Author: admin_gst

Decisions taken by the GST Council in the 34th meeting held on 19th March, 2019 regarding GST rate on real estate sector
GST
Dated:- 19-3-2019

GST Council in the 34th meeting held on 19th March, 2019 at New Delhi discussed the operational details for implementation of the recommendations made by the council in its 33rd meeting for lower effective GST rate of 1% in case of affordable houses and 5% on construction of houses other than affordable house. The council decided the modalities of the transition as follows.
Option in respect of ongoing projects:
2. The promoters shall be given a one -time option to continue to pay tax at the old rates (effective rate of 8% or 12% with ITC) on ongoing projects (buildings where construction and actual booking have both started before 01.04.2019) which have not been completed by 31.03.2019.
3. The option shall be exercised once within a prescribed time frame and where the option is not exercised within the prescribed time limit, n

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all houses other than affordable houses in new projects.
(c) commercial apartments such as shops, offices etc. in a residential real estate project (RREP) in which the carpet area of commercial apartments is not more than 15% of total carpet area of all apartments.
Conditions for the new tax rates:
5. The new tax rates of 1% (on construction of affordable) and 5% (on other than affordable houses) shall be available subject to following conditions,-
(a) Input tax credit shall not be available,
(b) 80% of inputs and input services (other than capital goods, TDR/ JDA, FSI, long term lease (premiums)) shall be purchased from registered persons. On shortfall of purchases from 80%, tax shall be paid by the builder @ 18% on RCM basis. However, Tax on cement purchased from unregistered person shall be paid @ 28% under RCM, and on capital goods under RCM at applicable rates.
Transition for ongoing projects opting for the new tax rate:
6.1 Ongoing projects (buildings where construction

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erm lease for projects commencing after 01.04.2019
7. The following treatment shall apply to TDR/ FSI and Long term lease for projects commencing after 01.04.2019.
7.1 Supply of TDR, FSI, long term lease (premium) of land by a landowner to a developer shall be exempted subject to the condition that the constructed flats are sold before issuance of completion certificate and tax is paid on them. Exemption of TDR, FSI, long term lease (premium) shall be withdrawn in case of flats sold after issue of completion certificate, but such withdrawal shall be limited to 1% of value in case of affordable houses and 5% of value in case of other than affordable houses. This will achieve a fair degree of taxation parity between under construction and ready to move property.
7.2 The liability to pay tax on TDR, FSI, long term lease (premium) shall be shifted from land owner to builder underthe reverse charge mechanism (RCM).
7.3 The date on which builder shall be liable to pay tax on TDR, FSI, lo

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Renting of Commercial Properties
Query (Issue) Started By: – Kaustubh Karandikar Dated:- 14-3-2019 Last Reply Date:- 16-3-2019 Goods and Services Tax – GST
Got 5 Replies
GST
XYZ (Maharashtra) is the owner of commercial properties situated within as well as outside Maharashtra. These properties are given on rent for commercial use. XYZ is having his office in Mumbai which is registered with GST for issuing Tax Invoice for rent against these properties. 1) Whether XYZ is required to declare all properties within Maharashtra given on rent as additional place of business? 2) Whether XYZ is required to take separate GST Registration for properties outside Maharashtra or he can issue invoice under the GST Registration of Mumbai by ch

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ny service provided by way of grant of rights to use immovable property or for carrying out or co-ordination of construction work; or
(b) by way of lodging accommodation by a hotel, inn, guest house, home stay, club or campsite, by whatever name called, and including a house boat or any other vessel; or
(c) by way of accommodation in any immovable property for organising any marriage or reception or matters related thereto, official, social, cultural, religious or business function including services provided in relation to such function at such property; or
(d) any services ancillary to the services referred to in clauses (a), (b) and (c),
shall be the location at which the immovable property or boat or vessel, as the case may be, is l

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tration in respect of properties locagted outsid the Maharashtra State.
Reply By KASTURI SETHI:
The Reply:
Dear Sir (Querist), There are so many factors to determine place of supply which become basis for declaring principal place of business in the application for registration under GST. Keeping in view scenario explained by you and my reply dated 14.3.19, I stick to my views.
Reply By CASusheel Gupta:
The Reply:
In my opinion
1) The immovable properties which are being let out and are not used for business purpose will not constitute "Place of Business: and is not required to be declared as Additional Place of Business.
2) Provisions of 12(3) are only for ascertaining the Place of Supply and are not deciding factors for availi

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Revenue neutral transaction for the state.
Query (Issue) Started By: – DKRajarshi&Co CharteredAccountants Dated:- 14-3-2019 Last Reply Date:- 16-3-2019 Goods and Services Tax – GST
Got 3 Replies
GST
The company has charge IGST on customer in Gujrat state from invoice raised from Maharashtra state. The company is having registration in Gujrat state but not raising any invoices from Gujrat state for internal controls. As the customer is in Gujrat state the 50% of IGST goes to Gujrat s

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E-WAY BILLS SIGNED BY CONSIGNEE
Query (Issue) Started By: – SAFETAB LIFESCIENCE Dated:- 14-3-2019 Last Reply Date:- 18-3-2019 Goods and Services Tax – GST
Got 2 Replies
GST
Dear Experts,
One of our suppliers is asking to send all their e-way bills (hard copies) duly signed and sealed by us (consinee). They had also mentioned that they have to submit the same to GST department on or before 01.04.2019. Is it mandatory ? ?Any new rules have come now to this effect ?? Hope all are in

