GST software Archives | Page 2 of 29

CBIC extends waiver of GSTR-1 late fee

January 13, 2020 admin Comments 0 Comment

The Central Board of Excise and Customs (CBIC) extended the last date for waiving late fee on filing of output supplies statements through Form GSTR 1 for the period between July 2017 and November 2019, by a week to January 17.

More than 54 lakh filings under goods and services tax (GST) were received by authorities, the finance ministry said through its Twitter handle Friday, more than double from the monthly average of 25 lakh filings, prompting the move.

The government had initially decided to provide the waiver for filings for the period – if done till January 10 – on the recommendations of the GST Council that met last month.

Source: Economic-Times

Central government, states to get tough on GST refund claims

January 10, 2020 admin Comments 0 Comment

Central and state government officials on Tuesday decided to scrutinize goods and services tax (GST) refund claims more diligently, compulsorily investigate all fake claims and step up coordination between income-tax and GST authorities.

The move to tighten enforcement measures comes amid the continued shortfall in GST revenue collections.

The decision to deal with fake tax refund claims by businesses and traders with no leniency was taken at a meeting of central and state officials in the capital.

At the meeting, led by revenue secretary Ajay Bhushan Pandey, it was decided to set up a panel of officers to recommend quick measures to curb “fraudulent refund claims, including the inverted tax structure refund claims and evasion of GST”, said an official statement. The panel will give its advice within a week, which may be implemented across the country by January-end, it added.

With lower-than-expected revenue collection leading to friction between Union and state governments, primarily over delays in compensation payments to states, the authorities have decided to become more strict in their approach to enforce provisions of the law. In the first two years since the indirect system was introduced, the government had taken a lenient view to help businesses make a smooth transition to the new tax regime.

On Tuesday, officials also explored ways of sharing data among the GST Council, Central Board of Indirect Taxes and Customs (CBIC), Central Board of Direct Taxes (CBDT), the revenue department and the various enforcement agencies under the government.

Considering that fraudulent claims for input tax refunds are made on raw material of products allegedly exported, officials explored the possibility of linking GST refund for risky and new exporters with the foreign exchange remittances they receive.

The other proposal was to insist on a single bank account for foreign remittance receipt and GST refund disbursements.

Verification of tax credits availed by taxpayers that do not match with what their suppliers have disclosed was also discussed, the statement said.

Source: live-Mint

GST trouble: Assessees told to explain mismatch of ITC claimed in GSTR-3B, GSTR-2A

FM Nirmala Sitharaman tells traders GST will be ‘simplified’ further

January 8, 2020 admin Comments 0 Comment

Finance Minister Nirmala Sitharaman on Tuesday said that the government will resolve issues concerning traders and that GST would be further simplified.

Speaking at the second day of the National Traders Convention of the Confederation of All India Traders (CAIT), Sitharaman assured them that the government is making all attempts to simplify and rationalise the GST tax structure to the extent that even an ordinary trader can comply with the Goods and Services Tax (GST) provisions.

“Under the chairmanship of the Revenue Secretary, a committee has been constituted, which is working day and night to explore the ways and means to simplify GST”, she said.

Traders from across the country are attending the three-day convention.

Sitharaman lauded the role of the trading community for increasing the GST tax data.

CAIT Secretary General Praveen Khandelwal said the body has set itself a target of enhancing the number of traders registered under GST to 2 crore.

Sitharaman said that Prime Minister Narendra Modi has placed the trading community as his priority and in line with this, various announcements have been made by the government to facilitate traders on growing their businesses.

The Finance Ministry is seized of the problems being faced by traders in the taxation system and the government would do its utmost for providing maximum relief to traders, she said.

According to Sitharaman, while traders bring in tax revenue earners and no prudent government would like to annoy them, they, however, also need to bring their businesses into system and modernise their existing business formats.

The government plans to hold big shopping festivals across the country and will involve CAIT so that traders may get more opportunities to showcase their products, she added.

