Skip to content

CS Professional · Goods and Services Tax (GST) and Corporate Tax Planning · Time of Supply

Under Section 12(6), the time of supply to the extent it relates to interest, late fee or penalty for delayed payment of consideration is:

For interest, late fee or penalty charged for delayed payment of consideration, the time of supply is the date on which the supplier actually receives that additional amount, not the original invoice date or the date the delay began.

  1. AThe date of the original invoice
  2. BThe date on which the supplier receives such addition in valueCorrect
  3. CThe date on which the delay began
  4. DThe last date for issuing the invoice for the original supply

Explanation

Section 12(6) states that for an addition in value by way of interest, late fee or penalty for delayed payment, the time of supply is the date the supplier receives that addition. The original invoice date and the start of delay are not the test.

Did you get it right without looking?

One question tells you little. A timed set on Time of Supply shows your real accuracy, how long you take and where you lose marks.

Practise Time of SupplyFree diagnostic mock

More Time of Supply questions