GST Updates May 2018

Central Government vide Notification No. 14/2018 Central Tax, dated 23.03.2018 amends Central Goods and Service Tax Rules, 2017 as under:

1. In respect of inputs and capital goods sent to the job worker following changes are made in Rule 45 of CGST Rules. Where the goods are directly sent from one job worker to another job worker, the challan may be issued either by the principal or the job worker sending the goods to another job worker or the challan issued by the principal may be endorsed by the job worker, indicating therein the quantity and description of goods where the goods are sent by one job worker to another or are returned to the principal. Further the challan endorsed by the job worker may be further endorsed by another job worker, indicating therein the quantity and description of goods where the goods are sent by one job worker to another or are returned to the principal.”
2. In respect of decision of anti-profiteering authority Rule 134 is substituted to the effect that a minimum of three members of the Authority shall constitute quorum at its meetings. If the Members of the Authority differ in their opinion on any point, the point shall be decided according to the opinion of the majority of the members present and voting, and in the event of equality of votes, the Chairman shall have the second or casting vote.
3. In the definition of “Interested Party” for the purpose of anti-profiteering provisions in existing list (a) suppliers of goods or services under the proceedings; and (b) recipients of goods or services under the proceedings; (c) has been inserted i.e. any other person alleging, under sub-rule (1) of rule 128, that a registered person has not passed on the benefit of reduction in the rate of tax on any supply of goods or services or the benefit of input tax credit to the recipient by way of commensurate reduction in prices.
4. An explanation is inserted in Chapter XVI in respect of E-Way Rules that  for the purposes of this Chapter, the expressions transported by railways‘, transportation of goods by railways‘, transport of goods by rail‘ and movement of goods by rail‘ does not include cases where leasing of parcel space by Railways takes place.

Central Government vide Notification No. 15/2018 Central Tax, dated 23.03.2018 appoints 1^st April, 2018 to take in to effect of provisions in respect of E-Way Bill.

Central Government vide Notification No. 16/2018 Central Tax, dated 23.03.2018 specifies that the return in FORM GSTR-3B as under:

Central Government vide Notification No. 17/2018 Central Tax, dated 28.03.2017 specifies that the registered persons having aggregate turnover of up to 1.5 crore rupees in the preceding financial year or the current financial year, as the class of registered persons who shall  furnish the details of outward supply of goods or services or both for the quarter April to June, 2018 till the 31st day of July, 2018.

Central Government vide Notification No. 18/2018 Central Tax, dated 28.03.2017 specifies that the registered persons having aggregate turnover more than to 1.5 crore rupees in the preceding financial year or the current financial year, as the class of registered persons who shall  furnish the details of outward supply of goods or services or both as under:

Central Government vide Notification No. 19/2018 Central Tax, dated 28.03.2017 extends due date of furnishing the return by an Input Service Distributor in the Form GSTR-6 for the months of of July, 2017 to April, 2018, till the 31st day of May, 2018.

Central Government vide Notification No. 20/2018 Central Tax, dated 28.03.2017 extends due date for filing of application for refund under section 55 by notified agencies before the expiry of eighteen months from the last date of the quarter in which such inward supply was received.

Central Government vide Notification No. 21/2018 Central Tax, dated 18.04.2018 amends Central Goods and Service Tax Rules, 2017 as under:

1. Rule 89(5) is substituted in the case of refund on account of inverted duty structure, refund of input tax credit shall be granted as per the following formula:- Maximum Refund Amount = {(Turnover of inverted rated supply of goods and services) x Net ITC ÷ Adjusted Total Turnover} – tax payable on such inverted rated supply of goods and services.

Explanation:- For the purposes of this sub-rule, the expressions –

• “Net ITC” shall mean input tax credit availed on inputs during the relevant period other than the input tax credit availed for which refund is claimed under sub-rules (4A) or (4B) or both; and
• “Adjusted Total turnover” shall have the same meaning as assigned to it in sub-rule (4).

1. Provisions in respect of consumer welfare are substituted vide amendment in Rule 97.

1. Where any registered person who has availed of input tax credit opts to pay tax under Section 10 or where goods or services or both supplied by him become wholly exempt, he shall reversal/payment of tax on inputs held in stock, inputs contained in semi-finished and finished goods held in stock and capital goods. In case of reversal of input tax credit in respect of capital goods the value of capital goods shall be the invoice value reduced by 1/60th per month or part thereof from the date of invoice.