Goods and Services Tax

GST – States – MGST-1017/C.R.111/Taxation-1 – Dated:- 14-7-2017 – FINANCE DEPARTMENT Madam Cama Road, Hutatma Rajguru Chowk, Mantralaya, Mumbai 400 032, dated the 14th July, 2017. Corrigendum – Notification No. MGST-1017/CR. 111/Taxation-1, dated the 11th July 2017 MAHARASHTRA GOODS AND SERVICES TAX ACT, 2017. No. MGST-1017/C.R. 111/Taxation-1.-In the Government notification of the Finance Department No. MGST-1017/CR. 111/Taxation-1, dated the 11th July 2017, published in the Maharashtra Govern

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Goods and Services Tax – Started By: – Pankaj P – Dated:- 13-7-2017 Last Replied Date:- 9-8-2017 – Respected Members, Even after lot of research I am unable to find answer to following questions : – Query 1: – I'm a GST registered trader based in Delhi and have to sell goods to a buyer based in Kolkata. I will be invoicing multiple products with tax rates as 18% and 28%; along with these products I have to charge freight (Delhi to Kolkata) in the invoice. – Now, question is what would be the rate of GST on this Freight component that I would charge from buyer and what would be the HSN Code for that? (P.s. Would be taking services of Good Transport Agency (GTA) for goods transport.) Query 2: – Earlier I heard that requirement of Way Bill / Road permits have been done away with. But, today I read following circular of Government of West Bengal Directorate of Commercial Taxes – Trade circular no. 06/2017 Dated: 30.06.2017 Subject: E-waybill under WBGST Ordinance, 2017. It mentions th

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freight that you will be charging on customer thru invoice would attract GST rate of the material that will be supplied. You will have to pay GST on freight service availed from GTA. Reply to query 2 :- The provision of e-way bill under GST is not made effective from the appointed date. In view of the same, some states have abolished way bill provision prevailing under VAT law. But some states have still continued to follow the way bill provision as existing under VAT provision. Reply to query 3 :- I will reply on this soon. Thanks. – Reply By Pankaj P – The Reply = Thanks a lot Ganeshan Sir for your Prompt reply. However, I have few doubts.Reply 1 : – In my invoice I am billing two products having different GST rates (18% & 28%); than freight service will have which GST rate – 18% or 28%? How about those products which have 0% GST; would there be no GST on freight on these items?& GST on freight service by GTA has to be by RCM?Reply 2 :- Noted, ThanksReply 3 :- Ok SirThanks a

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ion. – Reply By R.S. Mangal – The Reply = If no separate freight is shown product wise then GST on freight will be on highest rate of GST applicable on product supplied, which in your case will be 28%. – Reply By KASTURI SETHI – The Reply = Yes.Sir, Separate freight is to be mentioned on the invoice itself. I think separate invoice for freight alone is not requirement of GST law. Regards – Reply By THYAGARAJAN KALYANASUNDARAM – The Reply = Dear sir, Reagarding query no. 3, please go through sec 10(1)(b)of IGST Act. – Reply By MUKUND THAKKAR – The Reply = Query 1: – I'm a GST registered trader based in Delhi and have to sell goods to a buyer based in Kolkata. I will be invoicing multiple products with tax rates as 18% and 28%; along with these products I have to charge freight (Delhi to Kolkata) in the invoice. – Now, question is what would be the rate of GST on this Freight component that I would charge from buyer and what would be the HSN Code for that?. if your bill is common for

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ds to Party C in Kolkata? Also, what would be the implications regarding Place of Supply and earlier E1 / E2 forms were required what about it now? It doesn't make sense that we first bring the goods to Delhi from Maharashtra and then sent it to Kolkata; as this would lead to freight charges. So, if possible we would prefer Bill to – Ship to transaction. Bill to Ship to Transaction Transaction also intact in GST.. only keep in the mind of basic idea of Recipient and Receiver Recipient will be able to take Input tax credit and receiver only goods. you need to raised Separate invoice in favour of your customer. for keeping live of ITC chain. NO E-1 , E-2 transaction more in GST regime. – Reply By Pankaj P – The Reply = Thanks to all the experts in clarifying my doubts on Query 1 & Query 2. However, I request more clarity on Query 3 as Im unable to comprehend Sec 10(1)(b)of IGST Act regarding 'Bill to Shop' to scenario in my case. One more point – Don't want to disclos

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Goods and Services Tax – Started By: – Narendra Soni – Dated:- 13-7-2017 Last Replied Date:- 13-8-2017 – Sir, In our factory, contractors are engaged to construct office building.1. If we purchase cement & iron from market and provide him for construction+he added bricks and tiles+moram+gitty etc and employed labour and construct the building.2.If all the Material is supplied by us from market, he employed only labour.3.We pay also to plumber,electrician,carpenter engaged in the constructio

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Goods and Services Tax – Started By: – SURYAKANT MITHBAVKAR – Dated:- 13-7-2017 Last Replied Date:- 14-7-2017 – We are manufacturing of Pharmaceutical Machine having two unit in same state under one GST Number.Now we have to transfer some Work in Process material to other unit for further process and also deliver to customer from there only.Is there any document to prepare under GST Act. – Reply By Ganeshan Kalyani – The Reply = The stock transfer within the State between units having same GSTI

