Key Proposals by GST Council in its 22nd Meeting held on 06 OCT 2017

Key Proposals by GST Council in its 22nd Meeting held on 06 OCT 2017:
(Source: Press Releases, dt.06-10-2017).

1. GST Rates reduced significantly on 27 Goods & 12 Services.

2. Turnover for composition scheme raised from ₹75 Lac to ₹ 1 Crores except the special category States but the turnover threshold for the states of J & K and Uttarakhand shall be ₹ 1 crore.

3. The facility of availing composition under the increased threshold shall be available to both migrated and new taxpayers up to 31.03.2018. The Persons who are otherwise eligible for composition scheme and are providing any exempt service, shall be eligible for the composition scheme.

4. Service providers whose annual aggregate turnover is less than ₹ 20 Lac (₹ 10 Lac in special category states except J & K) from obtaining registration even if they are making inter-State taxable supplies of services.

5. Quarterly Returns* in Form GSTR-1, 2 & 3 for Persons having Annual aggregate turnover up to ₹ 1.5 crores with quarterly payment of taxes* starting from the quarter Oct-Dec, 2017. *All taxpayers will be required to file monthly GSTR-3B till DEC 2017*.

6. The reverse charge mechanism U/s 9 (4) of the CGST Act, 2017 & U/s 5 (4) of the IGST Act, 2017 suspended till 31.03.2018. *Specific reverse charge u/s 9(3) shall continue.*

7. Taxpayers having annual aggregate turnover up to ₹ 1.5 crores *shall be required to pay GST only when the supply of goods is made and not at the time of receipt of advances on account of supply of goods.*

8. The services provided by a GTA to an unregistered person exempted from GST.

9. Registration and operationalization of TDS/TCS provisions shall be postponed till 31.03.2018.

10. The e-way bill system shall be introduced w.e.f. 01.01.2018 and shall be rolled out nationwide w.e.f.01.04.2018.

11. The last date for filing the return in GSTR-4 & GSTR-6 for JUL, AUG & SEP, 2017 shall be extended to 15 NOV 2017.

12. Invoice Rules are being modified.

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FAQS

RBI updates on Demonitisation

1. Why was the Scheme of Withdrawal of Legal Tender Character of the old Bank Notes in the denominations of ₹ 500 and ₹ 1000 introduced?

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has been constituted for providing clarifications on timely basis on various issues related to
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Standards) Rules, 2015, raised by preparers, users and other stakeholders.
Ind AS Transition Facilitation Group (ITFG) considered some issues received from members
and decided to issue following clarifications on November 29, 2016:
Issue 1
A debt-listed company has net worth for the last 3 years as follows: (more…)

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RESERVE BANK OF INDIA
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Frequently Asked Questions

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1. Why is this scheme?

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At the 5th meeting of Ind AS Transition Facilitation Group (ITFG) held on September 19, 2016 at Mumbai, certain issues received from members were discussed. The Group after due deliberations decided to issue following clarifications1 on the issues considered at the meeting:

Issue 1

ABC Ltd. is a listed company. The net worth of ABC Ltd. as on 31st March 2014 was Rs. 200 crores. ABC Ltd. had a subsidiary, namely, XYZ Ltd. as at 31st March, 2015 whose net worth, consisting only of share capital as at that date, was Rs. 600 crores. XYZ Ltd. was incorporated in January, 2015. It was incorporated only for the purposes of its divestment. The financial statements of XYZ Ltd. were not consolidated with that of ABC Ltd. as at 31st March, 2015 in view of requirements of paragraph 11 of Accounting Standard (AS) 21, Consolidated Financial Statements.

ABC Ltd. entered into agreement with a proposed acquirer of the subsidiary, i.e., PQR Ltd., in September, 2015. The entire ownership of XYZ Ltd. was finally transferred to the said acquirer in the first fortnight of April, 2016.

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Q 1. Will the CENVAT/ITC carried forward in the last return prior to GST under earlier law be available as ITC under GST?

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