In order to operationalize the decisions made at the 43rd meeting of the GST Council, the CG issued the following notifications this week:
|Notification number||Topics||Valid from (earliest date…)|
|16/2021 – i||Enforcement of the CGSTA Section 50 Amendment, 2017||01 Jun 2021|
|17/2021 – i||FORM GSTR Maturity Extension – May 1, 2021||01 Jun 2021|
|18/2021 – CT, 02/2021 – IT and UTT||Reducing interest rates for tax periods March 2021 – May 2021||May 18, 2021|
|19/2021 – CT||Rationalization and Late Fee Waiver for Late Filing of the GSTR-3B Form from July 2017 onwards||May 20 2021|
|20/2021 – CT||Rationalization of late fees for late submission of the GSTR-1 form||01 Jun 2021|
|21/2021 – i||Rationalization of late fees for late submission of GSTR-4 form||01 Jun 2021|
|22/2021 – i||Rationalization of late fees for late submission of the GSTR-7 form||01 Jun 2021|
|23/2021 – i||Exclusion of government departments and Los Angeles from the requirement to issue electronic invoices||01 Jun 2021|
|24/2021 – i||Extension of the specific compliance due date that falls between April 15, 2021 to June 29, 2021 until June 30, 2021||May 30, 2021|
|25/2021 – i||Extension of the due date for the submission of the GSTR-4 form for the 2020-21 fiscal year to July 31, 2021||May 31, 2021|
|26/2021 – i||Extension of the due date for submission of GST ITC Form – 04 for the quarter ending March 2021 to June 30, 2021||May 31, 2021|
|27/2021 – i||Amendment (5th of 2021) on CGSTR, 2017||May 31, 2021|
|01/2021 – CT (R), IT (R) and UTT (R)||Describe the change in the GST rate for goods||Jun 02 2021|
|02/2021 – CT(R), IT(R) and UTT(R)||Notification of different GST rates||Jun 02 2021|
|03/2021 – CT(R), IT(R) and UTT(R)||Edit Notfn. No. 06/2019 – CT(R), IT(R), and UTT(R)||Jun 02 2021|
|03/2021 – IT||Change the point of sale of B2B MRO services in the case of the shipping industry to the location of the recipient||Jun 02 2021|
Notification No. 16/2021 – CT
Through this notification, Corporate Governance has set June 01, 2021 as the date on which Section 112 of the Finance Act, 2021 will come into force. This section amends Section 50 of the CGST Act 2017, as amended from time to time, by replacing the provision in Section 50(1) with a new provision. Prior to this modification, the relevant part of the condition was as follows Interest on that part of the tax must be “collected.” which is paid by debiting e-CaL. However, now, the revised statement states that Interest must be “payable” on that portion of the tax that is paid by deduction of e-CaL.
Whereas levying implies only the charging of interest, payability now places a liability on the taxpayer in default. This amendment was introduced to bring the wording of the clause in line with Section 50(1), making the defaulting taxpayer liable to pay the interest on their own, regardless of whether it was imposed or not.
Notification number 17/2021 – CT
Through this notification, CG modified Notfn. 83/2020 – CT and replace “April, 2021” in the second clause with “May 2021,” in order to extend the deadline for submitting the GSTR-1 form for May 2021 until June 26, 2021.
Notice No. 18/2021 – CT, 02/2021 – IT and UTT
Through this notification, CG modified Notfn. No. 13/2017 – CT by replacing certain parts of the clause with the first paragraph, which was inserted by Notfn advice. No. 51/2020 – CT, so that the benefit of lower interest rates is available not only to taxpayers required to submit FORM GSTR – 3B, but also to installation suppliers. The mentioned benefit is summarized in the following table:
Notification number 19/2021 – CT
Through this notification, CG modified Notfn. No. 76/2018 – CT, and the schedule in Condition VIII, relating to waiver of late fees for specified tax periods payable due to failure to provide FORM GSTR – 3B by the due date, superseded by wef May 20, 2021:
Furthermore, another condition has been added to the above notification, in order to
- Grant amnesty to defaulters who have not yet submitted a GSTR-3B form for any tax period between July 2017 to April 2021 by conditional reduction of the maximum total late fee payable as follows:
- Rationalization of the maximum total late fees payable due to non-furnishing GSTR format – 3B For the tax period/quarter ending June 2021 onwards by the due date, as follows:
* No change has been made in the maximum total late fee payable u/s 47 in the event of a failure to file a GSTR – 3B form by registered persons whose gross turnover is greater than Rs 5 crore in the previous financial year and GST payable is any An amount other than nothing.
Notification number 20/2021 – CT
Through this notification, CG modified Notfn. No. 04/2018 – CT, and another condition has been added to the above notification, for Rationalization of the maximum total late fees payable due to non-furnishing GSTR format – 1 For the tax period/quarter ending June 2021 onwards by the due date, as follows:
* No change has been made in the maximum total late fee payable u/s 47 in the event of a FORM GSTR-1 default by registered persons whose gross turnover is greater than Rs 5 crore in the previous financial year and the supplies made are not zero.
