Applicability of E-Invoice Framework for GST

All about the GST E-Invoice Framework with applicability from the portal

www.carajput.com; E-INVOIVE PORTAL

www.carajput.com; E-INVOICE PORTAL

What is the E-Invoice Framework under GST?

GST e-invoice is the adoption of the digital invoice for goods and services provided by the business created on the GST portal of the Government. Thought has been paid to the idea of GST e-invoice generation framework for reducing GST evasion.

The GST officers have come to a conclusion by providing companies with a program that makes it mandatory for them to produce ‘e-invoice’ for each sale on the GST portal of government. This scheme will only apply to those whose turnover rate is above the defined threshold i.e. the government will set a threshold for them.

An official said businesses dropping below a certain level will be given a unique number each time an e-invoice is produced. The corporations will compare the amount with the invoices written in the sales report and pay taxes for verification.

  GST for E-invoicing – Introduce the GST e-invoicing of bills under the GST system

www.carajput.com; E-INVOIVE

www.carajput.com; E-INVOICE

The 39th meeting of the GST Council also agreed to introduce the GST e-invoicing of bills under the GST system and the applicability of QR codes in view of the currently held coronavirus pandemic as from 1 October 2020.

A version of the GST E-Invoicing Trial introduced 

Finally, the government has introduced the GST e-invoicing trial version of the common invoicing system that was discussed earlier in the GST Council meeting. The GST e-invoicing will have several categories in which e-invoice will be filled by the taxpayer according to turnover and other parameters. Every taxpayer is expected to have more than 500 crores of turnover to fill GST e-invoicing via the government portal itself.

IRPs’ position for e-invoicing under GST

After dozens of consultations, E-invoicing was eventually introduced on a voluntary basis for GST registered companies in India from 1 January. The developer of e-invoicing APIs is implemented essentially to submit B2B invoices organized to the GST framework. In fact, real-time transaction invoice monitoring would reduce the risk of last-minute problems due to pendency.

Invoice Registration Portal(IRP) – Apart from other modes, the first Invoice Registration Portal allows for invoice registration on the GST system. API mode

IRP aims to incorporate the e-invoicing program into the company invoicing framework for taxpayers.

The portal also lets the taxpayer get credentials he can access APIs from. Registration for the connection to the API will be complete once the OTP is entered on the checked mobile number and email Id.

RP provides details of the integration of the business systems into their e-invoice systems via APIs

Code extracts and master data are given to learn the logic and concepts properly.

By understanding and checking the API methods, developers can boost the performance of APIs with the help of the portal.

GST E-Invoice Framework Available

Industries would be expected to produce the entire GST e-invoice containing all the value of the sales.

E-Invoicing Under GST Time Period with Requirements for Business Turnover

Sales more than 500 Crores-Beginning October 1st, 2020

Remark:

  1. “The roll-out of e-invoicing would be important for companies with a turnover of more than 500 crs from 1 October onwards.”
  2. “Seek to exclude any class of registered persons capturing dynamic QR code and the date to be extended to 01.10.2020 for the introduction of QR code.”
  3. “Aim to exclude a certain class of registered individuals from issuing e-invoices and extended to 01.10.2020 the date of e-invoicing.”
  4. To the above-mentioned firms, GST e-invoicing is compulsory as of 1 October 2020. Those with turnover up to 100 Crore, voluntary, and trial basis start as per the sources from 1st October 2020.
  5. with effect from 1st October 2020, a supplier whose aggregate turnover exceeds 500 crore rupees in the financial year shall have a Fast Response (QR) code to an unregistered individual (B2C Invoice).
  6. The official also gave an example in which if Rs 1,000 is the minimum fixed invoice then there are high chances that the businesses would be able to divide the bills and they will escape the invoice that will be created due to the threshold.

System to produce e-invoice for under the GST E-invoice generation process

The GST e-invoice generation process will be the same as the e-way bill created on the https:/ewaybill.nic.in/portal, or the GST payments made on the GSTN portal.

The GST e-invoice generation system will replace the e-way bill produced for the movement of goods as a centralized government platform would be used to generate invoices. The e-way bill is currently only produced for those moving goods which cost more than Rs 50,000.

The official also added that there will be no hassle for companies to file the GST returns after the e-tax invoice generation program kicks off, since the data will be auto-filled invoice wise in the return form.

“We’ll have to review global models led by countries like Latin America, South Korea, and Europe,” the official said. We should also look at ways of motivating businesses to follow the process of producing e-invoices.

Along with the officer’s committee, it is entirely the responsibility of the state, central tax officials, and GST Network Chief Executive to implement the e-invoice under the GST program to reduce the burden of producing invoices and enforcement. The committee is given a deadline by next month to finalize the preliminary report.

The main goal of the generation of e-invoices is to test the evasion of GST. After two years of GST implementation, the government is now pursuing anti-evasion initiatives to boost revenue and enforcement.

Only 20 lakhs fall under the composition scheme from the 1.21 Crore listed firms.

The GST e-invoice generation system would minimize the dual effort, as well as the manual involvement in filing and reviewing tax returns, according to a tax expert.

It said, “The tax department could limit the frequency of mandatory departmental audits in case e-invoice procurements are made to encourage businesses to follow the new framework.”

List of Invoice Registration Portal(IRPs) under GST E-invoicing

Following dozens of discussions, e-invoicing was eventually introduced on a voluntary basis for GST registered enterprises in India from 1 January. E-invoicing or electronic invoicing is implemented primarily for the structured recording of B2B invoices to the GST system. In fact, real-time transaction invoice monitoring would reduce the risk of last-minute problems due to pendency.

The target for Invoice Registration Portal(IRPs)

Invoice Registration Portal(IRP) – In addition to other modes, the first Invoice Registration Portal provides for invoice registration on the GST system via API mode.

IRP aims to incorporate the e-invoicing program into the company invoicing framework for taxpayers.

The portal also lets the taxpayer get credentials he can access APIs from. Registration for the connection to the API will be complete once the OTP is entered on the checked mobile number and email Id.

IRP provides descriptions of the integration of the business processes through APIs into their e-invoice processes.

Code extracts and master data are given to learn the logic and concepts properly.

By understanding and checking the API methods, developers can boost the performance of APIs with the help of the portal.

