CBEC vide notification number 35/2017 (Central Tax) notified the due dates for filing the return GSTR –  and due dates for payment/discharge his liability towards tax, interest, penalty, fees or any other amount payable under the said Act by debiting the electronic cash ledger or electronic credit ledger, as the case may be for the months August, 2017 to December 2017.

As per the notification the due date for filing returns as well as payment of tax, interest etc. will be on or before the 20th of the subsequent month.For example, the due date of October, 2017 will be 20th November, 2017.

To see the notification, please click the link below:

3B due dates

 

GST Council in it’s 21St meeting held on 09-09-2017, revised GST rates. To know the revised rates please click the link below:

List-Goods-where-changes-been-recommended-GST-Council[1]

To see the recommendation of the council regarding increase in the Cess rates, please click the link below:

Increase-rate-compensation-Cess-specified-motor-vehciles

GSTR 3B: GST Council today decided to continue the GSTR 3B till December, 2017.

Return Filing Due Dates: The due dates for various GST returns for the month of July 2017 and the Quarter July 2017 to September 2017 is as follows:

Return	Tax Period	Revised due date
GSTR-1	Jul-17	10/10/2017
GSTR-2	Jul-17	31/10/2017
GSTR-3	Jul-17	10/11/2017
GSTR-4	Jul-17 to Sep-17	18/10/2017
GSTR-6	Jul-17	13/10/2017

The due dates for filing returns of the subsequent periods shall be notified at a later date.

Composition Scheme: A registered person, migrated or newly registered who has not opted for Composition Scheme yet can opt for Composition Scheme till 30th September, 2017.

Exemption from Registration for person dealing in Handicrafts: Any person who are dealing in handicrafts having interstate turnover can avail exemption from registration if the aggregate turnover is less than Rs.20 lakhs as the person has a permanent account number and the movement of goods is by way of e-way bill.

Exemption from registration for a job worker: Job workers involved in interstate movement of goods is liable for GST registration now. As per the decision of today’s meeting, job workers providing supply to registered persons is exempted from registration if the aggregate turnover is below the threshold limit(Rs.20/10 lakhs), as long as the goods mover under the  cover of e-way bill irrespective of the value of consignment.

GST TRAN 1: Due date extended to31-10-2017. GST TRAN 1 can be revived once.

 TDS/TCS: The registration for persons liable to deduct/ collect TDS/TCS will commence on 18-09-2017. The date from which TDS/TCS to be deducted/ collected Will be notified by the council later.

GST council in their 21St meeting extended the last date for filing GSTR-1 for the month of July, 2017 to October 10, 2017. The Council also formed a inter ministerial panel to look into the issues of GSTN.

Government extends due date for filing GST Returns for July and August 2017. The dates are as follows:

Return	Due Date
	July, 2017		Aug-17
	Old Date	New date	Old Date	New date
GSTR – 1	05/09/2017	10/09/2017	20/09/2017	05/10/2017
GSTR – 2	10/09/2017	25/09/2017	25/09/2017	10/10/2017
GSTR – 3	15/09/2017	30/09/2017	30/09/2017	15/10/2017

The extension is on the light of heavy traffic on Monday, and the GSTN portal cannot hold the heavy load.

 To view the notification please click the link below:
 

 https://drive.google.com/file/d/0BwfaVqFwg9yDTzMzT3FVY0hteUE/view?usp=drivesdk
 

CBEC had issued formal notifications extending the time limit for filing GST returns GSTR -1, GSTR- 2 & GSTR -3 for the month of July 2017 and August 2017. CBEC also notified the time limit for furnishing Form GSTR – 3B for the month of July 2017 and August 2017. The time limit as per notifications is given below:

Form No.	Details to be furnished	Jul-17	Aug-17	Notification No.
GSTR – 3B	Outward and Inward Supplies, TDS/TCS, ITC etc.	20/08/2017	20/09/2017	21/2017 (Central Tax)
GSTR – 1	Outward Supplies	1st to 5th of September, 2017	16th to 20th of September, 2017	18/2017 (Central Tax)
GSTR – 2	Inward Supplies	6th to 10th of September, 2017	21st to 25th of September, 2017	19/2017 (Central Tax)
GSTR – 3	Monthly Return	11th to 15th of September, 2017	26th to 30th of September, 2017	20/2017 (Central Tax)

To see the notifications please click the link below:

212017-gstr3b

20217-details

192017 – inward supply

182017 – Outward supply

 

 

GST council approves E-way bill which requires ferrying goods worth more than Rs 50,000 within or outside a state will require securing an e-way bill by prior online registration of the consignment. To generate an e-way bill, the supplier and transporter will have to upload details on the GSTN portal, after which a unique e-way bill number (EBN) will be made available to the supplier, the recipient and the transporter on the common portal. The e-way bill rules will become applicable on a date as notified that will happen quite soon.

