TAXGyaAan

CBIC has extended due date of f urnishing of the Annual Return for the FY 2018-19 to 31.10.2020 (Notification No.69/2020-Central Tax dated 30.09.2020) Board has received certain representation that the auto populated GSTR 9 for the year 2018-19 (Tables 4, 5, 6 and 7) also includes the data for FY 2017-18.However, this information for FY 2017-18 has already been furnished by the taxpayers in the annual return (GSTR9) filed for FY 2017-18 and there is no mechanism to show the split of two years (2017-18 & 2018-19) in FORM GSTR-9 for 2018-19. In this regard, it is clarified that   the taxpayers are required to report only the values pertaining to Financial Year 2018-19 and the values pertaining to Financial Year 2017-18 which may have already been reported or adjustedare to be ignored. No adverse view would be taken in cases where there are variations in returns for taxpayers who have already filed their GSTR-9 of Financial Year 2018-19 by including the details of supplie...

This is to informed that electronic invoicing (e-invoicing) for Goods and Services Tax (GST) will be made mandatory for all business-to-business transactions from 1st April 2021 as it looks to do away with physical invoices and e-way bills to streamline tax collections and plug revenue leaks.   Finance secretary, Ajay Bhushan Pandey said that the government will roll out the electronic invoicing (e-invoicing) system for all business-to-business (B2B) transactions under the Goods and Services Tax (GST) regime from 1st April 2021 that will replace physical invoices. He further said that the government introduced the e-invoicing system on 1st October 2020, for businesses with an annual turnover over Rs 500 crore. By 1st January 2021, it will be available to taxpayers with an annual turnover over Rs 100 crore. E-invoicing introduction plan : Particulars Effective date B2B transactions for all businesses above INR 500 crores. Effective fro...

  Customs, Excise and Service Tax Appellate Tribunal issued an office order dated September 30, 2020, for hearing of appeals through Video conferencing.   The Hon'ble President directs the following: From October 1, 2020, to October 29, 2020, appeals will be heard in all Benches of the Tribunal through video conferencing. The instructions contained in the DOPT Office Memorandums F. No. 11013/9/20014-Estt. (AliI) dated 18 May 2020 will be followed with respect to the attendance of all employee including officers, personal staff of Members and outsourced staff. SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be substituted for professional advice. For specific Queries, please post in the comments section.

  Late fees capped at Rs. 500 for delay in filing Final Return in Form GSTR 10 if it is filed between 22/09/2020 to 31/12/2020 vide Notification No. 68/2020 Central Tax dated 21st September 2020. A taxpayer whose GST registration has either been cancelled or surrendered is required to file GSTR-10. Rs. 500 is sum of fine under Both CGST and SGST Law. SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be substituted for professional advice. For specific Queries, please post in the comments section.

Central Board of Direct Taxes and Customs issued an Order dated September 29, 2020, regarding the information of GST Returns in Form 26AS.   Central Board of Direct Taxes (Board), hereby authorizes the Principal Director General of Income-tax (Systems) or the Director-General of Income-tax (Systems) to upload information relating to GST return , which is in his possession, in the Annual Information Statement in Form 26AS.   Author's comment Inter-unit transactions would pose a challenge in line to line matching of the tax data as per GST returns and as per Income tax filings. SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be substituted for professional advice. For specific Queries, please post in the comments section.

  The GST Council held its 42 nd Meeting today. The key takeaways of 42 nd Council meeting are as under: 1.       Imposition of Compensation Cess has been extended beyond the transition period of 5 years to meet the revenue gap. 2.       The present system of return i.e. GSTR 1 & GSTR 3B has been extended till 31 st March 2021. Further amendments to be made to make the present system as the default one. 3.       The tax liability will be auto populated in GSTR 3B based on outward supply furnished in GSTR 1 from 1 st January 2021. 4.       The input tax credit will be auto populated in GSTR 3B based on outward supply furnished by vendor in Form GSTR 1 through the newly introduced facility of GSTR 2B from 1 st January 2021. 5.       Filing of GSTR 1 will become a pre-condition for filing GSTR 3B with effect from 1 st April 2021. 6.     ...

  ·         The Central Board of Indirect Taxes and Customs ( CBIC ) has enabled the Matching Offline Tool to compare ITC auto-drafted in Form GSTR-2B with Purchase Register.        An offline tool has been made available to the taxpayers to match Input Tax Credit (ITC), as auto-populated in their Form GSTR-2B, with their purchase register. This tool will help the taxpayer to compare their ITC as per their Purchase Register, with the ITC as shown available in their auto-drafted Form GSTR-2B, and thus help them to claim correct ITC while filing Form GSTR-3B. To use the Matching Offline Tool, taxpayer need to : ·         Download and install the Offline tool on their system ·         Download the Form GSTR-2B JSON file from the GST portal ·         Prepare purchase register in the template provided with offline tool ·   ...