New e-invoicing update under GST framework

In addition to improving the GST structure, the board has now moved to legitimize a new GST e-invoicing or electronic invoicing in a channelized manner for reporting business to business ( B2B) supplies to the GST scheme. The rule will be voluntary in effect as from 1 January 2020.

As any new rule calls for the establishment of a clear norm to accomplish the target in effect. After consultations with trade/industry bodies and representatives of ICAI, the basic standard for e-invoicing is finalized to ensure the absolute applicability of the existing e-invoicing under the GST regime. There was no set norm for e-invoicing up to now.

The e-invoicing function is guided in such a way that e-invoices created by one software are controlled by software which removes the need to re-enter the digits for a fresh entry. Adoption of this specific standard would allow the seller, buyer, bank, or agent or any other person concerned to read by a computer and thereby restrict the unnecessary data, minimizing errors. This is the main aim behind improving the e-invoicing GST structure.

It was in the 37th meeting of the GST Council chaired by Union FM Nirmala Sitharaman, the design of the new e-invoice system was discussed and accepted, and the same is released on the GST portal along with the schemes.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

Whirlpool convicted & imposed a penalty of Rs 4.07 lakh by NAA for denying customers the benefit of the GST rate reduction.

Whirlpool convicted in accordance with Rs. 4,07,451/- of profiteering by the National Anti Profiteering Authority on its fridges

www.carajput.com; GST

www.carajput.com; GST

NAA discovered the long-term consumer corporation Whirlpool of India convicted of not having to pass on a GST rate reduction advantage of more than Rs 4.07 lakh to its refrigerator purchasers. Kerala State Screening Committee Anti-Profiteering (NAA) vs. Whirlpool India Ltd.

The concise details of the matter are that the petitioner had made reference a case against Whirlpool to the Standing Committee on Anti-Profit-making alleging profiteering on the supply of fridge Whirlpool (HSN code 84182100), by not passing on the benefit of reducing tax rate w. e. f. 1 July 2017 Pursuant to Section 171 of the CGST Act, 2017, by way of a substantial price decrease.

Few justifications by the defendant and the authority to reply

The plaintiff contended that the rise in prices could not be created because of other commercial factors, which had the impact of placing unlawful restraint on his fundamental right and was consequently in accordance with Article 19(1)(g) of the Indian Constitution.

In this relation, it would also be important to state that section 171(1) requires only the participant to pass on the advantage of the reduction in taxes to the purchasers and does not require him to set his prices in accordance with any authority direction. The above profit was provided by the government to ordinary buyers by sacrificing their valuable tax revenue which the respondent can not be permitted to misappropriate and enrich themselves at the detriment of unorganized, voiceless, and vulnerable common buyers. The respondent is free to exercise his right to trade and set prices, but under the pretext that it infringes his right to trade, he can not deny the above benefit.

The defendant also argued that the product’s manufacturing cost (BOM) had experienced a rise since August 2016 due to a rise in the cost of raw materials which had been computerized to come at the MAP at the end of each and every month.

In this relation, it would also be necessary to note that on the very date from which the tax rate was reduced, there was no reason for the respondent to increase its basic price. There is also no justification for ascertaining why the respondent had not raised its price every month during the period from August 2016 to June 2017 when he computed the MAP every month.

The representative also claimed that there had been an increase in the total freight cost in 2017 compared to Rs. 29 per unit in 2016, which was expected to be added to the price.

As mentioned above, the defendant had no reason to raise its price on the occasion of the reduction in taxes, and thus the respondent’s argument is frivolous and not bonafide, which was made with an ulterior purpose for the betterment of the tax cut.

Held by Authority: on the grounds of the details of the matter, the amount profited by Whirlpool shall be determined as Rs. 4,07,451/-. The Respondent is instructed to lower the price with the above-mentioned product and also to deposit the benefited amount together with interest at 18 percent. A notice of cause shall be issued to him to illustrate why the punishment under the GST Act should not be enforced on him.

Prosecution under GST are as under 

 

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www.carajput.com; GST Prosecution

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

ITC on Sales of ‘Demo Cars Supply: GST Implication

Impact of GST: ITC on Vehicles on Sale of ‘ Demo Cars Supply by Dealers

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www.carajput.com; GST Implication

Overview

Demo cars are being used by car dealerships to demonstrate automotive functionality with a view to encouraging sales. Clients test-drive demo models to experience efficiency and understand the benefits of the vehicle. These cars are used for a limited period of time and will then be sold.

The essence of the demo car: a capital good or a dealer’s input?

Pursuant to section 2(19) of the CGST Act, 2017 “capital goods” means goods, the value of which is capitalized on the books of accounts of a person claiming an input tax credit and which are used or intended to be used in the course or in the course of business.

As set out in section 2(59) of the CGST Act, 2017 “input” means any goods other than capital goods used or expected to be used by a supplier in the duration of or in the course of trade or business.

Consequently, a test car can be either an input or a capital asset. In compliance with the above definitions, the prototype vehicle can be classified as a capital asset because it is used for market marketing and is not intended for retail sales to consumers. If the demo car is capitalized on the books of the accounts, it will be regarded as a capital asset. If not, it may be input.

Taxability and Tax Rate

The car dealer had to have registered demo cars in his title and, by nature of registration, the dealer will become the first holder of such cars and, afterward, the car dealer may sell demo cars and, at the time of sale, the vehicle registration will be transferred to the customer.

The transfer of the demo car to the client by the car dealer shall be liable to GST and shall be subject to taxation at the rates set for the cars. The Government has, however, laid down separate provisions for persons engaged in the purchase and sale of second-hand goods. Although demo cars have been used until the vehicles had been sold by the manufacturer, the rules of the old and used vehicle could be drawn.

The dealer possesses the following two options:

Option-1 The dealer may submit the concessional tax rate as specified in Notification No.-8/2018 Central Tax (Rate) dated 25-1-2018 only if no ITC has been claimed by him under the GST or former laws. The concessional GST rates are 18 percent for old and used large vehicles (in the case of Petrol LPG / CNG powered motor vehicles with an engine capacity of 1200cc or more and in other motor vehicles with an engine capacity of 1500cc or more) and 12 percent for other old and used vehicles. The govt also exempted the compensation cess for all old and used motor vehicles empty Notification No.1/2018 – Compensation Cess (Rate) dated 25-1-2018.

