Answer

1. F

   Facts

   Adjusted total turnover is the turnover in a state, including zero-rated supplies, for the relevant period, excluding exempt supplies other than zero-rated supplies and excluding turnover of supplies refunded under the inverted duty route. For export of goods, the value of zero-rated supply is capped under Rule 89(4) at 1.5 times the value of like goods supplied domestically.

2. P

   Provisions and law

   • Rule 89(4), CGST Rules 2017Formula for refund of ITC on zero-rated supplies made without tax
   • Sec 54(3), CGST Act 2017Refund of unutilised ITC is allowed on zero-rated supplies without tax and on inverted duty
3. A

   Analysis

   If your period turnover is ₹60,00,000, including ₹50,00,000 exports and ₹2,00,000 exempt sales, adjusted total turnover is ₹58,00,000. Including exempt sales wrongly inflates the denominator and cuts your refund. For services, the turnover of zero-rated supply is taken on the basis of payments received in the period, which can make it differ from invoices raised.

4. C

   Conclusion

   1. 1List all supplies of the period by type: taxable, zero-rated, exempt
   2. 2Exclude exempt supplies from the denominator
   3. 3For services, take export turnover on receipt basis as the rule requires
   4. 4Check the figures against GSTR-3B before filing

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