Updates On Notifications Issued On 23rd March 2020

GST Updates on Notifications Issued on 23rd March 2020

This article contains the understanding and implications of the notifications issued on 23rd March to give the effect of the council decisions taken on 14th March 2020.

Notification No. 10/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Applicable to taxpayers in Dadra and Nagar Haveli and Daman and Diu.
  • The transition date shall be 31st May 2020 consequent to the merger of the two UTs.
  • The month of January 2020 will be construed from 1st Jan till 25th Jan for the purpose of GST and the month of February 2020 will be from 26th Jan till 29th Feb 2020.
  • Taxpayers to continue to file a return as per Section 39 of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as ‘CGST Act’) from 26th Jan 2020 till 31st May 2020.
  • The procedure for transferring ITC from erstwhile union territory to the merged new union territory is as under: –
  • Intimate jurisdictional tax officer of UT before the merger (transferor) and after the merger (transferee);
  • ITC shall be transferred on the basis of balance in the electronic credit ledger as per return filed in the erstwhile UT for the tax period immediately before the transition date;
  • ITC transferred shall be debited in Form 3B (table 4(B)(2)) of erstwhile UT and credited in form 3B of the new UT (table 4(A)(5));
  • Balance of Union territory taxes in electronic credit ledger on 25th Jan 2020 shall be transferred as the balance of Union territory tax in the electronic credit ledger of the new UT

Notification No. 11/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Applicable to corporate debtors under the provisions of the Insolvency and Bankruptcy Code, 2016 (31 of 2016), undergoing the corporate insolvency resolution process and the process is undertaken by interim resolution professionals (IRP) or resolution professionals (RP).
  • Special procedure to be followed from the date of appointment of IRP/ RP till they undergo the corporate insolvency resolution process.
  • The corporate debtors shall be treated as a distinct person and will be liable to take registration within thirty days of the appointment of IRP/ RP. If IRP/RP was appointed before 23rd March 2020, they shall take registration within thirty days from 23rd March 2020.
  • They will be required to file the first return as required under section 40.
  • They can claim ITC on the invoices for supplies received after the appointment of IRP/ RP and bearing the GSTIN of the erstwhile registered person.
  • Section 16(4) which provides the last day for claiming credit for a financial year shall not be applicable to these classes of persons.
  • Compliance with Rule 36(4) of Central Goods and Service Tax Rules, 2017 (hereinafter referred to ‘Rules’) is not required.
  • Customers of these class of persons shall be eligible to take ITC on the basis of GSTIN mentioned of the erstwhile taxpayer for the period from the date of appointment of IRP / RP till the date of registration as required as per the above provisions. Such customers are also not required to comply with Section 16(4) and Rule 36(4).
  • The amount deposited by IRP/ RP will be available for a refund from the date of appointment of IRP/RP to the date of registration.

Notification No. 12/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Amendment in the Notification No 21/2019 – Central Tax, dated – 23rd April 2019.
  • Persons who have provided details in Form GSTR 3B instead of Form CMP 08 shall not be required to file GSTR 1 or CMP 08 for the financial year 2019-20.

Notification No. 13/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Supersedes Notification No 70/2019- Central Tax dated 13th December 2019.
  • Earlier E-invoicing was applicable to all registered persons having an aggregate turnover of more than one hundred crores and was applicable from 1st April 2020.
  • E-invoicing vide this notification has been suspended till 1st October 2020.
  • Pursuant to this notification, the following classes of people are not required to issue E-invoice:-
  • The insurer or a banking company or a financial institution, including a non-banking financial company, issuing a consolidated tax invoice for the supply of services made during a month at the end of the month;
  • Goods transport agency (GTA) transporting goods by road in a goods carriage and issues a tax invoice with the required details;
  • Passenger transportation service issuing a tax invoice with the required details;
  • The person supplying services by way of admission to the exhibition of cinematograph films in multiplex screens and issuing the electronic ticket as required. The person providing service through screen other than multiplex screen has an option to issue E-invoice.