Option-2 If the dealer seems unable to apply the concessional tax rate as set out in the above-mentioned notification, the dealer shall be permitted to take the ITC at 28 percent on the buy of demo cars and the normal GST rate and, compensation cess ranging from 1% to 22% as the case may be will be applicable.

Input Tax Credit Availability

At the time of registration and payment, the dealer should have recorded the car as a fixed asset in his accounting records, regardless of whether or not the ITC had been claimed. Demo cars are usually purchased on a tax invoice by dealers who are capitalized on their accounting record as capital goods and expressed on the Company’s fixed assets, except the GST component.

Pursuant to the provisions of the Input Tax Credit given for in Section 17(5) of the CGST Act, the ITC on motor vehicles for the transport of persons is available when such vehicles are used in the further supply of such motor vehicles or for training on the driving of such motor vehicles. In addition, the Authority for Advance Rulings, Kerala, held that the input tax paid by the vehicle dealer on the purchase of a motor vehicle used for client display purposes can be used as an input tax credit for capital goods and offset against the output tax payable under the GST. Demo vehicles are either capital goods that are used in the process of operation or are eligible for the production tax credit.

Valuation under the GST Regime

As per valuation laws, a special method is required in situations where a taxable supply is provided by a person engaged in the purchasing and sale of second-hand products, i.e. used products as such or after some slight processing, that does not modify the value of the goods and that no input tax credit has been used for the procurement of such goods. In such cases, the value of the supply shall be the difference between the selling price and the purchase price and shall be ignored if the value of the supply is negative. However, it should be noted that, if ITC is taken, above that the mentioned option-1 concessional rate is not available and the car dealer shall pay an amount equal to the

on demo cars reduced by the percentage points that may be recommended or the transaction value tax on those capital goods determined as the value of the taxable supply, whichever is higher.

Concluding

It varies depending on the wholesaler whether he wants to apply the concessional GST rate to the sale of demo vehicles for which he has not been able to make use of ITC and needs to fulfill other prescribed conditions. Alternatively, it can make use of ITC and make use of the same with the payment of the output tax liability and during the sale of demo vehicles.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

GSTN provided guidance on the GST Registration facility available for IRP

The facility for the registration of IRPs made available on the GST Portal

www.carajput.com;GST Registration

www.carajput.com; GST Registration

  • Insolvency Resolution Professionals / Resolution Professionals (IRPs / RPs), named to conduct corporate insolvency resolution proceedings for corporate debtors, in the form of notice. No 11/2020-CT of 21 March 2020 may apply for a new registration on the GST Portal, on behalf of the Corporate Debtors, in each of the States or Union Territories, on the PAN and CIN of the Corporate Debtor, where the Corporate Debtor was registered earlier, within thirty days of their appointment as IRP / RP.
  • The Registration Explanation should be picked as Corporate Debtor undergoing the Corporate Insolvency Resolution Process with IRP/RP ” from the drop-down menu.
  • The day of the commencement of operations for IRP / RPs will be the day of their appointment. Their compliance duties may also fall into force from the date of their appointment.
  • The person named as IRP / RP shall be the Primary Approved Signator of the newly registered Company.
  • Information as stated in the original registration of the Corporate Debtors shall be entered in the Main Place of Business / Additional Place of Business.
  • The new form for registration shall have been sent electronically to the GST Website under the IRP / RP DSC.
  • New IRP / RP registration will only be needed once. In the event of a change in IRP / RP, a change of the approved signatory will be called after the original appointment and not the appointment of a different individual needing a new register.
  • In cases where the RP is not the same as the IRP, or in cases where a different IRP / RP is appointed in the middle of the insolvency process, a change in the GST system may be made through a non-core change in the registration form.
  • The adjustment to the Primary Authorized Signatory information on the site can be made either by the authorized signatory of the Company or by the competent court officer (if the former authorized signatory may not exchange the credentials with his successor) at the request of the IRP / RP.

 

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

New Corporate & Professional Update May 2020

New Corporate & Professional Update:

www.carajput.com; Corporate Updates

www.carajput.com; Corporate Updates

“Ups and downs are part of life, but to change this time of crisis into a time of opportunity is what gives us a special identity”

Holding this in mind, let us begin by reflecting on our mission and dream, and let us ensure that we have made no mistake in complying with the organization. A few General Conformities referred to in the attached photo. The business and the industry that varies in their wise compliance.

KEY PRACTICAL TAKEAWAYS:

Income Tax:

# CBDT has issued Circular No. 12/2020 dated 20.05.2020 in order to exempt B2B suppliers with 95% or more receipts through non-cash mode to not maintain prescribed payment modes as per Section 269SU such as POS, UPI, UPI-QR, etc.

Note-These assesses can disable these facilities if they are not in operation.

# CBDT released Notification No. 25/2020 dated 20.05.2020 to ensure that the ‘Safe Harbor Principles’ applied in the case of Overseas Transactions shall extend to FY 2020-21 in the same manner as those applied in previous years.

# In the case of a company that opts to pay tax under the “New 22% Scheme” under Section 115BAA, the MAT credit standing in the books must be written off because you will not be eligible to claim the same amount.

Note-Carefully opt for the scheme as the blind application of the 22% tax would eventually cause you a loss.

# TDS The rates have been lowered by 25 percent of the current rates, e.g. 14.05.2020. Here are a few clarifications in this regard:

  • The rate cut shall not extend to TDS for non-residents u / s 195.
  • The rate cut does not occur in non-PAN cases (20 percent FLAT rate) or 206AA cases.
  • The decrease in the TDS rate will apply to invoices due or payments made on or after 14.05.2020, even if the invoice date is before 14.05.2020. What you’ve got to do is “Due or Fee.” When all days occur on or after 14.05.2020, the reduced rate will apply.

# The due dates of ITR for FY 2019-20 have been extended to 30.11.2020 for all assesses. In fact, the due date of the tax assessment in the case of ALL the assesses has been extended to 31.10.2020.

Note-In brief, we should assume that irrespective of whether or not the assessee is subject to a tax audit OR TP audit, the above due dates are valid.

