9911796707
TMI BlogNOTIFICATIONS ISSUED ON 05.07.2022 UNDER CENTRAL GOODS AND SERVICES TAX ACT, 2017X X X X Extracts X X X X X X X X Extracts X X X X ..... NOTIFICATIONS ISSUED ON 05.07.2022 UNDER CENTRAL GOODS AND SERVICES TAX ACT, 2017 - By: - Mr. M. GOVINDARAJAN - Goods and Services Tax - GST - Dated:- 7-7-2022 - - Recent Notifications The CBIC has issued the following notifications on 05.07.2022- Notification No. 09/2022- Central Tax, dated 05.07.2022 ; Notification No. 10/2022-Central Tax, dated 05.07.2022; Notification No. 11/2022-Central Tax, dated 05.07.2022; Notification No. 12/2022-Central Tax, dated 05.07.2022; Notification No. 13/2022-Central Tax, dated 05.07.2022; Notification No. 14/2022-Central Tax, dated 05.07.2022. Notification No. 09/2022-Central Tax Section 110 of Finance Act, 2022 amended section 49 of the Central Goods and Services Tax Act, 2017 ( Act for short). Section 110(c) of Finance Act, 2022 provides that a registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under this Act, to the electronic cash ledger. Section 111 of Finance Act, 2022 substitutes Section 50(3) . The newly substituted section 50(3) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... provides that where the input tax credit has been wrongly availed and utilized, the registered person shall pay interest on such input tax credit wrongly availed and utilized, at such rate not exceeding twenty-four per cent. as may be notified by the Government, on the recommendations of the Council, and the interest shall be calculated, in such manner as may be prescribed. Vide this Notification the Central Government appointed 05.07.2022 on which the provisions of section 110 and section 111 will come into effect. Notification No. 10/2022-Central Tax Section 44 of the Act provides for filing of Annual return by registered persons. The first proviso to this section provides that the Commissioner may, on the recommendations of the Council, by notification, exempt any class of registered persons from filing annual return under this section. Vide this Notification the Central Government gave exemption the registered person whose aggregate turnover in the financial year 2021-22 is up to Rs.2 crores, from filing annual return for the said financial year. Notification No. 11/2022- Central Tax The Composition Tax p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ayers shall furnish a statement, every quarter or, as the case may be, part thereof containing the details of payment of self-assessed tax in FORM GST CMP-08 of the Central Goods and Services Tax Rules, 2017 , till the 18 th day of the month succeeding such quarter. This notification inserted the fifth proviso. According to this proviso the composition tax payers shall furnish a statement, containing the details of payment of self-assessed tax in Form GST CMP-08 of the Central Goods and Services Tax Rules, 2017 for the quarter ending 30th June, 2022 till the 31.07.2022. Notification No. 12/2022-Central Tax Vide this notification the Central Government waived the late fee payable for delay in furnishing of Form GSTR-4 for the Financial Year 2021-22 under section 47 of the said Act for the period from the 01.05.2022 till the 28.07.2022. Notification No. 13/2022-Central Tax This notification seeks to extend dates of specified compliances in exercise of powers under section 168A of the Act. The Government, on the recommendations of GST Council- extends the time limit specified under sec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion 73(10) for issuance of order under section 73(9) of the Act, for recovery of tax not paid or short paid or of input tax credit wrongly availed or utilized, in respect of a tax period for the financial year 2017-18, up to the 30.09.2023; excludes the period from the 01.03.2020 to the 28.02.2022 for computation of period of limitation under section 73(10) of the said Act for issuance of order under section 73 (9) of the said Act, for recovery of erroneous refund; excludes the period from the 01.03.2020 to the 28.02.2022 for computation of period of limitation for filing refund application under section 54 or section 5 of the Act. This notification shall be deemed to have come into force with effect from the 01.03.2020. Notification No. 14/2022-Central Tax This notification amends the Goods and Services Tax Rules, 2017 . The details of amendments to the Rules are furnished as below- Revocation of cancelled registration Second proviso is inserted to Rule 21A(4). This proviso provides that where the registration has been suspended under sub-rule (2A) for contravention of the provisions contained in clause (b) or clause (c) of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sub-section (2) of section 29 and the registration has not already been cancelled by the proper officer under rule 22, the suspension of registration shall be deemed to be revoked upon furnishing of all the pending returns. Amendment to Rule 43 Rule 43 provides the manner of determination of input tax credit in respect of capital goods and reversal thereof in certain cases. The amendment inserted a new clause (d) in the Explanation I to Rule 43 provides that the the aggregate value of exempt supplies shall exclude the value of supply of Duty Credit Scrips specified in the notification of the Government of India, Ministry of Finance, Department of Revenue No. 35/2017-Central Tax (Rate), dated the 13.10.2017 . Tax invoice Rule 46 provides that a tax invoice shall be issued by the registered person containing the particulars indicated in this rule. The amendment inserts a new clause (s) to this Rule. The newly inserted Rule 46(s) provides that a declaration that invoice is not required to be issued in the manner specified under sub-rule (4) of rule 48 , in all cases where an invoice is issued, other than in the ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nner so specified under the said sub-rule (4) of rule 48 , by the taxpayer having aggregate turnover in any preceding financial year from 2017-18 onwards more than the aggregate turnover as notified