1. Central Tax Circulars
|65/2018||14/09/2018||Guidelines for Deductions and Deposits of TDS by the DDO under GST||For the process of deduction and deposit of TDS, the DDO can follow any of the following two options :
i. Individual Bill-wise deduction and its deposit to the Government by DDO
ii. Bunching of deductions and its deposit by DDO
The DDO has to file GSTR -7 by 10th of next month and must generate TDS certificate through the GSTN portal in GSTR-7A.
|64/2018||14/09/2018||Modification of the procedure for interception of conveyances for inspection of goods in movement, and detention, release, and confiscation of such goods and conveyances, as clarified in Circular Nos. 41/15/2018-GST dated 13.04.2018 and 49/23/2018-GST dated 21.06.2018 – regarding||It has been clarified that if a consignment of goods is accompanied with an invoice or any other specified document and an e-way bill then the proceedings may not be initiated in the following situations :
1. Spelling mistakes in the name of the consignor or the consignee but the GSTIN, whichever is applicable, is correct.
2. Error in the address of the consignee to the extent that the locality and other details of the consignee are correct.
3. Error in one or two digits of the document number mentioned in the e-way bill.
4. Error in one or two digits of the vehicle number.
5. Error in 4 or 6 digit level of HSN where the first 2 digits of HSN are correct and the rate
of tax mentioned is correct
6. Error in the pin-code but the address of the consignor and the consignee mentioned is
correct, subject to the condition that the error in the PIN code should not have the effect
of increasing the validity period of the e-way bill
A penalty of Rs. 1000 under IGST act will be levied in Form GST DRC -07 for every consignment which is incomplete or erroneous in above terms. Also, a record of all these consignments will have to be sent to the proper officer to his controlling officer on a weekly basis.
|63/2018||14/09/2018||Clarification regarding processing of refund claims filed by UIN entitles||The delay in the refund claims filed by the UIN entities i.e Embassy/Mission/Consulate/UNO has been clarified. Refund processing officers can ask for the statement of invoices and hard copies of those in order to determine the eligibility for grant of refund in accordance with the reciprocity letter issued by MEA. Also, the following provisions are clarified :
1.UIN entities must submit the copy of the ‘Prior Permission letter’ and mention the same in the covering letter while applying for GST refund on purchase of vehicles to avoid delay in processing of refunds.
2. The eligibility of refund for the personnel and officials posted in the Embassy/Mission/Consulate shall be determined based on the principle of reciprocity.
3. A one-time waiver is hereby given from recording the UIN on the invoices issued by the suppliers pertaining to the refund claims filed for the quarters from April, 2018 to March, 2019, subject to the condition that the copies of such invoices which are attested by the authorized representative of the UIN entity shall be submitted to the jurisdictional officer.
4. A monthly report to be furnished to the Principal Director General of Goods and Services Tax by the 30th of the succeeding month.
Also, a checklist for processing UIN refunds is provided.
|62/2018||12/09/2018||Levy of GST on Priority Sector Lending Certificate-reg.||GST will be levied on the Priority Sector Lending Certificates (PSLCs) for the period of 1st Jul 2017 to 27th May 2018 at the rate of 18%. This is will be paid by the seller bank on the forward charge basis.|
|61/2018||04/09/2018||E-way bill in case of storing of goods in the godown of a transporter.||1. Place of business now also includes a warehouse, a godown, or any other place where a taxable person stores in goods, supplies or receives goods or services or both.
2. In case, the goods have reached the transporter’s godown i.e additional place of business then the transportation under the e-way bill will be deemed to be concluded. There will be no need of an extension of e-way bill’s validity.
3. The recipient will be required to maintain books of accounts in relation to the goods stored at the godown of the transporters.
|60/2018||04/09/2018||Processing of refund applications filed by Canteen Stores Department (CSD).||1. It is clarified that CSD will apply for the refund with the central/ state authorities to whom CSD has been assigned. The payment of the sanctioned amount under central and state tax will be made by the central tax authority and state tax authorities respectively.