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Goods and Services Tax – Started By: – Davinder Singh – Dated:- 13-7-2017 Last Replied Date:- 16-7-2017 – 2. Input of GST paid for Expenses debited to Profit and loss account. The detail of Expenses is as under :-kindly confirm the Eligible expenses for Input in GST. Consumable Exp. Freight Inward Diesel Import Expenses Labour Expenses Job Work Expenses Uniform Exp. Labour& Welfare Expense Labour Welfare Fund Audit Fee Building Repairs Charity & Donation Computer Repair Consultancy Exp

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Goods and Services Tax – Started By: – Abhishek Jain – Dated:- 13-7-2017 Last Replied Date:- 14-7-2017 – Dear sir,Our business model in brief is as follows:1. We buy cloth and other material. Students come to us and give measurement and accordingly we stitch uniform for them (Shirt, trouser etc.). For doing the stitching work we have tailors on roll and we also give it to outsiders on job work basis. All finished items are sold at a price below ₹ 1000 per item except blazers which costs m

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Goods and Services Tax – GST – Dated:- 13-7-2017 – No GST on Annual subscription/fees charged as lodging/boarding charges by educational institutions from its students for hostel accommodation; Services provided by an educational institution to students, faculty and staff are fully exempt from GST. There are some reports that GST@18% will be levied on annual subscription/fees charged for lodging in hostels. This is not true. There is no change in tax liability relating to education and related services in the GST era, except reduction in tax rate on certain items of education. It may be mentioned that services provided by an educational institution to students, faculty and staff are fully exempt. Educational institution has been defined as

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Goods and Services Tax – GST – Dated:- 13-7-2017 – There are some press reports that services provided by a Housing Society [Resident Welfare Association (RWA)] will become expensive under GST. These are completely unsubstantiated. It may be mentioned that supply of service by RWA (unincorporated body or a registered non- profit entity) to its own members by way of reimbursement of charges or share of contribution up to an amount of five thousand rupees per month per member for providing services and goods for the common use of its members in a housing society or a residential complex are exempt from GST. Further, if the aggregate turnover of such RWA is upto ₹ 20 Lakh in a financial year, then such supplies would be exempted from GS

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Goods and Services Tax – Started By: – Vivek anandhan – Dated:- 13-7-2017 Last Replied Date:- 13-7-2017 – Dear Experts We are manufacturing of capital equipment, Our supply of product terms covers 1 year warranty. Warranty cost included in the selling cost. Now my question is whether we can supply spares to the main capital equipment without payment of GST under warranty.RegardsVivekanandhan – Reply By KASTURI SETHI – The Reply = It would be treated as mixed supply and not composite supply. Bot

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Goods and Services Tax – Started By: – venkat narayan – Dated:- 13-7-2017 Last Replied Date:- 31-8-2017 – Dear SirFor those sellers who are registered to sell thru market place like Flipkart, how will the TCS as deducted by them will be offset. Reason being, we are selling & collecting GST / IGST using different HSN codes however when TDS deducted it will be under different SAC codePls adviseRegs – Reply By vijay kumar – The Reply = Section 52 is yet to be notified. In any case, once it is

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GST FOR CIVIL CONTRACTOR – Goods and Services Tax – Started By: – Chandresh Sharma – Dated:- 13-7-2017 Last Replied Date:- 30-12-1899 – DEAR EXPERTS,I AM A CIVIL CONTRACTOR & HAVING ROAD PROJECTS

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Income Tax – Started By: – srikanth reddy – Dated:- 13-7-2017 Last Replied Date:- 22-7-2017 – Hi Team,Thanks for the given opportunity to write our doubts here..Could you please confirm us whether the TDS tax should be deducted on GST indirect taxes (CGST/SGST/IGST) or not…?Regards,Srikanthreddy – Reply By SHIVKUMAR SHARMA – The Reply = Please refer Issue ID = 112310 . – Reply By srikanth reddy – The Reply = Hi,Thanks for the reply,For the mentioned issue id, Both TDS and TCS are postponed under GST regime.Which means is TDS should be deducted on GST taxes..?Please clarify on the same, Since most of the business and software are under confusion whether we can deduct or not..?Regards,Srikanthreddy – Reply By KASTURI SETHI – The Reply = St

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Goods and Services Tax – Started By: – kshitija narawane – Dated:- 13-7-2017 Last Replied Date:- 15-7-2017 – Hi allmy dealer is dealing with different kirana goods , retailer basically at the time of registration under GST , how to mentioned all the commodity – Reply By KASTURI SETHI – The Reply = Mention major commodities only and if convenient opt for Composition Scheme for turnover up to ₹ 75 Lakhs per year and pay GST @ 1 % from your pocket. Not to recover amount of 1 % from customers

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Goods and Services Tax – Started By: – Ranjit Abraham – Dated:- 13-7-2017 Last Replied Date:- 13-7-2017 – I have a sole proprietorship firm registered under Central Board of Excise and Customs i.e, service tax registration.My nature of business is Website Designing. I have a turnover of Rs. Five lakhs p.a.Recently its migrated to GST portal and GST registration number was generated.Earlier I dint charge any tax on invoice because it was exempted (below 10 lakhs).Q.1: Now under GST do I have to charge tax?Q.2: If yes, can I cancel my GST and continue with old billing?Q.3: I dont see any option to cancel GST from portal. How to do that?Q.4: After cancellation of GST, can I provide service under old registration and continue my business as be