# For the calculation of depreciation under the Income Tax Act, 1961 for the year 2019-20, consider the following:

  1. Remember the effect of the “Leap Year” (i.e. 29.02.2020) on the estimate of 180 days. This period taking 100 percent depreciation for assets underuse after “04.10.2019” instead of 03.10 earlier and 50 percent depreciation for assets underuse after “04.10.2019.”
  2. In the case of a company, whether you take the “22% tax limit” or 115BAA, do not take the “additional depreciation” deduction.

Goods & Services Tax:

# The government. Subsequently, the amendment to Section 140 of the CGST Act 2017 was notified in order to provide the legislative authority to have a time limit for the claim of transitional credit and the invalidation of Delhi HC ‘s decision to offer a time limit for the claim of transitional credit until 30.06.2020.

# whilst still trying to prepare GSTR-9 (Annual Return) for FY 2018-19, in scenario you have paid less tax in your GSTR-3B, you will have to pay the balance tax along with Interest by filing DRC-03 through the common portal.

Note-If paid in DRC-03, the auditor shall not recommend any responsibility in GSTR-9C.

# GST Portal has allowed the Input Service Distributor (ISD) facility to change negative ITC to its Units in the event that no ITC is to be delivered for a month and ISD is needed to distribute ITC reversal via CN.

# Filing of GST Return is compulsory along with payment in case of opting for 15 days relaxation of GSTR-3B filing for taxpayers with a revenue of more than INR 5 crores.

Note-If you pay tax under Cash Ledger and do not file GSTR-3B within the due date + 15 days period, you will have to pay interest at 9 percent before 24.06.2020.

Corporate & Allied law:

MSME Definition: MSME is divided into two main categories:

  1. Manufacturing enterprise; and
  2. Service enterprise.

They are described as below in terms of investment in plant and machinery/equipment.

www.carajput.com;MSME

www.carajput.com; MSME

Illustration 1.

  • Investment: 50 Lakhs
  • Turnover: 4 Cr

As investment is less than 1 Cr and Turnover is less than 5 Cr. It fulfilled both conditions of the Micro category. Hence, it is a Micro-Enterprise.

Illustration 2.

  • Investment: 2 Cr
  • Turnover: 4 Cr

As investment is more than 1 Cr. Therefore, it is outside the purview of Micro Enterprise. As investment is less than 10 Cr and Turnover is less than 50 Cr. It fulfilled both conditions of the small category. Hence, it is a Small Enterprise.

Illustration 3.

  • Investment: 2 Cr
  • Turnover: 60 Cr

As turnover is more than 60 Cr. Therefore, it is outside the purview of Small Enterprise. As investment is less than 20 Cr and Turnover is less than 100 Cr. It fulfilled both conditions of the medium category. Hence, it is a Medium Enterprise.

# In the case of a corporation formed between 01.01.2020 and 31.03.2020, there is no annual compliance with FY 2019-20 except for the appointment of an auditor to the Board of Directors (no requirement for ADT-1) and the submission of an ITR. In other words, the following:

  • There is no need to schedule FS for these three months and the first FS will be prepared as of 31.03.2021.
  • There is no need to schedule the first AGM now and the due date of the First AGM will be 31.12.2021.
  • There is no need to file MGT-7 (Annual Return), AOC-4 (FS Filing).

Note-For the tax audit of these firms for these three months, Form 3CB-3CD (not 3CA-3CD) must be used.

# MCA explained w.r.t. timelines and length of name allocation, name transition, and resubmissions as follows:

  • Approved NEW Names from 15.03.2020 to 31.05.2020 will be held until 20.06.2020.
  • Approved CHANGE in Names expiring between 15.03.2020 and 31.05.2020 will be reserved until 30.07.2020.
  • Resubmission of any MCA type on which the last resubmission date expired between 15.03.2020 and 31.05.2020 has been extended until 15.06.2020.

# The government. Notified lowered PF prices (10 percent instead of 12 percent) for all workplaces for the months of May, June, and July 2020 for both employers and workers. If the employer contribution is still part of the CTC, you will take home 4 percent of the diminished contribution otherwise it will save 2 percent for the company and raise the employee ‘s profitability by 2 percent.

Note-You may also contribute more than 10%.

# In the case of an organisation where up to 100 workers are working and out of which 90 percent are paying less than INR 15,000, no employer and employee payment (24 percent) will be payable and the whole payment will be borne by the State. Before August 2020.

# In the case of other PF companies (not mentioned above), the Contractor and Employee share is expected to be charged at 10% each (means 20% instead of 24%) in June, July and August, 20.

# The government. Plans to extend the ESI Act to all businesses that have 10 or more employees and the region-wise provisions that have already been issued would expire.

# There is no need to file the ADT-1 form in the case of the first appointment of an auditor because the ADT-1 file is regulated by Section 139(1) and the first auditor is named pursuant to Section 139(6) and not pursuant to Section 139(1) of the Companies Act 2013.

# In the event of the termination of the auditor, the new auditor named in place of the previous auditor may hold office only up to the next AGM date and not for a term of five years. You will name such an auditor again at the next meeting of the AGM.

Insolvency (IBC)

  • Debt accrued or sustained in a corona case shall not be included in the default.
  • No current insolvency up to 1 year
  • In the case of small and medium-sized companies, separate insolvency of 240A IBC and a minimum requirement of Rs . 1 Lakes to 1 Crore should be imposed.

Conveyance Deed Cancelled: Flat owners must sign their names in the Land Tax Card / Municipal Registry. This was accepted by the Maharashtra State Cabinet in Principle at its meeting held yesterday.

The New Legislation will be passed to Surpass The Continuation of the Conveyance Contract. Draft New Law will be Available in Few Weeks and the Law will be approved at the Budget Session or Monsoon session of the Maharashtra Legislative Assembly. Now experience Land Ownership along with Flat.

Supreme Court Decision on the transition of Flat to Nominee. Land Mark Judgment

  • Deceased Member Nominee is entirely entitled to Ownership through the transition to the Co-op Society.
  • Society Can’t Challenge the Right to Nominate a Land Law.
  • No legitimate inheritance, no court order or certificate of succession is required.
  • Please Circulate, Essential to Members of the Society and Office Bearers.
  • After the nomination is registered with the organization You Don’t Need
    1. To Prove Legal Heirship.
    2. No Further Court Order Required.
    3. No Succession Certification

Thus, Transfer to Registered Nominee is Automatic.