Notification No. 14/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Supersedes Notification No 72/2019- Central Tax dated 13th December 2019.
  • The requirement of issuing/displaying dynamic QR code vide this notification has been suspended till 1st October 2020.
  • Pursuant to this notification, the following classes of people are not required to issue dynamic QR code:-
  • An insurer or a banking company or a financial institution, including a non-banking financial company, issuing a consolidated tax invoice for the supply of services made during a month at the end of the month;
  • Goods transport agency (GTA) transporting goods by road in a goods carriage and issues a tax invoice with the required details;
  • Passenger transportation service issuing a tax invoice with the required details;
  • The person supplying services by way of admission to the exhibition of cinematograph films in multiplex screens and issuing the electronic ticket as required. A person providing service through screen other than multiplex screen has an option to issue dynamic QR code.

Notification No. 15/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF
  • The due date for annual return has been extended till 30th June 2020 for FY 2018-19.

Notification No. 16/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF
  • Insertion of Rule 8(4A) in the Central Goods and Services Tax Rules, 2017 (hereinafter referred to as ‘Rules’) for Aadhar based authentication while obtaining registration.
  • Proviso inserted for Rule 9(1) of the Rules wherein it is stated that in case the aadhar based authentication fails, the registration will be granted only after physical inspection of the place of business not later than sixty days from the date of application.
  • Rule 25 is substituted to incorporate the provision of physical inspection in case of failure of aadhar based authentication.
  • Additional words inserted in Rule 43 at multiple places which are more of clarificatory in nature.
  • Proviso inserted in Rule 80(3) mandating every registered person with aggregate turnover exceeding five crores during FY 2018-19 shall be required to submit GSTR 9C.
  • Insertion of Rule 86(4A) wherein the amount claimed as a refund of any wrongly or excess paid tax shall be credited to electronic credit ledger by the officer on passing an order in Form GST PMT-03 if found admissible.
  • Rule 89(4)(C) was substituted to provide a maximum cap on the turnover of zero-rated supply of goods to value which is 1.5 times the value like goods domestically supplied by the same supplier or, similarly placed supplier.
  • Insertion of Rule 92(1A) to provide for a refund of tax (other than a refund of tax paid on zero-rated supply or deemed export) by the proper officer in form RFD-06. The amount of refund in cash will be in the proportion of cash paid for discharging tax liability for the relevant period. The balance amount after refunding in cash, if admissible will be re-credited in electronic credit ledger by the proper officer on issue of Form GST- PMT 03.
  • Insertion in Rule 92(4) and Rule 92(5) to include Rule 92(1A) along with Rule 92(1).
  • Insertion of explanation in Rule 96(10) which provides that the registered person has paid Integrated Goods and Services Tax and Compensation Cess on inputs and has availed exemption of only Basic Customs Duty (BCD) under Notification No. 78/2017-Customs, dated the 13th October 2017 can claim a refund of IGST paid on export of goods or services.
  • Insertion of Rule 96(B) in relation to recovery of refund of unutilized ITC or IGST paid on export of goods where export proceeds not realized. The same is explained as under: –
  • Where the refund is paid but the sale proceeds in respect of such export goods have not been realized, in full or in part, in India within the period allowed under the Foreign Exchange Management Act, 1999 (42 of 1999), including any extension of such period, the person to whom the refund has been made shall deposit the amount so refunded, to the extent of non- the realization of sale proceeds;
  • With applicable interest;
  • Within thirty days of the expiry of the said period or, as the case may be, the extended period;
  • Failing which interest and penalty as per Section 50, 73 and 74 shall be levied.
  • However, if the RBI writes-off the requirement of realization of sale proceeds then the refund shall not be recovered.
  • In case after the recovery of the refund, the applicant realizes the money and provides evidence of such realization within three months from the date of realization and the sale proceeds have been realized within the extended period permitted by RBI, the amount recovered shall be again refunded.
  • The authority to dispose of the seized goods which were earlier with the commissioner has now been extended to ‘proper officer.’
  • Undertaking inserted in Rule 89(2) (g) to deposit the amount refunded along with interest in case of non-receipt of foreign exchange as per the provisions of the law.

