1. Finance (No. 2) Act, 2019 (23 of 2019)- (Part 2/3)
Government enacted the Finance (No. 2) Act, 2019 wef 01.08.2019. Section 92 to Section 112 under Chapter-IV of said Act, deal with the provisions of Central Goods and Service TAX (CGST) Act. Out of 21 sections which have been amended through Finance (No. 2) Act, 2019 only 13 sections have been enacted under CGST Act, 2017 so far. Rest of the sections are still not enacted and are not in use.
| Total Sections amended | 21 |
| Total Sections enacted | 13 |
| Total Sections pending for enactment | 08 |
| Notifications issued for enactment | Notification No. 39/2019–Central Tax dt 31.08.2019 |
| Notification No. 01/2020–Central Tax dt 01.01.2020 | |
| Notification No. 63/2020–Central Tax dt 25.08.2020 | |
| Notification No. 81/2020–Central Tax dt 10.11.2020 |
Section wise details are narrated as under:
| Sr No | Finance (No. 2) Act, 2019 (23 of 2019) | CGST ACT, 2017 | Remarks |
| 1 | Section 92 | Section 2(4) | For amended section see note: 01
(amendments have been underlined and are in bold text) |
| 2 | Section 104(i)(a)(b) & (ii) | Section 95(a)& (f) | For amended section see note:02
(amendments have been underlined and are in bold text) |
| 3 | Section 105 | Section 101A, 101B &101C | New sections inserted after Section 100. See note:03 |
| 4 | Section 106(a), (b) & (c) | Section 102 | For amended section see note:04
(amendments have been underlined and are in bold text) |
| 5 | Section 107 | Section 103(1A) | New sections inserted after Section 103(1). See note:05 |
| 6 | Section 108(a) & (b) | Section 104 | For amended section see note:06
(amendments have been underlined and are in bold text) |
| 7 | Section 109(a),(b)& (c) | Section 105(1)&(2) | For amended section see note:07
(amendments have been underlined and are in bold text) |
| 8 | Section 110 | Section 106 | For amended section see note:08
(amendments have been underlined and are in bold text) |
| 9 | Section 113 | Section 11(1) | For amended section see note:09 enacted wef 01.08.2019
(amendments have been underlined and are in bold text) |
Note:01- Section 2(4):
“adjudicating authority” means any authority, appointed or authorised to pass any order or decision under this Act, but does not include the Central Board of Indirect Taxes and Customs, the Revisional Authority, the Authority for Advance Ruling, the Appellate Authority for Advance Ruling, the National Appellate Authority for Advance Ruling, the Appellate Authority, the Appellate Tribunal and the Authority referred to in sub-section (22) of section 71;
Note:02- Section 95(a):
“advance ruling” means a decision provided by the Authority or the Appellate Authority or the National Appellate Authority to an applicant on matters or on questions specified in sub-section (2) of section 97 or sub-section (1) of section 100 or of section 101C, in relation to the supply of goods or services or both being undertaken or proposed to be undertaken by the applicant;
95(f): “National Appellate Authority” means the National Appellate Authority for Advance Ruling referred to in section 101A.
Note:03- Section 101A: Constitution of National Appellate Authority for Advance Ruling
(1) The Government shall, on the recommendations of the Council, by notification, constitute, with effect from such date as may be specified therein, an Authority known as the National Appellate Authority for Advance Ruling for hearing appeals made under section 101B.
(2) The National Appellate Authority shall consist of—
- the President, who has been a Judge of the Supreme Court or is or has been the Chief Justice of a High Court, or is or has been a Judge of a High Court for a period not less than five years;
(ii) a Technical Member (Centre) who is or has been a member of Indian Revenue (Customs and Central Excise) Service, Group A, and has completed at least fifteen years of service in Group A;
(iii) a Technical Member (State) who is or has been an officer of the State Government not below the rank of Additional Commissioner of Value Added Tax or the Additional Commissioner of State tax with at least three years of experience in the administration of an existing law or the State Goods and Services Tax Act or in the field of finance and taxation.
(3) The President of the National Appellate Authority shall be appointed by the Government after consultation with the Chief Justice of India or his nominee:
Provided that in the event of the occurrence of any vacancy in the office of the President by reason of his death, resignation or otherwise, the senior most Member of the National Appellate Authority shall act as the President until the date on which a new President, appointed in accordance with the provisions of this Act to fill such vacancy, enters upon his office:
Provided further that where the President is unable to discharge his functions owing to absence, illness or any other cause, the senior most Member of the National Appellate Authority shall discharge the functions of the President until the date on which the President resumes his duties.
