Opportunity to revise Form TRAN-1 by December 27, 2017

The government has warned the industry to amend any inflated input tax credit claimed in lieu of taxes paid prior to roll out of goods and services tax (GST), failing which it will initiate audit and enforcement action.

“Taxpayers who have claimed transitional credit erroneously are advised to avail of the opportunity to revise Form TRAN-1 by December 27, 2017 and ensure that only correct and bonafide credit is availed in transition, failing which the tax administration would be constrained to initiate audit and enforcement action against the identified units,” said a finance ministry statement on Tuesday.

The government has already ordered an analysis of the transitional credit taken by top 100 taxpayers in each jurisdiction. The central government’s GST collections have been muted, and one reason for the same is high input tax credit claimed for pre-GST regimes. The Centre’s revenue on account of GST in July, August, September, and October added up to Rs 58,556 crore.

“It has been noted that some taxpayers have availed extraordinarily high transitional credit of CGST which is neither commensurate with the trend of input tax credit of the industry nor as maintained by the taxpayer himself in the past,” it said adding that some of these high transitional credits may have a bonafide explanation or may be a case of bonafide mistake.

It has been noted that high transitional credit has been claimed in many cases for which perhaps no bonafide explanation exists. “Analysis to identify such units is underway. Such behaviour leads to breach of trust between the taxpayer and the tax-administration, which is the bed-rock of self-assessment regime in GST,” it said.

A tax payer can file Form TRAN-1and avail input tax credit on the basis of closing balance of the input tax credit declared in the last return under the pre-GST regime.

The GST rolled out from July 1. The last date for filing Form TRAN-1 is December 27, 2017, which can also be revised till then. Tax experts see closer scrutiny of credit claims by authorities in the coming months.

“Quantum of opening credit claimed has been a concern for the government,” said Pratik Jain, leader-indirect tax, PwC. It is therefore nudging businesses to carefully look at their claims and revise it if needed, he said.

Source : https://economictimes.indiatimes.com/news/economy/policy/revise-erroneous-credit-claims-under-gst-by-december-27-government-to-taxpayers/articleshow/62039887.cms

Revised GST Rates Applicable From 15-11-2017

All taxpayers are required to file return in FORM GSTR-3B along with payment of tax by 20th of the succeeding month till March, 2018.

Due dates for filing of details in FORM GSTR-1 for the period of July, 2017 – March, 2018, are given below:-

(a) Taxpayers with annual aggregate turnover upto Rs. 1.5 Crore need to file GSTR-1 on quarterly basis before the due dates tabulated below:-

Period	Date
July- September	31st December, 2017
October- December	15th February, 2018
January- March	30th April, 2018

(b) Taxpayers with annual aggregate turnover more than Rs. 1.5 Crore need to file GSTR-1 on monthly basis before the due dates tabulated below:-

Period	Date
July- October	31st December, 2017
November	10th January, 2018
December	10th February, 2018
January	10th March, 2018
February	10th April, 2018
March	10th May, 2018

• The time period for filing GSTR-2 and GSTR-3 for the period of July. 2017 – March, 2018 would be subsequently notified.
• Amendment facility for FORM GSTR-3B for taxpayers, who have submitted the return but not filed it. will be provided soon.
• Late fee has been waived for the months of July, August & September, 2017. Where such late fee was paid, it will be re-credited to their Electronic Cash Ledger under “Tax” head instead of “Fee- head so as to enable them to use that amount for discharge of their future tax liabilities. This decision will be implemented after making necessary changes in software.
• From the month of October, 2017 on wards, the amount of late fee payable has been reduced from Rs. 200/- per day (Rs. 100/- per day each under CGST & SGST Acts) to the following amounts :-

(a) Taxpayers whose tax liability for the concerned month was “NIL”	Rs. 20/- per day (Rs. 10/- per day each under CGST & SGST Acts)
(b) For all other taxpayers [other than mentioned in (a)]	Rs. 50/- per day (Rs. 25/- per day each under CGST & SGST Acts)

Revised GST Rates Applicable From 15-11-2017

GST late fee waived off for August and September

NEW DELHI: The government on Tuesday tweaked the working of GST (Goods and Services Tax) yet again to provide relief for the taxpayers. Finance Minister Arun Jaitley tweeted via his verified handle that the late fee on filing of GSTR-3B for the month of August and September has been waived. The tweet further said that the late fee amount will be credited back to the ledger of taxpayers who have already paid it.

How to Create E-Way Bill

Introduction: In this article we shall be discussing about how to generate new E-way bill online under GST

Welcome to new E-way BILL SYSTEM, a system for hassle free movement of goods throughout the Country with one E-way Bill.