Source: The-News-Minute

Late fee to be waived on GSTR-1 if filed by Jan 10, 2020

January 8, 2020 admin Comments 0 Comment

The Goods and Services Tax (GST) council has decided to waive off late fees for all taxpayers who have filed GSTR 1, if all refunds are filed by 10 January 2020.

In the 38th meeting of the GST Council on December 18, authorities had also waived of a late fee to be given all taxpayers in respect of all pending Form GSTR-1 from July 2017 to November 2019, if the same is filed by January 10th, 2020.

According to CBIC, the late fee waiver will be applicable only till 10 January 2020, beyond which a late fee of at least Rs 50 per day will be charged for non-filing of GSTR-1.

The late fine can also go up to a maximum of Rs 10,000 per statement as per existing provisions. The CBIC has also said that the government has planned to take a number of steps if the pending GSTR-1 is not filed by the 10th of next month, which may include steps such as blocking of the E-way bill, etc.

GSTR-1 is a monthly return that summarizes all sales (outward supplies) of a taxpayer. The due dates for GSTR-1 are based on turnover. Businesses with sales of up to Rs. 1.5 crore will file quarterly returns. Other taxpayers with sales above Rs. 1.5 crores have to file monthly return.

Source: KNN

E-commerce cos may get to upload GST e-invoice for vendors

January 6, 2020 admin Comments 0 Comment

In a significant relaxation for the ecommerce sector, the government could allow online platforms such as Amazon and Flipkart to upload e-invoice for vendors under the goods and services tax (GST) framework. As part of ongoing trials of e-invoicing, a detailed set of clarifications in the form of frequently asked questions have been issued. “Ecommerce operator can request for e-invoice on behalf of supplier,” the clarification said. The matter has been taken up by the government and could be allowed once the trial period is over, a government official told ET. “Trials are now on…It will require an amendment… The issue has been taken up.” The GST Network has issued a detailed set of FAQs.

“Allowing ecommerce platforms to undertake e-invoice compliance on behalf of suppliers would go a long way in facilitating compliance for such suppliers,” said Prashanth Agarwal, partner. Given the criticality, it’s important for businesses to keep track of them. Further, businesses should participate in the testing phase as part of their preparation to go live on April 1, Agarwal said.

Voluntary uploading of e-invoices on the GSTN portal kicked off from January 1, for businesses having turnover over Rs 500 crore. For businesses having annual turnover over Rs 100 crore will be effective from February 1. Only 10,000 line items per einvoice would be allowed, as per the FAQ. Foreign services providers will have to set up local entities to integrate with the invoice registration portal (IRP), as per the FAQs.

Experts say these clarifications will help businesses gear up for the new system.”With specifications for e-invoice API being released to various companies, the government’s intent to soon implement it is reinforced,” said Abhishek Jain, tax partner, EY. “FAQs released provide clarification on ambiguities such as no requirement of invoice registration portal validation for delivery challans and bill of supply, 10,000 line items being allowed per e-invoice, amendments in the GST law on invoicing to align with e-invoices, etc and its timely release should help businesses gear up better for this new system.” The e-invoice system of uploading invoices on government portal will be mandatorily rolled out for businesses with turnover over Rs 100 crore from April 1.

Also, for B2C invoicing issued by businesses with annual turnover over Rs 500 crore, an electronically scannable quick response (QR) code will be mandatory from April 1. The e-invoice will help streamline the indirect tax system and ensure better compliance by keeping a check on tax evasion.

Source: Economic-Times

GST revenue crosses Rs 1-lakh crore mark in December 2019

January 2, 2020 admin Comments 0 Comment

The gross GST (Goods and Services Tax) revenue collection for December 2019 has crossed Rs 1-lakh crore mark, showing a 16 per cent rise in revenue YoY. It is for the ninth time since the inception of GST in July 2017 that monthly collection has crossed the mark of Rs 1 lakh crore. The GST collection for December stood at Rs 1.03 lakh crore, of which CGST (Central GST) amounts to Rs 19, 962 crore, while SGST and IGST have been recorded at Rs 26,792 crore and 48,099 crore, respectively. Cess for the month stands at Rs 8,331 crore (including Rs 847 crore collected on imports).