under the said sub-rule (4) of rule 48 . The declaration to be given is- I/We hereby declare that though our aggregate turnover in any preceding financial year from 2017-18 onwards is more than the aggregate turnover notified under sub-rule (4) of rule 48 , we are not required to prepare an invoice in terms of the provisions of the said sub-rule. Erroneous refund The amendment inserted a new Rule 86(4B) which provides that where a registered person deposits the amount of erroneous refund sanctioned to him, under sub-section (3) of section 54 of the Act, or under sub-rule (3) of rule 96 , in contravention of sub-rule (10) of rule 96 , along with interest and penalty, wherever applicable, through Form GST DRC-03 , by debiting the electronic cash ledger, on his own or on being pointed out, an amount equivalent to the amount of erroneous refund deposited by the registered person shall be re-credited to the electronic credit ledger by the proper offi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cer by an order made in Form GST PMT-03A. Payment through electronic cash ledger Rule 87(3) provides the deposit of amount in electronic cash ledger may be made in any of the mode specified in this rule. The amendment added the following mode of payment- Unified Payment Interface (UPI) from any bank; Immediate Payment Services (IMPS) from any bank. Rule 87(5) provides that where the payment is made by way of National Electronic Fund Transfer or Real Time Gross Settlement mode from any bank, the mandate form shall be generated along with the challan on the common portal and the same shall be submitted to the bank from where the payment is to be made. The amendment inserted another mode viz. Immediate Payment Services for this purpose. The amendment inserted a new sub clause (14). The newly inserted Rule 87(14) provides that a registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under the Act to the electronic cash ledger for central tax or integrated tax of a distinct person as specified in sub-section (4) or, as the case may be, sub-secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on (5) of section 25 , in FORM GST PMT-09. No such transfer shall be allowed if the said registered person has any unpaid liability in his electronic liability register. Manner of calculating interest on delayed payment of tax The amendment inserted a new Section 88B. This section provides that in case where the supplies made during a tax period are declared by the registered person in the return for the said period and the said return is furnished after the due date in accordance with provisions of section 39 , except where such return is furnished after commencement of any proceedings under section 73 or section 74 in respect of the said period, the interest on tax payable in respect of such supplies shall be calculated on the portion of tax which is paid by debiting the electronic cash ledger, for the period of delay in filing the said return beyond the due date, at such rate as may be notified under section 50 (1). In all other cases, where interest is payable in accordance with section 50 (1) , the interest shall be calculated on the amount of tax which remains unpaid, for the period starting from the date on which such tax was due to be paid till the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... date such tax is paid, at such rate as may be notified under section 50(1) . In case, where interest is payable on the amount of input tax credit wrongly availed and utilized in accordance with section 50 (3) , the interest shall be calculated on the amount of input tax credit wrongly availed and utilized, for the period starting from the date of utilization of such wrongly availed input tax credit till the date of reversal of such credit or payment of tax in respect of such amount, at such rate as may be notified under said sub-section (3) of section 50 (3). The amendment also provides explanation for the purpose of the rules as detailed below- input tax credit wrongly availed shall be construed to have been utilized, when the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, and the extent of such utilization of input tax credit shall be the amount by which the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed. the date of utilization of such input tax credit shall be taken to be, - the date, on which the return is due to be furnished under section 39 or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the actual date of filing of the said return, whichever is earlier, if the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, on account of payment of tax through the said return; or the date of debit in the electronic credit ledger when the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, in all other cases. Refund Rule 89(1) provides that any person, except the persons covered under notification issued under section 55, claiming refund of any tax, interest, penalty, fees or any other amount paid by him, other than refund of integrated tax paid on goods exported out of India, may file, subject to the provisions of rule 10B , an application electronically in Form GST RFD-01 through the common portal, either directly or through a Facilitation Centre. The amendment inserted an Explanation to this rule. The newly inserted explanation provides the definition for s pecified officer. The expression specified officer is defined an authorized officer as defined under rule 2 of the Special Economic Zone Rules, 2006. Rule 89 (2) provides that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he application for refund shall be accompanied by any of the documentary evidences in Annexure 1 in Form GST RFD-01 , as applicable, to establish that a refund is due to the applicant. The amendment amended Rule 89(2)(b). After amendment this Rule provides that a statement containing the number and date of shipping bills or bills of export and the number and the date of the relevant export invoices, in a case where the refund is on account of export of goods other than electricity. The amendment inserted a new sub