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GST Classification for Pen Tips and Balls: Not Holders, Under HSN 9608 99 90, Different Tax Rate Applies.
Case-Laws
GST
Classification of goods – Rate of GST – Since, “tips and balls of pen

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Appointment of CDI Virtual Films Inc. as Line Producer in Brazil is an inter-State supply under IGST Act, Section 7(4).
Case-Laws
GST
Levy of IGST – process of appointing CDI Virtual Films Inc.(CDIVF) as a Line Producer in Brazil – Reverse charge mechanism – The transaction between CDIVF and the Applicant is, therefore, import of service and constitutes an inter-State supply within the meaning of section 7(4) of the IGST Act, 2017, and the Applicant is liable to pay IGST
TMI Updates

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GST – Is an entry with GSTR-2A suffice for the GST Input Visa Vis with GSTR-3B and GSTR-2A:
By: – NarendraKumar Thotamsetty
Goods and Services Tax – GST
Dated:- 14-3-2019

GST-Kt'Qs: NK & Assoicates – GST Input Visa Vis with GSTR-3B and GSTR-2A:
Query: Is an entry with GSTR-2A of the recipient is a conclusive evidence that the supplier discharged GST against his supply is question? If not, what is the impact if the recipient already availed such input? Is the recipient liable to pay such amount notwithstanding that he already discharged such payment to his supplier?
Answer: Conclusive evidence…!”BIG NO”, since an entry with the GSTR-2A is not a conclusive evidence that the supplier discharged GST against his outward suppl

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GST ON MAINTENANCE CHARGES FOR ROAD
By: – Dr. Sanjiv Agarwal
Goods and Services Tax – GST
Dated:- 14-3-2019

In certain cases, authorities charges fees or charge or surcharge, called by different names, from vehicles for maintenance of road and ancillary facilities. At times, it is in the nature of 'toll charges. The question of taxability of such charges came up for deciding the taxability before the Authority for Advance Ruling and Appellate Authority of Uttarakhand recently in the case of Divisional Forest Officer, Dehradun 2018 (6) TMI 430 – AUTHORITY FOR ADVANCE RULINGS, UTTARAKHAND
In the instant case, the assessee was a Regional Forest Officer (Forest Division Dehradun) and sought an advance ruling on the question whether GST is leviable on the 'Marg Sudharan Shulk' and 'Abhivahan Shulk' charged by Forest Division, Dehradun from the non-government, private and commercial vehicles engaged in mining work in lieu of use of forest road. The said mining is being unde

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s in this regard.
The Authority for Advance Ruling ruled that 'marg sudharan shulk' is nothing but toll charges collected by the assessee from the users for using forest road and the said toll charges are being used for the maintenance of forest road. Therefore it concluded that no GST is leviable as on date on the said 'marg sudharan shulk' charged and collected by the applicant. Further, 'Abhivahan Shulk' cannot be termed as toll tax and rather is a form of consideration received by the applicant in lieu of services provided to the person for carrying forest produce and since the services provided by the assessee are not mentioned in the list of exempted services, the applicant is liable to pay GST @ 18% on the said 'Abhivahan Shulk' under Service Code 9997 and to be treated as “other services”.
Appellate Ruling
Aggrieved by the Order passed by the Authority for Advance Ruling, the appellant preferred an appeal before the AAAR. The AAAR has confirmed the ruling vide Order dated 2

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t of exemption as contained in Entry S.No. 9 of notification no. 12/2017 CT(R) dated 28.06.2017
It was observed that a fee is charged in lieu of some service granted to a particular class of persons from whom it is being charged. Such fees are to offset the expenses (partly or fully) incurred in rendering the said service and co-relation between the two with exact mathematical precision is not important and in some instances such as license fee, which are regulatory in nature, the quid pro quo also is not essential. The Abhivahan Shulk (transit fee) is different from the Marg Sudharan Shulk (both of which are collected by the forest department under statute of State Government) in as much as the latter is collected for the upkeep and maintenance of roads within the forest area and the same is collected from all the vehicles, whether loaded or empty. Thus the Marg Sudharan Shulk is used for the benefit of public in general who may use the roads of the forest area and not only to a part

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n for this fee, the forest department is providing the service of maintaining and regulating the forest produce and ensuring the continued availability of the forest produce and its safe transit through the jurisdiction of forest department. These services are restricted only to the persons who are carrying the forest produce and have paid the Abhivahan Shulk. Thus, only a particular class of people, who are registered with the forest department and paying the said fee, in terms of The Uttarakhand Transit of Timber and Other Forest Produce Rules, 2012, enjoy these services.
Abhivahan Shulk fulfils all the criteria, which are required to be established for a Government levy, for it to be termed as 'fee'. The very nature of it being a fee ensures that a quid pro quo has to be there and therefore, rendering of some form of service comes in built, which is also established as discussed above. Thus, this shulk collected against the services rendered, is liable to be taxed under the

