Tax Consultant in Bhavnagar – GST Consultant & Income Tax Services

DisyTax is Bhavnagar's leading online CA and GST consultant — with India's only specialized expertise in Alang ship recycler GST (RCM on labour, steel scrap ITC chain, second-hand margin scheme), re-rolling mill GSTR-2B ITC monitoring, diamond polishing unit ITC-04 challan, salt manufacturer proportionate ITC reversal (Rule 42), industrial oxygen 12% GST, and Alang plot capital gains. GST Registration ₹1,999 (GSTIN in 3-7 days), Monthly Filing ₹500, ITR ₹499–₹2,999. 100% online from anywhere in Bhavnagar — call +91-7065281345.

Steel and iron scrap (HSN 7204) from Alang ship recycling — 18% GST. Non-ferrous scrap: Copper scrap (HSN 7404) — 18%. Aluminium scrap (HSN 7602) — 18%. Brass scrap (HSN 7404) — 18%. Stainless steel scrap (HSN 7204) — 18%. Second-hand ship machinery sold as intact used goods — 18% GST on margin scheme (not full value). Ship broker commission (SAC 997111) — 18%. Industrial oxygen for torch cutting (HSN 2804) — 12%. Critical GST point for Alang yards: Labour contractor payments for ship dismantling — if contractor is GST-unregistered, the Alang yard (as recipient) must pay 18% GST under RCM (Reverse Charge Mechanism) and can claim it back as ITC. This is one of the most commonly missed compliance obligations in Alang. DisyTax sets up complete Alang yard GST compliance including RCM, scrap sale billing, margin scheme for second-hand goods, and e-way bill for all steel dispatches.

Under Section 9(4) of CGST Act, if a GST-registered business purchases services from an unregistered supplier, the registered business must pay GST under Reverse Charge Mechanism (RCM). For Alang ship recycling yards: Most ship dismantling labour contractors are small unregistered individuals or small firms. When an Alang yard pays ₹10 lakh to an unregistered dismantling contractor, the yard must self-assess and pay 18% GST (₹1.8 lakh) to the government — and can claim this ₹1.8 lakh back as ITC in GSTR-3B. This RCM applies on: Dismantling labour, security services (unarmed guards), cleaning and sorting services. Steps: (1) Issue self-invoice for RCM liability on unregistered purchases. (2) Pay RCM GST in cash (cannot use ITC). (3) Claim it back as ITC in next filing. Most Alang yards skipping RCM accumulate 3-5 years of demand — DisyTax computes historic RCM liability, files voluntary disclosure to reduce penalty from 100% to 0%, and sets up correct ongoing RCM compliance.

Yes — all types of salt (HSN 2501) are EXEMPT from GST: Table salt, sea salt, rock salt, industrial salt, iodized salt, de-icing salt — all 0% GST. However, salt-based chemicals (sodium chlorate, chlorine, etc.) attract 18% GST. Key compliance rules for Bhavnagar salt manufacturers: (1) If you make only exempt salt — no GST registration required unless turnover exceeds ₹40 lakh (higher limit for pure exempt supply businesses). (2) If you make both exempt salt and taxable goods/services — GST registration mandatory above ₹20 lakh. (3) Input Tax Credit on inputs used for exempt salt supply must be REVERSED under Rule 42 of CGST Rules. Common ITC reversal items: Packing materials, machinery repair services, transportation, electricity (if using diesel genset), water pumping. (4) Correct formula: ITC to reverse = (Exempt turnover ÷ Total turnover) × Total common ITC. Bhavnagar salt manufacturers with mixed supply who claim full ITC receive Rule 42 reversal notices. DisyTax sets up correct proportionate ITC tracking and annual reversal calculation.

Alang ship recyclers are business owners — income taxed under "Profits and Gains of Business and Profession" (PGBP). Key income tax considerations: (1) Income recognition: Ship purchase advance paid and vessel delivery may span different financial years — income recognized on delivery of ship or beaching, not on advance payment. (2) Inventory valuation: Ship as inventory valued at cost (lower of cost or NRV). Steel scrap recovered is inventory — valued at estimated net realizable value. (3) Section 32 depreciation: Cutting machinery, cranes, oxygen plant, bulldozers — 15% depreciation. Computers/software — 40%. (4) Section 44AB audit: Ship recyclers above ₹1 crore turnover require CA audit. (5) Alang plot capital gains: GMB leasehold plot transfer — capital gains on leasehold rights; indexed cost available for long-term assets. Section 54F exemption can be used for residential property reinvestment. (6) TDS: Ship purchases from foreign sellers may involve TDS under Section 195 on payment to NRI ship owners. DisyTax structures complete income tax compliance for Alang ship recyclers — from inventory policy documentation to capital gains optimization.

Bhavnagar's 4,300+ diamond polishing units operate under the same GST regime as Surat: Rough/uncut diamonds (HSN 7102) — 0.25% GST. Cut and polished diamonds (HSN 7102) — 0.25% GST. Diamond job work (SAC 998898) — 1.5%. Export — 0% (zero-rated with LUT). Diamond polishing machine (HSN 8464) — 18% (ITC claimable). Critical rule: Form ITC-04 must be filed quarterly for all diamonds sent to job workers — missing = ITC credit denial and deemed supply notice. Bhavnagar diamond polishing units typically receive rough diamonds on job work from Surat or Bhavnagar principals. The principal must file ITC-04 and issue proper job work challan. If diamonds not returned within 3 years — treated as supply at 0.25% with interest and penalty. DisyTax sets up quarterly ITC-04 filing for all Bhavnagar diamond polishing units and principal traders.

Under GST 2.0 (effective 22 September 2025), key changes for Bhavnagar construction and government works: Government works original construction (SAC 995419) — 5% (from 12%) — applies to BMC (Bhavnagar Municipal Corporation) civil works, Bhavnagar district government PWD contracts, port development works, and Alang yard infrastructure works. Affordable housing PMAY — 1% (unchanged). Under-construction residential — 5% (unchanged). Commercial under-construction — 18%. Key material savings: Cement (HSN 2523) — 18% (from 28%) — major ITC saving for Bhavnagar builders. AC — 18% (from 28%). Bhavnagar port-area contractors still billing government works at 12% post-22 September 2025 are overcharging — immediate billing correction and ITC recalculation required. Re-rolling mills supplying TMT bars to construction projects benefit from higher demand due to cement cost reduction enabling faster construction growth.

Yes — 100% online, zero office visit. Process: (1) WhatsApp PAN, Aadhaar, business address proof, bank statement, unit/yard photographs to +91-7065281345 — 5 minutes from anywhere in Bhavnagar. (2) CA team verifies within 2 hours and confirms correct HSN/SAC under GST 2.0 — ship scrap HSN 7204 (18%), diamond HSN 7102 (0.25%), salt HSN 2501 (0% exempt), liquid oxygen HSN 2804 (12%), chemicals HSN 28-29 (18%), cotton HSN 5201 (5%), government works SAC 995419 (5%). (3) Application filed same day, ARN sent on WhatsApp. (4) GSTIN in 3-7 working days — delivered digitally. Available across all Bhavnagar areas: Alang, GIDC Phase I & II, Sihor, Ghogha, Mahuva, Botad, Palitana, Vallabhipur, Waghawadi Road, and all surrounding talukas. All-inclusive ₹1,999 — call +91-7065281345 now.