2. It is necessary to produce the refund order issued by the proper officer to the concerned authority within 7 days for the payment of the sanctioned amount.
|59/2018||04/09/2018||Clarification on refund related issues.||This circular clarifies all the provisions of GST law related to refund of taxes like submission of invoices of refund, system validations for refund processing etc.|
|58/2018||04/09/2018||Recovery of arrears of wrongly availed CENVAT credit under the existing law and inadmissible transitional credit.||It is clarified that the taxpayers will reverse the wrongly availed CENVAT credit under the existing law and inadmissible credit through table 4(B)(2) of GSTR 3B. Interest and penalty will be applicable thereof.|
|57/2018||04/09/2018||Scope of Principal-agent relationship in the context of Schedule I of the CGST Act||Clarifying the scope and ambit of agent-principal relationship under GST|
|56/2018||24/08/2018||Clarification on the removal of the restriction on refund of accumulated Input Tax Credit on fabrics||1. It is clarified that the restriction on refund of accumulated ITC on account of inverted duty structure will not be allowed on inputs. But there is no restriction on the refund of the ITC on input services and capital goods. It is only on the accumulated ITC on inputs.
2. The input tax credit on account of inverted duty structure lying in the balance after payment of GST for the month of July (on the purchases made on or before the 31st July, 2018) shall lapse.
3. Adding to it, the ITC on the zero rated supplies will shall not lapse.
|55/2018||10/08/2018||Taxability of services provided by Industrial Training Institutes (ITI) .||1. Services provided by the private ITIs in respect of designated trades notified under apprenticeship act, 1961 are exempt. These services also include the conduct of examination against entrance fee and also, admission to or conduct of the examination.
2. Services provided by the private ITIs in respect of other than designated trades are not exempt and are liable to GST.
3. Services provided by the government ITIs to individual trainees/ students are exempt. These services cover vocational training as well as the conduct of the examination.
|54/2018||09/08/2018||Circular No. 54/28/2018-GST dated 09.08.2018 i.r.o. classification of fertilizers supplied for use in the manufacture of other fertilizers at 5 % GST rate.||Fertilizers supplied for direct use as fertilizers, or supplied for use in the manufacturing of other complex fertilizers for agricultural use (soil or crop fertilizers), will attract 5% IGST.|
|53/2018||09/08/2018||Circular No. 53/27/2018-GST dated 09.08.2018 i.r.o. clarification regarding the applicability of GST on petroleum gases retained for the manufacture of petrochemical and chemical products||GST will be payable by the oil refineries on the value of net quantity of petroleum gases retained for the manufacture of petrochemical and chemical products.
Similarly in other cases of supply of goods, where feedstock is retained by the recipient and
remaining residual material is returned back to the supplier, then the net quantity retained by the recipient will be liable to GST.
|52/2018||09/08/2018||Circular No. 52/26/2018-GST dated 09.08.2018 i.r.o. clarification regarding the applicability of GST rates on various goods and services.||1. Fortified toned milk attracts NIL rate of GST.
2. Refined beet and cane sugar attract 5 % of GST .
3. Treated (modified) tamarind kernel powder and plain (unmodified) tamarind kernel powder both attracts 5% GST.
4. Supply of safe drinking water for public purposes, if it is not supplied in a sealed container is exempt from GST.
5. Normal human plasma attracts 5 % GST whereas plasma products would attract 12% GST.
6. Wipes of various kinds attract 18% of GST.
7. Imitation zari thread or yarn is known as ‘Kasab’ attract 12% GST.
8. Supply of bus body will be taxed @ 28% and any job work services of bus body building will attract 18% of GST.
9. Disc Brake pad for automobiles will attract 28% of GST.
|51/2018||31/07/2018||Applicability of GST on ambulance services provided to Government by private service providers under the National Health Mission (NHM)||Services provided by PSPs to the state governments by way of transportation of patients against consideration in the form of the fee is exempt if :
a. It is provided as a pure service, and
b. It is provided as a composite supply of goods and services in which value of the goods does not exceed 25% of the value of composite supply.