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ted 28.06.2017 since the entry applies to functions entrusted to Municipalities. Similarly serial entry No. 5 of the said notification relates to functions entrusted to Panchayat. On the other hand, Serial No. 6 of the said notification states that Services by the Central Government, State Government, Union territory or local authority excluding the following services – (a) ………………(b) ………………(c) ………………(d) any service, other than services covered under entries (a) to (c) above, provided to business entities are to be taxed at 'NIL' rates. Abhivahan Shulk does not fall under exclusion clauses (a) to (c) and hence they are to be treated as any service provided to a business entity, as per clause (d) and accordingly the fee does not fall under the category of 'NIL' rate. The Heading number 9997 at entry serial no. 35 of Notification no. 11/2017-Central Tax (Rate), dated 28.06.2017 reads – Other services (washing, cleaning and dyeing service

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A round up of GST amendment in Credit & Debit Notes viz-a-viz post supply discounts
By: – Bimal jain
Goods and Services Tax – GST
Dated:- 14-3-2019

A round up of GST amendment in Credit & Debit Notes viz-a-viz post supply discounts
Background:
The Interim Budget 2019 did not propose any changes with respect to Indirect Tax. In as much as GST is concerned, the GST Council in its 28th meeting held on July 21, 2018, recommended certain amendments in the CGST Act, IGST Act, UTGST Act and the GST (Compensation to States) Act, 2017. These amendments were passed by the Parliament and got published in the official Gazette of India on August 30, 2018, after receiving the assent of the Hon'ble President of India on August 29, 2018, as the CGST Amendment Act, 2018, IGST Amendment Act, 2018, UTGST Amendment Act, 2018 and the GST (Compensation to States) Amendment Act, 2018, respectively. Most of the amendments to the GST law passed by the Parliament in August 2018 took effect fro

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dering the latest circular of the CBIC in respect of tax treatment of various sales promotion schemes & discounts issued on March 7, 2019.
Concept of Credit and Debit Notes:
A supplier of goods or services or both is mandatorily required to issue a tax invoice. However, during the course of trade or commerce, after the invoice has been issued there could be situations like the supplier has erroneously declared a value which is more/less than the actual value of the goods or services provided; the supplier has erroneously declared a higher/lower tax rate than what is applicable for the kind of the goods or services supplied; the quantity received by the recipient is more/less than what has been declared in the tax invoice, etc.
In order to regularize these kinds of situations, the supplier is allowed to issue credit or debit note for adjusting the taxable value and/or tax charged thereon in case of incorrect taxable amount mentioned and/or incorrect tax charged in tax invoice and to

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ebit Notes against multiple invoices – Praiseworthy amendment:
Pre-amendment, Section 34 of the CGST Act mandates a registered person to issue one credit/ debit note for each single invoice. Considering the woes of industries and to facilitate ease of doing business, amendment has been carried out in Section 34 of the CGST Act (effective from February 1, 2019), which permits a registered person to issue consolidated credit/ debit note in respect of multiple invoices issued in a financial year without linking the same to individual invoices.
Comparative analyses of Section 34 of the CGST Act: Pre-Amendment v. Post-Amendment
Particulars
Before February 1, 2019
After February 1, 2019
Section 34(1) of the CGST Act, relating to issue of 'credit note'
“Where a tax invoice has been issued ………………. may issue to the recipient a credit note containing such particulars as may be prescribed.”
“Where one or more tax invoices have been issued …

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dment in the CGST Rules:
Corresponding to the above, amendments have also been incorporated in the CGST Rules, 2017 (“the CGST Rules”) vide Notification No. 03/2019- Central Tax dated January 29, 2019, effective from February 1, 2019.
Vide the said amended rules, issuance of credit or debit notes has been de-linked from Rule 53(1) of the CGST Rules and a new sub-rule (1A) has been inserted, dealing with the particulars which need to be provided in the credit note or debit note. As per the said newly inserted Rule 53(1A), following are the particulars which are required to be contained in the credit note or debit note –
* Name, address and GSTIN of the supplier;
* Nature of the document;
* A consecutive serial number not exceeding sixteen characters, in one or multiple series, containing alphabets or numerals or special characters-hyphen or dash and slash symbolised as “-” and “/” respectively, and any combination thereof, unique for a financial year;
* Date of issue of the do

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* Section 34 v. Section 15: One of the key open substantive issue which merits appreciation is the requirement to link post-supply discounts with corresponding invoice as provided in Section 15(3) of the CGST Act.
As per Section 15(3) of the CGST Act, the value of the supply shall not include any discount which is given-
(a) before or at the time of the supply if such discount has been duly recorded in the invoice issued in respect of such supply; and
(b) after the supply has been effected, if-
(i) such discount is established in terms of an agreement entered into at or before the time of such supply and specifically linked to relevant invoices; and
(ii) input tax credit as is attributable to the discount on the basis of document issued by the supplier has been reversed by the recipient of the supply
Therefore, a rider has been attached in Section 15(3) for post supply discount that such discount is established in terms of a pre-supply agreement between the supplier & the

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Cabinet approves proposal for accession of India to (a) The Nice Agreement on the International classification of goods and services for the purposes of registration of marks
News and Press Release
Dated:- 13-3-2019

Cabinet approves proposal for accession of India to
(a) The Nice Agreement on the International classification of goods and services for the purposes of registration of marks
(b) The Vienna Agreement for setting up an International classification of the figurative elements of marks
(c) The Locarno Agreement for establishing an International classification for industrial designs
The Union Cabinet, chaired by the Prime Minister Narendra Modi has approved the proposal for accession of India to (i) The Nice Agreem