rule (ba) to Rule 89(2) . The newly inserted Rule 89(2)(ba) . This rule provides additional documentary evidence viz. - a statement containing the number and date of the export invoices, details of energy exported, tariff per unit for export of electricity as per agreement, along with the copy of statement of scheduled energy for exported electricity by Generation Plants issued by the Regional Power Committee Secretariat as a part of the Regional Energy Account under clause (nnn) of sub regulation 1 of Regulation 2 of the Central Electricity Regulatory Commission (Indian Electricity Grid Code) Regulations, 2010 and the copy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of agreement detailing the tariff per unit, in case where refund is on account of export of electricity. Rule 89(4) provides the formula for the refund of input tax credit in t he case of zero-rated supply of goods or services or both without payment of tax under bond or letter of undertaking in accordance with the provisions of section 16 (3) of the Integrated Goods and Services Tax Act, 2017 . The amendment inserts an Explanation to this Rule. The explanation provides that for the purposes of Rule 89(4) the value of goods exported out of India shall be taken as the Free on Board (FOB) value declared in the Shipping Bill or Bill of Export form, as the case may be, as per the Shipping Bill and Bill of Export (Forms) Regulations, 2017 ; or the value declared in tax invoice or bill of supply, whichever is less. The amendment changes the formula in Rule 89(5). The newly amended Rule 89(5) provides that in the case of refund on account of inverted duty structure, refund of input tax credit shall be granted as per the following formula- Maximum Refund Amount = {(Turnover of inverted rated supply of goods and services) x Net ITC Adjust ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed Total Turnover} - ―{tax payable on such inverted rated supply of goods and services x (Net ITC ITC availed on inputs and input services)}. Omission of Rule 95A Rule 95A provides for refund of taxes to the retail outlets established in departure area of an international Airport beyond immigration counters making tax free supply to an outgoing international tourist. The amendment omitted this Rule with effect from 01.07.2019. Refund of integrated tax Rule 96(1)(b) provides that the shipping bill filed by an exporter of goods shall be deemed to be an application for refund of integrated tax paid on the goods exported out of India and such application shall be deemed to have been filed only when the applicant has furnished a valid return in Form GSTR-3 or Form GSTR-3B , as the case may be. The amendment requires only Form GSTR 3B. The amendment also inserts a proviso to this Rule. The proviso provides that if there is any mismatch between the data furnished by the exporter of goods in Shipping Bill and those furnished in statement of outward supplies in Form GSTR-1, such application for r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... efund of integrated tax paid on the goods exported out of India shall be deemed to have been filed on such date when such mismatch in respect of the said shipping bill is rectified by the exporter. The amendment inserts 96(4)(c). The newly inserted 96(4)(c) provides that the claim for refund shall be withheld where the Commissioner in the Board or an officer authorized by the Board, on the basis of data analysis and risk parameters, is of the opinion that verification of credentials of the exporter, including the availment of ITC by the exporter, is considered essential before grant of refund, in order to safeguard the interest of revenue. The amendment omitted Rule 96(5), 96(6) and 96(7). The amendment inserted new sub rules viz. 96(5A), (5B) and (5C) . The newly inserted Rule 96(5A) provides that where refund is withheld in accordance with the provisions of clause (a) or clause (c) of sub-rule (4), such claim shall be transmitted to the proper officer of Central tax, State tax or Union territory tax, as the case may be, electronically through the common portal in a system generated Form GST RFD-01 and the intimation of such transmission shall also be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sent to the exporter electronically through the common portal, and notwithstanding anything to the contrary contained in any other rule, the said system generated form shall be deemed to be the application for refund in such cases and shall be deemed to have been filed on the date of such transmission. The newly inserted Rule 96(5B) provides that where refund is withheld in accordance with the provisions of clause (b) of sub-rule (4) and the proper officer of the Customs passes an order that the goods have been exported in violation of the provisions of the Customs Act, 1962 , then, such claim shall be transmitted to the proper officer of Central tax, State tax or Union territory tax, as the case may be, electronically through the common portal in a system generated Form GST RFD-01 and the intimation of such transmission shall also be sent to the exporter electronically through the common portal, and notwithstanding anything to the contrary contained in any other rule, the said system generated form shall be deemed to be the application for refund in such cases and shall be deemed to have been filed on the date of such transmission. The newly inserted Rule 96(5C) prov ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ides that the application for refund in FORM GST RFD-01 transmitted electronically through the common portal in terms of sub-rules (5A) and (5B) shall be dealt in accordance with the provisions of rule 89 . Amendment to forms The amendment makes amendments to the following forms- Form GSTR 3B ; Form GSTR 9 ; Form GSTR 9C ; New Form GST PMT 03A ; Form GST PMT 06 ; Form GST PMT 07 ; Form GST PMT 09 ; Form GST RFD 01 ; Omission of Form GST RFD 10 with effect from 01.07.2019. - - Scholarly articles for knowledge sharing authors experts professionals Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
