47th GST Council Meeting 2022

47th GST council meeting 2022, held on 28th  & 29th  June, Eases Taxpayers Compliances as GST (Goods and Services Tax) law completes five years on July 1 2022.

Smt Nirmala Sitharaman was chairing the meeting in the presence of Ministers of State for finance and state ministers. The clarity in taxation policy and modifications in form and crucial matters occurred in this meeting. 

The FM further stated that the 48th GST Council meeting would occur in Madurai, Tamil Nadu, in the first week of August 2022. Based on the GoM's recommendation, the plan will include the establishment of GST Appellate Tribunals and determining the GST rate on casinos, internet gambling, and other similar activities.

47th GST Council Meeting 2022 | Key Highlights

47th GST Council Meeting 2022 Updates

Amendments to be allowed in GSTR-3B

  • GST council amendments in GSTR3B (monthly GST return filed by the taxpayer). Additionally, for improved compliance and simplicity, it allowed auto-population of the majority of information in Form GSTR-3B and yearly returns in Form GSTR-9.
  • New GST return roadmap was finalize in 35th  GST Council Meeting but the Council stated clearly that the new GST return method would be discontinued since it is no longer necessary. However, a proposal for extensive changes to GSTR-3B will be made available to the public for comment.

47th GST Council Meeting Update On Relaxation for GSTR-9

With only minor adjustments, annual returns for FY 2021–22 may be notified.

  • It will still be applicable with a few adjustments and easings.
  • For the remainder of FY 2021–2022, those having threshold turnovers below Rs. 2 crores are still exempt from filing GSTR-9 and GSTR-9A.
  • The deadline for issuing decisions of claims tied to the GSTR-9 annual return due date under Section 73 of the CGST Act for FY 2017–18 has been extended until September 30, 2023.
  • Extension to the composition of taxpayers
  • GSTR-4 for FY 2021-22 to receive a fee waiver for late filing up to July 28, 2022, as opposed to the previous extension up to June 30, 2022.
  • Form CMP-08 deadline for Apr-Jun 2022 (Q1 of FY 2022-23) is extended to July 30, 2022, from July 18, 2022.

E-commerce Providers are Relieved

The GST Council decided to ease compliance bottlenecks for e-commerce vendors.

  • It enabled e-commerce providers to register under the composition scheme for intrastate supplies, eliminating their registration burden and lowering their tax liability.
  • Once the IT system is in place, the new composition scheme for e-commerce providers for intrastate online sales will be adopted on January 1, 2023.
  • Such intrastate e-commerce providers would no longer need mandatory GST registration if their turnover does not exceed Rs.40 lakh (goods) or Rs.20 lakh (services) or such lower limits as some states/UTs have established.

47th GST Council Meeting 2022 : Other Decisions 

  • GST council agrees to have six registration portals within six months. In addition, NIC may act as a platform for registering e-invoices.
  • GST council agrees to empower both center and state to issue show cause notice despite whether the taxpayer doesn't fall in their jurisdiction, measure to plug leakage.
  • Govt. may soon appeal in SC cases where state high courts have remanded NAA against orders.
  • GSTC said NAA has set up a panel of advocates to ensure justice to consumers where profiteering has occurred. 

47th GST Council Meeting 2022 : GoM on Rate Rationalization

Sr No.

Description

From

To

GOODS

1

Printing Writing or drawing Ink

12%

18%

2

  • Knives with cutting blades
  • Paper knives
  • Pencil sharpeners and blades
  • Spoons & forks
  • Ladles
  • Skimmers
  • Cake-servers etc.

12%

18%

3

Power-driven pumps primarily designed for handling water, such as

  • Centrifugal pumps
  • Deep tube-well turbine pumps
  • Submersible pumps
  • Bicycle pumps

12%

18%

4

  • Machines for cleaning
  • Sorting or grading seed
  • Grain pulses
  • Machinery used in the milling industry or for the working of cereals etc.
  • Pawan Chakki that is Air Based Atta Chakki; Wet grinder

5%

18%

5

  • Machines for cleaning
  • Sorting or grading eggs
  • Fruit or other agricultural produce and its parts
  • Milking machines and dairy machinery

12%

18%

6

  • LED Lamps
  • Lights and fixture, their metal printed circuits board

12%

18%

7

Drawing and marking out instruments

12%

18%

8

Solar Water Heater and system;

5%

12%

9

  • Prepared/finished leather
  • Chamois leather
  • Composition leathers

5%

12%

10

Refund of accumulated ITC not to be allowed on flowing goods:

  1. Edible oils
  2. Coal

SERVICES

11

Services supplied by the foreman to chit fund

12%

18%

12

Job work to processing hides, skins and leather

5%

12%

13

Job work to manufacture leather goods and footwear

5%

12%

14

Job work to manufacture clay bricks

5%

12%

15

Works contract for

  • Roads & Bridges
  • Railways
  • Metros
  • Effluent treatment plant
  • Crematorium etc.

12%

18%

16

Works contract supplied to

  • Central and state governments
  • Local authorities for historical monuments Canals & dams
  • Pipelines
  • Plants for water supply,
  • Educational institutions
  • Hospitals, etc.

12%

18%

17

Works contract supplied to

  • Central and state governments
  • Union territories & local authorities involving predominantly earthwork and sub-contracts thereof

5%

12%

Note: 

The meeting was held to ease the taxpayer compliance, make effective use of GST return, and reduce the process of GSTR filing for FY22.

The GST council decision will create a massive impact on corporates and individuals. Therefore, this meeting seems fruitful for the taxpayers.


Sameep Mohite

About the author

Sameep Mohite is a computer engineer with a passion for GST. He has written many articles on GST, Finance, and Technology topics.

He is a GST expert who writes for GSTHero. He wants to ensure you know what you're paying for and why.

He enjoys explaining complex technical terms in primary, easy-to-understand language.

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