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Return Journey Income – Co using own lorry for supply and receives Income for return load – GST applicable
Query (Issue) Started By: – Balakrishnan Ramalingam Dated:- 13-3-2019 Last Reply Date:- 14-3-2019 Goods and Services Tax – GST
Got 4 Replies
GST
Sirs,
My clients use their own lorry for supply of their products to customers. While the lorries returning to factory they also carry some goods of third parties and enjoy some freight income. No consignment note is issued. Neither they are GTA. Please advise, whether GST should be collected or paid of such Return Journey Income.
Thanks
Reply By Rajagopalan Ranganathan:
The Reply:
Sir,
Since you are not issuing consignment note you are not providing GTA Service. hence you need not pay GST on some freight income enjoyed by you vide Sl. No. 18 of Notification No. 12/2017-Central Tax (Rate) dated 28.6.2017 as amended.
Reply By KASTURI SETHI:
The Reply:
Goods Transport Agency in GST
C.B.E. & C. Flyer No. 38, dated 1-1-20

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ept services of GTA) continue to be exempt even under the GST regime. In so far as the services of GTA is concerned, if the services (of Goods Transportation) are provided (by the GTA) to specified classes of persons, the tax liability falls on such recipients under the reverse charge mechanism. The following discussion will clarify the position.
Transportation of Goods by Road
In terms of Notification no. 12/2017-Central Tax (Rate), dated 28-6-2017 (sr. no. 18), the following services are exempt from GST.
Services byway of transportation of goods (Heading 9965) –
(a) by road except the services of –
(i) a goods transportation agency;
(ii) a courier agency;
(b) by inland waterways.
Thus, it is to be seen that mere transportation of goods by road, unless it is a service rendered by a goods transportation agency, is exempt from GST.
Who is a GTA – Goods Transport Agency?
As per Section 65B(26) of the Finance Act, 1994; “Goods Transport Agency means any person who provides servi

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erred (to the transporter) and the transporter becomes responsible for the goods till its safe delivery to the consignee. It is only the services of such GTA, who assumes agency functions, that is being brought into the GST net. Individual truck/tempo operators who do not issue any consignment note are not covered within the meaning of the term GTA. As a corollary, the services provided by such individual transporters who do not issue a consignment note will be covered by the entry at s. no. 18 of notification no. 12/2017-Central Tax (Rate), which is exempt from GST.
What is a consignment note?
Consignment Note is neither defined in the Act nor in the notification no. 12/2017-Central Tax (Rate). Guidance can be taken from the meaning ascribed to the term under the Explanation to Rule 4B of Service Tax Rules, 1994. In terms of the said rule, consignment note means a document, issued by a goods transport agency against the receipt of goods for the purpose of transport of goods by road

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rvice has not been taken. The Explanation to the notification further clarifies that it shall mean that, – (a) credit of input tax charged on goods or services used exclusively in supplying such service has not been taken; and (b) credit of input tax charged on goods or services used partly for supplying such service and partly for effecting other supplies eligible for input tax credits, is reversed as if supply of such service is an exempt supply and attracts provisions of sub-section (2) of section 17 of the Central Goods and Services Tax Act, 2017 and the rules made thereunder.
GST @ 6% CGST (12% cumulative) is subject to the condition that the goods transport agency opting to pay central tax @ 6% under this entry shall, thenceforth, be liable to pay central tax @ 6% on all the services of GTA supplied by it. Further, there is no restriction on the GTA from taking ITC if this option is availed.
Thus, where the GTA is not eligible to take ITC for the supplies effected by it and the

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%, in respect of transportation of goods by road (in terms of notification no. 13/2017-Central Tax (Rate), dated 28-6-2017 (sr. no. 1) as amended by notification no. 22/2017-Central Tax (Rate), dated 22-8-2017, if the recipients (located in the taxable territory) belong to the following category :
(a) Any factory registered under or governed by the Factories Act, 1948(63 of 1948); or
(b) any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any other law for the time being in force in any part of India; or
(c) any co-operative society established by or under any law; or
(d) any person registered under the Central Goods and Services Tax Act or the Integrated Goods and Services Tax Act or the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act; or
(e) any body corporate established, by or under any law; or
(f) any partnership firm whether registered or not under any law including association of persons; or
(g) any ca

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rged for transportation of all such goods for a single consignee does not exceed rupees seven hundred and fifty;
(d) milk, salt and food grain including flour, pulses and rice;
(e) organic manure;
(f) newspaper or magazines registered with the Registrar of Newspapers;
(g) relief materials meant for victims of natural or manmade disasters, calamities, accidents or mishap; or
(h) defense or military equipments.
Similarly, the following services received by the GTA (Heading 9966 or 9973) is also exempt in terms of notification no. 12/2017-Central Tax (Rate), dated 28-6-2017 (sr. no. 22)
Services by way of giving on hire –
………………..
(b) to a goods transport agency, a means of transportation of goods.
Thus, if the GTA hires a means of transportation of goods, no GST is payable on such transactions.
Significance of the term 'in relation to' in the definition of GTA
The use of the phrase 'in relation to' has extended the scope of the defini

