TMI BlogGST COMPLIANCES AMID COVID 2019 – RECENT DEVELOPMENTSX X X X Extracts X X X X X X X X Extracts X X X X ..... GST COMPLIANCES AMID COVID 2019 – RECENT DEVELOPMENTS - By: - Dr. Sanjiv Agarwal - Goods and Services Tax - GST - Dated:- 16-5-2020 - - The entire world is reeling under severe pandemic, COVID 2019 or Corona virus and India too has been badly affected causing social disruption, economic shut down and health concerns. The economy is at a virtual standstill and entire nation is under lockdown since 25 th March, 2020 resulting in shutdown of all offices, shops, showrooms, factories and everything. All individuals are confined to their homes. This has resulted in inability to fulfill statutory obligations in relation to payment of taxes and filings, besides other corporate and other responsibilities. Central Government has provided var ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ious relaxations on payment and in filing of returns which, inter alia include allowing delayed payment of taxes, lower or nil rate of interest, extension of due dates for payment of taxes and filing of returns etc. The following tables provide the gist of relief / relaxation provided : GSTR -3B Returns S. No. Return Turnover Period Regular due date Relief provided till Interest Late fee and penalty 1 GSTR -3B Less than ₹ 1.5 crores February 22ndor 24th of next month ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 30.06.2020 No Interest if returns have been furnished on or before the dates till which relief is provided Not payable if return filed before the date till which relief is provided. However, in case, the same is filed after said dates, late fees and penalty shall be levied. The Government have not extended the due dates of filing of return but have only provided relief by waiving off penalty and late fees and reducing the interest rates. March 03.07.2020 April 06.07.2020 2 More than ₹ 1.5 crore but up to ₹ 5 crores February ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 22ndor 24th of next month 29.06.2020 March 30.06.2020 April 3 More than ₹ 5 crores February 20.03.2020 04.04.2020 No interest till 15 days from regular due date and @ 9%thereafter provided returns have been furnished till relief date March 20.04.2020 05.05.2020 April 20.05.2020 04.06.2020 GSTR -1 Returns Return ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Turnover Period Regular due date Relief provided till Interest Late fee and penalty GSTR -1 (Monthly) More than ₹ 1.5 crores March 11.04.2020 30.06.202 0 Not applicable Note payable if return filed before the date till which relief is provided. However, in case, the same is filed after said dates, late fees and penalty shall be levied. The Government have not extended the due dates of filing of return but have only provided relief by waiving off penalty and late fees and reducing the in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... terest rates. April 11.05.2020 May 11.06.2020 GSTR -1 (Quarterly) Less than ₹ 1.5 crores Jan-Mar 30.04.2020 (Source : Notification No. 31/2020-CT and 32/2020-CT dated 03.04.2020 ) Following Illustration explains revised interest rate for taxpayers with aggregate turnover of more than ₹ 5 crores S.No Due Date of filing of return Date of filing of GSTR 3B No. of days of Delay Whether condition for reduced interest fulfilled Interest ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1 20.04.2020 02.05.2020 11 Yes No interest 2 20.04.2020 20.05.2020 30 Yes Zero interest for 15 days + Interest @ 9% p.a for 15 days 3 20.04.2020 20.06.2020 61 Yes Zero interest for 15 days + interest rate @ 9% p.a. for 46 days 4 20.04.2020 24.06.2020 65 Yes Zero interest for 15 days + Interest @ 9% p.a for 50 days 5. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 20.04.2020 30.06.2020 71 No Interest @ 18% p.a for 71 days (i.e. no benefit of reduced interest) (Source : Circular No.136/6/2020 GST dated 03.04.2020 ) Revised due dates for GSTR 3B return for the month of May, 2020 Due Dates Turnover 27.06.2020 Taxpayers having an aggregate turnover of more than rupees 5 crores in the preceding financialyear 12.07.2020 Aggregate turnover upto ₹ 5crores States Covered Chhattisgarh, MP, Gujarat, Maharashtra, Karnataka, Goa, Kerala, TN, Telangana, Andhra Pradesh, Dama ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n Diu and Dadra and Nagar Haveli, Puducherry, Andaman and Nicobar Island and Lakshadweep 14.07.2020 Aggregate Turnover upto₹ 5crores States Covered HP, Punjab, Uttarakhand, Haryana, Rajasthan, UP, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, WB, Jharkhand, Odisha, J K, Ladakh, Chandigarh and Delhi (Source: Notification No. 30/2020- Central Tax dated 03.04.2020 ) Amendment in Rule 36(4) on ITC Rule 36(4) of CGST Rules, 2017 has been amended to the following effect: Before amendment: The registered person shall be required to claim ITC to the extent of 110% of eligible ITC gett ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing reflected in GSTR -2A of the tax period. Taxpayer was required to calculate the amount as per the above provision for every tax period before filing of GSTR -3B. After amendment: Cumulative calculation of ITC allowed for period of February, March, April, May, June, July and August 2020. Therefore, for the returns furnished in said tax period, condition of Rule 36(4) not be applicable. GSTR 3B return for September, 2020 to be furnished after adjustment of cumulative ITC calculated for the said months. (Source : Notification No. 35/2020-CT dated 03.04.2020 ) Relief provided in respect of certain challenges faced by the registered persons in implementation of provisions of GST laws: Can ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cellation of Goods and Services contract The treatment under GST has been clarified in respect of certain transactions of supply of goods and services when when cancelled for any reason: Nature of Supply Original Event Document Issued Trigger Event Treatment under GST Services Advance Received Tax Invoice issued before supply of service Contract cancelled before supply of service Credit note to be