1. Highlights of this GST Council meeting
A) GST Return Filing process further simplified
- Regular taxpayers with a turnover up to Rs 5 crore can choose to file GST return on a quarterly basis against the previous boundaries of Rs. 1.5 crore. These taxpayers must, however, pay taxes on a monthly basis through Challan.
- Regular taxpayers with a turnover of more than Rs. 5 crores, must file a monthly return filing RETURNS new proposed Shri Nandan Nilekani system was adopted.
- Amendments made by submitting the return referred to amendments of return and payment, if any, will be in itself a return to help keep interest liability for taxpayers.
- It is proposed, NIL return filers (no buying and selling there) must be provided in the return of the object file to send SMS.
B) SOps for composite dealers get the nod
- Composition dealers can now covered the supply of services: the boundary equal to or less than 10% of turnover, or rendered RS lakhs 5, depending on the above services, fixed to choose circuit *. Restaurant services are not considered to include these criteria.
- All council members voted unanimously, by virtue of the increased threshold limit of Rs. 1.5 crore from the existing Rs 1.0 lakh as soon as possible.
C) At registration GST
- Taxpayers may opt for multiple registrations within the territory of the State / Union with respect to several businesses located within the same State / Union. It has previously been limited by several companies in certain countries.
- e-commerce operators should have compulsory registration of GST only on the Non-Exempt goods.
- The threshold for the release of GST is increased to 20 from 10 lakhs 6 States -Taxpayers, working in Sikkim Arunachal Pradesh, Himachal Pradesh, Uttarakhand, Assam and Meghalaya.
D) The reverse charge mechanism is postponed for a year before September 30, 2019
- Committee to study the pros and cons of the system, as well as a probable impact on income.
- At the same time, the amendment proposed Levy GST on the reverse charge mechanism only on these goods in the case of certain classes of registered persons declared receiving shipments from unregistered suppliers.
E) Creating GST Appeal Tribunal
- National Bench will be established in New Delhi.
- 3 State / Regional Bench come to Mumbai, Chennai and Kolkata with a few benches district.
- Amount preliminary deposit paid for appeal to appeal body and Appeal Tribunal be limited to the RTS. 25 crore and Rs. 50 crore, respectively.
28th session of the GST Council focused on: Simplify the business and tax compliance targeting / providing assistance to small-scale taxpayers through quarterly filing appeal and speed reduction on raw materials / inputs. About 93% in favor of the taxpayer by quarterly supply. middle class citizens, who will benefit from reduced rates on consumer-related products.
2. Recent Rate Changes on Goods
|
GOODS |
|||
| S.NO | Items | New Rate | Old rate |
| 1 | Rakhi (other than that of precious or semi-precious material ) |
Nil
|
18% |
| 2 | Sanitary Napkins | 12% | |
| 3 | Circulation and commemorative coins | 5% | |
| 4 | A raw material for broom | 12% | |
| 5 | Stone/Marble/Wood Deities | 5% | |
| 6 | Sal leaves and its products | 18% | |
| 7 | Khali donate | 18% | |
| 8 | Coir pith Compost | 5% | |
| 9 | Chenille fabrics and other fabrics under 5801 |
5%
|
12%
|
| 10 | Handloom dari | ||
| 11 | Phosphoric Acid (fertilizer grade only) | ||
| 12 | Handmade Carpets, Textile Floor, Coverings | ||
| 13 | Knitted cap/topi having retails sale value exceeding Rs. 1000 | ||
| 14 | Kota Stones and Similar Stones (other than polished) |
18%
|
|
| 15 | Ethanol for sale to oil marketing companies for blending with fuel | ||
| 16 | Solid Biofuel pellets | ||
| 17 | Marine Engine | 28% | |
| 18 | Bamboo Flooring |
12%
|
18%
|
| 19 | Hand Operated Rubber Roller | ||
| 20 | Brass Kerosene Pressure Stove | ||
| 21 | Zip and Slide Fastener | ||
| 22 | Handicrafts (Excluding handmade) | ||
| 23 | Handbags including pouches and purses; jewellery box | ||
| 24 | Fuel Cell vehicle | 28% | |
| 25 | Televisions up to 68 cm |
18%
|
28%
|
| 26 | Glaziers’ putty, grafting putty, resin cement | ||
| 27 | Refrigerators, freezers, water cooler, milk coolers, ice cream freezer | ||
| 28 | Washing Machines | ||
| 29 | Food Grinders & mixer | ||
| 30 | Vacuum Cleaners | ||
| 31 | Paints and Varnishes (including enamels and lacquers) | ||
| 32 | Shaver’s, Hair Clippers | ||
| 33 | Hair Cleaners | ||
| 34 | Storage water heaters | ||
| 35 | Immersion heaters | ||
| 36 | Hair Dryers, Hand Dryers | ||
| 37 | Electric Smoothing irons | ||
| 38 | Scent Sprays | ||
| 39 | Toilet Sprays | ||
| 40 | Pads for application of cosmetics or toilet preparations | ||
| 41 | Lithium-ion batteries | ||
| 42 | Powder Puffs | ||
| 43 | Special purpose motor vehicles | ||
| 44 | Work Trucks (Self-propelled, not fitted with lifting or handling equipment) | ||
| 45 | Trailers & Semitrailers | ||
| List of Goods Exempt | ||
| Fortified Milk | exempt | 5% |
3. Recent Rate Changes on Services
| SERVICES | ||
| Rate Change | ||
| Services | New Rates | Old Rates |
| Supply of e-books | 5% | 18% |
| Supply of Multimodal Transportation | 12% | Nil |
| List of Services Exempt | ||
| Senior Citizens | ||
| 1. Sevices provided by Coal Mines provident fund organisation to the PF subscribers | ||
| 2. Services provided by Old age home run by state government / central government to the citizens aged more than 60 years up to Rs. 25000 | ||
| 3. GST exempted on the administrative fee collected by National Pension System Trust | ||
| 4. Services provided by an unincorporated body or non-profit entity registered under any law to own members up to Rs. 1000 per year of membership fees. | ||
| Agriculture/ Farmers | ||
| 1. Services by way of artificial insemination of livestock (other than horses) | ||
| 2. Services provided by FSSAI to food businesses. | ||
| 3. Services provided by way of warehousing minor forest produce | ||
| 4. Services provided by the installation and commissioning by DISCOMS for extending electricity distribution network for agricultural use. | ||
| Banking/Finance/ Insurance | ||
| 1. Reinsurance services provided to insurance scheme such as Pradhan Mantri Rashtriya Swasthya Suraksha Mission | ||
| Government | ||
| 1. Guarantees are given by central/state government to their undertakings/PSUs. | ||
| 2. Services provided by a government to ERCC by assigning the right to collect royalty to mining lease holders. | ||
| Miscellaneous | ||
| 1. Import of services by Foreign diplomatic missions/UN other international organizations | ||
| 2. GST rate slabs will apply on the actual rate for hotel services instead of declared tariff. |
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