KEY DUE DATE:

Tax on income:

# 30.06.2020 is the due date for filing Form 61A (SFT Compliance) in the event that you have such substantial financial transactions as the issue of shares worth more than INR 10 lakhs.

Note-In the case of no such SFT activity, the tax audit assesses are required to file the “Preliminary SFT Reponse” on the e-filing platform by the said due date.

# 07.06.2020 is the due date for payment of TDS / TCS for the month of May 2020.

# 30.06.2020 is the due date for the TDS / TCS returns file for Q4 (F.Y. 2019-20).

# 30.06.2020 is the due date for the ITR / Revised ITR register for the 2018-19 fiscal year.

Note-The ITR for FY 2017-18 can not now be submitted as the due date for the paper lapsed.

# 31.05.2020 is the due date for filing Form 61A (SFT Compliance) in the event that you have such substantial financial transactions as the issue of shares worth more than INR 10 lakhs.

Goods and Services Tax

# 04.06.2020 is the due date for filing GSTR-3B for the month of April 2020 in the case of taxpayers with a gross turnover of more than INR 5 crores in the previous year.

Note-You can delay filing above GSTR-3B until 24.06.2020 without any late fees but with 9 percent p.a. Responsibility for interest.

Corporate & Allied law:

# MCA has declared a “Moratorium Period” from 01.04.2020 to 30.09.2020 for the filing of ROC Forms and no further penalties will be paid during this time due to the late submission of any form submitted during this time.

We hope that no deadline will be skipped because of COVID-19.

Please feel free to return should you have any questions or uncertainty.

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

NEW CORPORATE AND PROFESSIONAL UPDATE

NEW CORPORATE AND PROFESSIONAL UPDATE

CORPORATE AND PROFESSIONAL UPDATE DEC 26, 2016 |

DIRECT TAX: INCOME TAX:

# The due dates of ITR for FY 2019-20 have been extended to 30.11.2020 for all assesses. In addition, the due date of the tax assessment in the case of ALL the assesses has been extended to 31.10.2020.

Note-In brief, we can say that regardless of whether or not the assessee is subject to a tax audit OR TP audit, the above due dates are applicable.

# For the calculation of depreciation under the Income Tax Act , 1961 for the year 2019-20, know the following:

  • Recognize the effect of the “Leap Year” (i.e. 29.02.2020) on the measurement of 180 days. This year taking 100 percent depreciation for assets under use before “04.10.2019” instead of 03.10 earlier and 50 percent depreciation for assets under use after “04.10.2019.”
  • In the case of a company, if you take the “22% tax rate” or 115BAA, do not take the “additional depreciation” allowance.

# TDS The rates have been decreased by 25 per cent of the current rates, e.g. 14.05.2020. Here are a few clarifications in this regard:

  • The rate decrease shall not apply to TDS for non-residents u / s 195.
  • The rate cut does not extend to non-PAN cases (20% FLAT Limit) u / s 206AA.
  • The change in the TDS rate would refer on invoices due or purchases received on or after 14.05.2020, even though the invoice date is before 14.05.2020. What you’ve got to see is “Due or Payment.” If all dates occur on or after 14.05.2020, the reduced rate will apply.

INDIRECT TAX: GOODS & SERVICES TAX:

# Filing of GST Return is compulsory along with payment in case of opting for 15 days stress relief of GSTR-3B filing for taxpayers with a turnover of more than INR 5 crores.

Note-If you pay tax under Cash Ledger and do not file GSTR-3B within the due date + 15 days period, you will have to pay interest at 9 per cent before 24.06.2020.

Transitional Forms-Review of Form GST TRAN-01:

  1. The facility to revise Form GST TRAN-01 has been enabled for taxpayers who have already filed it.
  2. If the revision results in downward credit, the taxpayer should only be able to file it if he has a sufficient balance in his credit note.
  3. Taxpayers who register it for the first time will not be able to update it instantly.
  4. The TRAN-01 revision functionality for those who do not meet the above criteria will soon be enabled.

# GST Portal has enabled the Input Service Distributor (ISD) facility to adjust negative ITC to its Units in case no ITC is to be distributed for a month and ISD has to distribute ITC reversal through CN.

CGST: establishes the date for the coming into force of the provisions of Section 128 of the Finance Act 2020 relating to the amendment of Section 140 of the CGST Act, which stipulates the manner and time limit for the taking of transitional loans. In our opinion, they are pushing for this amendment following the judgment of the Delhi High Court of Reliance Electric Works in which it was held that the restriction term (3 years) is to be extended as no time limit has been laid down in the CGST Act.

CORPORATE & ALLIED LAWS:

# In the case of a company where up to 100 employees are working and out of which ninety percent are paying less than INR 15,000, no employer and employee contribution (24 percent) will be payable and the whole payment will be charged by the Government. Until August 2020.

# In the case of other PF organisations (not mentioned above), the Contractor and Employee share is expected to be charged at 10% each (means 20% instead of 24%) in June , July and August, 20.

# The government. Plans to extend the ESI Act to all businesses that have 10 or more employees and the region-wise provisions that have already been issued would expire.

# There is no need to file the ADT-1 form in the case of the first appointment of an auditor since the ADT-1 file is governed by Section 139(1) and the first auditor is appointed pursuant to Section 139(6) and not pursuant to Section 139(1) of the Companies Act 2013.

# In the event of the removal of the auditor, the new auditor appointed in place of the previous auditor may hold office only up to the next AGM date and not for a period of five years. You will name such an auditor again at the next meeting of the AGM.

Key DUE DATE:

# 07.06.2020 is the due date for payment of TDS / TCS for the month of May 2020.

# 30.06.2020 is the due date for the TDS / TCS returns file for Q4 (F.Y. 2019-20).

# 30.06.2020 is the due date for the ITR / Revised ITR file for the financial year 2018-19. Note-The ITR for FY 2017-18 cannot now be filed as the due date for the file lapsed.

# 04.06.2020 is the due date for filing GSTR-3B for the month of April 2020 in the case of taxpayers with a gross turnover of more than INR 5 cores in the previous year.