In wake of COVID-19 pandemic, the Finance Minister has further issued a press release dated September 30, 2020, to provide relaxation from the requirement to generate IRN in respect of invoices issued during the period month October 2020.  Highlights Last chance has been given in the initial phase of implementation of e-invoice. It has been decided that the invoices issued during October 2020 without following the manner prescribed under rule 48(4)(E-invoice), shall be deemed to be valid, if invoice Reference Number (IRN) for such invoices is obtained from the Invoice Reference Portal (IRP) within 30 days of the date of invoice. Example: In case a registered person has issued an invoice dated 3rd October 2020 without obtaining IRN but reports the details of such an invoice to IRP and obtains the IRN of the invoice on or before 2nd November 2020 then it shall be deemed to be a valid invoice. No such relaxation would ...

  Central Board of Indirect Taxes and Customs issued a Notification No. 67/2020 – Central Tax dated September 21, 2020, regarding waiver/reduction in late fee for not furnishing FORM GSTR-4 for 2017-18 and 2018-19.   Late fee payable shall stand waived which is in excess of INR 250 and shall stand fully waived where the total amount of central tax payable in the said return is nil, for the registered persons who failed to furnish the return in FORM GSTR-4 for the quarters from July, 2017 to March, 2020 by the due date but furnishes the said return between the period from 22 September, 2020 to 31 October, 2020. SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be substituted for professional advice. For specific Queries, please post in the comments section.

As per the recent tweet of the Central Board of Indirect Taxes and Customs (‘CBIC’), time limit to furnish annual return (Form GSTR-9/9A) and reconciliation statement (Form GSTR-9C) for the financial year 2018-19 has further been extended from September 30, 2020 to October 31, 2020. The screenshot of the tweet is as under: SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be substituted for professional advice. For specific Queries, please post in the comments section.

The Goods and Services Tax Network (GSTN) has announced that it will provide the system computed values of GSTR-1 in Form GSTR-3B. The system calculated values will be made available in a PDF statement. As of now, this facility is made available for the monthly GSTR-1 filers, and it will be extended to the quarterly GSTR-1 filers in due time. The PDF mentioned above will be prepared based on the values reported by the seller in their GSTR-1 for the respective tax period. This PDF will be available on the GSTR-3B dashboard, from the tax period of August 2020 onwards. It contains the information of GSTR-1 filed by them on or after 4th September 2020.  This facility is available to all taxpayers registered as a regular taxpayer, SEZ unit, SEZ Developer and casual taxpayer. Also, this facility is expected to make the filing of Form GSTR-3B easier for taxpayers. The following Tables of Form GSTR-3B will be auto-drafted, based on values reported in GSTR-1 statement: 3.1(a): ...

Section 31 (7) of CGST Act,2017 provides that Notwithstanding anything contained in sub-section (1), where the goods being sent or taken on approval for sale or return are removed before the supply takes place, the invoice shall be issued before or at the time of supply or six months from the date of removal,whichever is earlier.   Notification no. 66/2020 of Central Tax dated 21st September 2020 provides that where any goods have being  sent or taken out of India on approval for sale or return , which falls during the period from the 20 March, 2020 to the 30 October, 2020, and where completion or compliance of such action has not been made within such time, then, the time limit for completion or compliance of such action, shall stand extended up to the 31 October, 2020. SOURCE : CBIC NOTIFICATIONS Disclaimer :  TAXGyaAan is meant purely for the educational purpose of Tax Laws and Regulatory Updates. It will not be treated as professional advice. This Blog should not be s...

  The Finance Act, 2020 has made an amendment by insertion of sub-section (1H) in section 206C of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) which is effective from 01.10.2020. As a result of the said amendment, a seller who receives any amount as consideration for sale of any goods of the value or aggregate of such value exceeding fifty lakh rupees in any previous year shall at the time of receipt of such amount collect from the buyer, a sum equal to 0.1 percent of the sale consideration exceeding fifty lakhs as income tax. This provision is applicable only on those businesses whose turnover of Last F.Y. is more than Rs. 10Crs If the buyer has not provided PAN or Aadhar, then TCS rate will be 1%. Note : For F.Y. 2020-21 rate of TCS is 0.075%. This provision is not applicable if the buyer is: Ø       Central Government, state government, an embassy, a high commission, legation, commission, consulate and the trade representation of foreign state. ...

Section 16 read with Rule 37 ( 2 ) Non-Payment within 180 Days   The reversal of the ITC is based on the provisions given in Section 16 of the CGST Act,2017. Where a recipient fails to pay to the supplier of goods or services or both, other than the supplies on which tax is payable on reverse charge basis, the amount towards the value of supply along with tax payable thereon within a period of one hundred and eighty days  (180Days) from the date of issue of invoice by the supplier, an amount equal to the input tax credit availed by the recipient shall be added to his output tax liability, along with interest thereon, in such manner as may be prescribed.  As a dealer, you would have availed ITC on inward supplies. But if you fail to pay the invoice amount to the supplier within 180 days the ITC must be reversed. If part of the invoice is paid the ITC will be reversed on a proportionate basis. This means that the business must maintain the creditors aging and basi...