Rule 86B of CGST, Goods and Services Tax - GST

[Komal Agarwal]

A registered person is exempted from provision of Rule 86B if he has already paid more than Rs one lakh as income tax. This amount should have been paid in each of the two preceding financial years for which the time limit to file return of income under subsection section 139(1) of the said Act has expired

Mr X, a proprietorship concern is following Rule 86B and discharging his GST liability accordingly. He has filed his Income tax return and paid an Income Tax for FY 2022-23 (AY 2023-24) Rs 1.50 lac during September 2023. He has also filed the Income tax return for FY 2023-24 (AY 2024-25) and paid the Income tax of Rs 2.50 lac during September 2024. The due date for Income tax return filling were 31.10.2023 and 31.10.2024 for FY 2022-23 and FY 2023-24 respectively.

Query : From which month’s GST return the Rule 86B will not be applicable to Mr X.