New Functionalities made available for Taxpayers on GST Portal in June, 2021

User experience is the key and keeping in this in mind, new features have been added to the GST portal constantly and some of the new Functionalities were made available for Taxpayers on GST Portal in June, 2021. They are

  1. Moving the records saved in IFF, to later months of same Quarter, by taxpayers under QRMP Scheme

There can be cases where the QRMP Taxpayers have entered the data in the IFF but not submitted. In such cases the records which are saved and not submitted/filed can be moved from one period to another period as well as moved from various periods of the Quarter to GSTR – 1 while filing the return.

• Taxpayers can now MOVE the records saved in their IFF of first month of a quarter (if the time for filing it has expired) to IFF of second month of the quarter.
• Taxpayers can also MOVE the records saved in IFF of first month & second month of the quarter (if the time for filing it has expired) to their quarterly Form GSTR-1 (of the same quarter). Please note that the records can be moved only within a quarter.
• While preparing IFF/GSTR-1 (of later months of same quarter) online, in case of saved records, taxpayers will get a pop-up prompting them to either MOVE the records by selecting YES or delete them by selecting NO.

2. Auto population of GSTR-3B liability, for taxpayers under QRMP Scheme, from their IFF and GSTR 1

The tax liability in the case of QRMP taxpayer, it will be auto populated from IFF filed during the months to GSTR – 3B. This will ensure that there are not data entry errors and correct liability gets reported.

3. Filing for refund of accumulated ITC by taxpayers making exempt/ nil-rated supplies, by selecting an option of not having an LUT number in the refund application

Exports are Zero rated supplies under GST and the exporters have an option to invoice with payment of taxes or without payment of taxes. In cases where the invoice is issued without payment of taxes, the taxpayer has to file a refund application separately to claim the accumulated input tax credit in the electronic credit ledger.

To claim refund, in the Form RFD – 01, the taxpayer has to enter the Letter of Under Taking Number currently. From this month onwards the taxpayers now an option to select any one of the following

• I have a valid LUT number.
• I don’t have a valid LUT number, since I am making only exempt/ nil rated supplies

The above mentioned are the new features added for the taxpayers on the GST portal to provide better user experience. Since auto population is machine driven, it is recommended to cross check the values auto populated before filing for the accuracy. In case of any differences, the values can be over written and correct values should be entered.

Major Changes in GST Portal

For providing better user experience and new features are being added on the GST portal from time to time by the GSTN. Some of the important feature added on the GSTN portal are listed below

  1. Same Jurisdictional Authority in case of an applicant files a new application where it is canceled previously.

Applicants who are applying for registration again, in the previous cases where their registration is canceled by the applicant himself or suo-moto, the new GST registration application filed will be assigned to the same jurisdictional officer who has canceled it.

2. Aadhar Authentication enabled on SPICe -AGILE Form on MCA Portal.

As part of ease of doing business, SPICe -AGILE Form is introduced where multiple registrations can be obtained in a single form by the MCA for the newly established companies. Now Aadhar Authentication is also enabled on the SPICe -AGILE Form.

3. RESET button enabled on GST Portal for Form GSTR-1/ IFF (Invoice Furnishing Facility.

Normal taxpayers, irrespective of their filing profile (quarterly or monthly), have now been provided with a RESET button on the GST Portal, in Form GSTR-1/IFF. This will enable them to delete the entire saved data for the specific return period but not yet submitted or filed their Form GSTR-1/IFF.

4. Reporting and payment of taxes in GSTR-5A

Now taxpayers registered under OIDAR Category can declare and pay interest and other amounts in GSTR-5A.

5. Filing of the refund application by the exporter of services for exports with payment of taxes on account of foreign exchange fluctuations.

The system earlier validated the refund amount claimed by the exporter of services (with payment of tax) against the proceeds realized (against exports, as submitted by the claimant in the Form of FIRC). If the value realized in the BRC/FIRC column was less than the refund amount claimed, such taxpayers could not file their refund application on GST Portal. This validation has now been removed, and the taxpayer will be able to file a refund application now in such cases (As the value realized in BRC/FIRC may fluctuate due to foreign exchange fluctuations, and net realization may be less than the refund amount).