Notification No. 17/2020 - Central Tax, Dated - 23-03-2020

  1. Download Notification PDF:-
  • Aadhar based authentication shall not be applicable to a person who is not a citizen of India.
  • Additionally, it shall not be applicable to the class of persons other than the below of persons
  • Individual;
  • Authorized signatory of all types;
  • Managing and Authorised partner; and
  • Karta of a Hindu undivided family.
  • Aadhar based authentication while obtaining registration shall be applicable from 1st April 2020.
  • If the person fails to undergo Aadhar based authentication then the registration shall be granted only after physical verification of the principle place of business, not later than sixty days from the date of application.  Click To Download

Click To Download 

  • Aadhar based authentication shall be applicable to
  • Authorized signatory of all types;
  • Managing and Authorised partner; and
  • Karta of a Hindu undivided family.
  • Aadhar based authentication while obtaining registration shall be applicable from 1st April 2020.
  • If the person fails to undergo Aadhar based authentication then the registration shall be granted only after physical verification of the principle place of business, not later than sixty days from the date of application.

Click To Download

  • Amendment in Notification No 26/2019- Central Tax, dated 28th June 2019
  • Taxpayers of Jammu & Kashmir who are required to deduct tax at source and file GSTR-7 shall for the months of Jul’19 to Oct’19, file GSTR -7 by 24th March 2020.
  • Taxpayers of Union territory of Jammu & Kashmir or Union territory of Ladakh, who are required to deduct tax at source and file GSTR-7 shall for the months of Nov’19 to Feb’20, file GSTR -7 by 24th March 2020.
  • This notification shall be effective from 20th December 2019.

Click To Download

  • Amendment in Notification No 45/2019- Central Tax, dated 09th October 2019.
  • Taxpayers of erstwhile Jammu & Kashmir, Union territory of Jammu & Kashmir or Union territory of Ladakh shall for the months of Oct’19 to Dec’19, file GSTR -1 by 24th March 2020.
  • This notification shall be effective from 31st January, 2020

Click To Download

  • Amendment in Notification No 46/2019- Central Tax, dated 09th October 2019.
  • Taxpayers having aggregate turnover of more than 1.5 Crore in the preceding financial year or current year of Union territory of Jammu and Kashmir or the Union territory of Ladakh shall file GSTR 1 for the months of Nov’19 to Feb’20 till 24th March 2020.
  • Taxpayers having aggregate turnover of more than 1.5 Crore in the preceding financial year or current year of erstwhile Jammu & Kashmir shall file GSTR 1 for the month of Oct’19 till 24th March 2020.
  • This notification shall be effective from 20th December, 2019.

Click To Download

  • Amendment in Notification No 28/2019- Central Tax, dated 28th June 2019.
  • Taxpayers having aggregate turnover of more than 1.5 Crore in the preceding financial year or current year of erstwhile Jammu & Kashmir shall file GSTR 1 for the months of Jul’19 to Sept’19 till 24th March 2020.
  • This notification shall be effective from 20th December 2019.

Click To Download

  • Amendment in Notification No 27/2019- Central Tax, dated 28th June 2019.
  • Taxpayers of erstwhile Jammu & Kashmir shall file GSTR 1 for the quarter of July- September 2019 till 24th March 2020.
  • This notification shall be effective from 30th November 2019

Click To Download

  • Amendment in Notification No 44/2019- Central Tax, dated 09th October 2019.
  • Taxpayers of erstwhile Jammu and Kashmir shall file GSTR 3B for the months of Oct’19 till 24th March 2020.
  • Taxpayers of Union territory of Jammu and Kashmir or the Union territory of Ladakh shall file GSTR 3B for the months of Nov’19 to Feb’20 till 24th March 2020.
  • This notification shall be effective from 20th December 2019.

Click To Download

  • Amendment in Notification No 29/2019- Central Tax, dated 28th June 2019.
  • Taxpayers of erstwhile Jammu & Kashmir shall file GSTR 3B for the month of Jul’19 to Sept’19 till 24th March 2020.
  • This notification shall be effective from 20th December 2019.

