1. Letter Undertaking (LUT) for FY 2020-21 – The GSTN portal has enabled application of Letter Undertaking (LUT) for ZERO rated Supplies (Supplies to SEZ or Exports) without payment of IGST. You may apply for LUT on GST Portal for the FY 2020-21 so as to enable the taxpayers to supply Zero Rated (without payment of IGST) for the next Financial Year.
2. GST Council Meeting – Expectations – 14th March 2020
The next GST Council Meet is scheduled on 14th March 2020 and some of the decisions which the Council may take is as under –
a. E-Invoicing under GST – The Council may defer GST E-Invoicing and QR Code benefits till 30th June 2020. It may also relax certain category of taxpayers from E-Invoicing and QR Code. Earlier, the same is scheduled to be implemented from 1st April 2020.
b. Current format of GST Returns may continue till September 2020 –The current format of GSTR 1 and GSTR 3B may continue till September 2020. Earlier new returns were proposed to be implemented from April 2020.
c. Interest on delayed filing of GSTR 3B -GST Council may provide clarity on payment of Interest on delayed filing of GSTR 3B (beyond due date). The Department is demanding Interest on Gross Liability at 18% on delayed payment of GST u/s 50 of the CGST Act, 2017.
d. Aadhar Based Authentication for GST – GST Council may decide to finalise contours for Aadhar based authentication.
e. Extension of due date for filing Annual Returns and GST Audit (GSTR 9 and GSTR 9C) – GST Council may decide to extend due date for filing Annual Return (Under Form GSTR 9) and Audit Report (Form GSTR 9C) to 30th June 2020. Currently, the due date is March 31st, 2020.
f. Proposed GST Rate Changes for correction in Inverted Duty Structure – GST rate changes has been proposed for Mobile Phones, Textiles, Footwear and Fertilizer Industry. The rate calibration is due to accumulation of ITC since rate of Inputs are higher than the rates of output (Mainly due to Input Service and Capital Goods which are taxed at 18%).
(Above are recommendatory proposals which GST Council may take up during their next Council Meet)
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Update Source – Twitter by CNBC