Another Council meeting held in Hyderabad on September 9, 2017, headed by Finance Minister Arun Jaitley concluded various changes. Major changes are being discussed below:
#Extension of due dates for filing Returns:
For the month of July:
| Details/Returns | Revised due date |
| GSTR-1 | Oct 10, 2017* |
| GSTR-2 | Oct 31, 2017 |
| GSTR-3 | Nov 10, 2017 |
| GSTR-6 | Oct 13, 2017 |
*For registered persons with aggregate turnover of more than Rs. 100 crores, the due date shall be Oct 3, 2017.
#Extension for filing GSTR 3B
GSTR 3B will continue to be filed for the months of August to December, 2017.
#Extension for filing Form GST TRAN- 1 & Revision
The due date for submission of Form GST TRAN-1 has been extended by one month i.e. October 31, 2017. It can also be revised for once.
#Commencement of registration for TDS & TCS
The registration for persons liable to deduct tax at source (TDS) & collect tax at source (TCS) will commence from 18th September, 2017.
#Setting up of Committee for exports
The GST council has decided to set up a committee consisting of officers from both the Centre & the States under the chairmanship of the Revenue Secretary to examine the issues related to exports.
#Related to Job work
Presently, a job worker making inter state taxable supply of job work service is not eligible for threshold exemption of Rs. 20lacs (Rs. 10 lacs in special category States except J & k) and is liable for registration. It has been decided to exempt those job workers from obtaining registration who are making inter State taxable supply of job work service to a registered person as long as the goods move under the cover of an e-way bill, irrespective of the value of consignment. This exemption will not be available to job work in relation to jewellery, goldsmiths’ & silversmiths’ wares as covered under chapter 71 which do not require e-way bill.
Extension to opt composition scheme
A registered person (whether migrated or new registrant), who could not opt for composition scheme, shall be given the option to avail composition till 30th September, 2017 and such registered person shall be permitted to avail the benefit of composition scheme with effect from 1st October, 2017.
#Cess on motor vehicles
| Type of motor vehicles | Raised by |
| Mid size cars | 2% |
| Large cars | 5% |
| Sports utility vehicle | 7% |
Car prices had dropped by up to Rs 3 lakh as the tax rates fixed under the GST that came into effect from July 1, was lower than the combined central and state taxes in the pre-GST days.
#Exemption for Khadi fabric
It was also decided that if khadi fabric sold through KVIC outlets have been exempted from the levy of GST.
#Reduction in GST rates for over 40 items
The council cut GST rate for Walnuts, broom, clay idols custard powder, idly-dosa batter, rubber bands, raincoat, dhoop batti, saree fall, corduroy fabric, computer monitors, table and kitchenware, prayer beads.
#Branded packaged foods
Any brand registered on May 15, 2017 irrespective of whether it is de-registered later will face 5% tax.
#Unbranded foods
Unbranded food items are exempted from GST.
Jaitley said overall GST collections have been robust with over 70 per cent of eligible taxpayers filing returns of about Rs 95,000 crore.
GSTN on “two-three occasions got overloaded. These are transient challenges and glitches in technology. The council has decided to appoint a committee to interact with GSTN for smooth transition”, the finance minister said.
Conclusion
Taxpayers were facing problems in filing Returns, but after the conclusion of this meeting, there is big relief to the taxpayers as the dates are being extended. Also there is slashing of GST rates on various food items. On and all, the decisions taken in 21st GST council Meeting are beneficial for taxpayers to an extent.
Hope this information will help you in your Professional endeavors. For further assistance/query, feel free to write to us.
Author: C S Ekta Maheshwari is the Author of this article and is Company Secretary by profession. The Author can be reached at csektamaheshwari14@gmail.com
Disclaimer: The entire contents of this article is solely for information purpose and have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation.. It doesn’t constitute professional advice or a formal recommendation. The author has undertook utmost care to disseminate the true and correct view and doesn’t accept liability for any errors or omissions. You are kindly requested to verify & confirm the updates from the genuine sources before acting on any of the information’s provided herein above.
Author Bio
gst – remove gst on all types of labour charges, review rcm system removal and online gst portal filing of returns and inputs matching etc for infrastructure industry workings in remote and rural areas of economy -reg
sir,
request following clarifications and changes in gst regime for rural
sector work contract services in remote areas of our village based
economy:-
01. what is the relevance of threshold limit for registering under gst
of Rs. 20Lacs since the person not required to register is treated as
an unregistered dealer and incidence of tax from 5 to 28% is on
receiver of the goods or services
02. what is need for payment of gst liability along with the return,
when it is not necessary that in construction industry the ra bill
will get certified and remitted in same month and depends on govt
approvals of budget etc for work contract bills.
03. getting gst registered suppliers and subcontractors for
construction industry working at remote areas is not practicable and
also the hapazard rcm on receiver of goods and services for gst
payment from 5 to 28% will be huge burden on cash flows since sources
of funds are limited and do not follow monthly pattern but milestones.
it is desirable to remove rcm and make gstn portal user friendly and
allow both on line and manual filing of the bills/invoices/input
documents etc as well instead of over reliance on the gst portal whose
reliability is not yet tested.
04. why the dealers should trust on gst portal for input and rcm
payment input credits and matching and mis matching of inputs of
suppliers and subcontractors and date deadlines of the gst system may
result in destroying the entire infrastructure, and worst hit are
casual/daily labour/workers whose services by rcm attracting 12/18%
gst hence the private employer will get discouraged to get labour
works and will negatively impact labour employment of our agro based
rural economy the root of financial system of bharat. this may not be
the vision of atal bihari vajpayee for gst execution.
05. will the govt. make part payments of ra bills for gst remittances
or the govt takes the responsibility of remittance of gst on behalf of
contractors in construction of roads, irrigation, power, mining
projects which attract 12% gst. the onus of remittance of tds may be
on the receiver of work contract services instead of provider of
service, keeping in view huge volume of resources/funds.
06.the rate of works contract although revised to 12% from earlier 18%
the same is not updated in
most of web sites including cbec.gov.in
“Composite supply of Works contract as defined in clause 119 of
section 2 of CGST Act 18%”