Now all the taxpayers, transporter and related stakeholders who are responsible for the movement of goods from one state to another, can take a sigh of relief. This is because, for any movement of goods across India, the taxpayers can generate a single e-way bill online through a portal called gst.kar.nic.in.

With this single E-way bill, the goods can be transported from one state to another without any hindrance.

What is gst.kar.nic.in/ewaybill?

Gst.kar.nic.in   is the central tax website link from where the supplier, receiver or transporter can generate ewaybill for the movement of goods across India. In other words, if you want to generate the eway bill, then you need to first register on the website and then only you can proceed for E-waybill generation.

Four key players for generation of E-way bill online

The four key players for generation of E-way bill under GST are as follows:

• Supplier: The Supplier can register and generate e-way bills after registering on the website. Further, they also have the power to reject, if eway bill does not belong to him.
• Recipients: The recipient to has the power to register and generate an e-way bill from gst.kar.nic.in. Further, he also has the power to reject the eway bill.
• Transporter:  He can generate the e-way bills under GST and he can further update the vehicle numbers for the e-way bills assigned to him for transportation by the taxpayers.
• Department officers: The department shall verify the e-way bills and consignment carried with the e-way bills.

Registration procedure for enrolling E-way bills under GST

It is a one time registration.

The GST tax payer can open the web site http://gst.kar.nic.in/ewaybill and select the option ‘E-Way Bill Registration’.

Here, the tax payer has to enter his GSTIN and on validation, the system shows him his GSTIN details and request for send OTP.

The OTP will be sent to the tax payer’s registered mobile number.

After entry and validation of OTP, username and password, the system creates the username and password for the tax payer.

Understanding the website after logging in

Once you are registered with the gst.kar.nic.in, the next step is to log in into the system, i.e. on gst.kar.nic.in.

Once you are logged in, a new window opens up where you can see the following details on the left side of the window:

• Eway bill
• Consolidated E-way bill
• Option to reject
• Reporting
• Masters – where you can create items, customers, products etc.
• User management
• Registration.

Features of New e-Way Bill system:

This new system facilitates the tax payers to enter his master entries for customers, suppliers, transporters and products.

This information will help him in quicker and easier generation of e-way bills later.

There are different modes of e-way billgeneration – Web based, SMS based, Mobile App based, Bulk generation, API based, Suvidha Provider based.

The tax payer can also generate and manage multiple sub-users and assign them the roles on the e-way bill system.

The tax payer needs to take care while managing the sub-users to avoid mis-utilisation of his GSTIN.

Generation of new E-way bill under GST

Once you are logged in into the system, you need to select the ‘generate e-way bill’ and after that, you need to select ‘E-way bill’.

Further, keep the invoice or bill of supply and transporter ID ready to fill all the required details to generate the new eway bill.

To complete the creation of new E-way bill under GST, kindly follow the rules:

• You need to select the type of transaction, i.e. sales or purchase.
• Once the type of transaction is selected, you need to choose types of document i.e. tax invoice, bill of supply or delivery challan.
• If you are generating an E-way bill for outward supply, then enter name and GSTIN for the consignee.
• After that, you need to enter items details. Further, details of items shall be auto populated, if the item has been created from the masters (option on the homepage after logging in).

• Select mode of transportation. The user shall select the mode of transportation like by road, air, rail etc. If a user is carrying out the transportation through the third party, then he /she will generate the E-way bill by entering the transporter id and transporter document number and date given by the transporter.

• Once the transport ID is selected, the generated e-way bill shall be forwarded to the concerned transporter, and then the transporter shall enter vehicle number.

Auto verification and generation of 12 digit code

Once the request has been submitted by the user, the system will verify the details automatically and shows a message, if there is any error.

Further, if all the details are correct, then e-way bill be generated through form EWB – 01 containing the 12 digits unique number.

Non validity if vehicle entry is not made

If the vehicle entry is not made in the e-way bill then the same shall not be valid.

Hence, it is very important to add a vehicle.

Further, once the vehicle number is entered, the system shall show the validity. This indicates the user to get the goods moved with that valid date and time. Otherwise, the movement of goods becomes illegal.

The vehicle number can be entered by the tax payer or the transporter.

Thereafter, the user can take the print out of the E-way bill from there

The e-way bill can be cancelled within 24 hours by the tax payer.

The other party of the goods can reject the e-way bill, if it does not belongs to him.

One time enrolment for GST unregistered transporters:

Unregistered transporter need to open web site http://gst.kar.nic.in/ewaybill and go to ‘Enrolment for Transporter’ option.

Enter the PAN details, other business details and authenticate with OTP.

The OTP will be sent to his mobile number.

