GST Update – 2017-10-24

Great relief for tax payers.
Late fee on filing of GSTR-3B for August & September has been waived off by Government today. 

Please check the link below to know more.

24-Oct-2017 | 21:27 Hours IST 

Watch “Now you can take Transitional Credit in GSTR 3B – Old Credit in GST (In Hindi)” on YouTube

GST Notifications Started

📢 GST Notifications Started 🔉

*No of GST Notification issued today ( 28-06-2017) -34*

  • Central Tax -5
  • Central Tax (Rate)  -10
  • Integrated Tax  -4
  • Integrated Tax (Rate)  -7
  • Union Territory Tax -0
  • Union Territory Tax (Rate)  -7
  •  Compensation Cess (Rate)-1

*Central Tax Notifications*

Seeks to bring into force certain sections of the CGST Act, 2017 w.e.f 01.07.2017

Seeks to amend CGST Rules notification no 3/2017-Central Tax dt 19.06.2017

Seeks to amend Notification no 6/2017-Central Tax dt 19.06.2017

Seeks to notify the number of HSN digits required on tax invoice

Seeks to prescribe rate of interest under CGST Act, 2017

*Central Tax (Rate) Notifications*

Notification no:1 CGST Rate Schedule notified under section 9 (1)

Notification no 2: CGST exempt goods notified under section 11 (1)

Notification no 3: 2.5% concessional CGST rate for supplies to Exploration and Production notified under section 11 (1)

Notification no 4: Reverse charge on certain specified supplies of goods under section 9 (3)

Notification no 5: Supplies of goods in respect of which no refund of unutilised input tax credit shall be allowed under section 54 (3)

Notification no 6: Refund of 50% of CGST on supplies to CSD under section 55

Notification no 7: Exemption from CGST supplies by CSD to Unit Run Canteens and supplies by CSD / Unit Run Canteens to authorised customers notified under section 11 (1) and section 55 CSD

Notification no 8: CGST exemption from reverse charge upto Rs.5000 per day under section 11 (1)

Notification no 9: Exempting supplies to a TDS deductor by a supplier, who is not registered, under section 11 (1)

Notification no 10: CGST exemption for dealers operating under Margin Scheme notified under section 11 (1)

*Integrated Tax*

Integrated Goods and Services Tax Act, 2017 (13 of 2017), the Central Government, on the recommendations of the Council, hereby notifies the rate of the integrated tax

Integrated Goods and Services Tax Act, 2017 (13 of 2017), the Central Government, on the recommendations of the Council, hereby notifies the rate of the integrated tax.

Integrated Goods and Services Tax Act, 2017 (13 of 2017), the Central Government, on the recommendations of the Council, hereby notifies the rate of the integrated tax

Reverse charge on certain specified supplies of goods under section 5 (3)

Supplies of goods in respect of which no refund of unutilised input tax credit shall be allowed

Some Lesser Known #GST Facts

* Those who have turnover of up to 20 lakhs do not have to fill GST * They can comfortably do their business without worry.

* And second, those whose turnover is up to 75,00,000 (75 lakhs) have to fill only one per cent GST * Neither do they have to fill three returns of the month nor do they have to return 37 returns of the year * they are only paid quarterly and yearly returns But you will have to take a composition scheme for this

* Approximately 65 percent of the merchants in the country come under these two points. * If GST is understood, then there can be nothing better for small and medium traders, so all the merchants are requested to stop ranting about GST without thinking. Stop spreading baseless rumours, please.

 Also, the rumor is being spread that GST has the provision of arrest, but it is only the commissioner rank officer and that too only those whose turnover is 100 million or more * and that’s just some businessmen.

So, for small traders, GST is a boon. * Just need to understand it, let’s understand GST in the interest of the business and in the interest of the country and adopt it!

* A country * – * One tax * = GST

CA. Vikram Shankar Mathur
(21-Jun-2017|08:48 HrsIST)

PS: Example of a letter to client:


( Pl read all points 1-35 )
Dear Client,

1. Get Complete your working for Closing Stock for the period 31.3.2017 / 30.6.2017 before GST Implementation date .

2. Allocate your such stock into quantative mode.

3. Get the A/c Statement from your Suppliers / Creditors for the year ended 31/3/2017 & compiled them from your books.

4. Rectify *Mismatch Reports of Purchases *, if persists .

5. Revise your Vat Returns if point no.4 applies to you.

6. Make strict follow-up to Collect all the C forms/H Form/ I forms .

7. Get your Books Finalise for FY 2016-17

8. Make a separate file of those items which are shown in your Unsold stock as on 30.6.2017 e.g. Purchase Bills/ Bill of Entry/ Excise Paying Documents etc.

9. Stock ageing be made to ascertain if any stock is more than 1yr old. If yes then dispose it off immediately or sell it to your sister concern against Tax Invoice locally.

