Annual GST Audit- A Complete & Comprehensive Guide for TaxpayersSeptember 18, 2020
GSTR-9A: Eligibility, Due Date, Filing Details, and Late FeesNovember 9, 2020
The 42nd GST Council meeting held under the Chairmanship of Union Finance & Corporate Affairs Minister Smt. Nirmala Sitharaman through video conferencing held on 05-Oct-2020. The meeting was also attended by Union Minister of State for Finance & Corporate Affairs Shri Anurag Thakur besides Finance Ministers of States & UTs and senior officers of the Ministry of Finance& States/ UTs.
All Recommendations of the 42nd GST Council Meeting:
- GSTR-1 and GSTR-3B which is to be filed quarterly and payment of tax monthly basis by the taxpayer whose turnover is less than Rs 5 crores from 1st January 2021.
- Due date of furnishing quarterly GSTR-1 by the taxpayers to be revised to 13th of the month succeeding the quarter applicable from 01-Jan-2021;
- Roadmap for auto-generation of GSTR-3B from GSTR-1 by:
- Auto-population of liability from own GSTR-1 applicable from 01-Jan-2021; and
- Auto-population of input tax credit (ITC) from suppliers’ GSTR-1 through the newly developed facility in FORM GSTR-2B for monthly filers applicable from 01-Jan-2021 and for quarterly filers applicable from 01-Apr-2021;
- In order to ensure auto population of ITC and liability in GSTR 3B as detailed above, FORM GSTR 1would be mandatorily required to be filed before FORM GSTR3B applicable from 01-Jan-2021.
- Such quarterly taxpayers would, for the first two months of the quarter, have an option to pay 35% of the net cash tax liability of the last quarter using an auto generated challan.
- The present GSTR-1/3B return filing system to be extended till 31.03.2021 and the GST laws to be amended to make the GSTR-1/3B return filing system as the default return filing system.
- From 1st January 2021, a refund will be given to those whose bank account validate with PAN and Aadhar. However, the application for refund can be signed via OTP of Aadhaar verification.
- Revised Requirement of declaring HSN for goods and SACfor services in invoices and in FORM GSTR-1e.f. 01.04.2021 as under:
- HSN/SAC at 6 digits for supplies of both goods and services for taxpayers with aggregate annual turnover above Rs. 5 crores;
- HSN/SAC at 4 digits for B2B supplies of both goods and services for taxpayers with aggregate annual turnover upto Rs. 5 crores;
- Government to have power to notify 8 digit HSN on notified class of supplies by all taxpayers.
- Levy of Compensation Cess to be extended beyond the transition period of five years i.e. beyond June, 2022, for such period as may be required to meet the revenue gap.
- Amendment to the CGST Rules: Various amendments in the CGST Rules and FORMS have been recommended which includes provision for furnishing of Nil FORM CMP-08 through SMS.
- To encourage domestic launching of satellites particularly by young start-ups, the satellite launch services supplied by ISRO, Antrix Corporation Ltd. and NSIL would be exempted.
- Centre is releasing compensation of ₹ 20,000 crore to States today towards loss of revenue during 2020-21 and an amount of about ₹ 25,000 crore towards IGST of 2017-18 by next week
- The GST Council will meet on October 12 to further deliberate on compensating states for GST Cess shortfall.
My Question is that we are a company and purchasing coal from Northern coal Fields Ltd. they charge us all commercial type taxes and GST in Invoices and debit note but they not give us any taxes in Credit note. So I want to know there is any rule for taxes with GST refundable in credit note or not.
Eligibility for taking Input Tax Credit (ITC) under Section 16 of CGST Act, 2017
1. Possession of documents (Invoice, Debit Note and Bill of entry etc.).
2. Receipt of Goods or/and Services from supplier.
3. Tax actually paid to the Government by supplier.
4. Furnishing the Returns under Sec 39 by recipient in return form GSTR-3B.
• When GSTR-1 Return (B2B) filed by supplier (Northern coal Fields Ltd) and purchase invoice show in your GSTR-2A and GSTR-2B (Recipient).
• Input tax credit is firstly you adjusted your output tax liability
I. Purchase: E.g. you purchase coal from Northern coal Fields Ltd Rs.1000 + (180)18% GST tax = Rs. 1180 (Invoice value)
II. Sales: you sales this coal to your customer is suppose Rs.1100 + (198) 18 % GST Tax amount = Rs 1298 (Invoice value)
III. Tax paid to Govt.
Output tax liability (Sales) = Rs 198
Less: Input tax credit (Purchase) = Rs. 180
Net Tax liability paid to Govt. Rs 18 (198-180)
• In given you situation Northern coal Fields Ltd. Paid to Govt. as GST tax amount and you claim as input tax credit. If you want to check tax paid by Northern coal Fields Ltd to Govt. or not, than you download GSTR-2A or GSTR-2B and cross check.
• Input tax credit (ITC) refund as per section 54 of CGST Act, 2017.