Click To Download

  • Applicable to taxpayers having an aggregate turnover of up to 1.5 crore rupees in the preceding financial year or the current financial year.
  • The due date for GSTR 1 for quarter April 2020 to June 2020 shall be 31st July 2020
  • The due date for GSTR 1 for quarter July 2020 to September 2020 shall be 31st October 2020

Click To Download

  • Applicable to taxpayers having an aggregate turnover of more than 1.5 crore rupees in the preceding financial year or the current financial year.
  • The due date for GSTR 1 for the months of April 2020 to September 2020 shall be 11th of succeeding month.

Click To Download

  • Due date for GSTR 3B for the months of April 2020 to September 2020 shall be 20th of succeeding month.
  • Due date of GSTR 3B for taxpayers with aggregate turnover up to five crores and principal place of business in :-
  • Chhattisgarh;
  • Madhya Pradesh;
  • Gujarat;
  • Maharashtra;
  • Karnataka;
  • Goa;
  • Kerala;
  • Tamil Nadu;
  • Telangana;
  • Andhra Pradesh;
  • Union territories of Daman and Diu and Dadra and Nagar Haveli;
  • Union territories of Puducherry;
  • Union territories of Andaman and Nicobar Islands; or
  • Union territories of Lakshadweep.

Shall be 22nd of succeeding month.

  • Due date of GSTR 3B for taxpayers with aggregate turnover up to five crores and principal place of business in :-
  • Himachal Pradesh;
  • Punjab;
  • Uttarakhand;
  • Haryana;
  • Rajasthan;
  • Uttar Pradesh;
  • Bihar;
  • Sikkim;
  • Arunachal Pradesh;
  • Nagaland;
  • Manipur;
  • Mizoram;
  • Tripura;
  • Meghalaya;
  • Assam;
  • West Bengal;
  • Jharkhand;
  • Odisha;
  • Union territories of Jammu and Kashmir;
  • Union territories of Ladakh;
  • Union territories of Chandigarh; or
  • Union territories of Delhi.
    Shall be 24nd of succeeding month.

Click To Download

The Union Finance & Corporate Affairs Minister Smt. Nirmala Sitharaman today announced several important relief measures taken by the Government of India in view of the COVID-19 outbreak. The key relaxations in terms of GST and Indirect taxes are outlined below: –

GST: –

  1. Taxpayers with turnover less than five crore – 3B due in March, April and May 2020 (for the month of Feb, March, and April respectively) by the last week of June 2020. No interest, late fee, and penalty to be charged.
  2. Taxpayers with turnover five crores or more – Interest will be chargeable at the rate of 9 % per annum. However, it will be chargeable for the period after 15 days from the due date. No late fee and penalty to be charged, if complied before till 30 June 2020.
  3. The composition scheme can opt until the last week of June 2020.
  4. Payment for the quarter ending March 2020 and return for FY 2019-20 by the composition dealer shall be extended till June 2020.
  5. The due date for GST annual return for FY 2018-19, extended till 30th June 2020. The related notification in this regard was issued on 23rd March 2020 vide Notification No 15/2020-Central Tax.
  6. Due date in relation to any notice, notification, approval order, sanction order, filing of the appeal, furnishing of return, statements, applications, reports, any other documents, the time limit for any compliance under the GST laws where the time limit is expiring between 20 March 2020 to 29th June 2020 shall be extended to 30th June 2020.
  7. Payment under Sabka Vishwas Scheme shall be extended to 30 June 2020. No interest for this period shall be charged if paid by 30 June 2020.

Customs: –

  1. 24 X 7 custom clearance until the end of June 2020.
  2. Due date in relation to any notice, notification, approval order, sanction order, filing of the appeal, furnishing of return, statements, applications, reports, any other documents, the time limit for any compliance under the GST laws where the time limit is expiring between 20 March 2020 to 29th June 2020 shall be extended to 30th June 2020.

Sharing is caring!