The GST Point

Tax Audit Due Date Extended to 07/10/2022

Key changes notified through NN 18/2022 - CT to NN 20/2022 - CT which will be effective from 01st October 2022 are given below: 1. New restrictions on the claim of Input Tax Credit: Now Govt. can restrict your ITC if your vendor has: -> Defaulted in paying tax for such period or Short paid taxes by certain percentage -> Availed excess ITC by such limit or Utilized ITC to pay taxes in excess of the maximum allowable limit -> Taken registration within such period -> Other cases as may be prescribed The period, limit and %-age will be prescribed in due time. Thus you need to be extra caution to choose your vendor. 2. Extension of Time Limit: For any particular financial year, the following can be done upto 30th November of the next financial year: i. Avail ITC for any invoice/debit note of a financial year ii. Issuance of credit notes for supplies made in a financial year iii. Rectification of errors in respect of GSTR 1, GSTR 3B and GSTR 8 3. Cancellation of Registration: Officer can suo moto cancel registration if i. A composite taxpayer didn't file return for a financial year beyond three months from the due date ii. A Regular Taxpayers didn't file return for such continuous tax period as may be prescribed. Note: Rule 21 says that if monthly return filler do not file return for a continuous period of 6 month or if quarterly return filler do not file return for a continuous period of two tax periods then registration can be cancelled. 4. Changed in GSTR 1: It is now compulsory that the returns of outward supply must be filed in chronological order. Further Government can prescribe conditions/restrictions in filling of details of outward supply and subsequent communication to receipient. 5. Other Changes in GST Returns: i. QRMP dealers can pay taxes on self assessment basis or in an alternate way that the government will prescribe later. ii. Restricts filling of GSTR 3B of current period if GSTR 1 of previous period is not filled. iii. Due date for filling of GSTR 5 and GSTR 5A is now 13th of next month iv. Late fee for delay in filling of TCS Return is being introduced. 6. Claiming Input Tax Credit on Self Assessment basis: Your self assessed ITC will be credited to the electronic credit ledger. Concept of Provisional ITC is now omitted. Further if your supplier didn't paid taxes to the Govt. then ITC shall be reversed along with Interest. 7. Refund: i. Refund application is to be filled in case you want to claim refund of excess balance in Elec. Cash Ledger ii. For supplies to SEZ Developer/Sez Units, refund is to be fillied within 2 years from the due date of GSTR 3B in respect of such supplies. iii. A specialised agency of the UNO, Multilateral Financial Institution and Organisation, Consulate, Embassy etc. can claim refund of tax on inward supply within 2 years from the last day of the quarter in which the supply was made. 8. Consequences of not paying your vendor in time: You need to pay tax along with interest If you have availed ITC but didn't pay the supplier within 180 days from Invoice date 9. Two way communication and matching concept is omitted: Form GSTR 2, GSTR 3, matching concept, two-way communication process in return filing etc. is now omitted

📌 Good News: Portal will allow filling claims for transitional Credit 📰 GSTN would open the common portal for filing transitional credit through Tran 1 and Tran 2 w.e.f 01/10/2022 for 4 weeks. If you missed to claim your transitional credits, then avail this opportunity to claim it. Source: https://www.gst.gov.in/newsandupdates/read/554

Changes in Table 4 of GSTR 3B - Reporting of ITC availment, reversal and Ineligible ITC

Advisory on Changes in Table 4 of GSTR 3B regarding reporting of ITC availment, reversal and Ineligible ITC: Changes in Table 4 is applicable for the GSTR-3B to be filed for the period August 2022 onwards. Corresponding changes in GSTR-2B and auto-population of GSTR-3B will be available shortly

Advisory on Changes in Table 4 of GSTR 3B regarding reporting of ITC availment, reversal and Ineligible ITC: Changes in Table 4 is applicable for the GSTR-3B to be filed for the period August 2022 onwards. Corresponding changes in GSTR-2B and auto-population of GSTR-3B will be available shortly From the format of Table 4, the following is noteworthy: I. All non-reclaimable reversal of ITC needs to be reported in table 4(B)(1) II. All reclaimable ITC reversals may be reported in table 4(B)(2). It can be reclaimed in table 4(A)(5) III. The ITC not-available mentioned in GSTR-2B to be reported in 4(D)(2) of table 4. IV. Any ITC availed inadvertently in Table 4(A) in previous tax periods due to clerical mistakes or some other inadvertent mistake maybe reversed in Table 4(B)2.

GSTN has implemented the changes (as notified through NN 14/2022) in the Input Tax Credit Table (Table 4 of GSTR 3B) Table 4(A) remained unchaged. What are the changes: 1. Table 4(B)(1) - Mention the amount of ITC reversed due to Rule 38, Rule 42, Rule 43 and Section 17(5) 2. Table 4(B)(2) - Other Reversal 3. Table 4(D) - Disclose the ITC reclaimed which was reversal earlier and Ineligible ITC under Secton 16(4) + ITC restricted due to Place of Supply Rules. Note: Table 4(D) is for disclosures only. There won't be any effect on your credit ledger based on this disclosure.

₹1,43,612 crore gross GST revenue collected in month of August 2022 Read More: https://pib.gov.in/PressReleasePage.aspx?PRID=1855967

🗓️ GST Compliance Calendar for September 2022

Comprehensive Note on Taxability of Renting of Residential Dwelling - By CA Nilesh Mahajan

Comprehensive Note on Taxability of Renting of Residential Dwelling - By CA Nilesh Mahajan

GST on service by way of renting of residential dwelling

**GST on service by way of renting of residential dwelling**

GST on service by way of renting of residential dwelling

Phased manner of GST e-invoicing implementation e-Invoice is a system in which B2B invoices are authenticated electronically by GSTN for further use on the common GST portal. e-invoicing was gradually made compulsory in a phased manner. The mandatory e-invoice requirement has been rolled out in the following manner: 👉 Phase 1: Turnover of more than 500 crore - October 1, 2020 👉 Phase 2: Turnover more than 100 crore - January 1, 2021 👉 Phase 3: Turnover more than 50 crore - April 1, 2021 👉 Phase 4: Turnover of more than 20 crore - April 1, 2022 👉 Phase 5: Turnover of more than 10 crore - October 1, 2022 Feel free to ask any queries related to this. Follow us on twitter: https://twitter.com/NarayanAgarwala