GST WEEKLY UPDATE :15/2024-25 (14.07.2024) By CA Vipul Khandhar
-By CA Vipul Khandhar
- CBIC notifies GST rate changes of Goods as recommended by 53rd GST Council Meeting:
The CBIC vide Notification No.02/2024 w.e.f. July 15, 2024, which is as follows:
| S. No. | Chapter / Heading / Sub-heading / Tariff item | Description of Goods | Rate | |
| (1) | (2) | (3) | Before | After |
| 121A. | 4819 10, 4819 20 | Cartons, boxes and cases of, –
(a) corrugated paper or paper board; or (b) non-corrugated paper or paper board”; |
18% | 12% |
| 180A. | 7310, 7323, 7612, or 7615 | Milk cans made of Iron, Steel, or Aluminium | 18% | 12% |
| 183A. | 7321 or 8516 | Solar cookers | 18% | 12% |
- CBIC exempts Accommodation Services Up to Rs. 20,000/- Month for Continuous Periods of 90 Days:the CBIC vide Notification No.04/2024 –w.e.f. July 15, 2024.
| Sl. No. | Chapter, Section, Heading, Group or Service Code (Tariff) | Description of Services | Rate
(per cent.) |
Condition |
| (1) | (2) | (3) | (4) | (5) |
| 12 | Heading 9963 or
Heading 9972
|
Services by way of renting of residential dwelling for use as residence except where the residential dwelling is rented to a registered person.
Explanation 1. – For the purpose of exemption under this entry, this entry shall cover services by way of renting of residential dwelling to a registered person where, – (i) the registered person is proprietor of a proprietorship concern and rents the residential dwelling in his personal capacity for use as his own residence; and (ii) such renting is on his own account and not that of the proprietorship concern. Explanation 2.- Nothing contained in this entry shall apply to- (a) accommodation services for students in student residences; (b) accommodation services provided by Hostels, Camps, Paying Guest accommodations and the like. |
Nil | Nil |
| 12A | Heading 9963 | Supply of accommodation services having value of supply less than or equal to twenty thousand rupees per person per month provided that the accommodation service is supplied for a minimum continuous period of ninety days. | Nil | Nil |
- CBIC exempts the services provided by Indian Railways to the general public & services provided by Special Purpose Vehicles to Indian Railways: The CBIC vide Notification No. 04/2024 – Central Tax (Rate) dated July 12, 2024, w.e.f. July 15, 2024:
| Sl. No. |
Chapter, Section, Heading, Group or Service Code (Tariff) |
Description of Services | Rate
(per cent.) |
Condition |
| (1) | (2) | (3) | (4) | (5) |
| 9E | Chapter 99 | Services provided by Ministry of Railways (Indian Railways) to individuals by way of –
(a) sale of platform tickets; (b) facility of retiring rooms/waiting rooms; (c) cloak room services; (d) battery operated car services. |
Nil | Nil |
| 9F | Chapter 99 | Services provided by one zone/division under Ministry of Railways (Indian Railways) to another zone(s)/division(s) under Ministry of Railways (Indian Railways). | Nil | Nil |
| 9G | Chapter 99 | Services provided by Special Purpose Vehicles (SPVs) to Ministry of Railways (Indian Railways) by way of allowing Ministry of Railways (Indian Railways) to use the infrastructure built and owned by them during the concession period against consideration and services of maintenance supplied by Ministry of Railways (Indian Railways) to SPVs in relation to the said infrastructure built and owned by the SPVs during the concession period against consideration. | Nil | Nil |
- CBIC exempts GST on agricultural farm produce for packages exceeding 25 kg/ltrs:
CBIC issued Notification No. 6/2022-Central Tax (Rate) dated July 13, 2022 to substitute the “brand name” definition with “pre-packaged and labelled” definition by amending Notification No.1/2017-Central Tax (Rate), dated June 28, 2017 (“the CGST Rate Notification”) wherein GST was made applicable on such food items when it is “pre-packaged and labelled”
Explanation. – For the purposes of this notification,-
(i) ….
(ii) The expression ‘pre-packaged and labelled’ means a ‘pre-packaged commodity’ as defined in clause (l) of section 2 of the Legal Metrology Act, 2009 (1 of 2010) where, the package in which the commodity is pre-packed or a label securely affixed thereto is required to bear the declarations under the provisions of the Legal Metrology Act, 2009 (1 of 2010) and the rules made thereunder.
“Provided that notwithstanding anything contained in the Legal Metrology Act, 2009 (1 of 2010) and the rules made thereunder, as amended from time to time, the supply of agricultural farm produce in package(s) of commodities containing quantity of more than 25 kilogram or 25 litre shall not be considered as a supply made within the scope of expression ‘pre-packaged and labelled’.”.