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+ 6% SGST). In all other cases where GTA service is availed by persons other than those specified, the GTA service supplier is the person liable to pay GST. The GTA service supplier is not entitled to take ITC on input services availed by him if tax is being charged @ 5% (2.5% CGST + 2.5% SGST). In case the GTA service supplier hires any means of transport to provide his output service, no GST is payable on such inputs.
In a nutshell, the GST law continues the provisions prevailing under the Service Tax regime. The law recognises that pure transportation of goods services are mostly provided by persons in the unorganised sector and hence has specifically excluded such operators from the tax net. In respect of those who provide agency services in transport, the liability is cast on the recipients in most of the cases or unless option to pay under forward charge has been exercised by the GTA.
Reply By Balakrishnan Ramalingam:
The Reply:
Thanks for the replies.
My view on the subject

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Transitional Credit
Query (Issue) Started By: – Krishna Murthy Dated:- 13-3-2019 Last Reply Date:- 18-3-2019 Goods and Services Tax – GST
Got 2 Replies
GST
Whether Surcharge paid as Additional Duty of Excise levied on tobacco be taken as Transitional Credit under GST? The said Additional Duty of Excise is as per levy under Finance Act 2005.
Reply By KASTURI SETHI:
The Reply:
Cannot be carried forward into TRANS-1.
Reply By DR.MARIAPPAN GOVINDARAJAN:
The Reply:
I endorse the view

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RCM applicability on Cotton Freight
Query (Issue) Started By: – Balakrishnan Ramalingam Dated:- 13-3-2019 Last Reply Date:- 30-8-2019 Goods and Services Tax – GST
Got 5 Replies
GST
My clients Spinning Mills are paying Lorry Freight payment for purchase of Cotton – Inter State. Please clarify whether RCM is applicable under GTA for the above Lorry Freight Payment?
Reply By Rajagopalan Ranganathan:
The Reply:
Sir,
You have to pay GST on freight under reverse charge if you procure cotton from agriculturist vide Sl. No. 4A of Notification No. 4/2017-Central tax (Rate) dated 28..6.2017 as amended.
Reply By Balakrishnan Ramalingam:
The Reply:
Sir,
I am refering about Freight on Cotton purchase (GTA) and not cotton per se. The a

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gal requirement as GTA but at the same time non-issuance of consignment note cannot be adopted as modus operandi.
(2) If any agricultural produce is subjected to process (by cultivator or producer) which alters the basic character of the same, that would fall out of definition of agriculture produce. For example : jaggery, Sugar etc.In this scenario and GST is applicable.
(3) if we treat cotton as agricultural produce, no GST is applicable under RCM. It is exempted vide serial No.21 of Notification No.12/17-CT(Rate) dated 28.6.17 as amended.
(4). In my view, raw cotton is agricultural produce and cotton is not agricultural produce inasmuch as Raw cotton is subjected to various processes before being converted into cotton through machine

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GST Liability in Maintenance Contracts: Goods Incidental to Services, Classifying as Composite Supply of Service.
Case-Laws
GST
Liability of GST – maintenance contracts – the supply of services/goods in the present case is naturally bundled, with the supply of goods being incidental to the supply of services and therefore such contract are to be considered as a composite supply of service where the principal supply is service.
TMI Updates – Highlights, quick notes, marquee, annotati

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Individual Granted Bail for Alleged GST Fraud Using Bogus Bills; Conditions Set to Ensure Legal Compliance.
Case-Laws
GST
Grant of regular bail – issue bogus Bills under GST – setting up of f

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TOP FAQS ABOUT THE PROPOSED GST RETURN SYSTEM
By: – Ramandeep Bhatia
Goods and Services Tax – GST
Dated:- 13-3-2019

1. What is the turnover limit for Quarterly filing of GST return?
Answer: Quarterly filing of GST return is available only if aggregate turnover during the preceding financial year up to ₹ 5.00 Cr. For newly registered taxpayers, turnover will be considered as zero and hence they will have the option to file monthly, Sahaj, Sugam or Quarterly (Normal) return.
2. Quarterly filing of return is optional or compulsory?
Answer: Quarterly filing of return is optional, not compulsory. The periodicity of filing return will be deemed to be monthly for all taxpayers unless quarterly filing of the return is opted for.
3. Can the periodicity of GST Return be changed in between the year?
Answer: Change in the periodicity of the return filing (from quarterly to monthly and vice versa) would be allowed only once at the time of filing the first return by a ta

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” which need not be declared in the said return.
6. What details will be allowed to be filed in quarterly return 'SUGAM' quarterly return?
Answer: Taxpayers opting to file quarterly return as 'SUGAM' shall be allowed to declare-
* Outward supply under B2C and B2B category and
* Inward supplies attracting reverse charge only.
* Such taxpayers cannot make supplies through e-commerce operators on which tax is required to be collected under section 52.
* Such taxpayers shall not take credit on missing invoices and shall not be allowed to make any other type of inward or outward supplies.
* Such taxpayers may make “Nil rated, exempted or Non-GST supplies” which need not be declared in said return.
7. What details will be allowed in monthly return or Quarterly (Normal) return?
Answer: Taxpayers opting to file monthly return or Quarterly (Normal) return shall be able to declare all types of outward supplies, inward supplies and take credit on missing invoices.
8. Can a Taxpay