|50/2018||31/07/2018||Seeks to withdraw Circular No. 28/02/2018-GST dated 08.01.2018 as amended vide Corrigendum dated 18.01.2018 and Order No 02/2018–CT dated 31.03.2018 – reg.|
|49/2018||06/21/2018||Seeks to modify Circular No. 41/15/2018-GST||1. The hard copies of the notices/orders issued in the specified FORMS by a tax authority may be shown as proof of initiation of action by a tax authority by the transporter/registered person to another tax authority as and when required.
2. Only such goods or conveyances will be confiscated or detained where there will be violation of the GST laws.
|48/2018||06/14/2018||Circulars clarifying miscellaneous issues related to SEZ and refund of unutilized ITC for job workers|
|47/2018||06/08/2018||Clarifications of certain issues under GST|
|46/2018||06/06/2018||Applicable GST rate on Priority Sector Lending Certificates (PSLCs), Renewable Energy Certificates (RECs) and other similar scrips -regarding||1. Renewable Energy Certificates (RECs) and Priority Sector Lending Certificates (PSLCs) and other similar documents attract 12% GST.
2. The duty credit scrips attract Nil GST
|45/2018||05/30/2018||Clarification on refund related issues||1. In case of a claim for refund of balance in the electronic cash ledger filed by an ISD or a composition taxpayer; and the claim for refund of balance in the electronic cash and/or credit ledger by a non-resident taxable person, the filing of the details in FORM GSTR-1 and the return in FORM GSTR-3B is not mandatory. The return in FORM GSTR-4 filed by a composition taxpayer, the details in FORM GSTR-6 filed by an ISD and the return in FORM GSTR-5 filed by a non-resident taxable person shall be sufficient for claiming the said refund.
2. In cases of export of services and supplies made to a Special Economic Zone developer or a Special Economic Zone unit, commencing from 01.07.2017 to 31.03.2018, such registered persons shall be allowed to file the refund application in FORM GST RFD-01A. This is subject to the condition that the amount of refund of integrated tax/cess claimed shall not be more than the aggregate amount of integrated tax/cess mentioned in FORM GSTR-3B.
3. Credit of input tax may be availed for making zero-rated supplies.
4. If capital goods are imported by availing the benefit of Notification No. 78/2017-Customs dated 13.10.2017 or
79/2017-Customs dated 13.10.2017 and the goods are manufactured and supplied to an Exporter, the restriction of not availing the benefit of the notifications does not apply to such inward supplies of an exporter.
|44/2018||05/02/2018||Issue related to taxability of ‘tenancy rights’ under GST- Regarding.||1. Transfer of ‘tenancy rights will be considered as supply under GST and consideration for this will be taxable.
2. Renting of residential dwelling will still be exempt.
3. Services by outgoing tenant by way of surrendering the tenancy rights against consideration in form of tenancy premium is liable to GST
|43/2018||04/13/2018||Clarifying the issues arising in the refund to UIN.||1. Filing of refund by UIN agencies on a quarterly basis will be in FORM RFD-10 along with a statement of inward invoices in FORM GSTR-11. This will have to be manually filled in the printable version unless notified otherwise.
2. Recording of UIN on the invoice is a necessary condition
3. One time waiver and related guidelines in cases where UIN has not been recorded on the invoices pertaining
to refund claim for the quarters of July – September 2017, October – December 2017 and January – March 2018
|42/2018||04/13/2018||Clarifying the procedure for recovery of arrears under the existing law and reversal of inadmissible input tax credit||1. If CENVAT credit is claimed wrongly or carried forward wrongly and no recovery is done so far under the existing law, the same shall be recovered as an arrear of tax under the CGST act.
