With each passing year, Goods and Services Tax (GST) law is trying to stabilize. Remarkably, GST collection for the last Financial Year i.e. 1st April 2022 to 31st March 2023 has touched the new height of INR 18 Lakhs Crores. Notably, the total collection for the Financial Year 2022-2023 is INR 18,07,679 Crores.
Looking at the work front, the Central Board of Indirect Taxes and Customs (CBIC) ended the Financial Year 2022-2023 by issuing in all 8 notifications on the last day i.e. 31st March 2023.
Let us go through the effect of all the said latest notifications in GST issued under GST and also other recent developments carried out under GST.
Latest notifications in GST : Amnesty to GSTR-4 non-filers
Notification no. 02/2023- Central Tax dated 31st March 2023 came up with the amnesty to GSTR-4 non-filers. The Amnesty scheme 2023 is summarized hereunder
Particulars | Details |
|---|---|
Eligibility criteria | Persons who has failed to furnish GSTR-4 returns for any of the following periods –
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Amnesty | Late fees payable will be –
|
Conditions | Pending returns in GSTR-4 should be furnished between the period of 1st April 2023 to 30th June 2023. |
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Latest notifications in GST in case of an application for revocation of cancellation of GST registration
Notification no. 03/2023- Central Tax dated 31st March 2023 provided special procedure regarding specified revocation of cancellation of GST registration
Particulars | Details |
|---|---|
Applicability | The registration of the person is cancelled on or before 31st December 2022 under any of the following circumstances –
|
Special procedure | The eligible registered person (as per the criteria stated above) can apply for revocation of cancellation of registration by following the below special procedure –
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Central Goods and Services Tax (Amendment) Rules, 2023
Central Goods and Services Tax (Amendment) Rules, 2023 are notified vide notification no. 04/2023- Central Tax dated 31st March 2023. However, the amendment is made effect retrospectively from 26th December 2022.
The said amendment rules, substituted provisions of rule 8(4A) of the Central Goods and Services Tax Rules, 2017. The substituted rule provides the general provisions relating to Aadhar authentication and also Bio-metric based Aadhar authentication.
Notably, Bio-metric based Aadhar authentication as well as risk-based verification of the registration application in form GST REG-01 is currently made applicable as a pilot trial only to the State of Gujarat.
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Amnesty for deemed withdrawal of assessment
Notification no. 06/2023- Central Tax dated 31st March 2023 came up with amnesty to the registered person who failed to furnish a required return. The said Amnesty is summarized hereunder
Particulars | Details |
|---|---|
Eligibility criteria |
|
Amnesty | The assessment order issued u/s. 62(1) of the Central Goods and Services Tax Act, 2017 shall be deemed to have been withdrawn provided the registered person follows the prescribed special procedure. |
Special Procedure |
|
GSTR-9 Amnesty and Late fee rationalization
Notification no. 07/2023- Central Tax dated 31st March 2023 came up with the following two changes
- Late fee rationalization for GSTR-9
The revised late fee payable in case of late filing of return in GSTR-9 is tabulated hereunder
Read our whole article on GSTR-9 applicability and understand the late fee applicability, turn over limit and format
Aggregate Turnover | Revised late fee payable |
|---|---|
Aggregate turnover up to Rs. 5 Crores | Rs. 50 per day [Rs. 25 CGST + Rs. 25 SGST] Maximum late fees payable is limited to 0.04% (0.02% under CGST +0.02% under SGST) of the turnover in the State/Union Territory. |
Aggregate turnover of more than Rs. 5 Crores up to Rs. 20 Crores | Rs. 100 per day [Rs. 50 CGST + Rs. 50 SGST] Maximum late fees payable is limited to 0.04% (0.02% under CGST +0.02% under SGST) of the turnover in the State/Union Territory. |
Aggregate turnover of more than Rs. 20 Crores |
|
What are the new changes in GST 2023?