Notification number 21/2021 – CT
Through this notification, CG modified Notfn. No. 73/2017 – CT, and another condition has been added to the above notification, for Rationalization of the maximum total late fees payable due to non-furnishing GSTR format – 4 For fiscal year 2021-202 and beyond by the due date, as follows:
Notification number 22/2021 – CT
By this notice, CG has partially waived the amount of the late fee payable due to the delay in furnishing. GSTR format – 7 With tax deduction at source u/s 51, for June 2021 onwards. After the said waiver, the late fee payable by the above defaulters shall be $50 (CAD 25 + S$25) per day of the due date, subject to a maximum of $2000 (CAD 1000 + S$ 1000)
Notification number 23/2021 – CT
Through this notification, CG modified Notfn. No. 13/2020 – CT for the Exclusion of State Departments and Local Authorities (LA) from the requirements of Rule 48(4). Thus, the above-mentioned entities will not be required to obtain an IRN from the common portal and issue electronic invoices to their recipients.
Notification number 24/2021 – CT
Given the further extension of the lockdown imposed by the SG in some states, Notfn. No. 14/2021 – The Labor Code has been amended in order to extend the specific compliance due date which falls between April 15, 2021 to June 29, 2021 until June 30, 2021. For the list of specific compliance, please refer to the aforementioned alert through the following button:
Notification number 25/2021 – CT
CG modified Notfn. No. 21/2019 – CT, thus extending the deadline for submitting the GSTR-4 form for the 2020-21 fiscal year to July 31, 2021.
Notification number 26/2021 – CT
CG has hereby modified Notfn. 11/2021 – CT, in order to extend the deadline for submission of GST Form ITC – 04 for the quarter ending March 2021 until June 30, 2021.
Notification No. 27/2021 – CT
By this notification, CG has amended CGSTR, 2017, as amended from time to time, as follows:
- The fourth provision of Rule 26(1) has been amended in order to extend the facilities to authenticate FORM GSTR – 1/3B and IFF through the EVC, provided to a person registered under the Companies Act, 2013, until August 31, 2021.
- The second condition of Rule 36 (4) has been amended to provide that the provision set forth in Rule 36 (4) shall apply cumulatively for the period of April and May. and june, 2021 and FORM GSTR – 3B for the month/quarter ending June 2021 with the cumulative adjustment of the ITC for the mentioned months as per the above case.
- The provision of Rule 59(2) has been amended to provide that a registered person, who has opted for a QRMP, may submit details of B2B supplies made in May 2021 using the IFF, on or before June 28, 2021.
Notice No. 01/2021 – CT(R), IT(R) and UTT(R)
CG modified Notfn. No. 01/2017 – CT(R), IT(R) and UTT(R), as amended from time to time, for-
- Reducing confusion regarding materials other than vulcanized rubber other than solid rubber [other than erasers, rubber bands]. Prior to this amendment, without any clear identification, these products fell into the 5% and 18% categories. However, through this amendment, it has been clarified that 18% GST will be applicable to all such products.
- Diethylcarbamazine (DEC), used in the treatment of lymphatic filariasis, was listed at a rate of 5% GST, thus automatically removed from the 12% tax bracket.
Notice No. 02/2021 – CT(R), IT(R) and UTT(R)
Through these notifications, CG modified Notfn. No. 11/2017 – CT(R)/UTT(R) and 08/2017 – IT(R), as amended from time to time, to the following effects-
- in Sl. No. 3 (Building Services), against clauses (1), (ia), (ib), (ic) and (id), the following interpretation is added to the fourth clause of the Conditions-
The Land Owner – Promoter must be eligible to benefit from the integrated transportation cost charged by the Developer – Promoter to pay GST on the apartments provided by the Land Owner – Promoter in such a project.
- A GST rate of 5% is reported for “services for maintenance, repair or thorough inspection of ships and other vessels, their engines, and other components or parts”.
Notification No. 03/2021 – CT(R), IT(R) and UTT(R)
Through these notifications, CG modified Notfn. No. 06/2019 – CT(R), IT(R) and UTT(R) meaning that instead of liability arising for payment of GST in the cases reported on the date of issuance of the Certificate of Completion or the first job, whichever is earlier it is now paid on or Before the tax period in which the date of issuance of the Certificate of Completion or its first profession occurred, whichever is earlier.
Notification No. 03/2021 – IT
In order to prevent double taxation or non-taxation of the supply of a service, Corporate Governance has amended Notfn. No. 04/2019 – IT, to stipulate that in the case of the following service also, the place of supply shall be the place of effective use and enjoyment of the service as defined below –
|Supply Description||place of supply|
|The supply of servicing, repair or overhaul of ships and other vessels and their engines and other components or parts supplied to a person for use in the course of business or for its enhancement||The place of supply of services must be the location of the recipient of the service|