Recommendations made during the 28th meeting of the GST Council ||28th GST council meeting press release ||Amendments in the CGST Act, IGST Act, UTGST Act

Recommendations made during the 28th meeting of the GST Council held in New Delhi on 21st July, 2018

• Upper limit of turnover for opting for composition scheme to be raised from Rs. 1 crore to  Rs.  1.5  crore.  Present  limit  of  turnover  can  now  be  raised  on  the recommendations of the Council. (GST composition scheme turnover limit)

• Composition dealers  to  be  allowed  to  supply  services  (other  than  restaurant services),  for  up to  a  value  not  exceeding  10%  of  turnover  in  the  preceding financial year, or Rs. 5 lakhs, whichever is higher.

• Levy of   GST   on   reverse   charge   mechanism   on   receipt   of   supplies   from unregistered suppliers, to be applicable to only specified goods in case of certain notified  classes  of  registered  persons,  on  the  recommendations  of  the  GST Council.

• The threshold exemption limit for registration in the States of Assam, Arunachal Pradesh, Himachal Pradesh, Meghalaya, Sikkim and Uttarakhand to be increased to Rs. 20 Lakhs from Rs. 10 Lakhs.

• Taxpayers may  opt  for  multiple  registrations  within  a  State/Union  territory  in respect  of  multiple  places  of  business  located  within  the  same  State/Union territory.

• Mandatory registration is required for only those e-commerce operators who are required to collect tax at source.

• Registration to remain temporarily suspended while cancellation of registration is under process, so that the taxpayer is relieved of continued compliance under the law.

• The following  transactions  to  be  treated  as  no  supply  (no  tax  payable)  under Schedule III:
  1.   Supply of goods from a place in the non-taxable territory to another place in the non-taxable territory without such    goods entering  into   India;
  2.   Supply of  warehoused  goods  to  any  person  before  clearance  for  home consumption; and
  3.   Supply of goods in case of high sea sales.

• Scope of input tax credit is being widened, and it would now be made available in respect of the following:
  1.   Most of the activities or transactions specified in Schedule III;
  2.   Motor vehicles  for  transportation  of  persons  having  seating  capacity  of more than thirteen (including                     driver), vessels and aircraft;
  3.   Motor vehicles for transportation of money for or by a banking company or financial institution;
  4.   Services of general insurance, repair and maintenance in respect of motor vehicles, vessels and aircraft on  which credit is available;  and
  5.   Goods or services which  are obligatory for an  employer  to  provide  to  its employees, under any law for the time  being in force.

• In case the recipient fails to pay the due amount to the supplier within 180 days from the date of issue of invoice, the input tax credit availed by the recipient will be reversed, but liability to pay interest is being done away with.

• Registered persons may issue consolidated credit/debit notes in respect of multiple invoices issued in a Financial Year.

• Amount of pre-deposit payable for filing of appeal before the Appellate Authority and the Appellate  Tribunal  to  be  capped  at  Rs.  25  Crores  and  Rs.  50  Crores, respectively.

• Commissioner to be empowered to extend the time limit for return of inputs and capital sent on job work, upto a period of one year and two years, respectively.

• Supply of services  to  qualify  as  exports,  even  if  payment  is  received  in  Indian Rupees, where permitted by the RBI.

• Place of supply in case of  job  work  of  any  treatment or  process  done  on goods temporarily  imported  into  India  and  then  exported  without  putting  them  to  any other use in India, to be outside India.

• Recovery can be   made   from   distinct   persons,   even   if   present   in   different State/Union territories.

• The order of cross-utilisation of input tax credit is being rationalised.

3. These amendments will now be placed before the Parliament and the legislature of State and  Union  territories  with  legislatures  for  carrying  out  the  amendments  in  the respective GST Acts.

Other Articles 

We have published a new blog article on our website : Magazine on GST Update July-2018 || GST Monthly Journal of July-2018 (Online)||

You can view it from this link : https://www.legaltaxguru.com/product/magazine-on-gst-update-july-2018-gst-monthly-journal-of-july-2018-online/

जीएसटी में सक्षम अधिकारी के पास कर की वसूली के क्या तरीके उपलब्ध हैं?<?
सीजीएसटी अधिनियम के अंतर्गत संज्ञेय और गैर संज्ञेय अपराध क्या है ?

क्या जीएसटी कंपोजीशन स्कीम में पंजीकृत व्यापारी SEZ Unit और दूसरे राज्यों में माल सप्लाई कर सकते हैं ?

Due dates for furnishing of FORM GSTR-1 April to June, 2018

Magazine on GST Update July-2018

Magazine on GST Update June-2018

Magazine on GST Update May-2018