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e I have called GST Helpdesk: 0120-4888999 They told me there is no provision for cancellation now. There are no notifications from government towards cancellation. I can only preview the cancellation form i.e, GST REG – 16 but cannot submit it. Most of my business is inside state Karnataka. So I will continue charging additional GST tax as per above from my clients. – Reply By KASTURI SETHI – The Reply = Still Department's site is not perfect, otherwise there should be no problem in cancellation. Or we may say the department itself does not want to cancel registration in intial stages. – Reply By MARIAPPAN GOVINDARAJAN – The Reply = If you are within the threshold limit you need not charge tax. Cancellation may be done at the time of a

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Goods and Services Tax – GST – By: – GOKARNESAN.S SUBRAMANIAN – Dated:- 13-7-2017 Last Replied Date:- 18-7-2017 – An injustice made to Practicing Advocates in GST Act – They cannot become a Member of the Appellate Tribunal directly from the Bar. Current provisions on Recruitment of Members to Hon ble CESTAT AND The provisions in the Central Goods and Service Tax Act (CGST Act) for recruitment of Members of Appellate Tribunal Provisions under the current CESTAT members (Recruitment and Conditions of Service) Rules, 1987 Provisions under Proposed CGST Act. RULE 3. Qualifications for recruitment. – (1) A person shall not be qualified for appointment as a judicial member unless- (i) he has for at least ten years held a judicial office in the territory of India; or (ii) he has been a member of the Indian Legal Service and has held a post in Grade I of that service or any equivalent or higher post for at least three years; or (iii) he has been an advocate for at least ten years. Explanation

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least three years. (3) No person shall be qualified for appointment as a member of the Tribunal unless he has attained the age of 45 years. President and Members of Appellate Tribunal, their qualification, appointment, conditions of service, etc. CGST ACT – SEC 110. (1) A person shall not be qualified for appointment as- (a) the President, unless he has been a Judge of the Supreme Court or is or has been the Chief Justice of a High Court, or is or has been a Judge of a High Court for a period not less than five years; (b) a Judicial Member, unless he- (i) has been a Judge of the High Court; or (ii) is or has been a District Judge qualified to be appointed as a Judge of a High Court; or (iii) is or has been a Member of Indian Legal Service and has held a post not less than Additional Secretary for three years; (c) a Technical Member (Centre) unless he is or has been a member of Indian Revenue (Customs and Central Excise) Service, Group A, and has completed at least fifteen years of serv

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ision of the Government to omit the Advocates to become Member of Tribunals. Practicing Advocates are qualified for recruitment of Judges to High Court and Supreme Court also. In terms of Article 124(3) of the Constitution of India, A person shall not be qualified for appointment of as a Judge of the Supreme Court of India unless he is a Citizen of India and – Has been for at-least five years a Judge of a High Court or of Two or more such Courts in succession; or Has been for at least ten years an advocate of a High Court of two or more such Courts in succession. ……. When an Advocate having more than 10 years of practice in High Court is qualified for an appointment of Judge in High Court and Supreme Court, making them not qualified to become a Member of the New Tribunal to be constituted under the new CGST Act., is not a correct move. In as much as the High Courts and Supreme Court are superior than the Tribunals, the Central Government should have included Advocates hav

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ract money and they do. But atleast they should fight for the victim who see advocate as God and ask for justice .Disclaimer: this is based on experience of one of my dear friend with the advocate. I totally agree there are few people in very profession which make other person to thing that entire bunch of professionals are same. But there is weightage in the point put forth. – Reply By GOKARNESAN.S SUBRAMANIAN – The Reply = Mr. Ganeshan KalyaniWith due respect to you and your participation in TMI discussions, I wish to inform the following on your comments and postings against my article.1) First of all this is the forum only to discuss the issues relating to indirect taxes / GST provisions for the benefit of subscribers and readers. This is not the forum to discuss or to post criticism against professional in general. I strongly condemn your postings on Advocates professionals.2) Majority of the Advocates are rendering services to clients with a view to get justice to them and fight

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Goods and Services Tax – Started By: – Narendra Soni – Dated:- 13-7-2017 Last Replied Date:- 14-7-2017 – Dear experts.We need to issue tax invoice on purchase of goods from unregistered person.kindly suggest who will be supplier and buyer/recipient in such Invoice.urgent please. – Reply By KASTURI SETHI – The Reply = Service receiver will act /work as if he were supplier for the purpose of discharging GST liability. Otherwise status of supplier (seller) and receiver (buyer ) remains the same.Th

