Deadline for Extended GST Annual Returns

Tax professionals from Gujarat have kept in touch with central and state governments that it is not possible to file GSTR-9, the yearly return of GST inside the set due date of June 30 thus the due date for filing the return ought to be extended. There are near 6.7 lakh enlisted traders in Gujarat, of which just a bunch of them have documented returns and the rest are not ready to filr returns as the auto-computation prompts mistaken sections, prompting over taxation of the dealers. While the form has an arrangement to build the tax liability, there is no arrangement for correction if a businessmen need to profit tax refund, which he neglected to before.

In a letter to finance minister Nirmala Sitharaman and also to experts of Central GST (CGST) and State GST (SGST), Gujarat Sales Tax Bar Association said that the utility for filing of the return was accessible pretty much a month prior and it isn’t possible for the businessmen or the tax professionals to get used to it. GSTBA president Urvish Patel revealed to DNA that the yearly returns get sustains from past returns filed by the purchaser and the seller. In case of mismatch, there will be blunder in filing of returns. “Businesses are concerned. They will finish up settling considerably more government tax than what they are required to. There is an unfair provision that a businessmen are not able to claim the Input Tax Credit (ITC), which they didn’t guarantee on prior event, yet there is an arrangement of paying tax if the credit has been falsely claimed before,” said Patel.

Tax professionals said that as a result of these inconveniences, just a little part of the businesses have filed their yearly return. There are near 6.7 lakh sellers in the state who have been enlisted under GST, however just around 2-3 percent of them have filed their returns, whose due date finishes on Jun 30. A senior authority in SGST division likewise admitted that very few annual returns have been filed up until now. Considering comparative circumstance in the past since the roll out of GST, he doesn’t rule out extension of due date for filing returns.

Former president of GSTBA, Varis Isani said that under the present organization there are high chances of making mistake while filing the return. “In spite of cases of the legislature that the returns are simple, they are in certainty very complicated. Additionally, there are no arrangements for correction or update,” he said. Unless proper reconciliation is affected, it could be an issue for stretched out litigation later-on to the un-accommodated returns or potentially qualified Audit Reports by auditors if proceeded as it were, said the letter.

Former president of GSTBA, Varis Isani said that under the present format there are high chances of making error while filing the return. “Contrary to claims of the government that the returns are simple, they are in fact very complicated. Moreover, there are no provisions for rectification or revision,” he said. Unless proper reconciliation is effected, it could be a matter for extended litigation later-on to the un-reconciled returns and/or qualified Audit Reports by auditors if proceeded as it were, said the letter.

Tax PRACTIONERS IRKED

Impractical to file GSTR-9 inside set due date, they say

  • June 30 – Deadline for yearly return closes
  • 6.7 lakh – Close to 6.7 lakh returns to be filed in the state
  • Evaluated 3% returns filed so far in the state
  • Experts fear litigations, if erroneous returns filed

 

Contact Certicom for further details.

Value Of Supply – Goods And Services Under GST (Detailed Blog)

Value of Supply

In GST routine it is critical to think about the estimation of products or administrations or both on which duty is to be paid. According to CGST Act, 2017 alongside guidelines recommended the arrangements for deciding the estimation of supply of merchandise or administrations have been made applicable in various conditions and to various individuals.

Value of Taxable supply

  • Which segment portray the value of supply?
  • Value of taxable supply according to segment 15
  • Considerations in the Value of supply
  • Taxes, duties,cesses,fees and Charges
  • Sum brought about by beneficiary for the benefit of provider
  • Incidental costs and sum charged for exercises done before delivery
  • Delayed payment charges
  • Subsidies
  • Rejections in the Value of supply
  • Discounts given on or before supply
  • Discount given after the supply (Post supply rebate)
  • Value can’t be resolved according to the arrangements
  • Value of taxable of supply where the thought isn’t entirely in cash (Rule 27)
  • Value of taxable of supply where supply between particular or related people other than agent( Rule 28)
  • Value of taxable of supply where supply made through a specialist (Rule 29)
  • Value of taxable of supply as per rule 30
  • Value of taxable of supply as per rule 31
  • FAQs

Which area depict the value of supply?

Section 15 of CGST Act, 2017 gives the arrangements to deciding the value of goods and services. It provides the mechanism to know how to calculate the value of goods or services when supply of goods and services is made between unrelated persons and when the price is the only consideration of the supply. Provisions of the value of supply under CGST act have also been made applicable to IGST Act vide Section 20 of the IGST Act.

Government has presented different criteria for the assurance of value of supply so now we will see how to ascertain the value of supply according to Section 15 of CGST Act, 2017.

Value of Taxable Supply according to segment 15

Arrangements identifying with estimation of value of supply are as under-

According to this segment estimation of value of supply is transaction value which is the price actually paid or payable for the supply of goods or services and the price is the sole consideration. Also, where the supplier and the recipient are not related or unrelated parties.

So we can say that if the supplier and recipient are not related and the cost is the sole thought then the estimation of taxable supply is the Transaction Value.

Incorporations in the Value of supply

There are few components which is required to be incorporated into the value of taxable supply.

  • Taxes, duties,cesses,fees and Charges
  • Sum caused by recipient on behalf of supplier
  • Incidental costs and amount charged for exercises done before delivery
  • Delayed payment charges
  • Subsidies

Taxes, Duties, Cesses, Fees and Charges

Value of supply incorporates all the expenses, obligations, cesses, expenses and charges with the exception of the CGST, SGST, UTGST and GST cess whenever charged independently by the supplier. In this manner we can say that GST and GST cess are not part of Taxable value but rather different taxes and obligations, cesses, fees and charges are part of the taxable value.

For further details or in case of any queries, please contact Certicom.