(4) The Technical Member (Centre) and Technical Member (State) of the National Appellate Authority shall be appointed by the Government on the recommendations of a Selection Committee consisting of such persons and in such manner as may be prescribed.
(5) No appointment of the Members of the National Appellate Authority shall be invalid merely by the reason of any vacancy or defect in the constitution of the Selection Committee.
(6) Before appointing any person as the President or Members of the National Appellate Authority, the Government shall satisfy itself that such person does not have any financial or other interests which are likely to prejudicially affect his functions as such President or Member.
(7) The salary, allowances and other terms and conditions of service of the President and the Members of the National Appellate Authority shall be such as may be prescribed:
Provided that neither salary and allowances nor other terms and conditions of service of the President or Members of the National Appellate Authority shall be varied to their disadvantage after their appointment.
(8) The President of the National Appellate Authority shall hold office for a term of three years from the date on which he enters upon his office, or until he attains the age of seventy years, whichever is earlier and shall also be eligible for reappointment.
(9) The Technical Member (Centre) or Technical Member (State) of the National Appellate Authority shall hold office for a term of five years from the date on which he enters upon his office, or until he attains the age of sixty-five years, whichever is earlier and shall also be eligible for reappointment.
(10) The President or any Member may, by notice in writing under his hand addressed to the Government, resign from his office:
Provided that the President or Member shall continue to hold office until the expiry of three months from the date of receipt of such notice by the Government, or until a person duly appointed as his successor enters upon his office or until the expiry of his term of office, whichever is the earliest.
(11) The Government may, after consultation with the Chief Justice of India, remove from the office such President or Member, who—
(a) has been adjudged an insolvent; or
(b) has been convicted of an offence which, in the opinion of such Government involves moral turpitude; or
(c) has become physically or mentally incapable of acting as such President or Member; or
(d) has acquired such financial or other interest as is likely to affect prejudicially his functions as such President or Member; or
(e) has so abused his position as to render his continuance in office prejudicial to the public interest:
Provided that the President or the Member shall not be removed on any of the grounds specified in clauses (d) and (e), unless he has been informed of the charges against him and has been given an opportunity of being heard.
(12) Without prejudice to the provisions of sub-section (11), the President and Technical Members of the National Appellate Authority shall not be removed from their office except by an order made by the Government on the ground of proven misbehaviour or incapacity after an inquiry made by a Judge of the Supreme Court nominated by the Chief Justice of India on a reference made to him by the Government and such President or Member had been given an opportunity of being heard.
(13) The Government, with the concurrence of the Chief Justice of India, may suspend from office, the President or Technical Members of the National Appellate Authority in respect of whom a reference has been made to the Judge of the Supreme Court under sub-section (12).
(14) Subject to the provisions of article 220 of the Constitution, the President or Members of the National Appellate Authority, on ceasing to hold their office, shall not be eligible to appear, act or plead before the National Appellate Authority where he was the President or, as the case may be, a Member.
Section 101B: Appeal to National Appellate Authority
101B. (1) Where, in respect of the questions referred to in sub-section (2) of section 97, conflicting advance rulings are given by the Appellate Authorities of two or more States or Union territories or both under sub-section (1) or sub-section (3) of section 101, any officer authorised by the Commissioner or an applicant, being distinct person referred to in section 25 aggrieved by such advance ruling, may prefer an appeal to National Appellate Authority:
Provided that the officer shall be from the States in which such advance rulings have been given.
(2) Every appeal under this section shall be filed within a period of thirty days from the date on which the ruling sought to be appealed against is communicated to the applicants, concerned officers and jurisdictional officers:
Provided that the officer authorised by the Commissioner may file appeal within a period of ninety days from the date on which the ruling sought to be appealed against is communicated to the concerned officer or the jurisdictional officer:
Provided further that the National Appellate Authority may, if it is satisfied that the appellant was prevented by a sufficient cause from presenting the appeal within the said period of thirty days, or as the case may be, ninety days, allow such appeal to be presented within a further period not exceeding thirty days.
Explanation.–– For removal of doubts, it is clarified that the period of thirty days or as the case may be, ninety days shall be counted from the date of communication of the last of the conflicting rulings sought to be appealed against.
(3) Every appeal under this section shall be in such form, accompanied by such fee and verified in such manner as may be prescribed.
Section 101C: Order of National Appellate Authority.