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Customs – Public Notice: – 19/2017 – Dated:- 13-7-2017 – OFFICE OF THE PRINCIPAL COMMISSIONER OF CUSTOMS, CUSTOM HOUSE, AHMEDABAD – 380009. F.No:-VIII/48-65/Cus/T/2017 Dated:- 13.07.2017 Public Notice: – 19/2017 Sub: Fixation of Brand Rate of drawback under Rule 6 and Rule 7 of the Customs, Central Excise Duties & Service Tax Drawback Rules, 1995 in the GST scenario. 1. Attention of the Trade is invited to Board's Circular No. 23/2017- Customs issued vide F. No. 609/46/2017-DBKdated 30.06.2017. 2.1n terms of Rule 6 and Rule 7 of the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995, the work pertaining to fixation of Brand rate of Drawback is undertaken by the Central Excise Commissionerate having jurisdiction over the factory where export goods are manufactured. In this context, Board's Circular No. 14/2003-Cus dated 6.3.2003, DO letter No. 609/110/2005-DBK dated 26.8.2005, Instruction No. 603/01/2011-DBK dated 11.10.2013. Circular No. 29/2015-cus dated

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rand rate of drawback for Customs, Central Excise Duties and Service Tax subject to certain additional conditions. These conditions aim to ensure that the exporter simultaneously does not avail input tax credit of Central Goods and Services Tax (COST) or Integrated Goods and Services Tax (IGST) on the export goods or on inputs and input services used in manufacture of export goods or claim refund of ICST paid on export goods. Further, an exporter claiming drawback during transition period as per extant duty drawback provisions shall also be barred to carry forward Cenvat credit in terms of the CGST Act, 2017 on the export goods or on inputs or input services used in manufacture of export goods. The exporter also has to give the prescribed declaration and certificates (similar to declaration and certificate prescribed in Notification No. 59/2017-Cus (N.T.) dated 29.6.2017 for claiming composite AIR during transition time) at the time of application for fixation of Brand rate of drawback

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29.6.2017. 5. All Circulars/instructions issued till date w.r.t. fixation of Brand rate shall mutatis mutandis apply for work of fixation of Brand rate to be done by Customs formations in the GST scenario. However, verification of data given in the application if so required shall be got done through the Customs formation having jurisdiction over the factory where the export goods have been manufactured. 6. From 1.7.2017, all fresh applications for Brand rate of drawback irrespective of date of export will be dealt as per these guidelines. The applications already filed with existing Central Excise formations prior to 1.7.2017 and pending shall be transferred along with all relevant documents to the Principal Commissioner/ Commissioner of Customs having jurisdiction over the place of export. In case an already filed application relates to exports from multiple places, the application should be transferred to the Principal Commissioner/ Commissioner of Customs having jurisdiction over

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GST – States – 30 T of 2017 – Dated:- 13-7-2017 – Office of the Commissioner of State Tax (GST) 8th floor, GST Bhavan, Mazgaon, Mumbai-400010. TRADE CIRCULAR To, …………………………………. …………………………………. No. JC/HQ-1/GST/Designation/2017-18/ Mumbai dated 13th July 2017 Trade Cir. No. 30 T of 2017 Subject: Designation Of officers under Maharashtra Goods and Services Tax Act, 2017 (Mah. XLIII of 2017). Gentlemen/Sir/Madam, In exercise of the powers conferred by section 3 of the Maharashtra Goods and Services Tax Act, 2017 (Mah. XLIII of 2017) (hereinafter referred to as the M

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e Tax (3) Additional Commissioner of Sales Tax Additional Commissioner of State Tax (4) Joint Commissioner of Sales Tax Joint Commissioner of State Tax (5) Deputy Commissioner of Sales Tax Deputy Commissioner of State Tax (6) Assistant Commissioner of Sales Tax Assistant Commissioner of State Tax (7) Sales Tax Officer State Tax Officer (8) Sales Tax Inspector State Tax Inspector 3. The queries have been received from the Departmental officers with regards to the use of the designation for the purposes of MVAT Act and MGST Act. It is hereby clarified that the officers while performing the duties under the MVAT Act should use the designations given in the column (2) of the TABLE above whereas the officers who are performing the duties and fun

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GST – States – Va Kar/GST/07/2017-S.O. 056 – Dated:- 13-7-2017 – COMMERCIAL TAXES DEPARTMENT NOTIFICATION 13th July, 2017 S.O-56 Dated-13th July, 2017- In exercise of the powers conferred by section 164 of the Jharkhand Goods and Services Tax Act, 2017 (12 of 2017), the State Government hereby makes the following rules further to amend the Jharkhand Goods and Services Tax Rules, 2017, i.e. Departmental Notification S.O. 28 dated 20 June, 2017 and S.O. 52 dated 29 June, 2017 namely:- (1) These rules may be called the Jharkhand Goods and Services Tax (Third Amendment) Rules, 2017. (2) They will be deemed to be effective from the 1st day of July, 2017. 2. In the Jharkhand Goods and Services Tax Rules, 2017, (i) in rule 44, (a) in sub-rule (2), for the words integrated tax and central tax , the words central tax, State tax, Union territory tax and integrated tax shall be substituted; (b) in sub-rule (2), after the words integrated tax , for the brackets and figure (2) , the brackets and

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ssue of the invoice for export, if the goods are not exported out of India; or (b) fifteen days after the expiry of one year, or such further period as may be allowed by the Commissioner, from the date of issue of the invoice for export, if the payment of such services is not received by the exporter in convertible foreign exchange. (2) The details of the export invoices contained in FORM GSTR-1 furnished on the common portal shall be electronically transmitted to the system designated by Customs and a confirmation that the goods covered by the said invoices have been exported out of India shall be electronically transmitted to the common portal from the said system. (3) Where the goods are not exported within the time specified in sub-rule (1) and the registered person fails to pay the amount mentioned in the said sub-rule, the export as allowed under bond or Letter of Undertaking shall be withdrawn forthwith and the said amount shall be recovered from the registered person in accorda

