Everyone can relate to the instant relief found in a simple glass of water after having walked in the scorching mid-afternoon sun during summer. With the conclusion of the latest GST council meeting, many taxpayers will breathe easier and sleep more soundly with the much-awaited relief that was finally delivered.
The goods and services on the 28% slab list were severely reduced to a mere 50 from the previous 228 items, which brought smiles to many faces. The items remaining on the trimmed list now only include luxury and “sin” goods.
Additionally, restaurants will only be taxed at 5%, however, input tax credit will not be available. This reduction will benefit consumers directly with an increase in online food ordering and eating out.
Moreover, the penalty fee for late filing was drastically reduced from Rs200/day to Rs20/day.
Nepal and Bhutan exporters can now avail of input tax credit on output services, also.
The central government will take care of the compliance for diplomatic mission/UN organization, who will each be issued UIN.
A manual filing process for an advance ruling, on future or completed transactions, has been introduced.
Registration exemption of service providers whose aggregate turnover is less than Rs. 20 lakhs (Rs. 10 lakhs for special states) now includes e-commerce operators, interstate and intra-state suppliers.
Business owners will find relief in the simplified filing process. The filing of form GSTR 3B has been extended to March 31st, 2018. For taxpayers with an annual turnover of up to Rs. 1.5 Crore, the filing of Form GSTR 1 is now on a quarterly basis, whereas for those with an annual turnover of over 1.5 crore, filing of GSTR 1 must be done on monthly basis.
|Jul- Sept 2017||31st December 2017|
|Oct-Dec 2017||15th February 2018|
|Jan-March 2018||30th April 2018|
|Jul-October||31st December 2017|
|November||10th Jan 2018|
|December||10th Feb 2018|
|January||10th March 2018|
|February||10th April 2018|
|March||10th May 2018|
Taxpayers will also find respite in the extension for furnishing certain forms.
|S.No||Form||Revised Due Date||Original Due Date|
|1.||GST ITC-04 for the quarter July to Sep 2017||31st December 2017||25th October 2017|
|2.||GSTR-4 for the quarter July to Sept 2017||24th December 2017||18th October 2017|
|3.||GSTR-5 for July 2017||11th December 2017||20th August 2017 or 7 days from the last date of registration, whichever is earlier|
|4.||GSTR-5 A for July 2017||15th December 2017||20th August 2017|
|5.||GSTR-6 for July, 2017||31st December 2017||13th August 2017|
|6.||TRAN-1||31st December 2017(With one-time option of revision)||30th November 2017|
Mostly, the decisions rendered during the latest GST council meeting were met with smiles and applause. The cuts and extensions will help to increase compliance, as implementation of GST had left many confused and frustrated business owners in its wake. However, by adopting the help of the experts at H&R Block to delve into the new GST processes, business owners can once again continue to focus their energy and efforts into what they love most, which is developing their business and increasing their customer base.