101C. (1) The National Appellate Authority may, after giving an opportunity of being heard to the applicant, the officer authorised by the Commissioner, all Principal Chief Commissioners, Chief Commissioners of Central tax and Chief Commissioner and Commissioner of State tax of all States and Chief Commissioner and Commissioner of Union territory tax of all Union territories, pass such order as it thinks fit, confirming or modifying the rulings appealed against.
(2) If the members of the National Appellate Authority differ in opinion on any point, it shall be decided according to the opinion of the majority.
(3) The order referred to in sub-section (1) shall be passed as far as possible within a period of ninety days from the date of filing of the appeal under section 101B.
(4) A copy of the advance ruling pronounced by the National Appellate Authority shall be duly signed by the Members and certified in such manner as may be prescribed and shall be sent to the applicant, the officer authorised by the Commissioner, the Board, the Chief Commissioner and Commissioner of State tax of all States and Chief Commissioner and Commissioner of Union territory tax of all Union territories and to the Authority or Appellate Authority, as the case may be, after such pronouncement.
Note:04- Section 102
The Authority or the Appellate Authority or the National Appellate Authority may amend any order passed by it under section 98 or section 101 or section 101C, respectively, so as to rectify any error apparent on the face of the record, if such error is noticed by the Authority or the Appellate Authority or the National Appellate Authority on its own accord, or is brought to its notice by the concerned officer, the jurisdictional officer, the applicant, 117 [appellant, the Authority.
Note:05- Section 103(1A)
(1A) The advance ruling pronounced by the National Appellate Authority under this Chapter shall be binding on—
(a) the applicants, being distinct persons, who had sought the ruling under sub-section (1) of section 101B and all registered persons having the same Permanent Account Number issued under the Income-tax Act, 1961;
(b) the concerned officers and the jurisdictional officers in respect of the applicants referred to in clause (a) and the registered persons having the same Permanent Account Number issued under the Income-tax Act, 1961.
Note:06- Section 104
(1) Where the Authority or the Appellate Authority or the National Appellate Authority ] finds that advance ruling pronounced by it under sub-section (4) of section 98 or under sub-section (1) of section 101 or under section 101C has been obtained by the applicant or the appellant by fraud or suppression of material facts or misrepresentation of facts, it may, by order, declare such ruling to be void ab-initio and thereupon all the provisions of this Act or the rules made thereunder shall apply to the applicant or the appellant as if such advance ruling had never been made:
Provided that no order shall be passed under this sub-section unless an opportunity of being heard has been given to the applicant or the appellant
Note:07- Section 105 : Power of Authority, Appellate Authority or the National Appellate Authority
(1) The Authority or the Appellate Authority or the National Appellate Authority shall, for the purpose of exercising its powers regarding—
(a) discovery and inspection;
(b) enforcing the attendance of any person and examining him on oath;
(c) issuing commissions and compelling production of books of account and other records, have all the powers of a civil court under the Code of Civil Procedure, 1908.
(2) The Authority or the Appellate Authority or the National Appellate Authority shall be deemed to be a civil court for the purposes of section 195, but not for the purposes of Chapter XXVI of the Code of Criminal Procedure, 1973, and every proceeding before the Authority or the Appellate Authority shall be deemed to be a judicial proceedings within the meaning of sections 193 and 228, and for the purpose of section 196 of the Indian Penal Code.
Note:08- Section 106 : Procedure of Authority, Appellate Authority and National Appellate Authority
The Authority or the Appellate Authority or the National Appellate Authority shall, subject to the provisions of this Chapter, have power to regulate its own procedure.
Note:09- Section 11 (1)
The following S. No. and the entries shall be inserted after entry no 103 and shall deemed to have been inserted retrospectively with effect from the 1st day of July, 2017, namely:—
| 1 | 2 | 3 |
| 103A | 26 | Uranium Ore Concentrate |
2A. Finance Act (No. 02) 2019– Integrated Goods and Services Tax (Amendment) Act, 2019 (23 of 2019) – enacted wef 01.08.2019
| Sr No | Finance (No. 2) Act, 2019 (23 of 2019) | IGST ACT, 2017 | Remarks |
| 1 | Section 115 | Section 6(1) | For amended section see note:01
(amendments have been underlined and are in bold text) |
Note:01- Section 6 (1)
The following S. No. and the entries shall be inserted after entry no 103 and shall deemed to have been inserted retrospectively with effect from the 1st day of July, 2017, namely:—
| 1 | 2 | 3 |
| 103A | 26 | Uranium Ore Concentrate |
Also Read:
1. GST-Sections not enacted yet -part-3/3
2. GST :Sections not enacted – part-2/3
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