1. GST DEADLINES
1.1.Deadlines | Aug 21
● GST Compliance Calendar – Aug 2021
2. Circulars or Clarifications
2.1. Clarification regarding extension of limitation under GST Law in terms of Hon’ble Supreme Court’s Order dated 27.04.2021.
(Circular No. 157/13/2021-GST; 17th June, 2021)
In view of the wake of the COVID-19 pandemic, the Hon'ble Supreme Court of India in March, 2020 had suo moto extended the period of calculating limitation w.e.f. March 15, 2020 till further orders. Later, in view of decline witnessed in COVID-19 cases in India, the Supreme Court on March 8, 2021 had finally disposed off the suo moto proceedings and excluded the period from March 15, 2020 till March 14, 2021 for calculating the period of limitation. Hon’ble Supreme Court vide its Order dated 27.04.2021 is applicable in respect of any appeal which is required to be filed before Joint/ Additional Commissioner (Appeals), Commissioner (Appeals), Appellate Authority for Advance Ruling, Tribunal and various courts against any quasi-judicial order or where proceeding for revision or rectification of any order is required to be undertaken, and is not applicable to any other proceedings under GST Laws.
3. GST PORTAL UPDATES
3.1. Moving the records saved in IFF, to later months of same Quarter, by taxpayers under QRMP Scheme
Following enhancements have been made for the taxpayers under QRMP Scheme in the Invoice Furnishing Facility (IFF):
• Taxpayers can now MOVE the records saved in their IFF of first month of a quarter (if the time for filing it has expired) to IFF of second month of the quarter.
• Taxpayers can also MOVE the records saved in IFF of first month & second month of the quarter (if the time for filing it has expired) to their quarterly Form GSTR-1 (of the same quarter). Please note that the records can be moved only within a quarter.
• While preparing IFF/GSTR-1 (of later months of same quarter) online, in case of saved records, taxpayers will get a pop-up prompting them to either MOVE the records by selecting YES or delete them by selecting NO.
3.2. Filing for refund of accumulated ITC by taxpayers making exempt/ nil-rated supplies, by selecting an option of not having an LUT number in the refund application
A taxpayer is required to enter a valid LUT number, while applying for a refund of accumulated ITC, on account of exports of goods and services without payment of tax and supplies made to SEZ without payment of tax.
• To enable a taxpayer making exempt and/or nil-rated supplies, without LUT, to file a refund application (as they don’t have a valid LUT number to enter in the refund application), the Form RFD-01 has now been modified.
• At the time of refund filing, such taxpayers would now be asked to select one of the following options:
o I have a valid LUT number.
o I don’t have a valid LUT number, since I am making only exempt/nil-rated supplies.
• Such taxpayers can now select the second option to proceed with filing of their refund applications.
3.3. Negative liability statement made available to composition taxpayers
In case of a negative liability in any tax period of a composition taxpayer (and if no amount is required to be paid by the taxpayer (during that period)), the said negative liability will be maintained in Negative liability statement. This negative balance lying in the negative liability statement will be automatically adjusted against the liabilities of subsequent tax period(s). The statement would be accessible to them, post-login, by navigating to Services > Ledgers > Negative Liability Statement.
3.4. New functionality on Annual Aggregate Turnover (AATO) deployed on GST Portal for taxpayers.
GSTN has implemented a new functionality on taxpayers’ dashboards with the following features:
•The taxpayers can now see the exact Annual Aggregate Turnover (AATO) for the previous FY, instead of just the two slabs of Above or Upto Rs. 5 Cr.
•The taxpayers can also see the Aggregate Turnover of the current FY based on the returns filed till date.
•The taxpayers have also now been provided with the facility of turnover update in case taxpayers feel that the system calculated turnover displayed on their dashboard varies from the turnover as per their records.
•This facility of turnover update shall be provided to all the GSTINs registered on a common PAN. All the changes by any of the GSTINs in their turnover shall be summed up for computation of Annual Aggregate Turnover for each of the GSTINs
•The taxpayer can amend the turnover twice within a period of one month from the date of roll out of this functionality. Thereafter, the figures will be sent for review of the Jurisdictional Tax Officer who then can amend the values furnished by the taxpayer.
3.5.Auto population of GSTR-3B liability, for taxpayers under QRMP Scheme, from their IFF and GSTR 1
A taxpayer under QRMP Scheme can declare their liability through optional IFF for Month 1 and Month 2 of a quarter & Form GSTR-1 for Month 3 of the quarter. Declaration of liability in these forms, would now be autopopulated in their Form GSTR-3B (Quarterly) of that quarter, based on their filed Form GSTR-1 and IFF.
4. RATIONALIZATION OF LATE FEES
4.1. One time Amnesty Scheme
The Government, vide Notification No. 19/2021, dated 1st June, 2021, inter alia, has waived the late fee payable, in excess of amount as specified in the Tables, as given below:
For the registered persons who have failed to furnish the return in FORM GSTR-3B, for the months /quarter of July, 2017 to April, 2021, by the due date:
5. NOTIFICATION
5.1. No requirement of Audited Reconciliation Statement in GST; Self Certified Reconciliation to be submitted in GSTR-9C
(Notification No. 29/2021-Central Tax dated 30.07.2021)
The Government has issued notification and Section 110 and 111 of the Finance Act, 2021 have been made operative from 1st August 1, 2021. Now, there will be no requirement of CA Certified Reconciliation Statement in GST and taxpayers have to submit Self-Certified Reconciliation in Form GSTR-9C. This change will apply from FY 2020-21 onwards.
5.2. Taxpayers having Turnover upto Rs. 5 crores exempted from the requirement of furnishing reconciliation statement in GSTR 9C for FY 2020-21.
(Notification No. 30/2021-Central Tax dated 30.07.2021)
The reconciliation statement in FORM GSTR-9C for the FY 2020-21 will be required to be filed by taxpayers with annual aggregate turnover (PAN India basis) above Rs 5 Crore.
5.3. Taxpayers having Turnover upto Rs. 2 crores exempted from the requirement of furnishing annual return for FY 2020-21.
(Notification No. 31/2021-Central Tax dated 30.07.2021)
CBIC vide Notification No 31/2021 dated 30.07.2021 exempts taxpayers having aggregate turnover (PAN India basis) in FY 20-21 upto Rs. 2 crores from the requirement of furnishing annual return for FY 2020-21.
Disclaimer: “This material is intended to provide general information on particular subject(s) and is not an exhaustive treatment of such subject(s) or a substitute to obtaining professional service or advice. It is strongly recommended to seek professional advice before implementation of any of the aspects covered in the presentation.”)
Author can be reached at ca.hsinghal@gmail.com; +91 99172 11511
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