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ains or the actual date of furnishing of relevant annual return whichever is earlier except that –
(i) the taxpayer filing the return on a monthly basis will not be able to upload the details of documents from 18th to 20th of the month following the tax period.
(ii) the taxpayer filing the return on a quarterly basis will not be able to upload the details of documents from 23rd to 25th of the month following the quarter.
10. When will the details of the document uploaded by the supplier be available to receipt in the new return system?
Answer: Supplier can upload the documents for any supply on real time basis. Facility for accepting such documents by the recipient shall be made available. Details of documents uploaded by the supplier will be shown to the concerned recipient also on near real time basis.
11. If the document can be uploaded by the supplier on real time, how the credit will be available to the receipt in the new return system?
Answer: Recipient will get credit d

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n on monthly or quarterly basis.
12. Do supplies attracting reverse charge will be reported by the suppliers in new return forms?
Answer: Supplies attracting reverse charge will be reported only by the recipient and not by the supplier in this annexure. Such supplies shall be reported GSTIN wise and amount of tax and taxable value will be net of debit / credit notes and advance paid (on which tax has already been paid at the time of payment of advance), if any.
13. Does HSN wise reporting of supplies is mandatory in new return forms?
Answer: All suppliers with annual aggregate turnover of more than ₹ 5 crore and that in relation to exports, imports and SEZ supplies will upload HSN level data. HSN code shall be reported at least at six digit level for goods and at least at six digit level for services.
Other taxpayers (turnover upto ₹ 5 crore) shall have an optional facility to report HSN code in the relevant table or leave it blank.
14. Do the new return system wil

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GST – e-Cash Ledger Vs GST Returns… Is Interest Payable due to non-filing of the GST Returns though the amount lying with e-Cash ledger?
By: – NarendraKumar Thotamsetty
Goods and Services Tax – GST
Dated:- 13-3-2019

If the GST Returns are due in Form GSTR-3B; Whether in such case the amount lying with Electronic Cash Ledger (e-Cash Ledger) is sufficient for the compliances of the payment of taxes under the GST Act is question? If not, whether interest is payable at the time of filing of returns in Form GSTR-3B is question?
Query – ABPL is a Private Company registered Under the GST Act didn't file its Nov 2018 GST Returns in Form GSTR-3B, but discharged tax in ₹ 5,00,000/- on 20th Dec 2018 against its liability of &#

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r the same has been clarified by the CBIC through its Circular No 07/07/2017 – GST dated 1st Sept 2017 in serial No 11.
Further one may look that the 31st GST council Meeting recommendations, where it was dealing only for a proposal of amendment of Sec 50 of the CGST Act in relation to interest on net payment of taxes after considering the input tax credit and the same has been clarified further that the interest would be leviable only on the amount payable through the electronic cash ledger. Further as on date that the above proposal is still due through an amendment of the respective acts.
Hence one may argue that the e-Cash ledger is akin to users Scheduled Bank account and the Govt can realize such money through prescribed procedure b

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to e-Cash Ledger. Whereas Explanation (a) to the section read with Rule 87(6) indicate that once CIN is generated and indicated on the online payment Challan, such deposit is credited to Government Account. Note that tax break-up is required to be filled in the Challan. Even Section 50(1) nowhere says that interest will be reckoned upto the date of filing GSTR3B (which is substituted for GSTR-3 in cases where filing dates for GSTR-1 and so-called GSTR-2 were postponed). Moreover, Notifications 35/2017-CT and 56/2017-CT merely say that those filing GSTR-3B, shall debit e-Cash/ Credit Ledger. These do not clearly say that GSTR-3B is the only mode of debiting such ledgers and the Act no where says that such return shall be construed as tax-pa

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In Re : Shiva Writing Company Pvt. Ltd.
GST
2019 (3) TMI 705 – AUTHORITY FOR ADVANCE RULING – WEST BENGAL – 2019 (23) G. S. T. L. 435 (A. A. R. – GST), [2019] 67 G S.T.R. 61 (AAR)
AUTHORITY FOR ADVANCE RULING – WEST BENGAL – AAR
Dated:- 13-3-2019
Case No. 01 of 2019 Order No. 44/WBAAR/2018-19
GST
Shri Sydney D'Silva, Joint Commissioner, CGST & CX and Shri Parthasarathi Dey, Senior Joint Commissioner, SGST
Applicant's representative heard : Shri Akshat Agarwal, Authorized Representative
Preamble
A person within the ambit of Section 100 (1) of the Central Goods and Services Act, 2017 or West Bengal Goods and Services Act, 2017 (hereinafter collectively called 'the GST Act'), if aggrieved by this Ruling, may appeal against it before the West Bengal Appellate Authority for Advance Ruling, constituted under Section 99 of the West Bengal Goods and Services Act, 2017, within a period of thirty days from the date of communication of this Ruling, or within such further

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tion 97(2) (a) & (b) of the GST Act empower this Authority to pronounce a ruling on the classification of any goods or on the applicability of a notification issued under the GST Act. Classification refers to determination of the nature and character of the goods being supplied. The purpose of the exercise is to ascertain the applicability of any entry of the notifications issued under the GST Act, specifying the rate of tax or exemption from payment of tax [Rate of tax on supply of goods is specified under Notification No. 1/2017-CT (Rate) dated 28/06/2017 of the Centre and Notification No. 1125-FT dated 28/06/2017 of the State, as amended from time to time, and hereinafter collectively called the Rate Notification]. Explanation to the Rate Notification clearly mentions that Tariff item, sub-heading, heading and Chapter in the Rate Notification refer to those specified in the First Schedule to the Customs Tariff Act, 1975 (hereinafter called the Tariff Act). For the purpose of interpr