2. Any dues in form of tax, interest, penalty, output duty or any amounts arising due to the revision of returns that are recoverable, if not recovered under the existing law shall be recovered as an arrear of tax under the CGST act.
3.Wrong transitional credit and interest, penalty, late fee connected to this shall be recovered from the balance in the electronic credit ledger or electronic cash ledger of the registered person.
4. From 1st of April, 2018, the return filing shall continue on www.aces.gov.in but the payment shall be made through the ICEGATE portal.
5. When arrears have to be recovered from persons who are not registered under the CGST act, this shall be recovered in cash.
|41/2018||04/13/2018||Clarifying the procedure for interception of conveyances for inspection of goods in movement, and detention, release, and confiscation of such goods and conveyances.||The government has notified the following forms with regard to Inspection, Verification and Detention of goods in transit.
Form Name Purpose
GST MOV-01 Statement of owner, driver or person in charge of the vehicle
GST MOV-02 Order for physical verification and inspection of goods, conveyance or documents
GST MOV-03 Order for extension of time beyond 3 days for inspection
GST MOV-04 Physical verification report
GST MOV-05 Release order
GST MOV-06 Order of detention
GST MOV-07 Notice specifying tax and penalty amount
GST MOV-08 Bond for provisional release of goods/ conveyance
GST MOV-09 Order of demand of tax and penalty
GST MOV-10 Notice for the confiscation of goods
GST MOV-11 Order of confiscation of goods and conveyance and demand of tax, fine and penalty. Read more here.
|40/2018||04/06/2018||Clarification on issues related to the furnishing of Bond/Letter of Undertaking for exports – Reg.||1. Form FORM GST RFD-11 (form for LUT) has to be filled by the registered person (exporters).
2. LUT shall be said to have been accepted as soon as an acknowledgement for the same is received.
3. The acknowledgment shall show the Application Reference Number (ARN). Ths is generated automatically online.
|39/2018||04/03/2018||Setting up of an IT Grievance Redressal Mechanism to address the grievances of taxpayers due to technical glitches on GST Portal-reg.||1. Taxpayers who have faced IT related issues while filing returns on the GST portal are supposed to make an application with evidence to the field officers or the nodal officers.
2. When the taxpayer makes a genuine attempt to file any returns and cannot complete the filing due to an IT related problem, IT Grievance Redressal Committee has now got the right to approve and recommend the GSTN the steps to be taken to redress the problem and state the procedures to be followed.
3. For issues such as non-availability of internet connectivity or failure of power supply, this mechanism will not be available.
4. If due to the non-filing of returns because of the IT problem, fees and penalty arise, the GST Council with the recommendation of the IT-Grievance Redressal Committee may waive it off.
5. Taxpayers who couldn’t file their TRAN-1 on or before 27.12.2017 due to IT-glitch, can now complete TRAN-1 filing by 30th April 2018. (The time limit in general for non-effected taxpayers is not extended.) The amount of credit cannot be modified now.
5. For the above taxpayers, GSTR 3B has to be filled by 31st May 2018.
|38/2018||03/26/2018||Clarifications on issues related to Job Work||1. When goods are sent (i) by the principal to the job worker, (ii) from one job worker to another job worker; and (iii) from the job worker back to the principal., the principal is required to file FORM GST ITC-04 every quarter with the movement details. This form shall be filled by the 25th day of the month immediately after the quarter.
2. FORM GST ITC-04 is the intimation under the CGST act.
3. Job worker is liable to pay GST on the supply of job work services. If he is not registered, RCM will apply.
4. Any amount that the supplier has to pay in relation to the supply but which has been incurred by the job worker will form part of the valuation for that particular supply.
5. A registered Job Worker is eligible to avail ITC on inputs, etc. used by him in supplying the job work services.
|37/2018||03/15/2018||Clarifications on exports related refund issues||1. No refund of input tax credit shall be allowed in cases where the supplier of goods or services or both avails any drawback in respect of the central tax.