Other Important Decisions of the Council

1. GST rate for textile job works at 5 percent.
2. Reduced the rate for government works contract to 12 percent with benefits of input tax credit.
3. The tax rate of job work for printing books and newspapers will be 12 percent if the service is supplied by someone else, while the GST rate will remain 5 percent if it is printed by the same organisation.
4. For agriculture services, tax rate of post-harvest and storage has been brought down to 12 percent from 18 percent. Similarly, tax rate for entry into planetariums has been reduced to 18 percent from 28 percent.
5. Housekeeping services such as plumbers, it is the liability of the aggregator to pay GST.
6. Cut taxes on certain tractor parts to 18 percent from 28 percent.
7. Goods and services used specifically for the purposes FIFA Youth World Cup later this year in India has been exempted from GST.

The CBEC has issued notification for Interest on delayed payments, taking excessive input credit or reducing output tax liability and interest on refunds receivable from the department. Please see the table below for the details:

Sl no	Instances where interest if payable	Rate of Interest
1	Failure to pay tax or a part there of within prescribed period	18%
2	A taxable person who makes an undue or excess claim of input tax credit or undue or excess reduction in output tax liability	24%
3	Interest on refunds (in case with hold by the Commissioner in case of appeals or by any other reason)	6%
4	Interest on delayed refunds (in case of refunds not paid within 60 days from the date of receipt of refund application)	6%
5	Interest on delayed refunds where any claim of refund arises from an order passed by an adjudicating authority or Appellate Authority or Appellate Tribunal or court which has attained finality and the same is not refunded within sixty days from the date of receipt of application filed consequent to such order	9%

 

Please click the link below for the notification.

notfctn-6-igst-tax-english interest

The few important point and actions to be taken by a business immediately is given below:

1. Migration to GST: If you are a existing tax payer under VAT, Central Excise, Service tax etc, and if you are not migrated to GST, do it immediately. If you didn’t migrate, you may end up in trouble at the time of movement of goods.
2. Branches: If you have branches in different states, you have to take separate registration in each state. Ensure that separate registration is taken already, if not take immediate steps for the registration.
3. GST Registration number: Provisional ID given to you at the time of migration is your GSTIN.
4. Communicate: Communicate your GSTIN to all your suppliers, bankers and your service providers.
5. Supply from Unregistered Persons: Ensure that the supply from unregistered persons (either individually or collectively) does not exceed Rs.5000/- in a day. If the total supply (both goods and services) exceeds reverse charge will apply. In case the total supply exceeds Rs.5000/- in a day ensure that the same is related to services part only.

Eg., if you are undertaking a repair in your business premises, and you are employing a local contractor for the works who is a unregistered person. It’s advisable to purchase the materials required in your name and pay for the labour charges only to the contractor.  In this case you will be incurring reverse charge only on labour charges and you will be eligible to take input credit of materials as well as the labour charges you had paid on reverse charge. If it’s a composite contract, you will lose the benefit of input tax on materials

6. Payment to Goods Transport Agency: These payments will attract reverse charge if you are a registered person in GST. Please ensure proper documentation is maintained.
7. Availability of Input Credit: Input credit will be available on almost all expenses you are incurring for furtherance of business. Please be cautious that reverse charge will be applicable on all expenses if it’s from persons, subject to daily limit of Rs.5000/-. You will be eligible to take input credit on such reverse charge payments, if the same is eligible to take credit.
8. Composition Scheme: Those registered persons who are opting for composition scheme needs to file intimation, on or before July 30, 2017. Input credit is not available for those opted for composition scheme.
9. CGST, SGST & IGST: All your intra state (with in state) supply will attract CGST and SGST and you have to show the same in your invoice. If the GST rate is 18%, the CGST will be 9% and the SGST also will be 9%. For interstate supply (outside the state), the tax applicable is IGST. IN case of interstate supply, the entire tax should be shown as IGST. In the above example, the IGST will be 18%.
10. Transfer to Branches: Transfer of goods between places of business outside the state will attract IGST. GST will not be applicable for stock transfer within the state.
11. Advance Taxable: Advances received from clients for supply of goods or services will attract GST. Please ensure GST is collected and paid on advances.
12. Returns under earlier laws: Ensure that the all the returns under the VAT, Central excise etc is filed and the same is fully reconciled with the books of accounts.
13. Credit of Duty on stocks: Ensure that, the stock records are updated as on 30-06-2017 and ensure that the required returns for claiming credit of duty paid is filed within the time limit prescribed.
14. Unregistered Dealers: The registered dealers may prefer to deal only with the registered persons, as they have to pay tax on reverse charge basis if they take goods or service from unregistered persons. Also those who are not registered and the annual turnover is below the threshold of Rs.20 Lakhs, may do a  cost benefit analysis and decide to proceed with registration or not.

 

The above points is for guidance only. To know more GST updates please visit our blog http://www.karthikandsunil.wordpress.com