A government statement said the total number of GSTR 3B Returns filed for November up to December 31 was 81.21 lakh. The GST revenue from domestic transactions for December has shown an impressive growth of 16 per cent over the revenue during December 2018, the statement said. “If we consider IGST collected from imports, the total revenue during December 2019 increased by 9 per cent in comparison to the revenue during December 2018. During this month, the IGST on import of goods has seen a negative growth of (-) 10 per cent, but is an improvement over (-) 13 per cent last month and (-) 20 per cent in October,” the statement said.

The government has settled Rs 21,814 crore to CGST and Rs 15,366 crore to SGST from the IGST as regular settlement. The total revenue earned by the Centre and the State governments after regular settlement in December stands at Rs 41,776 crore for CGST and Rs 42,158 crore for the SGST.

State-wise, Maharashtra recorded the highest GST collection for December at Rs 16,530 crore, followed by Karnataka (Rs 6,886 crore) and Tamil Nadu (Rs 6,422 crore). In November, the GST revenue stood at Rs 1.03-lakh crore, witnessing a 9 per cent growth. The gross GST revenue collected in October stood at Rs 95,380 crore. In September, it was Rs 91,916 crore, while the tax collection in August stood at Rs 98,202 crore.

Source: Business-Today.

GST Council to set up grievance redressal mechanism for taxpayers

December 27, 2019 admin Comments 2 comments

The GST Council will set up a grievance redressal mechanism for taxpayers.

The decision was taken at the 38th meeting of the GST Council held on December 18.

It has decided that a structured grievance redressal mechanism should be established for the taxpayers under GST to tackle grievances on GST-related issues of specific and general nature, an official statement said on Wednesday.

The council will set up the Grievance Redressal Committee (GRC) at zonal and state levels consisting of both central tax and state tax officers, representatives of trade and industry and other goods and services tax (GST) stakeholders.

The committee will be constituted for a period of 2 years and the term of each member will be for likewise, said the statement.

If any member of the panel would be absent for three consecutive meetings, without adequate reasons, the member will be replaced with a fresh nomination by the principal chief commissioner/chief commissioner of central tax in consultation with the chief commissioner/ commissioner of state tax.

Functions of the committee include examining and resolving all the grievances and issues being faced by the taxpayers, including procedural difficulties and IT-related issues pertaining to GST, both of specific and general nature.

The committee will meet once every quarter or more frequently as decided by the co-chairs.

“For time-bound handling of grievances and accountability, GSTN shall develop a portal for recording all such grievances (including their scanned images) and their disposal.

“It shall be the responsibility of the co-chairs of the grievance redressal committees to ensure timely entry of the grievances and updating the status of their disposal on the portal,” the statement said.

The details of action taken on all issues will be displayed on the portal, which shall be available for viewing to all stakeholders to check the status of the resolution, it added.

Source: Business-Standard.

Tech limitations cannot be ground to deny input tax credit under GST, says Delhi HC

December 27, 2019 admin Comments 0 Comment

The Delhi High Court has said that the rights of Goods & Services Tax (GST) assessees ‘cannot be subjugated’ to the poor and inefficient software systems adopted by the authorities. The ruling is likely to benefit assessees who suffer due to technical glitches.

“The software systems adopted by the respondents have to be in tune with the law, and not vice-versa. The system limitations cannot be a justification to deny the relief, to which the petitioner is legally entitled,” the court ruled in a matter related to denial of use of unutilised input tax credit (ITC).

Commenting on the ruling, Harpreet Singh, said the order is likely to have far reaching positive domino effect under GST. With increasing dependence on technology, it is a common occurrence that technical glitches impact the statutory filings or reflection of the right balances at the portal. “Post this order, dealers should be able to claim their rightful benefits/ dues without worrying about technological handicaps, so long as other statutory conditions are satisfied,” he said.