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and “Nibs”. It appears that the Applicant is using the words “Tip” and “Nib” interchangeably, and to clear the confusion the Authority then asked the Applicant to submit samples of the products on which the Ruling has been sought for. Samples were submitted during Final Hearing.
3. Submissions of the Revenue
3.1. The “Ball Point Pens” are classified under Sub-heading no. 960810 of GST Tariff, attracting CGST @6% and SGST @ 6%, while “Refills for ball point pens, comprising the ball point and ink-reservoir” are classified under Sub-heading no. 960860 of GST Tariff attracting CGST @ 9% and SGST @ 9%. Tips and balls are the parts of refill, and since there is no specific subheading allotted to these parts these may be classified under residuary sub-heading as 'others' in 960899 specifically under Tariff item Sub-heading no. 96089990 of GST Tariff, which attracts GST at a rate of 18% (CGST 9% and SGST 9%).
4. Observation & Findings of the Authority
4.1. A “Nib” is the part of a quill,

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t be used to write upsidedown.
4.3. Standard components of a ballpoint “Tip” include the freely rotating ball itself (distributing the ink on the writing surface), a socket holding the ball in place, small ink channels that provide ink to the ball through the socket, and a self-contained ink reservoir supplying ink to the ball. 4.4. So it is evident, that though often used interchangeably by the Applicant, the two words (nib and tip) refer to two different genres and styles of pen in which they are used, with distinctly different ways of channelling the ink.
4.5. As is clear from the discussion above, “Nibs” and “Tips” of pens are completely two different products with distinguishable anatomy catering to different kinds of ink and hence, use. While the split down the centre is the essential and salient feature of a “Nib”, the ball at the end of the refill is the essential and salient feature of a “Tip”. The two terms cannot be used synonymously and/or as substitutes of each other.
4

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n article or group of articles is preceded by “” or “-“, the said article or group of articles shall be taken to be a sub classification of the immediately preceding description of the article or group of articles which has “-” or “”.”
4.8. In other words, descriptions under “-” (single dash) are first to be considered for sub-classification  under a Heading first, before proceeding to further classify under “” (double dash). Articles whose description are preceded by a “” (triple dash) or “-” (quadruple dash) are sub classifications of the immediately preceding single dash or double dash, as the case may be.
4.9. Chapter Heading 9608 includes “Ball point pens; felt tipped and other porous tipped pens and markers; fountain pens; stylograph pens and other pens; duplicating stylos; propelling or sliding pencils; pen holders, pencil holders and similar holders; parts (including caps and clips) of the foregoing articles, other than those of heading 9609”.
4.10. Chapter Heading 9609

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ns and other pens (960830) or Propelling or sliding pencils(960840) or Sets of articles from two or more of the foregoing sub-headings (960850) or Refills for ball point pens, comprising the ball point and ink-reservoir (960860).
4.13. Hence, it has to be classified under “-Other”, which includes:
9608 91: Pen nibs and nib points
9608 99: Other
4.14. Since, nibs and nib points are not similar to tips and the Applicant is in the business of manufacturing “ball-point pens” and not “fountain pens”, the classification of “tips and balls for pen” should fall under 9609 99: Other, which includes
9608 99 10: Pen holders, pencil holders and similar holders
9608 99 90: Others
4.15. Since, “tips and balls of pens” are definitively not considered as part of “Pen holders, pencil holders and similar holders” they are to be classified under 9608 99 90: Others, under HSN 9608 and are to be taxed accordingly.
4.16. In the Rate Notification ball point pens, classified under HSN 9608, are inc

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Compliance of rule 46(n) of the DGST Rules, 2017 while issuing invoices in case of inter-State supply
05/2019 Dated:- 13-3-2019 Delhi SGST
GST – States
GOVERNMENT OF NATIONAL CAPITAL TERRITORY OF DELHI
DEPARTMENT OF TRADE AND TAXES
POLICY (GST) Branch
VYAPAR BHAVAN: I.P. ESTATE: NEW DELHI-02
F.No. 3(250)/Policy-GST/2019/1189-95
Dated: 13/3/2019
Circular No. 05/2019-GST
(Ref: Central Circular No. 90/9/2019-GST)
Subject: Compliance of rule 46(n) of the DGST Rules, 2017 while issuing invoices in case of inter-State supply-Reg.
A registered person supplying taxable goods or services or both is required to issue a tax invoice as per the provisions contained in section 31 of the Delhi Goods and Service Tax Act, 2017 (DGST Rules

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the following instructions.
3. After introduction of GST which is a destination based consumption tax, it is essential to ensure that the tax paid by a registered person accrues to the State in which the consumption of goods or services or both takes place. In case of inter-State supply of goods or services or both, this is ensured by capturing the details of the place of supply along with the name of the State in the tax invoice.
4. It is therefore, instructed that all registered persons making supply of goods or services or both in the course of inter-State trade or commerce shall specify the place of supply along with the name of the State in the tax invoice. The provisions of sections 10 and 12 of the Integrated Goods or Service Tax

