Arjuna (Fictional Character): Krishna, recently GST council meeting was held on 21st June, 2019, what was the agenda of the council meeting?
Krishna (Fictional Character): Arjuna, It was the first Council Meeting after new government came in force. Altogether, 12 Agenda items were discussed during the council meeting which ranged from changing tax rate, extension of due dates to introducing E-invoicing etc.
Arjuna: Krishna, What recommendations were made by the council?
Krishna: Arjuna recommendations in relation to following were made:
- It was recommended to introduce New Returns system which consists of FORM GST ANX-1 for large taxpayers (having aggregate turnover of more than Rs. 5 crores in previous year) & GST ANX-2 for small taxpayers.
- It was recommended to extend the due date of furnishing of FORM GSTR-9, FORM GSTR-9A, and FORM GSTR-9C due to difficulties being faced by taxpayers in furnishing the annual returns till 31.08.2019. Official notification would be released soon. This recommendation was much needed by the trade and industry.
- Extension of the due date of furnishing of FORM GST ITC-04 till 31.08.2019 was also recommended.
- Blocking of e-way bills on non-filing of returns for two consecutive tax periods was also recommended.
- Last date for filing intimation, in FORM GST CMP-02 (for opting under composition scheme) was recommended to be extended from 30.04.2019 to 31.07.2019.
Arjuna: Krishna, What other points were considered during the council meeting?
Krishna: Arjuna, The other things recommended by the council were
- Introduce electronic invoicing system in phase-wise manner for B2B transactions. Phase 1 is proposed to be voluntary and it shall be rolled out from Jan 2020. It would help tax authorities in combating the menace of tax evasion.
- The council has recommended to examine GST rates related to supply of following goods/services-
- Electrical Vehicles
- Solar Power Generating Systems and Wind Turbines
- Lottery
Arjuna: Krishna, What one should learn from this?
Krishna: The new government has brought along with many changes in GST. The recommendation to extend the due date was welcomed by the taxpayers and tax professionals. Change is law of nature. Let’s see how recommendations bring in simplicity under GST.
Author Bio
Maximum penalty for late filing of G S T returns for one year should be Rs.5,000/- ( Five thousand only) since many gst small dealer are not filing of their gst return due to heavy penalty.