GST Council approves changes in GST law; CAIT lauds simplification of GST
New Delhi, June 22 (KNN) The Goods and Service Tax (GST) Council has extended the tenure of the anti-profiteering authority by two years till November 2021 and allowed use of Aadhaar as proof for obtaining GST registration while referring tax cut on electric vehicles and their chargers to an officers' committee.
In its 35th meeting under the Chairmanship of Finance Minister Nirmala Sitharaman, the GST Council approved the changes in GST law to this end for the sake of improving ease of business.
The Council also approved imposing a penalty of up to 10 per cent of the profiteered amount on entities for not passing on benefits of GST rate cuts to consumers, as against the current norm of levying a maximum fine of Rs 25,000.
While complimenting the Finance Minister, Nirmala Sitharaman, the Confederation of All India Traders (CAIT), Secretary General Praveen Khandelwal has lauded the positive approach of the Government in simplifying GST.
Extension of two months for filing GST annual return is a much wanted step but at the same time simplification of annual return form is also essential, he added.
Linking Aadhar for obtaining GST Registration is a progressive step in right direction. However reduction of tax rate on auto parts, Alluminium utensils and other construction material like Marble, Cement, Paint etc. is also required to streamline the tax slab system.
He said “We hope that Finance Minister will soon consult stakeholders on various issues concerning GST and will take appropriate steps”.
The Council also decided to introduce electronic invoicing system in a phase-wise manner for B2B transactions. E-invoicing is a rapidly expanding technology which would help taxpayers in backward integration and automation of tax relevant processes.
It would also help tax authorities in combating the menace of tax evasion. The Phase 1 is proposed to be voluntary and it shall be rolled out from January 2020.
The Council took a decision regarding location of the State and the Area Benches for the Goods and Services Tax Appellate Tribunal (GSTAT) for various States and Union Territories with legislature. It has been decided to have a common State Bench for the States of Sikkim, Nagaland, Manipur and Arunachal Pradesh.
To provide sufficient time to the trade and industry to furnish the declaration in FORM GST ITC-04, relating to job work, the due date for furnishing the said form for the period July, 2017 to June, 2019 to be extended till August 8, 2019.
Rule 138E of the CGST rules, pertaining to blocking of e-way bills on non-filing of returns for two consecutive tax periods, to be brought into effect from August 21, 2019, instead of the earlier notified date of June 21, 2019, said Ministry in its release.
From October, 2019, small taxpayers to stop filing FORM GSTR-3B and to start filing FORM GST PMT-08. They will file their first FORM GST-RET-01 for the quarter October, 2019 to December, 2019 in January, 2020, it added.