Note-You can delay filing beyond GSTR-3B until 24.06.2020 without any late fees but with 9 percent p.a. Responsibility for value.

# 31.05.2020 is the due date for filing Form 61A (SFT Compliance) in the event that you have such significant financial transactions as the issuance of shares of more than INR 10 lakhs. Note-In the event of no such SFT transaction, the tax audit assesses are required to file the “Preliminary SFT Response” on the e-filing portal by the said due date.

# MCA has revealed a “Moratorium Period” from 01.04.2020 to 30.09.2020 for the filing of ROC Forms and no additional fees will be charged for that period due to the late filing of any form due within that period.

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

Key ideas & prospects for CA’s practice to develop in 2020.

Top ideas & opportunities for the practice of New CA to be established in 2020.

www.carajput.com; 2020

www.carajput.com; 2020

Upon completion of the Chartered Accountant exam, candidates may either be working in a corporation as employees or may start their own professional practice. If you want to start your own company, you need to know first about the essential terms and conditions of the company. Many of the eligible CAs have this problem.

  • When I start working as a ca practice or join a job, which one is better for me.
  • How can I expand my CA practice?
  • What I need to do to offer professional services to my customers.
  • How do I keep my staff at my CA firm / LLP

Once you get going, the first thing you can hold in mind is Hard Working and Patience. These are two significant market drivers that will carry you to a new height of success. There are various market opportunities in the country that the Chartered Accountant can launch without spending a large amount of capital.

Working for oneself often seems to be more appealing than working for someone else. In addition to building a work-life harmony, you live and follow your own desires.

Before beginning your practice, it ‘s important to do your homework and ask yourself questions so that you can get a sense of direction and intent. Some of the things you should think about include:

  • Should I have the experience of working for a company and employees?
  • Do I have the capital to start a business?
  • Do I have a good view of my accounting business?
  • Do I have the strength to succeed?
  • Do I have the love of family members?
  • How am I going to set my work apart from that of other businessmen like me?

When you’ve answered these questions and know that you’re starting an accounting firm for all the right reasons,

The Chartered Accountant has played a significant role in the numerous branches of the business, such as auditing, taxation, tax planning, accounting, accounting, administrative management, and financial reporting. Here, we are explaining the right company start-up strategy:

  • Understand why you want to launch a Chartered Accountant profession
  • Create an in-depth strategic strategy
  • Choose the best type of finance;
  • You can obtain a franchise from the Taxation Technology Agency
  • Tax Advisory Services
  • Products with verification competence
  • Outsourcing of services
  • Open the Educational Course for Chartered Accounting
  • The GST market is a driver of funding for Chartered Accountant start-up
  • Subjects one can specialize in your Chartered Accountant practice area

Areas of Expertise in Your CA Practices: There are a variety of topics that you may specialize in, which are listed here:

  • DIRECT TAXES
  • INDIRECT TAXES
  • FEMA
  • FOREIGN TRADE POLICIES
  • CORPORATE FINANCING
  • LABOUR LAW REGULATIONS AND COMPLIANCES THEREOF
  • TURN OUT STRATEGIES
  • INTERNAL CONTROLS, SOX, AND OTHER ALLIED AUDIT SERVICES
  • ESOP AND PAYROLL RELATED SERVICES
  • ASSISTING IN ARBITRATION
  • MERGERS AND ACQUISITIONS M&
  • FORENSIC ACCOUNTING
  • PREPARATION FOR A FINANCIAL DUE DILIGENCE
  • SYSTEMS AUDIT IN A COMPUTERISED ENVIRONMENT
  • SUPPORT SERVICES FOR SOFTWARE DEVELOPMENT, TESTING, AND IMPLEMENTATION
  • MANAGEMENT OF FAMILY RUN BUSINESSES
  • PREPARATION FOR IPO

Note: Combine any of these possibilities together initially to acquire information. While you may have limited knowledge of conducting your Articleship, you may use the aid of qualified Chartered Accountants in different fields of expertise.

How to establish a Specialty in CA Practices:

After the practicalities of financial accounting are well known, the next step is to define the field of specialty that will require the following steps:

  • Identifying the content of the analysis in order to achieve an in-depth under-statement of the topic of specialization.
  • Identifying every particular course like crash courses in a given area.
  • Search for ways to teach the desired area of specialty and continue teaching.
  • Being affiliated with a big firm/organization where the preferred subject is still being practiced.
  • Going to attend lectures and sessions on the topic.
  • A person makes your influence known in a number of conferences, conferences on a specific subject by expressing your point of view and challenging conventional thought.
  • Full price Models and interviews with professionals and advisors.
  • Participation of posts to CA journals.
  • Subscribing to specialist journals in the field — domestic and worldwide.
  • Identify and follow best practices constantly

If you’d like to expand your practice to have a high type of expertise, you need to introduce more and more professionals with strong experience. Never add working or working partners. Since they will not be able to contribute to work, but will still have some hope, so you will always have to work harder to satisfy their demands.

Allow a strong difference between trained workers and collaborators, because they will operate on the same activities. Their duty and responsibilities should be explicitly outlined in order to bring an end to any future conflict.

ICAI going to issue the FAIS (Forensic Accounting and Investigation Standards)

ICAI is proposing to come up with a package of Forensic Accounting and Inquiry Standards (FAIS), said on Tuesday President Atul Kumar Gupta.

The new standards are expected to be ready by the end of December, numbering around 30 and will go a long way in raising the quality benchmark of forensic commitments, Gupta told a virtual press conference.

President Atul Kumar Gupta also said FAIS would be obligatory for CA Institute members and non-adherence would prompt disciplinary action. Even if a non-audit foreign company performs the forensic audit and inquiry, any employee of the CA Institute who signs the report will be expected to obey the FAIS, Gupta explained.

“We’ll be directed by who signatures the report of the forensic investigation and not by the company,” he said.

FAIS would also be helpful to law enforcement authorities, companies , banks and other stakeholders to understand standard standards and finer aspects in performing forensic accounting and enquiry commitments, he added.

The CA Institute will be the first organisation to create a full set of FAIS criteria for forensic professionals and stakeholders in the accounting world, he added.

