The government keeps on amending and updating the provisions related to different types of taxes. The reason could be anything, but in most cases, the changes are made for the ease of the taxpayers. In this article, you will get to know about such amendments and updates related to GST.
Goods and Services Tax (GST) in India
Goods and Services Tax is the tax levied by the Indian Government on the procurement of goods or services in the country. The tax was introduced in the year 2017. The tax has replaced all the other indirect taxes, like Value Added Tax (VAT), and compressed them into a single tax. GST is charged by the government in slabs. The present slabs being 5%, 12%, 18%, and 28%. GST is managed by the Goods and Services Tax Council and is governed by the Goods and Services Tax Act, 2017.
GST is levied on all types of goods and services except petroleum products, alcoholic drinks, and electricity, on which the taxes are levied by the state governments. It is divided into two parts namely, State Goods and Services Tax (SGST) collected by state governments and Central Goods and Services Tax (CGST) collected by the central government. The share of both governments is equal to GST. For example, if 5% GST is being charged on a product the SGST (2.5%) and CGST (2.5%) will be equal. There is another type of tax Integrated Goods and Services Tax (IGST) that is charged on goods and services supplied inter-state.
The tax was introduced to remove the cascading of taxes, the situation of collecting multiple taxes on every level of production. It is done under GST too, but the manufacturer is refunded back on further levels. It is a destination-based tax, it is collected by the state in which the said good or service is consumed rather than to that state in which the good or service was manufactured.
Latest GST Updates for Companies & Taxpayers
1st June 2020
- “the Central Board of Indirect Taxes and Customs (CBIC) said, “Issue of GST late fee for the past period (August 2017 to January 2020) to be discussed in the next GST Council meeting.”
27th May 2020
- “IRP/RPs registration facility is available on the official GST Portal”.
26th May 2020
- “Special Refund & Drawback Disposal Drive to benefit MSMEs/Exporters during COVID19. 6.76 lakh IGST/Drawback/Refund claims amounting to Rs.8656 crore disposed off.”
25th May 2020
- “CBIC is committed to ensuring Liquidity to GST Taxpayers especially MSME Sectors during Lockdown. 29230 refund claims amounting to Rs.11052 crores disposed off from 8th April to 24th May 2020”
16th May 2020
- Section 128 of Finance Act, 2020 to come into action/force fro changes in Section 140 of CGST Act w.e.f. 01.07.2017.
06th May 2020
- GSTR-9 annual & GSTR-9C audit reconciliation form due date extended till 30th September 2020 for the financial year 2018-19, Read Notification No. 41/2020
- The E-Way Bill validity issued on or before March 24th, 2020 expiring between March 20th, 2020 to April 15th, 2020, extended to May 31st, 2020, Read Notification No. 40/2020
- EVC mode: Now the companies can use the new option of filing GSTR-3B (from 21st April 2020 to 30th June 2020), Read Notification No. 38/2020
28th April 2020
- Provisions are given the effect of rule 87 (13) and Form GST PMT-09 of the CGST Rules, 2017. Download and view the official notification no. 37/2020 by the CBIC Department
- Trade Facilitation Measures During the Outbreak of COVID-19.