After the introduction of Goods & Services Tax, a special provision was made for credit accumulated under VAT, excise duty or service tax to be transited to GST. Barring registered dealer opting for composition scheme, all other assessees were given opportunity to avail themselves of the transitional credit. However, there were some conditions. First, the credit will be available only if the returns for the last six months, that is, from January 2017 to June 2017 were filed in the previous regime (VAT, excise and service tax returns had been filed). Second, Form TRAN 1 (to be filed by registered persons under GST, may be registered or unregistered under old regime) has to be filed by December 27, 2017, to carry forward the input tax credit. Third, Form TRAN 1 can be rectified only once.

Inaction of respondents

In a petition filed with the HC, the grievance of the petitioner was that due to the inaction of the respondents (State GST authority) and their failure to allow smooth migration of the credit standing in the account of unutilised input tax, the petitioner could not use and exploit the ITC while making exports in the months of July and August, 2017. Accordingly it was forced to shell out over ₹1.37 crore which would not have been the case, had it been able to utilise its ITC which had accumulated even prior to the enforcement of the GST regime.

The court heard both the sides and observed that the petitioner cannot be made to suffer on account of failure on the part of the respondents in devising smooth transition to GST regime w.e.f. July 1, 2017 from the erstwhile indirect taxation structure. “The business activity in the country cannot be expected to come to a standstill, only to await the respondents making the Good Services Tax system workable,” it said.

According to the court, the failure of the respondents in first putting a workable system in place, before implementing the GST regime, reflects poorly on the concern that they have shown to the difficulties that the trade faced throughout the length and breadth of the country. “Unfortunately, even after passage of over two years, the respondents have not remedied their omissions and failures by taking corrective steps. They continue to take shelter in the limitations in, and the inability of their software systems to grant refund, despite the same being justified,” the court said.

Source: The-hindu-business-line

No possibility of GST rate hike till revenue stabilises: Sushil Modi

December 23, 2019 admin Comments 0 Comment

Days after the Goods and Services Tax (GST) Council refrained from hiking the tax rates, Bihar Deputy Chief Minister Sushil Kumar Modi said there was no possibility of any such move till revenue stabilised. He said the Council had decided to consider changes in the rates once a year, and not in each and every meeting.

A hike in GST rates, he said, would have hampered consumption amid the economic slowdown. “I want to assure you that not a single state, as well as the Union government, is ready to raise tax rates,” he said, speaking at FICCI’s 92nd annual convention. Also, there wasn’t scope to cut rates now till GST revenue stabilised, despite falling consumption, he said. “At a time when the economy is in a slowdown, if you cannot cut the tax rate, do not increase the rates, to boost consumption. At these times, you cut duties and tax rates, and not increase them,” he said.

The revenue augmentation panel in the Council meeting last week recommended revisiting and restructuring the GST rate slabs, besides correcting the inverted duty structure. The panel listed 24 items, including mobile phones, footwear, fabrics, LED light, medical equipment, utensils, agri machinery, pharma, and renewable components, which have an inverted duty structure, resulting in refunds of close to Rs 20,000 crore annually. Inverted duty structure refers to higher duties on inputs than those on the final goods and services.

On broadening and rationalising the GST rates, some of the suggestions compiled by the panel included hiking rate on precious metals from 3 per cent to 5 per cent, taxing higher segments of education and health.

Revisiting rates on certain items that went down from 28 per cent to 18 per cent was also on the list.

Compared to the pre-GST period, 99 per cent of the goods and services have less taxes levied on them post-GST, Modi said. However, he added that fake invoicing had become a major issue and the government was looking at ways to check the menace.

The Council meeting on Wednesday had decided to block the input tax credit for fake invoices in certain cases and further restricted the credit for invoices not uploaded in relevant forms to 10 per cent from the current 20 per cent of the eligible credit. Four of the eight months in the current financial year have yielded less than Rs 1 trillion. After plummeting to a 19-month low in September at Rs 91,916 crore, GST collection recovered to Rs 1.03 trillion in November, posting a 6 per cent year-on-year growth rate on the back of festive demand.

