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%|
|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 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.
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.
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Author: C S Ekta Maheshwari is the Author of this article and is Company Secretary by profession. The Author can be reached at firstname.lastname@example.org
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