The suggested guidelines would help Forensic Accounting and Investigation practitioners perform their tests in a highly competent way and obtain information that could be subject to high degree of review in a court of law, Gupta said.

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

Covid 19 Relief Package: Top Taxation Relaxation to MSME

Big Moves for MSME sector announcement FM Nirmala Sitharaman Announcements 

What is the new definition of MSMEs?- Business News

www.carajput.com; MSME

  • Collateral Free Instant Loan for MSME. No guarantee is required. It’s been 4 years. No key repayment for 1 year.
  • Strong MSME: Subordinated Debt 20,000 Crore For Stressed MSMEs Rs. 20000 Crores subordinate debts (all NPAs or stressed MSMEs will be eligible)
  • MSME is doing a profitable business: 50,000 cr. Infusion of funds for growth For potential and vibrant MSMEs Rs. 50000 Crores Equity Infusion through the listing
  • For Standard MSMEs: 3 lacs Crores collateral-free loans (automated) up-to 31st October 2020. Borrowers with up-to Rs. 25 Crores outstanding and Rs.100 crores turnover all eligible. These loans to have 4 years term and with 12 months moratorium. 100% credit guarantee cover on principal and interest. This can be availed up-to 31st October 2020.
  • Change the meaning of MSME: Definition of MSMEs Turnover & investment based new definition of MSMEs., Manufacturing and service industry will not be differentiated
    • Micro: Restrict revised upward Expenditure up to 1 c. Or Turnover up to 5 kr.
    • Small: Limit revised upward Investment up to a maximum of 10 cr. Or Turnover up to Cr. 50.
    • Medium: Restrict revised upward Expenditure up to 20 kr. Or Turnover up to 100 C.
    • No gap in the product and service industry for micro-enterprises
  • Government Tenders: International tenders will be rejected up to 200 Cr.
  • E-market linkage for MSME. Within the next 45 days, all payments will be made to MSME.
  • EPF: MEASURES FOR PROVIDENT FUNDS: Rs. 2500 Liquidity relief for Crores shall be provided to all establishments. March, July, and August Monthly payment from the EPF (both employer and employee payment) would be payable by the Government of India. (Deposited for the month of April, May and June)
  • For June, July and August will be paid by the Government (72,22,000 employees will be benefitted). Total of Rs. 2500 benefit cr.
  • EPF: Statutory PF deposit limit reduced from 12% to 10% for the next 3 months. (6,750 cr.) (except CG and PSU’s)
  • NBFC, HFC & MFI; Rs. 30,000 cr. Special liquidity scheme
  • Partial credit guarantee scheme for NBFC: Rs. 45,000 cr scheme. Govt. of India will be a guarantor. 20% will be borne by GOI.
  • Discom: Liquidity crisis Rs. 90000 Equity for these firms against their receivables and on the economy Assurances. This amount will be paid by PFC and REC.
  • Contractors: All Indian Government agencies should be given an extension of up to 6 months in order to comply with the provisions of the deal without any termination provision. Partial relief as bank loans for partly finished communication should be issued up to the point of completion.

Direct Taxes Relief :

-TDS rates decreased by 25% of existing rates from tomorrow to 31.03.2021(Non-salaried to residents and TCS) Payment for- Vivad Se Vishwas Scheme extending to 31.12.2020. Pay with no extra cost.

-Pending refunds for charitable trusts, non-corporate enterprises, enterprises, associations, LLPs and corporations will be issued immediately.

-Date of The return for the Financial year 2019-20

  • Earlier 31.07.2020 and 31.10.2020 Now 30.11.2020
  • Tax audit due date: 30.09.2020 and 31.10.2020

– Date of assessment extended

  • From the barring on 30.09.2020 to 31.12.2020
  • From those barrings on 31.12.2021 to 30.09.2021

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

New GST refund procedure under the GST regime  

New GST refund procedure under the GST regime  

For GST REFUND: we have two scenario

www.carajput.com; GST Refund

www.carajput.com; GST Refund

  1. a) Export with payment of IGST:

Form GST RFD-01/RFD-01A: GST export refund process will require the submission of the form RFD-01 (completely online) or RFD-01A (manual) in specific cases only.

(1) Export of goods: in the case of export of goods subject to payment of tax, no separate refund application is required, as the shipment bill itself will be treated as a refund application. The details entered in the form GSTR-1 will be matched to the details indicated in the shipping bill as filed with ICEGATE. The ICEGATE will then process the refund and credit on the same bank account as the taxpayer has indicated on its portal.

(2) Export of Services: a request for a separate refund in RFD-01A is required. Such a taxpayer must login to the GST portal and select Services > Refunds > Application for Refund > Export Services with Tax Payment > RFD-01A. Details on the export of services will need to be uploaded using the offline utility. It will also be necessary to provide the amount of refund and the bank account number in which the refund is to be credited. Upon successful filing, an Application Reference Number (ARN) will be generated which can be used to track the status of the refund application.

(b) Export without payment of IGST:

The process of refunding the GST for exports involves a different document in this case. The option to export goods without payment of tax may be used either in the context of a letter of undertaking (LUT) or a bond. In such cases, any ITC accumulated on unused input/input services will be available for refund. The LUT option is only available for a select number of exporters that meet the prescribed criteria. The procedure is similar to that for the export of services.

Form GST RFD-11: The LUT can be filed on the common portal in Form GST RFD-11 by accessing Services > User Services > Furnish Letter of Business (LUT). The required details are filled in and uploaded along with the digital signature as per the LUT filing procedure. The GST export refund process will not be complete without this submission.

In the case of a bond, it must be executed manually on a stamp paper, signed and submitted to the Deputy Assistant Commissioner, along with the relevant documents, such as Form RFD-11 on the taxpayer’s letterhead, bank guarantee, letter of authority, etc.

Form GST RFD-01/RFD-01A: Similar to the process of GST refund for exports in the event of a tax payment, this form should be used by taxpayers. Details relating to ITC attributable to zero-rated supplies must be entered and submitted on RFD-01 (completely online) or RFD-01A (manual). The taxpayer should confirm that RFD-11 has been filed. Upload the relevant documents and affix the digital signature to submit the form and the ARN will be generated for tracking.

The invoice declaration procedure in Form GSTR-1 is the same, except that ‘Without payment of tax’ must be selected in the GST Payment field.

