1. Changes recommended in Return Filing Dates:
i. All taxpayers (except Composition supplier) would be required to file return in FORM GSTR-3B along with payment of tax by 20th of the succeeding month till March, 2018.
ii. Timeline for filing the details of return in Form GSTR-1 is proposed to be as follows:
a. Taxpayers with annual aggregate turnover upto Rs. 1.5 crore needs to file GSTR-1 on quarterly basis as per following frequency:
|Jul- Sep||31st Dec 2017|
|Oct- Dec||15th Feb 2018|
|Jan- Mar||30th April 2018|
b. Taxpayers with annual aggregate turnover more than Rs. 1.5 crore needs to file GSTR-1 on monthly basis as per following frequency:
|Jul- Oct||31st Dec 2017|
|Nov||10th Jan 2018|
|Dec||10th Feb 2018|
|Jan||10th Mar 2018|
|Feb||10th Apr 2018|
|Mar||10th May 2018|
iii. The time period for filing GSTR-2 and GSTR-3 for the months of July, 2017 to March 2018 would be worked out by a Committee of Officers.
iv. Filing of form GSTR-1 will continue for the entire period i.e. till March 2018 without requiring the filing of GSTR-2 & GSTR-3 for the previous period.
2. Relaxation in Late fee amount for delayed filing of GST Returns:
i. If tax liability for the period is “Nil”: Rs. 20 per day (Rs. 10 each under CGST & SGST Act)
ii. In all other cases: Rs. 50 per day (Rs. 10 each under CGST & SGST Act)
iii. The aforesaid reduction will be applicable from filing of return for the month of October onwards.
3. Re-credit of Late fee paid earlier:
i. Earlier late fee was required to be paid for late filing of GSTR 3B for the month of July to September, which subsequently waived by the government.
ii. In such a case, where such late fee was paid, it will be re-credited to their Electronic Cash Ledger under “Tax” head instead of “Fee” head so as to enable them to use that amount for discharge of their future tax liabilities.
4. Extension of Dates for several forms under GST:
|Sl. No.||FORM and Details||Original due date||Revised due date|
|2||GST ITC-04 for the quarter July-Sept, 2017||25.10.2017||31.12.2017|
|3||GSTR-4 for the quarter July-Sept, 2017||18.10.2017||24.12.2017|
|4||GSTR-5 for July, 2017||20.08.2017 or 7 days from the last date of registration whichever is earlier||11.12.2017|
|5||GSTR-5A for July, 2017||20.08.2017||15.12.2017|
|6||GSTR-6 for July, 2017||13.08.2017||31.12.2017|
5. Facility to File Application for Advance Ruling Manually:
A facility for manual filing of application for advance ruling is proposed to be introduced for the time being.
6. Availability of Threshold limit for registration (i.e. Rs. 20 Lakh/ Rs. 10 Lakh) to Service Providers providing Services through E-Commerce Operator:
All service providers, whether supplying intra-State, inter-State or through E-Commerce operator, will be exempt from obtaining GST registration, provided their aggregate turnover does not exceed Rs. 20 lakhs (Rs. 10 lakhs in special category States except J & K).
7. Benefit of ITC in respect of Export of Services to Nepal & Bhutan:
8. Changes recommended in Composition Scheme:
i. Reduction in Rate of Composition Scheme for Manufactures:
ii. No need to pay Tax under Composition Scheme on Exempted Turnover:
iii. Introduction of Threshold of Rs. 5 Lakh for Composition taxpayer in respect of Services provided by them:
iv. Increase in Threshold for Composition Scheme:
9. Change in GST rate on Services:
i. Reduction in GST rate on Restaurants:
ii. No Change in GST rate on Outdoor Catering:
10. Change in GST rate on Goods:
i. Reduction in GST Rates from 28% to 18% and 12%:
ii. Reduction in GST Rates from 18% to 12% and 5%:
iii. Reduction in GST Rates from 12% to 5%:
iv. Reduction in GST Rates from 5% to Nil:
v. In order to obviate disputes and litigation, it is proposed to place-
(Disclaimer: This write up is based on the understanding and interpretation of author and the same is not intended to be a professional advice.)
[The author is a Chartered Accountant and can also be reached at [email protected]]