| Notifications post 47th GST Council Meeting |
Pursuant to the 47th GST Council meeting held on 28-29 June 2022, the Central Board of Indirect Taxes & Customs (CBIC) has issued various notifications on 5 July 2022 to give effect to the suggestions made. A table containing the gist of all the notifications is encapsulated below:
| Sr. No. |
Notification No. |
Gist |
| 1. |
09/2022 - Central Tax |
Notification seeks to bring into force Clause (c) of Section 110 of the Finance Act, 2022 by virtue of which a registered person will now be able to transfer cash balance lying in IGST/CGST heads between distinct persons (different registrations having same PAN). |
| Furthermore, the said notification also seeks to bring into force with retrospective effect from 1 July 2017, that interest will be payable at 24% only in case where the input tax credit has been wrongly availed and utilized (Section 111 of the Finance Act, 2022). |
| 2. |
10/2022 - Central Tax |
Registered persons with aggregate turnover up to INR 20 million in FY 21-22 are exempted from filing GST Annual Return (GSTR-9 /9A). |
| 3. |
11/2022 - Central Tax |
The due date for filing Form GST CMP-08 (for composition taxpayers) for the period April 2022 to June 2022 has been extended up to 31 July 2022. |
| 4. |
12/2022 - Central Tax |
No late fees payable on account of delayed filing of Form GSTR-4 (taxpayer who have opted for composition scheme) for FY 2021-22 if the same is filed up to 28 July 2022. |
| 5. |
13/2022 - Central Tax |
Time limit to issue order for recovery of tax not paid or short paid or input tax credit wrongly availed and utilized has been extended up to 30 September 2023 for the FY 2017-18. |
Limitation period for claiming refund/issuance of demand or order for erroneous refund granted to exclude period starting from 1 March 2020 to 28th February 2022.
This notification shall be deemed to be made effective from 1 March 2020. |
| 6. |
14/2022 - Central Tax |
The following amendments have been made to CGST Rules 2017 vide this notification:
- Deemed revocation against the suspension of GST registration is facilitated to the defaulted registered persons where:
- Registration has not been canceled by the proper officer
- All the pending GST returns are duly filed by a taxpayer
- For the purpose of calculation of Input Tax Credit (ITC) reversal pertaining to exempt supply, the value pertaining to Duty Credit Scrips is excluded from the aggregate value of exempt supply.
- Provision of Rule 48 (4) of CGST Rules exempts certain class of taxpayers from issuance of e-invoices though they exceed the required threshold.
For these classes of taxpayers, it has been notified to make below declaration on their supply invoice:
"I/We hereby declare that though our aggregate turnover in any preceding financial year from 2017-18 onwards is more than the aggregate turnover notified under sub-rule (4) of rule 48, we are not required to prepare an invoice in terms of the provisions of the said sub-rule."
- Where the GST refund amount, including interest and penalty erroneously sanctioned earlier and the same has been deposited by the taxpayer in Form GST DRC-03 by debiting Electronic Cash Ledger, the same would be re-credited to his Electronic Credit ledger by a proper officer through an order made in Form GST PMT-03A.
- Additional modes of payment of GST like IMPS and UPI are notified.
- A new sub-rule has inserted, which will facilitate inter-transfer of cash balance available in Electronic Cash Ledger, including tax, interest, penalty, and fee within distinct entities through Form GST PMT-09.
- Insertion of rule 88B, wherein interest will be payable on the portion of GST which was paid through cash only provided not covered under adjudication. Applicability of the same made retrospectively from 1 July 2017.
- For cases other than self-assessed liability, interest is to be paid on the tax amount that remains unpaid for the period starting from the date on which the said tax was liable to be paid till the date of actual payment.
Similarly, interest shall be payable at 24% on wrong availment and utilization of ITC from the date of the utilization of such ITC till the date of reversal of the same.
- In the export of goods cases, the value of export goods is defined as lesser of:
- Free on Board (FOB) declared or
- the value declared in tax invoice or bill of supply.
- Amendment to the formula of GST refund claim under Rule 89(5) under inverted duty structure introduced to maximize the refund benefit.
- Rule 95A is omitted w.e.f. 1 July 2019 to facilitate the refund benefit on account of supply made to the foreign passengers from duty-free shops at international terminals by treating such supply as "export."
- It has been retrospectively notified to effect that refunds will qualify to be filed from the date when mismatches are rectified in GST returns by taxpayers in cases of exports with payment of taxes.
- To safeguard the interest of the revenue, refunds under GST to be driven basis data analysis and risk parameters.
- Various reporting/disclosure changes are notified in Form GSTR-3B and GSTR-9.
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