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spection, search and seizure.- (1) Where the proper officer not below the rank of a Joint Commissioner has reasons to believe that a place of business or any other place is to be visited for the purposes of inspection or search or, as the case may be, seizure in accordance with the provisions of section 67, he shall issue an authorisation in FORM GST INS-01 authorising any other officer subordinate to him to conduct the inspection or search or, as the case may be, seizure of goods, documents, books or things liable to confiscation. (2) Where any goods, documents, books or things are liable for seizure under sub-section (2) of section 67, the proper officer or an authorised officer shall make an order of seizure in FORM GST INS-02. (3) The proper officer or an authorised officer may entrust upon the the owner or the custodian of goods, from whose custody such goods or things are seized, the custody of such goods or things for safe upkeep and the said person shall not remove, part with,

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the amount of applicable tax, interest and penalty payable. Explanation.- For the purposes of the rules under the provisions of this Chapter, the applicable tax shall include central tax and State tax or central tax and the Union territory tax, as the case may be and the cess, if any, payable under the Goods and Services Tax (Compensation to States) Act, 2017 (15 of 2017). (2) In case the person to whom the goods were released provisionally fails to produce the goods at the appointed date and place indicated by the proper officer, the security shall be encashed and adjusted against the tax, interest and penalty and fine, if any, payable in respect of such goods. 141. Procedure in respect of seized goods.-(1) Where the goods or things seized are of perishable or hazardous nature, and if the taxable person pays an amount equivalent to the market price of such goods or things or the amount of tax, interest and penalty that is or may become payable by the taxable person, whichever is lower

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ice or statement, the person chargeable with tax makes payment of the tax and interest in accordance with the provisions of sub-section (5) of section 73 or, as the case may be, tax, interest and penalty in accordance with the provisions of sub-section (5) of section 74, he shall inform the proper officer of such payment in FORM GST DRC-03 and the proper officer shall issue an acknowledgement, accepting the payment made by the said person in FORM GST DRC-04. (3) Where the person chargeable with tax makes payment of tax and interest under sub-section (8) of section 73 or, as the case may be, tax, interest and penalty under sub-section (8) of section 74 within thirty days of the service of a notice under sub-rule (1), he shall intimate the proper officer of such payment in FORM GST DRC-03 and the proper officer shall issue an order in FORM GST DRC-05 concluding the proceedings in respect of the said notice. (4) The representation referred to in sub-section (9) of section 73 or sub-sectio

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isions of clause (a) of sub-section (1) of section 79. Explanation.-For the purposes of this rule, specified officer shall mean any officer of the Central Government or a State Government or the Government of a Union territory or a local authority, or of a Board or Corporation or a company owned or controlled, wholly or partly, by the Central Government or a State Government or the Government of a Union territory or a local authority. 144. Recovery by sale of goods under the control of proper officer.- (1) Where any amount due from a defaulter is to be recovered by selling goods belonging to such person in accordance with the provisions of clause (b) of sub-section (1) of section 79, the proper officer shall prepare an inventory and estimate the market value of such goods and proceed to sell only so much of the goods as may be required for recovering the amount payable along with the administrative expenditure incurred on the recovery process. (2) The said goods shall be sold through a

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of fifteen days from the date of auction. On payment of the full bid amount, the proper officer shall transfer the possession of the said goods to the successful bidder and issue a certificate in FORM GST DRC-12. (6) Where the defaulter pays the amount under recovery, including any expenses incurred on the process of recovery, before the issue of the notice under sub-rule (2), the proper officer shall cancel the process of auction and release the goods. (7) The proper officer shall cancel the process and proceed for re-auction where no bid is received or the auction is considered to be non-competitive due to lack of adequate participation or due to low bids. 145. Recovery from a third person.- (1) The proper officer may serve upon a person referred to in clause (c) of sub-section (1) of section 79 (hereafter referred to in this rule as the third person ), a notice in FORM GST DRC-13 directing him to deposit the amount specified in the notice. (2) Where the third person makes the paymen

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FORM GST DRC- 16 prohibiting any transaction with regard to such movable and immovable property as may be required for the recovery of the amount due: Provided that the attachment of any property in a debt not secured by a negotiable instrument, a share in a corporation, or other movable property not in the possession of the defaulter except for property deposited in, or in the custody of any Court, shall be attached in the manner provided in rule 151. (2) The proper officer shall send a copy of the order of attachment or distraint to the concerned Revenue Authority or Transport Authority or any such Authority to place encumbrance on the said movable or immovable property, which shall be removed only on the written instructions from the proper officer to that effect. (3) Where the property subject to the attachment or distraint under sub-rule (1) is- (a) an immovable property, the order of attachment or distraint shall be affixed on the said property and shall remain affixed till the c