6. Enabling Audit Functionalities on GST portal

Now taxpayers can view and see the department’s notices and reports related to audit under the tab “Additional Notices and Orders.”

Taxpayers can reply to the notices

Taxpayers can apply for an adjournment of or for extension of the audit date to the jurisdictional officer or Audit officer.

The taxpayer can accept/reject/pay the liabilities, discrepancy-wise, as outlined in the Notice for Discrepancies or Addl. Notice for Discrepancies (if any) or in Audit Report (Form GST ADT-02).

7. Changes in Search Tax Payer functionality

In the search taxpayer functionality, now the users can see the status of the Aadhar Authentication or e-KYC status of the searched GSTIN

42nd GST Council Meeting Updates

Recommendations of the 42nd GST Council Meeting

The 42nd GST Council met under the Chairmanship of Union Finance & Corporate Affairs Minister Smt Nirmala Sitharaman through video conferencing here today. The meeting was also attended by Union Minister of State for Finance & Corporate Affairs Shri Anurag Thakur besides Finance Ministers of States & UTs and senior officers of the Ministry of Finance& States/ UTs.

The GST Council has made the following recommendations:

1. Levy of Compensation Cess to be extended beyond the transition period of five years i.e. beyondJune, 2022, for such period as may be required to meet the revenue gap. Further details to be worked out.

  • Centre is releasing compensation of ₹ 20,000 crore to States today towards loss of revenue during 2020-21 and an amount of about ₹ 25,000 crore towards IGST of 2017-18 by next week.
  • Enhancement in features of return filing:In its 39th Meeting held in March 2020, the Council hadrecommendedan incremental approach to incorporate features of the new return system in the present familiar GSTR-1/3B scheme. Various enhancements have since been made available on the GST Common Portal. With a view to further enhance Ease of Doing Business and improve the compliance experience, the Council has approved the future roadmap for return filing under GST. The approved frameworkaims to simplify return filing and further reduce the taxpayer’s compliance burden in this regard significantly, such that the timely furnishing of details of outward supplies (GSTR-1) by ataxpayer and his suppliers would –(i) allow him to view the ITC available in his electronic credit ledger from all sources i.e. domestic supplies, imports and payments on reverse charge etc. prior to the due date for payment of tax, and (ii) enable the system to auto-populate return (GSTR-3B)through the data filed by the taxpayer and all his suppliers. In other words, the timely filing of GSTR-1 statement alone would be sufficient as the return in FORM GSTR-3B would get auto prepared on the common portal.To this end the Council recommended / decided the following:
  1. Due date of furnishing quarterly GSTR-1 by quarterly taxpayers to be revised to 13th of the month succeeding the quarterw.e.f. 01.1.2021;
  • Roadmap for auto-generation of GSTR-3B from GSTR-1s by:
  1. Auto-population of liability from own GSTR-1 w.e.f. 01.01.2021; and
  1. Auto-population of input tax credit from suppliers’ GSTR-1s through the newly developed facility in FORM GSTR-2B for monthly filers w.e.f. 01.01.2021 and for quarterly filers w.e.f. 01.04.2021;
  • In order to ensure auto population of ITC and liability in GSTR 3B as detailed above, FORM GSTR 1would be mandatorily required to be filed before FORM GSTR3Bw.e.f. 01.04.2021.
  • The present GSTR-1/3B return filing system to be extended till 31.03.2021 and the GST laws to be amended to make the GSTR-1/3B return filing system as the default return filing system.
  • As a further step towards reducing the compliance burden particularly on the small taxpayers having aggregate annual turnover < Rs. 5 cr., the Council’s earlier recommendation of allowing filing of returns on a quarterly basis with monthly payments by such taxpayers to be implemented w.e.f. 01.01.2021. Such quarterly taxpayers would, for the first two months of the quarter, have an option to pay


35% of the net cash tax liability of the last quarter using an auto generated challan.

