular Furniture28%GST Rate Slabs for FurnitureFurniture manufacturers must know the specific GST slabs that apply to their products.

GST brings transparency and develops mutual trust between the Revenue and the taxpayers. Most of the compliance process- return filing, registration, and sometimes even proceedings intend to happen without meeting a tax officer in person! Let us now focus on one of GST’s new tools to achieve its objective-an Invoice Reference Number(IRN).Latest Update4th April, 2025With effect from June 1, 2025, IRP will treat invoice numbers as case-insensitive for IRN generation. All invoice numbers in any format will be converted to uppercase to avoid duplication and ensure consistency.How does IRN help?Under normal circumstances, three sets of invoices are issued as follows:Original for the buyerDuplicate for the transporterTriplicate for the sellerInstead of the above paperwork, a transporter may opt for IRN as it digitizes the revenue process at the check posts. It reduces the waiting time for the transporter at the revenue check post and helps taxing authorities keep track of the goods being transported. There is no risk of losing an invoice if an IRN is generated.What is an Invoice Reference Number (IRN)?An IRN is a number that a GST-registered taxpayer may generate from the e-way bill portal by uploading an invoice in Form GST INV- 01.

Any person making the taxable intra-state supply of goods/services with an annual aggregate turnover of more than Rs 20 lakh (Rs 40 or Rs 10 lakh, as may vary depending upon the supply and state/UT) or undertaking inter-state supply (without any threshold limited) are mandatorily required to obtain GST registration.GST registration number or GST identification Number (GSTIN) is a unique 15-digit number provided by the tax authorities to monitor tax payments and compliances of the registered person. Business needs different sets of documents depending upon the constitution of the business or the type of GST registration that they wish to obtain.Latest Update17th April 2025The CBIC issued instructions to its GST officers in Central Tax Instruction No. 03/2025-GST. It outlines instructions for processing the GST registration applications, emphasising compliance with the document lists, avoiding unwarranted queries and ensuring timely approvals. It also includes guidelines to verify place of business, and physical verification process.12th February 2025The GSTN has released an advisory regarding new Aadhaar and biometric authentication requirements for GST Registration.

The taxpayer has to take sufficient care to enter details at the time of GST registration since it will form a part of his permanent record. There is, however, always a possibility of human error leading to mistakes in entering data. The taxpayer might also receive a notice as a result of such mistakes. However, this should not be a cause for worry. There is an option to clarify registration details as a response to such a notice.Latest Updates17th April, 2025The CBIC has issued new instructions regarding the processing of GST registration applications.

The Aadhaar card is an essential document one must have in recent times. It is a proof of identity and proof of address; mostly, it is a source to identify you as an Indian citizen. If you still don’t have an Aadhaar card, it is high time for you to enrol for one. Procedure to Fill Aadhaar card enrolment formStep 1: Download the Aadhaar enrolment form from the UIDAI website. You can also visit the nearest Aadhaar center to get the form.

Profits as per your financial statements rarely match with your taxable profits. And it would be incorrect to ignore to account for the difference between these two profits. To govern the accounting for such differences, we cover the following topics  in this article w.r.t. AS 22 Accounting for Taxes on Income:Introduction – Accounting StandardAccounting Standard 22 has been prescribed by ICAI to be applied in accounting for taxes on income. This AS is applied to match the differences between accounting income and taxable income.

Latest UpdatesThe Ministry of Corporate Affairs (MCA) issued the Companies (Auditor’s Report) Order, 2020 on 25 February 2020, applicable from 1 April 2021, corresponding to the financial year 2020-21. Thus, the CARO 2016 is now replaced by CARO 2020, and companies must prepare report as per CARO 2020.The Ministry of Corporate Affairs (MCA) issued Company Auditor’s Report Order (CARO), 2016 on 29th March 2016. This order superseded the earlier order (CARO 2015).The Existence of CARO, 2016MCA was of the objective that there are certain particular issues that are important to be reported with the financial statements for certain entities as a part of their audit reports. The auditor of such prescribed entities is required to report on the points mentioned under this order after performing procedures for verification of the same.Applicability of CARO 2016CARO 2016 is applicable to all the companies except the following (which) are specifically excluded from its purview:A. Banking CompaniesB.

Employee’s Provident Fund (EPF) is a government-backed investment cum retirement planning scheme. The employees working in eligible organisations should compulsorily contribute a minimum of 12% of their basic salary on a month-on-month basis. The employer as well contributes with a matching amount. We have covered the following in this article:PF UpdatesThe EPFO gives an interest rate of 8.25%p.a. for FY 2024-25 and FY 2023-24 to subscribers of the Employee Provident Fund (EPF). What is VPF?Voluntary Provident Fund (VPF) is the contributions made by the employees that are over and above the minimum contribution set by the Employees’ Provident Fund Organisation (EPFO).

What is Depreciation?Depreciation is a measure of loss of value of a depreciable asset arising from use, the passage of time or obsolescence either through technological or market changes. Depreciation is charged in a fair proportion of the depreciable amount in every accounting period during the expected useful life of the asset. As everything loses value over time, we are able to treat depreciation as an expense because it is beneficial to the company, which owns the depreciable assets. Depreciation charged on the depreciable assets can be recorded as an expense in the Profit & Loss A/c.The depreciation charged as an expense in the Profit & Loss A/c helps compensate the company for the value lost on the depreciable assets. Depreciable assets are those assets that are used for the purpose of business which can be depreciated.

‘Customs Duty’ refers to the tax imposed on the goods when they are transported across the international borders. The objective behind levying customs duty is to safeguard each nation’s economy, jobs, environment, residents, etc., by regulating the movement of goods, especially prohibited and restrictive goods, in and out of any country.Every good has a predefined rate of duty that is determined based on various factors, including where such good was acquired, where such goods were made, and what these goods is made of. Also, anything that you bring into India for the first time should be declared as per the customs rules. For instance, you need to declare the items purchased in a foreign country and any gifts which you acquire outside India.Latest UpdatesUnion Budget 2025: 1st February 20251. Rationalisation of Customs Tariff and Duty Inversion: Budget 2025 proposed the further reduction of 7 tariff rates, leaving only 8 (including ‘zero’), along with a single cess/surcharge per item.