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such instrument or a share. (6) The proper officer may specify the amount of pre-bid deposit to be furnished in the manner specified by such officer, to make the bidders eligible to participate in the auction, which may be returned to the unsuccessful bidders or, forfeited in case the successful bidder fails to make the payment of the full amount, as the case may be. (7) The last day for the submission of the bid or the date of the auction shall not be earlier than fifteen days from the date of issue of the notice referred to in sub-rule (4): Provided that where the goods are of perishable or hazardous nature or where the expenses of keeping them in custody are likely to exceed their value, the proper officer may sell them forthwith. (8) Where any claim is preferred or any objection is raised with regard to the attachment or distraint of any property on the ground that such property is not liable to such attachment or distraint, the proper officer shall investigate the claim or object

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on the said date, in the possession of the defaulter as his own property and not on account of any other person, or was in the possession of some other person in trust for him, or in the occupancy of a tenant or other person paying rent to him, the proper officer shall reject the claim and proceed with the process of sale through auction. (12) The proper officer shall issue a notice to the successful bidder in FORM GST DRC-11 requiring him to make the payment within a period of fifteen days from the date of such notice and after the said payment is made, he shall issue a certificate in FORM GST DRC-12 specifying the details of the property, date of transfer, the details of the bidder and the amount paid and upon issuance of such certificate, the rights, title and interest in the property shall be deemed to be transferred to such bidder: Provided that where the highest bid is made by more than one person and one of them is a co-owner of the property, he shall be deemed to be the success

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gainst sale on holidays.-No sale under the rules under the provision of this chapter shall take place on a Sunday or other general holidays recognized by the Government or on any day which has been notified by the Government to be a holiday for the area in which the sale is to take place. 150. Assistance by police.-The proper officer may seek such assistance from the officer-in-charge of the jurisdictional police station as may be necessary in the discharge of his duties and the said officer-in-charge shall depute sufficient number of police officers for providing such assistance. 151. Attachment of debts and shares, etc.- (1) A debt not secured by a negotiable instrument, a share in a corporation, or other movable property not in the possession of the defaulter except for property deposited in, or in the custody of any court shall be attached by a written order in FORM GST DRC-16 prohibiting.- (a) in the case of a debt, the creditor from recovering the debt and the debtor from making

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fficer shall send the order of attachment to such court or officer, requesting that such property, and any interest or dividend becoming payable thereon, may be held till the recovery of the amount payable. 153. Attachment of interest in partnership.- (1) Where the property to be attached consists of an interest of the defaulter, being a partner, in the partnership property, the proper officer may make an order charging the share of such partner in the partnership property and profits with payment of the amount due under the certificate, and may, by the same or subsequent order, appoint a receiver of the share of such partner in the profits, whether already declared or accruing, and of any other money which may become due to him in respect of the partnership, and direct accounts and enquiries and make an order for the sale of such interest or such other order as the circumstances of the case may require. (2) The other partners shall be at liberty at any time to redeem the interest char

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istrict or any other officer authorised in this behalf in FORM GST DRC- 18 to recover from the person concerned, the amount specified in the certificate as if it were an arrear of land revenue. 156. Recovery through court.-Where an amount is to be recovered as if it were a fine imposed under the Code of Criminal Procedure, 1973, the proper officer shall make an application before the appropriate Magistrate in accordance with the provisions of clause (f) of sub-section (1) of section 79 in FORM GST DRC- 19 to recover from the person concerned, the amount specified thereunder as if it were a fine imposed by him. 157.Recovery from surety.-Where any person has become surety for the amount due by the defaulter, he may be proceeded against under this Chapter as if he were the defaulter. 158. Payment of tax and other amounts in installments.- (1) On an application filed electronically by a taxable person, in FORM GST DRC- 20, seeking extension of time for the payment of taxes or any amount du

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to make payment in installments in the preceding financial year under the Act or the Integrated Goods and Services Tax Act, 2017 or the Union Territory Goods and Services Tax Act, 2017 or any of the State Goods and Services Tax Act, 2017; (c) the amount for which installment facility is sought is less than twenty-five thousand rupees. 159. Provisional attachment of property.- (1) Where the Commissioner decides to attach any property, including bank account in accordance with the provisions of section 83, he shall pass an order in FORM GST DRC-22 to that effect mentioning therein, the details of property which is attached. (2) The Commissioner shall send a copy of the order of attachment to the concerned Revenue Authority or Transport Authority or any such Authority to place encumbrance on the said movable or immovable property, which shall be removed only on the written instructions from the Commissioner to that effect. (3) Where the property attached is of perishable or hazardous natu

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r may, upon being satisfied that the property was, or is no longer liable for attachment, release such property by issuing an order in FORM GST DRC- 23. 160. Recovery from company in liquidation.-Where the company is under liquidation as specified in section 88, the Commissioner shall notify the liquidator for the recovery of any amount representing tax, interest, penalty or any other amount due under the Act in FORM GST DRC -24. 161. Continuation of certain recovery proceedings.-The order for the reduction or enhancement of any demand under section 84 shall be issued in FORM GST DRC- 25. Chapter – XIX Offences and Penalties 162. Procedure for compounding of offences.- (1) An applicant may, either before or after the institution of prosecution, make an application under sub-section (1) of section 138 in FORM GST CPD-01 to the Commissioner for compounding of an offence. (2) On receipt of the application, the Commissioner shall call for a report from the concerned officer with reference