  • Revised Requirement of declaring HSN for goods and SAC for services in invoices and in FORM GSTR-1w.e.f. 01.04.2021 as under:
  1. HSN/SAC at 6 digits for supplies of both goods and services for taxpayers with aggregate annual turnover above Rs. 5 crores;
  • HSN/SAC at 4 digits for B2B supplies of both goods and services for taxpayers with aggregate annual turnover upto Rs. 5 crores;
  • Government to have power to notify 8 digit HSN on notified class of supplies by all taxpayers.
  • Amendment to the CGST Rules: Variousamendments in the CGST Rules and FORMS have beenrecommended which includes provision for furnishing of Nil FORM CMP-08 through SMS.
  • Refund to be paid/disbursed in a validated bank account linked with the PAN &Aadhaar of the registrant w.e.f. 01.01.2021.
  • To encourage domestic launching of satellites particularly by young start-ups, the satellite launch services supplied by ISRO, Antrix Corporation Ltd. and NSIL would be exempted.

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Note:- The decisions of the GST Council have been presented in this note in simple language for easy understanding. The same would be given effect to through Gazette notifications/ circulars which alone shall have force of law.

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RM/KMN

(Release ID: 1661827)

26th Meeting of the GST Council meets & decides Extension of tax exemptions for exporters for six months

Sending a strong positive signal to the exporting community, the GST Council in its 26thmeeting held here today decided to extend the available tax exemptions on imported goods for a further 6 months beyond 31.03.2018. Thus, exporters presently availing various export promotion schemes can now continue to avail such exemptions on their imports upto 01.10.2018, by which time an e-Wallet scheme is expected to be in place to continue the benefits in future.

In a related development which would benefit the exporters, the Council reviewed the progress in grant of refunds to exports of both IGST and Input Tax Credit.  The Council appreciated that the pace of grant of IGST refund has picked up. Thereafter, the Council directed GSTN to expeditiously forward the balance refund claims to the Customs/Central GST/State GST authorities, as the case may be, for their immediate sanction and disbursal.

It may be recalled that in its meeting held on 06.10.2017 the Council had noted that exporters are experiencing difficulties of cash blockage on account of having to upfront pay GST / IGST on the inputs, raw materials etc. / finished goods imported / procured for purposes of exports. An interim solution was found by re-introducing the pre-GST tax exemptions on such imports. Additionally, for merchant exporters a special scheme of payment of GST @ 0.1% on their procured goods was introduced. Also, domestic procurement made under Advance Authorization, EPCG and EOU schemes were recognized as ‘deemed exports’ with flexibility foreither the suppliers or the exporters being able to claim a refund of GST / IGST paid thereon. All these avenues were made available upto 31.03.2018.

The permanent solution agreed to by the Council was to introduce an e-Wallet scheme w.e.f. 01.04.2018. The e-Wallet scheme is basically the creation of electronic e-Wallets, which would be credited with notional or virtual currency by the DGFT. This notional / virtual currency would be used by the exporters to make the payment of GST / IGST on the goods imported / procured by them so their funds are not blocked.

On 16.12.2017, Finance Secretary constituted a Working Group with representatives of Central and State Governments to operationalize the e-Wallet scheme. After reviewing the progress, the Council noted that whereas some preparatory work had been done, more needs to be done to address a large number of technical, legal and administrative issues that have been identified. The Council appreciated that this would require more time. The Council was also unanimous that there should be no disruption that may affect the exports. Accordingly, the Councilagreed to:

(a)        Defer the implementation of the e-Wallet scheme by 6 months i.e., upto 01.10.2018; and

(b)        Extend the present dispensation in terms of exemptions etc. which is available up to 31.03.2018, for a further 6 months i.e., upto 01.10.2018.

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DM/RM/SS

 

(Release ID: 1523716) Visitor Counter : 1621

All about E-waybills, Refunds and Anti-Profiteering provisions in GST

About The Event

India-gst.in is coming up with a series of sessions on latest changes in GST and as part of it, the first session is being held in Hyderabad on 7th March 2018. Eminent speakers are being invited to address the sessions. 