GST export refund process under the new GST export refund process

The GST export refund process and the RFD-01A and RFD-11 refund application will remain the same under the new GST return system. In the return, there is a change in the reporting of export details. The following are the forms used to report the export refund details.

Form ANX-1: GST refund mechanism for exports under new GST returns will start with ANX-1. In this form, the export invoice details are to be uploaded in Table ‘3C – Exports with Tax Payment’ and Table ‘3D – Exports without Tax Payment’ depending on whether or not the IGST is paid for the supply.

For the tax period, all such export invoices on which the shipping bills / bill of export are available until the date of filing of the GST returns, i.e. on the 20th of the next month for monthly filers, or on the 25th of the month following the quarter for quarterly filers, must be reported. The remainder will be reported in the next tax year.

The details required in this field would be as follows:

  • Document details (invoice, credit or debit note, serial number, date, value)
  • HSN code (six-digit level)
  • Tax rate and taxable value
  • Relevant tax amounts (in the case of export with payment of tax)
  • Shipping bill/bill of export (no and date)

As soon as implementation begins, separate functionality will soon be b) It will then automate the process of refunding the GST for exports to a massive extent.

FORM RET-1: GST refund process for exports under the new GST return system will continue with the RET-1 declaration. The value and the amount of tax in relation to exports declared in ANX-1 will be auto-populated for outward supplies in Table 3A (rows 3 and 4). Therefore, the taxpayer simply has to verify the same and not re-enter the details.

New amendment return introduced: an amendment to the export details, whether or not with payment of IGST, may be made in ANX-1A to amend the original annex ANX-1 submitted for the tax period, either monthly or quarterly. This can be done by referring to the original details. These are going to be auto-populated to RET-1A. Note that an amendment to the export documents on which the refund has already been successfully claimed is not allowed. On the other hand, those export invoice details which have not been declared in previous periods may be reported in the current ANX-1 period itself.

Has the process of GST refunded for exports become easier?

The major change that can be seen is that there is an auto-population of details entered in ANX-1 to RET-1. It is different from the current/old system where GSTR-1 reporting is independent of GSTR-3B.

There will be an integrated facility for the importation of shipping bill details as well as an entry fee from ICEGATE to the GST portal for exports and imports. This manual document reporting process is temporary since the new GST system will have the portal auto-populating data directly from the ICEGATE database in the respective tables in the ANX-1 and 2 forms.

No changes were observed in the process of applying for a refund in RFD-01/01A. When it comes to the export of goods, the filing of the shipping bill is considered to be an application for refund and continues under the new return filing system. In this case, quarterly return filers may have to wait longer for their refund to be processed.

Thus, the overall impact of the export reporting and refund claims under the new return filing system appears to be minor but definitely easier.

Effect of GST on Advertisement and Cinema Industry

GST Impact on Import and Export 

GSt Impact on Real Estate 

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

How to Submit NIL GST-Return i.e Through the SMS and Company may file returns of GST without DSC

GST returns may be filed by SMS and Company may file GST returns without DSC

www.carajput.com; GST Rrturn

www.carajput.com; GST Return

In a circular flow by CBIC, many obstacles to ease of compliance have been removed during the Covid-19 Annual Return Filing Date 2018-2019 extended to 30 September 2018.

Companies may also file GST returns without digital signatures (via EVM): the notification issued by the Board today stated that a registered person registered pursuant to the provisions of the Companies Act, 2013 (18 of 2013), during the period from the 21st day of April 2020 to the 30th day of June 2020, may also submit a return pursuant to section 39 of the FORM GST-3B verified by means of the EVM.

The Nil GST returns can be filed via SMS. : In addition, CGST Rule 67 was also amended and a new clause 67A was inserted, provided that the Board provided a means of providing the return of the short message service facility. According to that provision, a registered person who is required to provide the Nil return for a tax period under section 39 of the FORM GSTR-3B, any reference to electronic furnishings shall include the provision of the said return through a short message service using an officially registered mobile number and the said return shall be verified independently by a registered mobile number based solely on the One Time Password facility.

Procedure Filing Nil GSTR-1 Return

Different categories of taxpayers are required to file different types of GST returns. As an illustration, we provide the procedure for filing the NIL GSTR-1 return in the following steps.

In order to file the NIL GST-1 return under the GST, one must follow the steps –

  1. Visit https:/www.gst.gov.in/;
  2. Provides the appropriate username and password;
  3. Navigate the Services path > Returns the Dashboard;
  4. Month and year to file a return must be selected from the drop-down list; 5. Select ‘Prepare online;’
  5. mention the fact the details of the Aggregate Turnover for the financial year and the Aggregate Turnover for the period;
  6. Select ‘B2C (Other)’ under ‘GSTR-1 Other details’ and provide details;
  7. Select the POS i.e. under the next screen. Place of Supply in the drop-down list;
  8. Click the back button;
  9. Click Generate GSTR – 1 Summary;
  10. Choose the checkbox and select ‘Preview;’
  11. Click the Submit button;
  12. Return can be filed using either DSC or EVC.

Penalty for non-filing of the Nil return –

penalty / late fee provisions are laid down in section 47 of the Central Goods and Service Tax Act, 2017. Penalty / late fee for failure to file a GST return as set out in section 47 is as set out in – The default taxpayer is required to pay a late INR 100 fee for each day that such failure continues. However, the maximum penalty / late fee may not exceed INR 5,000.

On the same line, as stated in Notice No. 6/2018 – Central Tax dated 23 January 2018, the penalty / late fee payable in case of return in FORM GSTR – 5A to INR 50 per day (INR 25 CGST and INR 25 SGST) has been reduced. In addition, it was clarified in that notice that, in the event that the total amount of integrated tax payable in return is NIL, i.e. in the particular case of NIL, the late fee payable would be INR 20 per day (INR 10 CGST and INR 10 SGST).

The Goods and Service Tax Council has approved an SMS system that will allow the registered taxpayer to file a NIL return via SMS. Businesses who are NIL filers, where there is no supply or purchase within a quarter, may file their quarterly return via SMS.

It should be noted that the above system for filing NIL returns through SMS is actually currently not in force and is likely to be implemented as of 1 January 2019.

Post by Rajput Jain & Associates

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)