10. Classify stock tax rate wise, purchased locally to get ITC into SGST.

11. Classify stock purchased on invoices bearing Duty Payment & non duty payments to get ITC transferred to CGST.

12. Inform your GSTIN / ARN to all suppliers of Goods & Services.

13. Obtain GSTIN of all Suppliers & Buyers.

14. Apply for migration in all states if you have centralised registration under Service Tax.

15. Train your accountants for GST accounting and returns formats.

16. Make Chart of HSN CODES & GST Rates on your goods & services to be purchased & Sold.

17. Check whether any stock of one year old is lying with you .

18. Analyse P and L and see which expenses are liable to RCM (Reverse Charge Mechanism )

19. Be in regular touch with your Chartered Accountant

20. Kindly Place the order to your printer for * Draft Format *of Tax Invoice/ Bill of Supply/ Debit – Credit Note etc  ( as applicable to your business )

21. If you are planning to generate , invoices through any Software , do align with Software Consulting firm.

22. And Get approved the Draft ( pt no. 20-21) from your GST Expert.

23. Use  only original Softwares for Accounting & Invoicing purposes.

24. Pl pay special attentions for any Calls, mails , messages or communication of your GST Consultant/ Department.

25. Make a practise to Upload your Sales / purchases on regular basis at GST Portal

26. GST / Interest/ penalty or any levy may be paid through RTGS/ NEFT/ Debit Card/ Credit Card Etc.

27. Due Dates for uploading of Returns :

GSTR 1  :10th of Next Month

GSTR 2  :   15th of Next Month

GSTR 3. :   20th of Next Month

* ( For Regular Dealer ) *

GSTR 4. :   18th of Next Quarter      * ( Composite Dealers ) *

GSTR 5  :    20th of Next Month * ( For Non Resident )*

GSTR 6  :   13th of Next Month *(Input Service Distributors)*

GSTR 7. :    10th of Next Month * ( For TDS Returns )*

GSTR 8. :    10th of Next Month *( E-Commerce Operators )*

GSTR 9.  :   31st December of Next F.Y.

*(Registered Taxable Person)*

28. Penalty Provisions for non submission of GST returns : Rs 100/- per day but subject to max. Rs.5000/- in each acts.

29. Penalty Provisions for non submission of Annual Return is 0.25% of Annual Turnover .

30. Please Final the terms & remuneration of your GST Service provider before GST Implementation Date .

31. Option of revising the return is not available in GST Regime but you can modify your uploaded data by Debit & Credit Notes.

32. Every Normal Dealer filing GSTR 1 -3 required to submit Annual Return in GSTR 9 by the due date .

33. Late filing would be permitted on payment of late fees only. Hence late filing of return will not be possible without payment of fees.

34. A return furnished without payment of full tax due as per such return shall not be treated as a valid return for allowing input tax credit in respect of supplies made by such person.

35. Input tax credit is eligible only after filing a valid GST return.

GST – Important Points

​GST – Important Points

*Certain important points to be noted in respect of GST:

1. # GST will 100% be implemented on 01-07-2017
2. # Types of taxation in GST
3. IGST : Integrated GST
4. CGST : Central GST which with replacement CST
5. SGST : State GST which will replace VAT
6. # WEF from 01.06.2017 : Migration towards enrolment of GST will start till 15.06.2017
7. # Registration certificates will be issued online.
8. # There will be no check post for 1 year. Only mobile check posts will be in full force. All intelligence officers will be dormant for sometime.
9. # 5 forms on different dates have to be submitted every month.
R1 form on 10th

R2 form on 13th

R3 form on 15th

R4 form on 17th &

R5 form or final returns on 20th

You cannot file revised returns at all. Once filed on 20th is final.

10. # Tax payments will be accepted only by e payments. Tax Payments via credit & debit card also added.
11. # In the present Vat system you upload sales & purchases every month. In GST you have to upload every sale & purchase bill.
12. # Be careful , every thing in GST is system driven. Once uploaded you cannot revise anything. No officer can help you in this. They can only pity the mistake.
13. # Your firm rating will be done by the system. Based on the rating audit trials will be conducted.
14. # Proposed e sugam for ₹50000 & above value only.
15. # Proposed rates of GST in percentage are 0, 5, 8 , 12, 18 , 28 & 40.
16. # 1st time in the history of independent India 4 major category of businesses will be covered : Education, Textiles, Medical & Professional services.
17. # You need to submit 17 documents for migration to GST.
18. # Most products MRP to come down.

19. # Distribution + C & F channel under threat.
20. # All these categories which were not taxed will now be taxable : Replacements/ return goods, Barters , Free Samples, disposables, scrap material. For example : if you buy a 40 inch led TV from Girias for ₹30000 & return back your old TV in exchange for ₹4000, you have to pay tax on ₹34000.
21. # All movements of material will be taxable like : Head office to branch office (stock transfer), factory to C & F agent, godown to shop.
22. # The GST officer has all rights to value your goods & fix the price. The law will decide Valuation of the product at Various levels like : Manufacturing, Wholesalers, Distribution & retailers. For example if Kissan is selling Jam for ₹150 & Patanjali is selling the same Jam for ₹120. (Same quantity, flavour, ingredients etc) Then Patanjali has to pay tax on ₹150.
23. # All books & records to be maintained on daily basis.
24. # You will need a full time accountant in your shop/office to maintain books under GST.
25. # All travel & tour expenses related to business have to be claimed under firm name.
26. # If your vendor does not upload his bills within 180 days , you will not get tax credit.
27. # You cannot claim credit for material in stock beyond one year.
28. # They propose that You have to dispose all your old stocks purchased under VAT/CST within September 2017.
29. # All VAT related documents like C forms, F forms etc have to be cleared within Sept 2017.
30. # Your Vat credit will not be carry forwarded to GST.