issued under section 34 of CGST Act, 2017 for reduction of tax liability. Details of such credit notes shall be declared in the return fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the month during which such credit note has been issued. There is no need to file a separate refund claim. Where there is no output liability against which a credit note can be adjusted, refund claim allowable under 'Excess payment of tax, if any' through FORM GST RFD-01. Services Advance Received Receipt voucher Contract cancelled before supply of service Issue refund voucher under GST. Refund claim to be filed by filing FORM GST RFD-01 under the category 'Refund of excess payment of tax' Goods Goods supplied Tax invoice Goods returned ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Credit note to be issued under section 34 of CGST Act, 2017 for reduction of tax liability. Details of such credit notes shall be declared in the return for the month during which such credit note has been issued. There is no need to file a separate refund claim. Where there is no output liability against which a credit note can be adjusted, refund claim allowable under 'Excess payment of tax, if any' through FORM GST RFD-01 . Deferment of filing of refund claim if expiring on 31.03.2020 As per notification No. 35/2020-Central Tax dated 03.04.2020 , where the timeline for refund compliances falls during the period from 20.03.2020 to 29.06.2020, the same stand extended till ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 30.06.2020. Due Date extension of deposit of TDS The due date for furnishing of return in FORM GSTR -7 along with deposit of tax deducted during the period from 20.03.2020 to 29.06.2020 has been extended till 30.06.2020. No interest under section 50 of CGST Act, 2017 shall be leviable if tax deducted is deposited by 30.06.2020. (Source : Circular No. 137/07/2020-GST dated 13.04.2020 ) GST F ORM PMT-09 Form GST PMT-09 has been made available on GST portal and it enables a taxpayer to make intra-head or inter-head transfer of amount available in Electronic Cash Ledger. A taxpayer can file GST PMT 09 for transfer of any amount of tax, interest, penalty, fee or others available under one ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... major or minor) head to another (major or minor) head in the Electronic Cash Ledger. Form GST PMT 09 provides flexibility to taxpayers to make multiple transfers from more than one Major/Minor head to another Major/Minor head if the amount is available in the Electronic CashLedger. To file Form GST PMT-09 , taxpayers are required to log in on GST portal with valid credentials and navigate to Services Ledgers Electronic Cash Ledger File GST PMT-09 for Transfer of Amount option. After Form GST PMT-09 is filed: ARN is generated on the successful filing of Form GST PMT-09. An SMS and an email is sent to the taxpayer on his registered mobile and email id. Electronic Cash ledger will get updated after successful fil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing of Form GST PMT- 09 . Filed form GST PMT-09 will be available for view/download in PDF format. (Source : Notification No.: 37/2020-Central Tax dated 28.04.2020 ) Extension of validity of E-way bills CBIC had vide Notification No. 35/2020 dated 3rd April, 2020 extended the period of validity till 30th April, 2020 for e-way bill validity expires during the period 20th day of March, 2020 to 15th day of April, 2020. Now CBIC has provided that where an e-way bill has been generated on or before the 24th day of March, 2020 and its period of validity expires during the period 20th day of March, 2020 to the 15th day of April, 2020, the validity period of such e-way bill shall be deemed to have been extended ti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll the 31st day of May, 2020. [Source: Notification No. 40/2020- Central Tax dated 05.05.2020 ] Extension of due date of Annual Return Reconciliation Statement for the FY 2018-19 The time limit for furnishing of the annual return in Form 9 and Reconciliation Statement in Form 9C specified under section 44 of the said Act read with rule 80 of the said rules, electronically through the common portal, for the financial year 2018-2019 has been further extended till the 30th September, 2020. [Source: Notification No. 41/2020- Central Tax dated 05.05.2020 ] Verification of filing of Form 3B through EVC Considering the difficulty faced by registered taxpayers in applying for DSC, CBIC has provided ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that a registered person registered under the provisions of the Companies Act, 2013 (18 of 2013) shall, during the period from the 21st day of April, 2020 to the 30th day of June, 2020, also be allowed to furnish the return under section 39 in FORM GSTR -3B verified through Electronic Verification Code (EVC) i.e one time password. New Rule 67A provide for furnishing of NIL return by short messaging service (SMS) to registered person in Form GSTR -3B for a tax period by using the registered mobile number. Nil return would mean a return u/s 39 that has nil or no entry in all tables of Form-3B . [Source: Notification No. 38/2020- Central Tax dated 05.05.2020 ] Extended due date for GST ITC-04 The due date ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of filing Form GST-ITC-04 in respect of goods dispatched to a job worker or received from a job worker for the quarter ending March, 2020 which falls due on 25.04.2020 has been extended upto 30.06.2020. (Source: Notification No. 35/2020-Central Tax dated 03.04.2020; Circular No. 138/08/2020-GST dated 06.05.2020) The above relaxations / extensions may be kept in mind by the tax payers for ensuring timely compliances within the relaxed norms / extended date lines. - Reply By Ganeshan Kalyani as = This is ready reckoner for me. Nicely compiled. Thanks. Dated: 17-5-2020 - Scholarly articles for knowledge sharing authors experts professionals Tax Management India - taxmanagementindia - taxmanagement - taxmanageme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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