After entry and validation of OTP, username and password, the system creates the username and password for the transporter.

see more at: https://taxguru.in/goods-and-service-tax/generate-eway-bill-online-gst.html/

Change in GST Rates on 40 Type of Goods

LIST OF GOODS FOR CHANGE IN GST RATE RECOMMENDED BY GST COUNCIL IN ITS 21^st MEETING HELD ON 9^TH SEPTEMBER, 2017

1. The GST Council has recommended changes in the GST rates on the following goods:

S. No.	HSN	Description	Present GST Rate	Recommended GST rate
1.	0802	Walnuts, whether or not shelled	12%	5%
2.	0813	Tamarind dried	12%	5%
3.	2106	Roasted Gram	12%	5%
4.	2106	Custard powder	28%	18%
5.	2106	Batters, including i dl i / doss batter	18%	12%
6.	2304, 2305, 2306	Oil cakes	Nil for cattle feed5% for other uses	5% [irrespective of end use]
7.	2306	Cotton seed oil cake	Nil for cattle feed5% for other uses	Nil [irrespective of end use]
8.	3307 41 00	Dhoop batti, dhoop, sambhrani and other similar items	12%	5%
9.	3926	Medical     grade    sterile     disposable gloves of plastics	28%	18%
10.	3926	Plastic raincoats	28%	18%
11.	4016	Rubber bands	28%	12%
12.	4016	Rice rubber rolls for paddy de-husking machine	28%	18%
13.	4907	Duty Credit Scrips	12%	5%
14.	50 to 55	Khadi fabric, sold through Khadi and Village Industries Commission’s outlets	5%	Nil
15.	5801	Corduroy fabrics	12%	5% [with no refund of ITC]
16.	5808	Saree fall	12%	5%
17.	6501	Textile caps	18%	12%
18.	6912	Idols made of clay	28%	Nil
19.	44, 68, 83	Idols of wood, stone [including marble] and metals [other than those made of precious metals]	28%	12%
20.	7102	Rough industrial diamonds including unsorted rough diamonds	3%	0.25%

21.	8424	Nozzles for drip irrigation equipment or sprinklers [ Mechanical appliances (whether or not hand operated) for projecting, dispersing or spraying liquids or powders]	18%	12%
22.	8445	Charkha for hand spinning of yarns, including amber charkha	Nil / 18%	Nil
23.	8528	Computer monitors upto 20″ Note: Computer monitors upto 17″ are already at 18%.	28%	18%
24.	9404	Cotton quilts	18%	5% on cotton quilts not exceeding Rs.1000 per piece, 12% on cotton quilts exceeding Rs.1000 per piece
25.	9601	Worked corals, other than articles of coral	28%	5%
26.	9603	Brooms and brushes, consisting of twigs or other vegetable materials, bound together, with or without handles. Note: Phool bahari jhadoo is already at Nil GST.	5%	Nil
27.	9613	Kitchen gas lighters	28%	18%
28.	Any Chapter	Rosaries and prayer beads	18%	5%
29.	Any Chapter	Hawan samagri	Applicable rate	5%
30.	4419	Table and Kitchenware etc. of wood	18%	12%
31.	4601, 4602	Grass, leaf and reed and fibre products, including mats, pouches, wallets	12%	5%
32.	4823	Paper M ache articles	18%	5%
33.	68	Stone inlay work	28%	12%
34.	6802	Statues, statuettes, pedestals; high or low reliefs, crosses, figures of animals, bowls, vases, cups, cachou boxes, writing sets, ashtrays, paper weights, artificial fruit and foliage, etc; other ornamental goods essentially of stone.	28%	12%
35.	6909	Pots, jars and similar articles of a kind used for the conveyance and packing of goods of ceramic.	28%	12%
36.	6911	Tableware, kitchenware, other household articles and toilet articles of porcelain or china [including small accessories       bathroom    or    sanitary fittings such as soap dishes, sponge baskets,  toothbrush    holders,   towel hooks and toilet paper holders]	18%	12%
37.	6912	Tableware,         kitchenware,        other household articles and toilet articles other than of porcelain or china [including small accessories bathroom or sanitary fittings such as soap dishes, sponge baskets, toothbrush holders, towel hooks and toilet paper holders].	28%	12%
38.	6913	Statues and other ornamental articles.	28%	12%
39.	8306	All goods, including bells, gongs and the like, non-electric, of base metal; statuettes and other ornaments of base metal including metal bidriware; photograph, picture or similar frames, of base metal; mirrors of base metal,	18%	12%
40.	9601	Worked ivory,     bone, tortoise shell, horn, antlers,     mother of    pearl, and other     animal   carving    material   and articles of these materials (including articles       obtained     by     moulding)]; articles of coral	28%	12%

2. The issue of avoidance of 5% GST on pulses, cereals and flours, put up in unit container and bearing a registered brand name, was also discussed by the GST Council. After detailed deliberations, the Council recommended that the following amendments may be made to the existing Notifications, so as to provide that:

1) A brand registered as on 15.05.2017 shall be deemed to be a registered brand for the purposes of levy of 5% GST, irrespective of whether or not such brand is subsequently deregistered.

