Key take-outs from the 17th Meeting of GST Council held on 18th June:
1. Implementation of GST from 1st July:
GST Council ruled out any delay for GST roll out and categorically decided to implement GST from 1st July. The official implementation of GST will take place on the midnight of June 30th and July 1st in an official ceremony to be held on the same day.
2. Alternate return in summary form in Form GSTR-3B for first 2 months:
A summary return form in GSTR-3B will required to be filed on self-declaration basis for first 2 month i.e. July and August by 20th day of next month. I.e. for the month of July, a summary return needs to be filed by 20th august after paying appropriate taxes, and for the month of August, the same needs to filed by 20th September.
3. Extension in time limit for filing regular GST return i.e. Form GSTR-1, 2 and 3:
GSTR-1 with invoice level details needs to be filed:
GSTR-2 and GSTR-3 for these 2 months will be filed thereafter.
4. Reduced tax rate for hotels with tariff between 5000-7500:
Reduced tax rate of 18% will apply on the hotels with tariff between Rs. 5000 to Rs. 7500. Restaurants in these hotels will also be taxable at 18%.
5. Tax rate on Lotteries:
State-run lotteries will be taxed at 12%
Private lotteries will be taxed at 18
6. Negative List of Composition Scheme
Only 3 products have been added in negative list of Composition Scheme, which means for following 3 products composition scheme will not be available.
7. Implementation of E-way bill:
E-way bill implementation will be deferred and will be implemented later on once the rules for same will finalized. Till that time, an alternate e-way bill will be introduced to allow the state with their current system.
8. IGST rate of 5% on Ship with full ITC will be applicable.
9. Approval of 6 sets of rules: 6 sets of rules including anti-profiteering rule have been approved.
10. New Registration in GST will be commenced from 25th June 2017