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te of the receipt of the order under sub-rule (3), pay the compounding amount as ordered by the Commissioner and shall furnish the proof of such payment to him. (7) In case the applicant fails to pay the compounding amount within the time specified in sub-rule (6), the order made under sub-rule (3) shall be vitiated and be void. (8) Immunity granted to a person under sub-rule (3) may, at any time, be withdrawn by the Commissioner, if he is satisfied that such person had, in the course of the compounding proceedings, concealed any material particulars or had given false evidence. There upon such person may be tried for the offence with respect to which immunity was granted or for any other offence that appears to have been committed by him in connection with the compounding proceedings and the provisions the Act shall apply as if no such immunity had been granted. ; (vii) for FORM GST-RFD-01, FORM GST-RFD-02, FORM GST-RFD-04, FORM GST-RFD-05, FORM GST-RFD-06, FORM GST-RFD-07 and FORM GS

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GST – States – 06/2017-18 – Dated:- 13-7-2017 – Government of Karnataka (Department of Commercial Taxes) No. KSA/GST/CR-05 /2017-18 Office of the Commissioner of Commercial Taxes Vanijya Terige Karyalaya, Gandhinagr, Bengaluru-560009, Dated: 13-07-2017 COMMISSIONER OF COMMERCIAL TAXES CIRCULAR NO. 06/2017-18 Subject: Submission of Bond/Letter of Undertaking by the Exporter in respect of Exports without payment of Integrated Tax under the IGST Act. 1. The Karnataka Goods and Services Tax Act, 2017, (hereinafter referred to as the "KGST Act"), the Central Goods and Services Tax Act, 2017, (hereinafter referred to as the "CGST Act"), and Integrated Goods and Services Tax Act, 2017, (hereinafter referred to as the "IGST Act"), have come in to force with effect from 1st July 2017. 2. Section 16(3) of the IGST Act provides that a registered person making zero rated supply shall be eligible to claim refund under either of the following options,- (a) he may suppl

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RFD-Il to the jurisdictional Commissioner, binding himself to pay the tax due along with the interest specified under sub-section (1) of section 50 within a period of,- (a) fifteen days after the expiry of three months from the date of issue of the invoice for export, if the goods are not exported out of India; or (b) fifteen days after the expiry of one year, or such further period as may be allowed by the Commissioner, from the date of issue of the invoice for export, if the payment of such services is not received by the exporter in convertible foreign exchange. 5. As per the provisions of sub-rule (5) of aforesaid rules the State Government is empowered to issue notification and provide certain conditions and safeguards under which an exporter may furnish Letter of Undertaking in place of a bond. 6. In this background queries have been received from the Trade and Associations stating the difficulties faced with regard to the procedure prescribed in respect of export of goods and se

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truction, to exporter, the Bond/ LUT in all cases be accepted by Central Tax officer till such time the said administrative mechanism is implemented Central Tax officers are directed to take every step to facilitate the exporters. 8. In this backdrop, in order to mitigate the issues involved in relation to fulfill the mandate of section 16 of the IGST Act 2017 and rule 96A of the KGST Rules, 2017 it is hereby informed to the exporters in the State that the Bond or the letter of undertaking in place of Bond in all the cases (irrespective of the fact that the provisional ID for the GST is issued by the Commercial Tax Department), will be accepted by the jurisdictional Assistant Commissioner of Commercial Taxes, Local Goods and Services Tax Office/Commercial Tax Officer of Local Goods and Service Tax office in the absence of ACCT, and Commercial Tax Officer, Sub GST Office till the administrative mechanism for assignment of Tax payers to respective authority is implemented. It would be wo

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2017 (7) TMI 529 – GUJARAT HIGH COURT – 2017 (356) E.L.T. 199 (Guj.) , 2017 (7) G. S. T. L. 431 (Guj.) – Levy of penalty u/s 28 of the FA, 1994 at a reduced rate of 25% – authority of the Commissioner or the Tribunal to reduce the penalty – Held that: – reliance placed in the case of Commissioner of Central Excise vs. GP Prestress Concrete Works [2012 (8) TMI 933 – GUJARAT HIGH COURT], where it was held that the assessee is required to be given an option by the adjudicating authority whether he is willing to pay the duty with interest and 25% penalty within 30 days from the date of adjudication. Whenever such option is not given, the facility of paying reduced penalty by fulfilling the condition of deposition of the same with interest with

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only if the duty determined under Section 73(2), interest payable thereon under Section 75 and penalty at 25% of the duty determined under Section 73(2) has been paid within thirty days from the date of communication of the order of the Central Excise Officer determining duty payable under Section 73(2) of the Finance Act, 1994? 2. The issue pertains to levy of penalty under Section 28 of the Finance Act, 1994 at a reduced rate of 25%. According to the department, the penalty is compulsory and the Commissioner or the Tribunal had no authority to reduce the same. 3. We may, however, notice that in case of Commissioner of Central Excise vs. GP Prestress Concrete Works reported in 2015 (323) ELT 709 and in the case of Commissioner of C. Ex, A

