Advisory related to decisions taken in the recent meeting of GST Council

Advisory related to decisions taken in the recent meeting of GST Council

Recently GST Council held its 31^st meeting on 22^nd December 2018. These are recommendations made by them which will be getting affected as soon as the notification/circulars are issued. Some important changes that have taken place are placed herewith for your understanding.

1. The last date of taking ITC for the Invoices related to FY 2017-18 has been extended to 31.03.2019. This means that wherever any credit was left to be taken in the GST returns, now is the time to avail such credit.

To get the most of the benefits from this relaxation one should go ahead and get his accounts audited by a consultant thoroughly for any avenues of lapsed credit or any left out RCM liability. In case if any RCM has left, it is a very good time to pay that and take the credit of the same.

2. The last date to file Annual Return in form GSTR-9 and Reconciliation Statement (GST Audit) in GSTR-9C has been extended till 30.06.2019. However, one should go ahead and get a preliminary check done before 31.03.2019 so as to take the maximum benefit to the extended ITC date.

3. There will be single cash ledger for each tax type instead of Separate heads for fees, penalty, tax, and interest so as to make it convenient for taxpayers.

4. The last date of filing ITC-04 has been further extended till 31.03.2019.

5. Non-filers of return who have not filed the return for more than 2 months will not be able to generate Eway bills. However, This restriction will take time to be implemented as necessary changes in the system will take time.

6. Changes in the CGST Amendments Act, 2018 will be made effective from 01^st of February 2019. All these changes will be sent to you via a separate email in this regard.

7. New return functionalities (single return instead of GSTR-1 and 3B) will be made effective from 01^st April 2019 (optional) and 01^st July 2019 (mandatory).

8. A bonanza for non-filers of returns has been given. There will be no penalty imposed on the assessees who file their belated previous returns after 22^nd December 2018. It is now a very good time for all such assessees who have not filed their returns till now and now would like to comply.

9. Certain rate revisions have been done such as:-

 On Sprinkler Irrigation system it has been clarified that the rates will be 12% as against the advance ruling.

GST rate on Solar Power Generating plants have been rationalized and said that in cases where such solar power generating plants have been affixed in such cases only 30% of the total value shall fall under 18% tax head.

Certain other clarifications and amendments with respect to the specific industry have also been made.

Law Amendments during 31st Meeting of the GST Council

Decisions by the GST Council in the 31st meeting

Recommendations made during 31st GST Council Meeting