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Mentioning details of inter-State supplies made to unregistered person in Table 3.2 of FORM GSTR-B and Table 7B of FORM GSTR-1
04/2019 Dated:- 13-3-2019 Delhi SGST
GST – States
GOVERNMENT OF NATIONAL CAPITAL TERRITORY OF DELHI
DEPARTMENT OF TRADE A ND TAXES
POLICY (GST) Branch
VYAPAR BHAVAN: I.P. ESTATE: NEW DELHI-02
F.No. 3(250)/Policy GST/2019/1182-88
Dated: 13/03/2019
Circular No. 04/2019-GST
(Ref: Central Circular No. 89/08/2019-GST)
Subject: Mentioning details of inter-State supplies made to unregistered person in Table 3.2 of FORM GSTR-B and Table 7B of FORM GSTR-1-Reg.
A registered supplier is required to mention the details of inter-State supplies made to unregistered persons, composition taxable person and UIN hol

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ort), hereby issues the following instructions.
3. It is pertinent to mention that apportionment of IGST collected on inter-State supplies made to unregistered person in the State where such supply takes place is based on the information reported in Table 3.2 of FORM GSTR-3B by the registered person. As such, non-mentioning of the said information results in-
(i) non-apportionment of the due amount of IGST to the State where such supply takes place; and
(ii) a mis-match in the quantum of goods or services or both actually supplied in a State and the amount of integrated tax appointed between the Centre and that State, and consequent non-compliance of sub-section (2) of section 17 of the Integrated Goods and Service Tax Act, 2017.
4. Acc

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Central Government notifies the creation of the National Bench of the Goods and Services Tax Appellate Tribunal (GSTAT) at New Delhi
01/2019 – S.O. 1359(E) Dated:- 13-3-2019 Central GST (CGST)
GST
CGST
CGST
Superseded vide Notification No. S.O. 1(E) dated 29-12-2023
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION NO. 1/2019
New Delhi, the 13th March , 2019
S.O. 1359(E).-In exercise of the powers conferred by the section 109 of the Central Goods and Services Tax Act,

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Cancellation of GST Registration
By: – Sanjeev Singhal
Goods and Services Tax – GST
Dated:- 12-3-2019

Cancellation of Registration is more important than registration of GST. Reason is simple that all are doing registrations of GST and process is simple but on the other way Cancellation is more complicated because only few have come across this situation and not aware of the steps and form to be filed for cancellation.
** ₹ 20 Lacs or ₹ 40 Lacs .
*** in case of Voluntary Registration made under GST, can be made only after one year of the date of registration.
From the above chart it is clear that cancellation can be initiated by Tax Payer → Tax Officer → Legal heir in case of Death of Taxpayer.
Reason for cancellation:
The registration can be cancelled for the following reasons:
* A person registered under any of the existing laws, but who is not liable to be registered under the GST Act;
The business has been discontinued, transferred fu

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ession of facts.
Procedure for cancellation:
i. The cancellation of registration under the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act, as the case may be, shall be deemed to be a cancellation of registration under Central Goods and Services Tax Act.
ii. In the event, the Superintendent of Central Tax has reasons to believe that the registration of a person is liable to be cancelled, a notice to such person in FORM GST REG-17, requiring him to show cause, within a period of seven working days from the date of the service of such notice, as to why his registration shall not be cancelled; will be issued.
iii. The reply to the show cause notice issued has to be furnished by the registered person in FORM REG-18 within a period of seven working days.
iv. In case the reply to the show cause notice is found to be satisfactory, the Superintendent of Central Tax will drop the proceedings and pass an order in FORM GST REG -20.
v. However, when the pe

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In case of capital goods or plant and machinery, the taxable person shall pay an amount equal to the input tax credit taken on the said capital goods or plant and machinery, reduced by such percentage points as may be prescribed or the tax on the transaction value of such capital goods or plant and machinery under section 15, whichever is higher.
viii. The cancellation of registration shall not affect the liability of the person to pay tax and other dues for any period prior to the date of cancellation whether or not such tax and other dues are determined before or after the date of cancellation.
Final Returns:
When the registration of a registered person other than an Input Service Distributor or a non-resident taxable person or a person paying tax under the composition scheme or TDS/TCS; has been cancelled, the person has to file a final return within three months of the date of cancellation or date of order of cancellation, whichever is later, electronically in FORM GSTR-10 throu

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terest, penalty and late fee in respect of the said returns.
iii. On examination of the application if the Proper Officer ( Assistant or Deputy Commissioners of Central Tax) is satisfied, for reasons to be recorded in writing, that there are sufficient grounds for revocation of cancellation of registration, then he shall revoke the cancellation of registration by an order in FORM GST REG-22 within a period of thirty days from the date of the receipt of the application and communicate the same to the applicant.
iv. However, if on examination of the application for revocation, if the Proper Officer (Assistant or Deputy Commissioners of Central Tax) is not satisfied then he will issue a notice in FORM GST REG-23 requiring the applicant to show cause as to why the application submitted for revocation should not be rejected and the applicant has to furnish the reply within a period of seven working days from the date of the service of the notice in FORM GST REG-24.
v. Upon receipt of the

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GST Clarification: Some IIM Programs Exempt, Others Taxed Based on Curriculum or Executive Development Classification.
Circulars
GST – States
Applicability of GST on various programmes conduc

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GST Exemption Updates for ADB and IFC: Clarifying Conditions and Compliance for Businesses Engaging with International Entities.
Circulars
GST – States
Applicability of GST on Asian Developme

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GST Clarification on Food and Beverage Services by Educational Institutions to Ensure Uniformity in Tax Obligations.
Circulars
GST – States
Clarification on GST rate applicable on supply of f

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