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of availing reduced penalty on depositing amount with interest within thirty days. When the assessee approached the Commissioner, he granted such option of paying reduced penalty, if deposited within thirty days. He had provided as under: (b) Under para (iv) following shall be added towards the end However M/s. Metro Security Services shall have option to pay penalty at reduced rate of 25% of RS.47,85,269/- provided that reduced penalty along with tax and interest is paid within 30 days of receipt of this Order in Appeal. 5. The department is aggrieved by this order and therefore approached the Tribunal. The Tribunal relying on the decisions in the case of GP Prestress Concrete Works (supra) and Ratnamani Metals and Tubes Ltd. (supra) dismi

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Goods and Services Tax – Started By: – tarun verma – Dated:- 12-7-2017 Last Replied Date:- 21-2-2018 – sir please explain concept of pure labour under construction contract under gst regime…if individual involve in construction service and hire labour from market on daily basis..pay daily wages to them ..gst liabillity on the individual…please guide me on this topic… – Reply By KASTURI SETHI – The Reply = Exempted vide notification no.12/17-Central Tax Rate dated 28.6.17 Serial No.11 Heading No.9954. – Reply By GOKARNESAN.S SUBRAMANIAN – The Reply = Mr. Tarun Varma You have stated that an individual involve construction service. But you have not specify whether the individual is rendering pure labour contract only in the construction activity. In other words, materials supplied by the receiver and the individual undertake only labour work by getting hired daily labour or not. Further, you have also not mentioned whether the individual is doing service for one dwelling unit or mu

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way of pure labour contracts of construction, erection, commissioning, or installation of original works pertaining to a single residential unit otherwise than as a part of a residential complex. As such, the above exemption under serial number 11 is not applicable to you if the individual does a) construction work as a whole including labour b)if such construction involve multiple units (more than one dwelling unit) On the other hand, if the individual does only pure labour contract in the construction activity then he is entitled to exemption subject to conditions stipulated in serial number 11 of the table. FOR ENGAGING LABOUR FROM The labour hired from outside are to be treated as Un-registered persons under GST . Hence, the GST liability on the value of labour paid lies on the service receiver under reverse charge. Again if the individual contractor undertakes the entire construction contract (material with labour), then he will be treated as 'business entity and as such, the

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5000 per dayd) in case of rcm liability to pay tax on contractor ,not on service receiver – Reply By GOKARNESAN.S SUBRAMANIAN – The Reply = Mr. Tarun Verma I answer your queries: Query: a) As you stated individual under take construction contract( material + labour ) , he will discharge liability @18% with taking input tax credit on goods and services.this activity amount to work contract..and in case of work contract no ITC available.because emerging property is immovable.? My Answer:- As a contractor, doing a works contract service – construction service to your customer, you are entitled to take credit of GST involved on goods and services consumed to do the said output supply namely ' works contract;. Full credit is eligible on goods and services. On the other hand, for the customer who avails the 'works contract construction service' from you , whatever GST paid by you as a contractor in your invoice to your customer. The works contract service rendered by you is not

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value of supply, service or both in a single day from all suppliers to decide the eligibility within ₹ 5000/- Query -d) in case of rcm liability to pay tax on contractor ,not on service receiver Answer: This query is not clear. However, the RCM liability on the service receiver . In your example: the contractor received the service of manpower (un registered dealers) and utilise in his works contract service. Hence, the contractor is liable to discharge tax under reverse charge and after making payment, he can take credit as input tax credit of such amount. As far as the availment of manpower services by the contractor, he is the service receiver and not the person to whom the contractor render construction services. S. Gokarnesan Advocate – Reply By tarun verma – The Reply = thanks to sir. Gonkarnesen Subramanian for answered my queries..a) The labour hired from outside are to be treated as Un-registered persons under GST . Hence, the GST liability on the value of labour paid li

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Goods and Services Tax – GST – Dated:- 12-7-2017 – CBEC Mobile app GST Rates Finder which is available on android platform and soon will be available on ios platform as well. To install GST Rate Finder , user of Android mobile has to first open Google Play Store and in the search option has to type GST Rate Finder. There may be many more apps available with similar names. The user has to download the app with CBEC Logo i.e. Once downloaded and installed the icon will appear on the screen of the mobile. Now this mobile app is ready to operate and it will also operate in off-line mode. After clicking the icon with the above logo for the mobile app, home screen will appear. On this screen the most important feature is Quick Search. The user c

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Goods and Services Tax – GST – Dated:- 12-7-2017 – New Delhi, July 12 (PTI) Country's largest bank SBI has waived charges for fund transfer of up to ₹ 1,000 through its IMPS (Immediate Payment Service) to promote small transactions. State Bank of India had been charging ₹ 5 along with the applicable service tax for IMPS fund transfer of up to ₹ 1,000. IMPS is an instant interbank electronic fund transfer service through mobile phones as well as internet banking. In order t

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Goods and Services Tax – GST – Dated:- 12-7-2017 – Thiruvananthapuram, Jul 12 (PTI): Activists of a Left students union in Kerala today posted sanitary napkins to union Finance Minister Arun Jaitley as a mark of protest for imposing GST on women's hygiene product. Students Federation of India (SFI), the students outfit of ruling CPI(M) sent the napkins with the slogan 'Bleed without fear, Bleed without tax' written on them. The hygiene products were sent as part of a protest program

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