2) A brand registered as on 15.05.2017 under the Copyright Act, 1957 shall also be treated as a registered brand for the purposes of levy of 5% GST.

3) A brand registered as on 15.05.2017 under any law for the time being in force in any other country shall also be deemed to be a registered brand for the purposes of levy of 5% GST.

4) A mark or name in respect of which actionable claim is available shall be deemed to be a registered brand name for the purposes of levy of 5% GST.

3. Indigenous handmade musical instruments attract Nil GST. The Council recommended a list of such handmade instruments [eligible for Nil GST rate], which is attached as Annexure.

Annexure

List of indigenous handmade musical instruments

1. Bulbul Tarang

2. Dotar, Dotora, or Dotara

3. Ektara

4. Getchu Vadyam or Jhallari

5. Gopichand or Gopiyantra or Khamak

6. Gottuvadhyam or Chitravina

7. Katho

8. Sarod

9. Sitar
10. Surbahar
11. Surshringar
12. Swarabat
13. Swarmandal
14. Tambura
15. Tumbi
16. Tuntuna
17. Magadi Veena
18. Hansaveena
19. Mohan Veena
20. Nakula Veena
21. Nanduni
22. Rudra Veena
23. Saraswati Veena
24. Vichitra Veena
25. Yazh
26. Ranjan Veena
27. Triveni Veena
28. Chikara
29. Dilruba
30. Ektara violin
31. Esraj
32. Kamaicha
33. Mayuri Vina or Taus
34. Onavillu
35. Behala(violin type)
36. Pena or Bana
37. Pulluvan veena – one stringed violin
38. Ravanahatha
39. Folk sarangi
40. Classical sarangi
41. Sarinda
42. Tar shehnai
43. Gethu or Jhallari
44. Gubguba or Jamuku – Percussion string instrument
45. Pulluvan kutam
46. Santoor – Hammered chord box
47. Pepa
48. Pungi or Been
49. Indian Harmonium: Double reed
50. Kuzhal
51. Nadaswaram
52. Shehnai
53. Sundari
54. Tangmuri
55. Alghoza – double flute
56. Bansuri
57. Venu (Carnatic flute) Pullanguzhal
58. Mashak
59. Titti
60. Sruti upanga
61. Gogona
62. Morsing
63. Shruti box
64. Harmonium (hand-pumped)
65. Ekkalam
66. Karnal
67. Ramsinga
68. Kahal
69. Nagphani
70. Turi
71. Dhad
72. Damru
73. Dimadi
74. Dhol
75. Dholak
76. Dholki
77. Duggi
78. Ghat singhari or gada singari
79. Ghumot
80. Gummeta
81. Kanjira
82. Khol
83. Kinpar and Dhopar (tribal drums)
84. Maddale
85. Maram
86. Mizhavu
87. Mridangam
88. Pakhavaj
89. Pakhavaj jori – Sikh instrument similar to tabla
90. Panchamukha vadyam
91. Pung
92. Shuddha madalam or Maddalam
93. Tabala / tabl / chameli – goblet drum
94. Tabla
95. Tabla tarang – set of tablas

96. Tamte
97. Thanthi Panai
98. Thimila
99. Tumbak, tumbaknari, tumbaknaer
100. Daff, duff, daf or duf Dimdi or dimri – small frame drum without jingles
101. Kanjira – small frame drum with one jingle
102. Kansi – small without jingles
103. Patayani thappu – medium frame drum played with hands
104. Chenda
105. Dollu
106. Dhak
107. Dhol
108. Dholi
109. Idakka
110. Thavil
111. Udukai
112. Chande
113. Nagara – pair of kettledrums
114. Pambai – unit of two cylindrical drums
115. Parai thappu, halgi – frame drum played with two sticks
116. Sambal
117. Stick daff or stick duff – daff in a stand played with sticks
118. Tamak’
119. Tasha – type of kettledrum
120. Urumee
121. JaltarangChimpta – fire tong with brass jingles
122. Chengila – metal disc
123. Elathalam
124. Geger – brass vessel
125. Ghatam and Matkam (Earthenware pot drum)
126. Ghungroo
127. Khartal or Chiplya
128. Manjeera or jhanj or taal
129. Nut – clay pot
130. Sankarjang – lithophone
131. Thali – metal plate
132. Thattukazhi mannai
133. Kanch tarang, a type of glass harp
134. Kashtha tarang, a type of xylophone

See more at :https://taxguru.in/goods-and-service-tax/gst-council-recommends-change-gst-rates-40-type-goods.html