- Amnesty to GSTR-9 non-filers
The registered person has failed to furnish the return in GSTR-9 for any of the Financial Years i.e. 2017-18, 2018-19, 2019-20 and/ or 2021-22. Then, such pending returns can be furnished by payment of the reduced late fee in the following manner
- Pending returns should be furnished between the period 1st April 2023 to 30th June 2023; and
- Late fees payable will be Rs. 20,000 (i.e. Rs. 10,000 under CGST + Rs. 10,000 under SGST).
Amnesty to GSTR-10 (Final Return) non-filers
As per notification no. 08/2023- Central Tax dated 31st March 2023, reduction in late fees to non-filers of GSTR-10 is provided. Accordingly, late fees payable will be Rs. 1,000 (Rs. 500 under CGST + Rs. 500 under SGST) provided pending final return in GSTR-10 is furnished between the period of 1st April 2023 to 30th June 2023.
Extension of limitation u/s. 168A of the Central Goods and Services Tax Act, 2017
Time limit for issuance of an order under section 73(9) of the Central Goods and Services Tax Act, 2017 has been extended, vide notification no. 09/2023- Central Tax dated 31st March 2023, in the following manner
- In the case of Financial Year 2017-2018 – the time limit is extended up to 31st December 2023;
- In the case of Financial Year 2018-2019 – the time limit is extended up to 31st March 2024;
- In the case of Financial Year 2019-2020 – the time limit is extended up to 30th June 2024.
Recent developments relating to Compensation Cess on tobacco products
Vide notification no. 01/2023- Compensation Cess dated 31st March 2023, the Compensation Cess rate on tobacco and tobacco products as well as pan masala has been converted to specific tax linked to the Retail Sale Price. Notably, the said amendment is made effective from 1st April 2023.
Further, vide notification no. 2/2023- Compensation Cess (Rate) dated 31st March 2023, the effective rates as applicable to tobacco and tobacco products as well as pan masala are notified. The new rates are effective from 1st April 2023. The effective rates are tabulated hereunder
Chapter Heading | Description of goods | Notified rates as effective from 1st April 2023 |
|---|---|---|
2106 9020 | Pan Masala | 0.32R per unit |
2401 | Unmanufactured tobacco [without lime tube (bearing a brand name)] | 0.36R per unit |
2401 | Unmanufactured tobacco [with lime tube (bearing a brand name)] | 0.36R per unit |
2401 30 00 | Tobacco refuse (bearing a brand name) | 0.32R per unit |
2403 11 10 | Hookah/ Gudaku tobacco (bearing a brand name) | 0.36R per unit |
2403 11 10 | Tobacco used for smoking, chilam or hookah commonly known as hookah, gudaku, or tobacco (not bearing a brand name) | 0.12R per unit |
2403 11 90 | Other water pipe smoking tobacco (not bearing a brand name) | 0.08R per unit |
2403 11 90 | Smoking mixture for cigarettes and pipes | 0.69R per unit |
2403 19 90 | Other smoking tobacco (bearing a brand name) | 0.28R per unit |
2403 19 90 | Other smoking tobacco (not bearing a brand name) | 0.08R per unit |
2403 91 00 | Homogenised or reconstituted tobacco (bearing a brand name) | 0.36R per unit |
2403 99 10 | Chewing tobacco without lime tube | 0.56R per unit |
2403 99 10 | Chewing tobacco with lime tube | 0.56R per unit |
2403 99 10 | Filter khaini | 0.56R per unit |
2403 99 20 | Preparations containing chewing tobacco | 0.36R per unit |
2403 99 30 | Jarda Scented tobacco | 0.56R per unit |
2403 99 40 | Snuff | 0.36R per unit |
2403 99 50 | Preparations containing snuff | 0.36R per unit |
2403 99 60 | Tobacco extracts and essence (bearing a brand name) | 0.36R per unit |
2403 99 60 | Tobacco extracts and essence (not bearing a brand name) | 0.36R per unit |
2403 99 70 | Cut tobacco | 0.14R per unit |
2403 99 90 | Pan Masala containing tobacco Gutkha | 0.61R per unit |
2403 99 90 | All goods (other than pan masala) containing tobacco gutkha (bearing a brand name) | 0.43R per unit |
2403 99 90 | All goods (other than pan masala) containing tobacco gutkha (not bearing a brand name) | 0.43R per unit |