2. A rectification of details of an invoice / shipping bill / bill of export in Table 6A or Table 6B of FORM GSTR-1, can be done in Table 9 of FORM GSTR-1.
3. when a fresh refund application has to be made, it will have to be made in FORM GST RFD-01A.
4. Refund claims can be made for sucessive months or quarters. However, clubbing refund for different financail years is not possible.
5. When exports are made at concessional rates, the exporter can take credit of the tax @ 0.05% / 0.1% paid by him
|36/2018||03/13/2018||Processing of refund application for UIN entities||1. Eligible persons can apply for the grant of the Unique Identification number (UIN) electronically by filling FORM GST REG-13. Multiple UIN is possible.
2. These entities are required to file details of inward supplies in FORM GSTR-11.
3. These entities can apply for refund on the quarterly basis in FORM RFD-10.
|35/2018||03/05/2018||Clarification regarding taxable services provided by the member of the Joint Venture(JV) to the JV and vice versa and inter se between the members of the JV||It is clarified that an unincorporated association or a body of persons, and a member are distinct persons.Thus GST will be applicable on services provided by the member of the Joint Venture(JV) to the JV and vice versa and inter se between the members of the JV.|
|34/2018||03/01/2018||Clarification regarding GST in respect of certain services.||1. Bus body building activity is a composite supply and the classification of it as goods or service will depend on what is the principal activity.
2. Retreading of tyres, being a composite supply, will be the supply of service. However, where the old tyres belong to the supplier of retreaded tyres, it will be the supply of goods.
3. Priority Sector Lending Certificates re taxable as goods at the GST rate of 18%. ITC to the bank buying the certificates will be available.
4. Only transmission or distribution of electricity by an electricity transmission or distribution utility is exempt from GST. Any connected services will be taxable.
5. Gurantee commission is taxable. (For guarantee provided by Government to business entities)
|33/2018||02/23/2018||Directions under Section 168 of the CGST Act regarding non-transition of CENVAT credit under section 140 of CGST Act or non-utilization thereof in certain cases-reg..||1. In cases where show cause notice has been issued in relation to CENVAT credit/blocked credit and such credit is not available as per an order, this credit cannot be utilized by a registered taxable person to pay tax.
2. If this credit is utilized it shall be recovered from the taxpayer, with interest and penalty.
3. If this credit is more than Rs. 10 Lakhs the taxpayers should submit an undertaking to the jurisdictional officer of the Central Government that such credit will not be utilized or has not been availed as transitional credit so far.
|31/2018||02/12/2018||Clarifications regarding GST in respect of certain services as decided in 25th GST Council meeting.||1. Hostel accommodation services do not fall within the ambit of charitable activities and hence are taxable. (If the declared tariff is less than Rs. 1000/-day, it is exempt.
2.Any fee/penalty paid by in the Consumer Disputes Redressal Commissions will not attract GST.
3. Elephant/ camel joy rides are not transportation services and will attract GST @ 18% with threshold exemption being available to small service providers.
4. Any Leasing or rental services, with or without the operator, will be taxed at 28%.
5. Services provided by senior doctors/ consultants/ technicians hired by the hospitals, whether they are employees or not, is exempt.
6. The entire amount charged by hospitals, including food from the patients is exempt. However, food provided not as apart of treatment, to relatives, visitors etc will be taxable.
7. Cost of exploration, development, production royalty charged for providing petroleum to GOI is not consideration for service and is not taxable.
|31/2018||02/09/2018||Proper officer under sections 73 and 74 of the Central Goods and Services Tax Act, 2017 and under the Integrated Goods and Services Tax Act, 2017.||1. Superintendents of Central Tax can issue show cause notices and orders.
2. All officers up to the rank of Additional/Joint Commissioner of Central Tax are to be considered as the proper officer for issuance of show cause notices and orders.
