Leaf No: 86

Month : May - Jun

Year : 2017

Greetings from Team SA

Central Excise and Service Taxpayers are requested to complete the enrolment process on GST portal before 1st July 2017. This completion requires completely filling-up Form-20 and submitting the form with digital signatures. With this the authorized signatory would be able to conduct business on the portal.

The GST Council has granted major relief to 66 commodities out of representations received for 133 items. Aggrieved manufacturers and service providers had flooded the Union Finance Minister and State Ministers' offices with representations and pleaded for a review. And having looked into their concerns, the Council approved reduction in rates for many items such as packaged foods like pickle and sauces; school bags, cutlery, ball bearings and computer printers.

Appointment of Central Excise officers and vesting them with powers under Central Excise Act 1944 and under Chapter V of Finance Act 1994.

Territorial Jurisdiction of Principal Chief / Chief Commissioners, Principal Commissioners / Commissioners, Commissioner (Appeals) / Audit.

Delegation of powers for the purpose of assignment of adjudication of show cause notices.

Notification No. 12/2012-Customs amended.

Notification No. 73/2006-Customs further amended.

Regarding exemption from drawal of samples for the purpose of grant of drawback to the AEO certificate holders.

Implementation of Hon'ble Supreme Court's judgement dated 27.10.2015 in CA No.554 of 2006 titled SDGFT V/s Kanak Exports.

Facility for On-line Generation of Rotation Number by Shipping Lines/Agents.

Manual filing and processing of bill of entry/shipping bills.

Regarding classification of Dioctyl Orthophthalate (DEPH).

Constitution of GST Facilitation Cell.

Fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy Seeds, Areca Nut, Gold and Silver.

Rate of exchange of conversion of the foreign currency with effect from 19.5.17.

Last few days had been very significant for a taxpayer, as the GST Council had finalised the much awaited rates for commodities and services along with rate of compensation cess for specified commodities. Government has to the maximum adhered to cumulative rate of existing Central Excise + VAT to most of the commodities. Quite contrary to the expectations, the services are also falling under different slabs ranging from 5% to 28%. The whole scheme of abatement has been taken away for taxing services. The exemption list of services is still lacking in clarification in form definition of various expressions used therein. The confusion may be settled when the final notification is published which is expected to be complete in itself.

Rules on Eway bills are put on hold due to probability of further changes. The return format will also go for a revision on basis of feedback from assessees trying the BETA version made available. It has been made clear that there is no need to file return in GSTR 1 for the month of July and August immediately . The GST Council has relaxed the rules for filing returns for initial two months of July and August. As per the revised rules, a new form GSTR-3B will be introduced by the government. Every taxpayer needs to file his return on self-assessment basis for the first two months i.e July and August. These return forms have to be filed by 20th of next month. Simultaneously, the taxpayer has to file the GSTR-1 for the month of July on or before September 5; an extension of 25 days has been extended for the month of July. For the month of August, this extension is limited to a period of 10 days. Once GSTR-1 is filed, GSTR-2 and GSTR-3 will auto-populate with information furnished under GSTR-1. Eventually, this GSTR-3 will be matched against GSTR-3B and any difference will be refunded or needs to be paid as the case may be. However, no penalty or late fees will be charged on the difference.

The GSTN is to reopen for registration from 25th of June, 2016. There are several assesees awaiting for provisional id since same had not been obtained due to several mismatch issues.

Irrespective of level of preparedness at the end of government, industry and department, the Government is determined to stick to deadline of implementing GST with effect from 01.07.2017. There is no scope for any further postponement, is evident from the news that government has declared that on June 30 a program will be organised in the central hall of Parliament where all members of the Parliament, GST Council, chief ministers, and officials who have assisted in the process have all been invited.

Now the trade has no other option but to fall in line and step in to the new tax regime. So...