- CBIC notifies to cancel GST registration in case returns are not filed within 30 days from the date of the order of revocation of cancellation of registration:
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, in the exercise of its powers conferred by Section 164 of the CGST Act, further inserted new clause (ga) after clause (g) to Rule 21 of the CGST Rules to cancel the GST registration, if the taxpayers violate the provisions of the third or fourth proviso to sub-rule (1) of Rule 23 of the CGST Rules, which is reproduced below:
“Provided also that all returns due for the period from the date of the order of cancellation of registration till the date of the order of revocation of cancellation of registration shall be furnished by the said person within a period of thirty days from the date of order of revocation of cancellation of registration:
Provided also that where the registration has been cancelled with retrospective effect, the registered person shall furnish all returns relating to period from the effective date of cancellation of registration till the date of order of revocation of cancellation of registration within a period of thirty days from the date of order of revocation of cancellation of registration.”
- CBIC notifies procedure for Refund of additional Integrated Tax due to Price Revision of Exported Goods:
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, in the exercise of its powers conferred by Section 164 of the CGST Act, after sub-rule (1A) and after clause (ba) to sub-rule (2) of Rule 89 of the CGST Rules,
- CBIC notifies to considered E-cash ledger while calculating interest for delayed filing of the return:
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, in the exercise of its powers conferred by Section 164 of the CGST Act, after sub-rule (1) of Rule 88B of the CGST Rules,
- CBIC notifies to file FORM GSTR-4 by the 30th day of June following the end of such financial year from FY 2024-25 onwards:
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024.
- CBIC extends the time limit for filling FORM GST RFD-11 LUT:
CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, (b) fifteen days after the expiry of one year, or the period as allowed under the Foreign Exchange Management Act, 1999 (42 of 1999) including any extension of such period as permitted by the Reserve Bank of India, whichever is later, from the date of issue of the invoice for export, or such further period as may be allowed by the Commissioner, if the payment of such services is not received by the exporter in convertible foreign exchange or in Indian rupees, wherever permitted by the Reserve Bank of India.
- CBIC notifies unregistered person required to generate an E-way bill
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, in the exercise of its powers conferred by Section 164 of the CGST Act, with effect from a date yet to be notified, in sub-rule (3) of Rule 138, after the third proviso, the following fourth proviso is be inserted:
“Provided also that an unregistered person required to generate e-way bill in FORM GST EWB-01 in terms of the fourth proviso to sub-rule (1) or an unregistered person opting to generate e-way bill in Form GST EWB-01, on the common portal, shall submit the details electronically on the common portal in FORM GST ENR- 03 either directly or through a Facilitation Centre notified by the Commissioner and, upon validation of the details so furnished, a unique enrolment number shall be generated and communicated to the said person.”
- CBIC notifies procedure for distribution of input tax credit by Input Service Distributor:
The CBIC vide Notification No.12/2024 – Central Tax dated July 10, 2024, in the exercise of its powers conferred by Section 164 of the CGST Act, substitutes Rule 39 of the CGST Act (from the date yet to be notified) to specify the procedure for distribution of input tax credit by ISD
- Other Notifications & Circulars:
Notification No.13/2024 – CT (10.07.2024): Seeks to implement bio metric based authentication and risk based physical verification of registration applicants all over India. (Rescinds the Notification No.27/2022 – Central Tax dated 26.12.2022 w.e.f.10.07.2024)
Notification No.14/2024 – CT (10.07.2024): Seeks to exempt taxpayers having turnover upto Rs.2 Crores from filing Annual Return in GSTR-9 for FY 2023-24.
Notification No.15/2024 – CT (10.07.2024): Seeks to amend rate of tax collection at source (TCS) to be collected by every electronic commerce operator for intra-State taxable supplies. (Amendment to Notification No.52/2018 – Central Tax dated 20.09.2018 w.e.f. 10.07.2024)
Notification No.27/2024 – Customs – CBIC exempt Compensation Cess on the imports in SEZ by SEZ Unit/developers for authorized operations w.e.f July 15, 2024.
Circular No.223/17/2024-GST (10.07.2024): Amendment in circular no. 1/1/2017 in respect of Proper officer for provisions relating to Registration and Composition levy under the Central Goods and Services Tax Act, 2017 or the rules made thereunder.
Circular No 224 – Guidelines for recovery of outstanding dues, in cases wherein first appeal has been disposed of, till Appellate Tribunal comes into operation
Circular No 225 – Clarification on various issues pertaining to taxability and valuation of supply of services of providing corporate guarantee between related persons.
Circular No 226 – Mechanism for refund of additional Integrated Tax (IGST) paid on account of upward revision in price of the goods subsequent to exports– reg.
Circular No 227 – Processing of refund applications filed by Canteen Stores Department (CSD)
- GST PORTAL UPDATE:
Negative Liability of Previous Tax Period get Auto Adjusted against Tax Payable for Current Tax Period into Form GSTR-3B which is a major relief to taxpayers
Disclaimer:
This publication contains information for general guidance only. It is not intended to address the circumstances of any particular individual or entity. Although the best of endeavour has been made to provide the provisions in a simpler and accurate form, there is no substitute to detailed research with regard to the specific situation of a particular individual or entity. We do not accept any responsibility for loss incurred by any person for acting or refraining to act as a result of any matter in this publication.
(Author is a well known Chartered Accountant practicing on direct and indirect taxes at Ahmedabad)