Despite that collection was lower than the rate needed to meet the steep target for FY20.The officers’ panel had red-flagged that the Centre may be staring at a compensation cess shortfall of at least Rs 63,200 crore this financial year, which may balloon to Rs 2 trillion by 2021-22. Here, it assumed a revenue growth of 5 per cent, while the actual growth in the April-November period is 3.7 per cent. The department of revenue had earlier this week pegged the target for GST collection at Rs 1.1 trillion a month for December-March 2019-20 with one of the months yielding Rs 1.25 trillion.

Source: Business-Standard

GST compensation to 9 states put at Rs 70,000 Cr

December 20, 2019 admin Comments 0 Comment

The Goods and Services Tax compensation requirement of nine major states could be as much as Rs 70,000 crore in fiscal 2020, ratings firm ICRA has estimated.

This would put significant pressure on the central government’s accounts which are already under stress from the cut in corporate tax rate and other stimulus measures.

Considering lower-than-expected GST collections — ICRA estimates this revenue to fall Rs 3.5 lakh crore short at the central level for this fiscal year compared with the July 2019 budget estimate of Rs 24.6 lakh crore — the total shortfall for all states could touch Rs 2.2 lakh crore in FY20.

Apart from this, the timing of the release of GST grants to state governments pose a key risk to the cash flows of the states, considering the size of the amount in question.

“The nine states that we have studied are likely to require a sizeable Rs 60,000-70,000 crore as grants for GST compensation in FY2020, twice as high as the compensation they received in FY2019. The timing of release of such grants by the GoI (Government of India) to the states would critically affect their cash flows and the pattern of fundraising in the rest of this fiscal,” said ICRA’s group head-corporate sector rating, Jayanta Roy.

This further poses a two-part risk for the states. A shortfall in their revenue implies a revenue expenditure side risk on additional outgo towards welfare schemes, drought and flood relief, and salaries. On the other hand, ICRA estimates that states would increase issuances of state development loans to plug the gap, resulting in higher state fiscal deficits.

The nine states that were covered in this study were Karnataka, Kerala, Gujarat, Maharashtra, Punjab, Haryana, Rajasthan, Tamil Nadu and West Bengal. These have budgeted for an aggregate fiscal deficit of Rs 3 lakh crore in their respective FY20 budget estimates.

These figures amount to around 2.5% of their gross state domestic product (GSDP), according to ICRA, which is below the 14th Finance Commission’s threshold state fiscal deficit at 3% of GSDP.

Source: Economic-Times.

XaTTaX GST Blog

GST News | GST Updates | GST Software

Browsed by
Tag: GST software

CBIC extends waiver of GSTR-1 late fee

January 13, 2020 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

Central government, states to get tough on GST refund claims

January 10, 2020 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

FM Nirmala Sitharaman tells traders GST will be ‘simplified’ further

January 8, 2020 admin Comments 0 Comment

Late fee to be waived on GSTR-1 if filed by Jan 10, 2020

January 8, 2020 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

E-commerce cos may get to upload GST e-invoice for vendors

January 6, 2020 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

GST revenue crosses Rs 1-lakh crore mark in December 2019

January 2, 2020 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

GST Council to set up grievance redressal mechanism for taxpayers

December 27, 2019 admin Comments 2 comments

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

Tech limitations cannot be ground to deny input tax credit under GST, says Delhi HC

December 27, 2019 admin Comments 0 Comment

No possibility of GST rate hike till revenue stabilises: Sushil Modi

December 23, 2019 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.

GST compensation to 9 states put at Rs 70,000 Cr

December 20, 2019 admin Comments 0 Comment

XaTTaX is Best GST Software, Simplify your Financial matters with GST eFiling Software for Return Filing & GST Billing Software in India.