26th GST Council Meet Recommendations
Finance Minister chaired the 26th GST Council Meeting on 10th March 2018 in Delhi, Several decisions were taken in this meeting, the decision of 26th GST Council Meet Recommendations are given below
- The existing system of filing returns has been extended for another 3months and meanwhile, GOM on the IT will look into it & consult tax experts among others.
- GST Council also agreed today to: (a) Defer the implementation of the e-Wallet scheme by 6 months i.e., up to 01.10.2018; and (b)Extend the present dispensation in terms of exemptions etc. which is available up to 31.03.2018, for a further 6 months i.e., upto 01.10.2018.
- Domestic procurement made under Advance Authorization, EPCG and EOU Schemes were recognized as ‘deemed exports’ with flexibility for either the suppliers or the exporters being able to claim a refund of GST/IGST paid thereon. All these avenues were made available upto 31.03.2018.
- For merchant exporters a Special Scheme of payment of GST @ 0.1% on their procured goods was introduced.
- Thereafter, the GST Council directed GSTN to expeditiously forward the balance refund claims to the Customs/Central GST/State GST authorities, as the case may be, for their immediate sanction and disbursal.
- In a related development which would benefit the exporters, the GST Council reviewed the progress in grant of refunds to exports of both IGST and Input Tax Credit. The Council appreciated that the pace of grant of IGST refund has picked up.
- exporters presently availing various Export Promotion Schemes can now continue to avail such exemptions on their imports up to 1st October 2018, by which time an e-Wallet Scheme is expected to be in place to continue the benefits in future.
- deciding to extend the available tax exemptions on imported goods for further 6 months beyond 31st March,2018.26th GST Council Meet Recommendations
- Another major recommendation of the GST Council was relating to Grievance Redressal Mechanism.The GST Council in its 26th Meeting today tasked the GST implementation Committee (GIC) with the work of redressing the grievances caused to the taxpayers arising-out of IT glitches.
- In the meantime, the modalities of linking State and Central Governments accounting system with GSTN will be worked-out so that seamless credit is available to the registered traders whose tax is deducted or collected at source.
- Another major recommendation of the Council include suspension of the provisions for deduction of tax at source (TDS) under Section 51 of the CGST Act and collection of Tax at Source (TCS) under Section 52 of the CGST Act till 30.06.2018.
- Another major recommendation of the Council include deferment of the liability to pay tax on reverse charge basis till 30.06.2018. Meantime, a Group of Ministers will look into the modalities of its implementation to ensure that no inconvenience is caused to the trade & industry.26th GST Council Meet Recommendations
- A new model was discussed extensively and Group of Ministers on IT has been tasked to finalize the same.
- The outcome of preliminary Data Analysis also revealed interesting insight that there are major data gaps between self-declared liability in FORM GSTR-1 & FORM GSTR-3B. It was deliberated that this information may be further analysed and adequate action may be initiated accordingly.
- The outcome of preliminary data analysis revealed interesting insight that it has emerged that there is variance between the amount of IGST & Compensation Cess paid by importers at Customs ports and input tax credit of the same claimed in GSTR-3B.
- The GST Council in its 26th Meeting held today under the Chairmanship of the FM, Shri Jaitley made recommendations based on Data Analytics. The GST Council was apprised that CBEC and GSTN have started detailed data analytics across a number of data sets available with them.
- In case of movement of goods by railways, airways and waterways, the e-way bill can be generated even after commencement of movement of goods.Movement of goods on account of Bill-To-Ship-To supply will be handled through the capturing of place of despatch in PART-A of e-way bill.26th GST Council Meet Recommendations
- Validity of 1 day will expire at midnight of the day immediately following the date of generation of e-way bill. Once verified by any tax officer, same conveyance will not be subject to a 2nd check in any State or UT, unless & until, specific information for the same is received.
- Extra validity period has been provided for Over Dimensional Cargo (ODC). If the goods can’t be transported within the validity period of the e-way Bill, the transporter may extend the validity period in case of transhipment or in case of circumstances of an exceptional nature.
- Consignor can authorize transporter,courier agency&e-commerce operator to fill PART-A of e-way bill on his behalf.Movement of goods from place of consignor to place of transporter upto 50 km [ earlier10 km] don’t require filling of PART-B but have to generate PART-A of e-way bill.
- Railways has been exempted from generation and carrying of e-way bill with the condition that without the production of e-way bill, railways will not deliver the goods to the recipient. But railways are required to carry invoice or delivery challan etc.
- Time period for the recipient to communicate his acceptance or rejection of consignment would be the validity period of the concerned e-way Bill or 72 hours,whichever is earlier. In case of movement of goods on a/c of job-work, registered job worker can also generate e-way Bill.
- Value of exempted goods has been excluded from value of the consignment, for the purpose of e-way Bill generation. The responsibility of generating e-way bill in case of movement of goods by public transport would be that of the consignor or the consignee.
- Provisions of sub-rule (7) of Rule 138 will be notified from a later date. So now there is no requirement to generate e-way bill where an individual consignment value is less than Rs.50,000/-,even if the transporter is carrying goods of more than Rs.50,000/-in a single conveyance.
- Major improvements over the last set of rules with regard to e-way Bill, as approved by the GST Council now include E-way bill is required to be generated only where the value of the consignment exceeds Rs. 50000/-. For smaller value consignments, no e-way bill is required.
- For Intra-State movement of goods, e-way Bill System will be introduced w.e.f. a date to be announced in a phased manner but not later than 01st June, 2018.