It will be useful to executives, professionals and key decision makers in the organization as the topics covered are of primary importance under GST like E-waybills, Refunds and Anti-profiteering provisions in GST.

Session – 1  E-waybill by MR. ROHIT KUMAR SINGH, Indirect Tax Consultant

E-waybills for an interstate movement of goods above Rs 50,000 under GST using the central portal. Topics to be covered are

  • Introduction of e-Way Bill
  • Why is e-Way bill required
  • When should e-Way Bill be issued?
  • Cases when e-Way bill is Not Required
  • Who should Generate an e-Way bill
  • States that have Notified e-Way Bill
  • Processes involved in generation of web-based e-Way Bill
  • Practical demo of E Way Bill generation – Thru excel tool
  • Validity of e-Way Bill
  • Documents required to generate e-Way Bill
  • Enabling the various modes of the e-Way Bill generation
  • Physical check on e-Way bill

— Lunch Break —

Session II – Refunds by CMA Bhogavallli Mallikarjuna Gupta, Founder India-gst.in

  • Refunds – Law and documentation
  • Refund on excess balance in electronic credit ledger
  • Refund on export of goods and services with payment of IGST
  • Refund on export of goods and services without payment of IGST
  • Refund on deemed exports
  • Refund on supplies to SEZ – with/without payment of duties

Session III – Anti Profiteering by CMA Bhogavallli Mallikarjuna Gupta, Founder India-gst.in

  • Anti-Profiteering Meaning
  • Rules
  • Documents to be verified

The venue will be announced shortly as our logistics partners are working on it to provide the best experience.

About Speakers
 
Mr. Rohit Kumar Singh
Head GST Suvidha Provider – Karvy Data Management Services Limited
Co-authored a book on Company Law Matters
Speaker – ASSOCHAM, FTAPCCI, Industry associations, T-HUB, 91 Springboards, ICAI, ICMAI, Calcutta Management Association, etc.
Faculty for Indirect tax for ICAI and GST Certificate course for ICMAI

CMA Bhogavalli Mallikarguna Gupta
Advisor, Speaker, and Author on Indian GST
Founder and Chief Editor of http://www.india-gst.in
Director – Business Advisory Services, Procode Softech Pvt Ltd
Resource Person – ICAI Taxation
Special Invitee – GST and Customs Committee at FTAPCCI
National Advisory and Governing Body member at MSME World

GST Tip – 424

Taxpayers can now claim the refund of the tax amounts using the refund application online for the refund amount raised “On account of Assessment / Provisional Assessment /  Appeal / Any other Order.

Refund on provisional assessement

GST Tip – 394

New rule 97A has been added wide Notification No 55 – Central Tax  for processing of refunds manually in Chapter X after Rule No 97. As per Rule 97A, for refunds processing  or procedure, including the manual filing of the refund application, intimation, reply, declaration, statement or issuance of the said notice, order or certificate in such Forms as appended to these rules.”

GST Tip – 348

The taxpayer can give a representation in FORM GST DRC-06 under Sub-section 9, Section 74 of CGST Act 2017 for the Show Cause Notice issued on the grounds for tax not paid or short paid or availed input tax credit wrongly or for refund issued erroneously.

GST Tip – 265

Notification No. 15/2017-Central Tax (Rate), refund of unutilized input tax credit is not   is not allowed for the services given in subitem (b) of item 5 of Schedule II of the Central Goods and Services Tax Act, i.e construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after issuance of completion certificate, where required, by the competent authority or after its first occupation, whichever is earlier.

GST Tip – 262

Notification No.5/2017-Central Tax (Rate) dated 28th June 2017 provides the list of items under various chapters where the refund of excess credit is not eligible in cases where the input tax is greater than the outward supplies. http://india-gst.in/wp-content/uploads/2017/06/Rate-5-2017.pdf