Section 110 – Omission of Section 35(5) of CGST Act,2017. Annual Accounts not required to be audited by CA/CWA
Section 111 – Amendment of Section 44 of CGST Act,2017. Commissioner may, on the recommendations of the Council, by notification, exempt any class of registered persons from filing annual return
Rule 80 – Provides for exemption from GSTR-9C to taxpayers having AATO upto Rs. 5 crores
Form 9 and 9C – Financial year 2020-21 added in the instructions.
Under proviso to Section 44 of CGST Act,2017, the Commissioner on the recommendations of the Council, by notification has exempted registered person whose aggregate turnover in the financial year 2020-21 is upto two crore rupees, from filing annual return for the financial year.
Few important changes related to QRMP Scheme implemented on the GST Portal for the taxpayers are as given below:
Reason of Negative Liability in GSTR4: The liability of the complete year is required to be declared in GSTR-4 under applicable tax rates. Taxpayers should fill up table 6 of GSTR-4 mandatorily. In case, there is no liability, the said table may be filled up with ‘0’ value. If no liability is declared in table 6, it is presumed that no liability is required to be paid, even though, taxpayer may have paid the liability through Form GST CMP-08. In such cases, liability paid through GST CMP-08 becomes excess tax paid and moves to Negative Liability Statement for utilization of same for subsequent tax period’s liability.
What the taxpayer did wrongly: Liability paid through Form GST CMP-08 is auto-populated in table 5 of the GSTR-4 for convenience of the taxpayers. Taxpayers who do not fill up table 6 of GSTR-4 i.e. no liability is declared, even though, taxpayer may have paid the liability through Form GST CMP-08; since the ‘Tax payable’ in GSTR-4 is computed after reducing the liability declared in GST CMP-08 and then auto-populated in table 5. Thus, if nothing is declared in table 6, then the negative liability entry appears in GSTR-4.
How to proceed in case of negative liability: If table 6 of GSTR-4 has not been filled due to oversight, a ticket may be raised to nullify the amount available in negative liability statement. If there is no liability to be paid during the year, the liability paid through Form GST CMP-08 shall move to negative liability statement and the same excess amount can be utilised to pay the liability of future tax periods.
| Registration | Timelines for filing of Application for Revocation of Cancellation of Registration in Form GST REG-21 |
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Deployed on 1st July, 2021 | |
| Returns | Information regarding late fee payable provided in Form GSTR-10 |
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| Returns | Auto-population of data in Form GSTR-11 on basis of Forms GSTR-1 / 5 filed by their suppliers |
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The Delhi High Court while quashing the seizure Order said that the Search and Seizure power of GST Authority is intrusive power and needs to be wielded with utmost care.
The petitioner, M/S. R.J. Trading CO. (RJT) has been engaged in the business of trading in cigarettes. It is also averred by RJT that since the time it commenced business, it has complied with the provisions of not only the CGST Act but also the Delhi Goods and Services Tax Act, 2017. It is claimed by RJT that it has deposited tax from time to time as required under the said statutes.
Given the statutory compliances said to have been made by RJT, it claims it was surprised, when on 13.02.2021 the officers of Directorate General of Goods and Services Tax Intelligence (DGGI), Ahmedabad Zonal Unit, (AZU) visited its premises located in Delhi backed by an authorization issued by Joint Director, DGGI (AZU) under Section 67(2) of the CGST Act.
There was no investigation pending before CGST Commissionerate, Delhi North concerning RJT and therefore, the search, seizure, and authorization issued by the respondent were unlawful.
“The officers concerned should bear in mind that the search and seizure power conferred upon them, is an intrusive power, which needs to be wielded with utmost care and caution. The legislature has, therefore, consciously ring-fenced this power by inserting the controlling provision, i.e., “reasons to believe,” the court while declaring search and seizure conducted by CGST Delhi North Commissionerate unlawful, said.
The Delhi High Court held that the Service Tax Authority was empowered to initiate fresh proceedings despite the coming into force of the GST Act, however, directed to hold final orders till the disposal of the Writ Petition.
The petitioner, Tuli Motors received the show cause notices in the year 2021 which were related to the old assessments for the period 2015 to 2017. It filed a writ petition and submitted that the old assessments for the period 2015 to 2017 cannot be reopened in the year 2021 and emphasized that after the repeal of Chapter V of the Finance Act, 1994 by the Goods and Services Tax Act, 2017, there is no power to initiate any fresh proceeding under the repealed Act i.e. Chapter V of the Finance Act, 1994.
The Department contended that Delhi High Court in Vianaar Homes Private Limited Vs. Assistant Commissioner (Circle-12), Central Goods & Services Tax, Audit-II, Delhi & Ors. has held that there is the power to initiate fresh proceedings under Chapter V of the Finance Act, 1994 despite coming into force of the Goods and Services Tax Act, 2017.
The division bench of Justice Manmohan and Justice Naveen Chawla directed that proceedings pursuant to the impugned Show Cause Notices and summons shall continue but the final orders shall not be given effect to till disposal of the writ petition.
The gross Goods and Services Tax (GST) collected in the month of June 2021 is Rs 92,849 crore, a government press statement said July 6, 2021. The Rs 92,849 crore amount includes a Central GST of ₹16,424 crore, State GST of Rs 20,397, Integrated GST of Rs 49,079 crore and cess of Rs 6,949 crore. The collection hasn’t slipped to this level since the countrywide COIVD-19 lockdown last year. The fall in GST collection is being linked to the prevailing novel coronavirus disease (COVID-19) situation during the month preceding June 2021.
During May 2021, most Indian states and Union territories were under either complete or partial lockdown due to the second wave of COVID-19. The second wave reached its peak May 7, 2021. Some 3.99 crore electronic way invoice (e-way) bills were generated in May 2021, as compared to 5.88 crore in the month of April 2021, down by more than 30 per cent, according to the press statement.
Still, the revenues for the month of June 2021 are two per cent higher than the GST revenues in the same month last year.
The statement however noted that with the number of COVID-19 cases reducing in June and lockdowns easing, more e-way bills would be generated. In fact, the number of e-way bills for June 2021 was 5.5 crore. This, it said, indicated the recovery of trade and business. It further noted that the daily average generation of e-way bills for the first two weeks of April 2021 was 20 lakh. This came down to 16 lakh in the last week of April 2021 and further to 12 lakh in the two weeks between May 9 and May 22. From June 20, the average generation of e-way bills has again reached 20 lakh.