3. Monetary limits to issue notices and orders are notified.
|30/2018||01/25/2018||GST dated 25.01.2018 clarification regarding supplies made to the Indian Railways classifiable under any chapter, other than Chapter 86.||Goods supplied as per this list to railways will be taxed at 5% GST with no refund of unutilized input tax credit. Other goods will attract the general GST rate even if supplied to the railways.|
|29/2018||01/25/2018||GST dated 25.01.2018 seeks to clarify the applicability of GST on Polybutylene feedstock and Liquefied Petroleum Gas retained for the manufacture of Poly Iso Butylene and Propylene or Di-butyl para Cresol.||GST will be payable by the refinery on the value of the net quantity of polybutylene feedstock and liquefied petroleum gas retained for the manufacture of Poly Iso Butylene and Propylene or Di-butyl Para Cresol.|
|29/2018||01/08/2018||Clarifications regarding GST on College Hostel Mess Fees||Services provided by an educational institution by themselves or through others in connection to supply of food or drink in a mess or canteen to its students or staff will be taxable at 5% without Input Tax Credit.|
|28/2018||01/04/2018||Clarifications regarding levy of GST on accommodation services, betting and gambling in casinos, horse racing, admission to cinema, homestays, printing, legal services etc.||1. In cases of accommodation services, GST will be payable on the actual amount charged and not on declared/published tariff. Thie highest declared/published tariff is used only to determine the GST rate. The declared/published tariff does not include taxes.
2. Room rent in hospitals is exempt.
3. Services by way of admission to entertainment events or access to amusement facilities including the exhibition of cinematograph
films, theme parks, water parks, joy rides, merry-go-rounds, go-carting, casinos, race-course, ballet, any sporting event such as Indian PremierLeague and the like and gambling will be taxed at 14 %.
4. In case of betting GST would be on the entire bet value (Total bets).
5. When accommodation services are provided by hotels, inns guest houses or other commercial places meant for residential or lodging purposes through E-Commerce operators, registration under GST is not required if their turnover per anum is below Rs. 20 lakhs (Rs. 10 lakhs in special category states).
6. The supply of books shall be treated as the supply of goods when such books are sold by the supplier has his own right to them.
7. Legal services including representational services provided by an advocate including a senior advocate to a
business entity will attract GST. RCM will be applicable here. (Business entity has to pay the tax)
2. Integrated Tax Circulars
|3/1/2018||05/25/2018||Applicability of Integrated Goods and Services Tax (integrated tax) on goods supplied while being deposited in a customs bonded warehouse-reg.||1. Clarified that the supply of goods imported into the territory of India, until they cross the customs borders of India, is treated as inter-State trade or commerce.
2. In case of supply of the warehoused goods, the point of the levy would be the point at which the duty is collected as per customs act. The duty is paid at the time of clearance of such goods.
3. Integrated tax on warehoused imported goods at the time of clearance for home consumption would be either the transaction value or the value at the time of filing
the into-bond bill of entry – Whichever is higher.
The supply of goods before their clearance from the warehouse would not be subject to the levy of integrated tax and the same would be levied and collected only when the warehoused goods are cleared for home consumption from the customs bonded warehouse. This Circular would be applicable for the supply of warehoused goods, while being deposited in a customs bonded warehouse, on or after the 1st of April, 2018.
3. Central Tax Orders
|2/2018-GST||03/31/2018||Incidence of GST on providing catering services in train||The Rate of GST on supply of food and drinks by the Indian railways or Indian Railways Catering and Tourism Corporation Ltd. or their licensees, whether in trains or at platforms (static units), will be 5%. Input Tax Credit will not be available.|
|01/2018-GST||03/28/2018||Extension of date for submitting the statement in FORM GST TRAN-2 under rule 117(4)(b)(iii) of the Central Goods and Service Tax Rules, 2017||The period for furnishing the statement in Form GST TRAN-2 extended to 30th June 2018.|