India: GST Implementation – Notifications Issued By CBEC

Last Updated: 19 July 2017
Article by SKP  

With the introduction of GST today, the regulatory body of indirect taxes, the Central Board of Excise and Customs (CBEC) has issued certain important notifications.

The notifications could be broadly categorised under the following heads:

  1. Central Tax Notifications
  2. Central Tax (Rate) Notifications
  3. Integrated Tax Notifications
  4. Integrated Tax (Rate) Notifications

A. Central Tax and Integrated notifications

1. Notification No. 7/2017 dated 27 June 2017 - Amendments to the Central Goods and Services Tax (CGST) Rules, 2017

The following key amendments have been made to the CGST Rules, 2017:

Earlier provision Amendment Effect of amendment
- Registration granted to a person shall be liable to be cancelled if there is non-compliance with the provisions of anti-profiteering measures. It would be pertinent for every assesse to strictly comply with the anti-profiteering measures.
- If a certificate of registration has not been made available to a migrating applicant within 15 days from the date of furnishing of required information and particulars, and no notice has been received, the registration would be deemed to have been granted. The migrating applicant would not have to wait for confirmation of registration after the lapse of 15 days.
When an order of temporary/suo moto registration has been passed by an officer in relation to any person in Form REG-12, such person has a period of thirty days to file application for proper registration. The words 'thirty days' have been substituted with the words 'ninety days' in Form REG-12. The person to whom a temporary registration is granted should file an application within a period of 90 days from the date of grant of such registration.

 

Sr. No. Notification No. Subject
1. 8/2017 dated
28 June 2017 – CGST Act, 2017
The notification seeks to notify the turnover limit for the composition levy for CGST.
2. 9/2017 dated
28 June 2017 – CGST Act, 2017
and
3/2017 dated 28 June 2017 - IGST Act, 2017
The notification provides for the enforcement of certain sections of the CGST Act, 2017 and the IGST Act, 2017 respectively with effect from 1 July 2017
3. 10/2017 dated
28 June 2017 – CGST Act, 2017

The Notification No.3/2017 has been amended vide Notification No.10/2017-Central Tax to notify the following rules:
  • Valuation Rules
  • ITC Rules
  • Tax Invoice, Credit and Debit Notes
  • Accounts and Records Rules
  • Return Rules
  • Payment of Tax Rules
  • Refund Rules
  • Assessment and Audit Rules
  • Advance Ruling Rules
  • Appeals and Revision Rules
  • Transition Rules
  • Ant-profiteering Rules
  • E-way Rules (Currently, such rules have not been implemented and have been postponed up to a time when an e-way bill system is developed and approved by the council)
4. 12/2017 dated
28 June 2017 – CGST Act, 2017
and
5/2017 dated
28 June 2017 – IGST Act, 2017
The requirement of mentioning the Harmonised System of Nomenclature (HSN) codes in the tax invoice has been notified:
Sr. No. Annual turnover in the preceding financial year Number of digits of HSN code
1. Up to INR 15 million Nil
2. More than INR 15 million and up to INR 50 million 2
3. More than INR 50 million 4
5. 13/2017 dated
28 June 2017 – CGST Act, 2017
and
6/2017 dated 28 June 2017 – IGST Act, 2017
Interest rates for the purpose of certain provisions of the CGST Act, 2017 have been notified. The interest rates range from 6% to 24% in various scenarios.

B. Central Tax Rates notifications

Sr. No. Notification No. Subject
1. 1/2017 dated
28 June 2017
The schedule of CGST rates applicable on goods and services has been notified vide such notification.

For the purpose of interpretation of these notifications, the rules of interpretation of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), including the section and chapter notes and the general explanatory notes of the First Schedule, shall apply.
2. 2/2017 dated
28 June 2017
Certain goods which are going to be exempt from the levy of CGST have been notified vide such notification.
3. 3/2017 dated
28 June 2017
Certain supplies which are to be taxed at a concessional rate of CGST have been notified vide such notification.

The concession is provided to the goods which are covered in the petroleum and oil exploration industry.
4. 4/2017 dated
28 June 2017
The goods and services on which tax is required to be paid under the reverse charge mechanism have been notified vide such notification.
5. 5/2017 dated
28 June 2017
The notification provides that the taxpayers dealing in commodities with inverted tax structures (where the rate of tax on inputs is higher than the rate of tax on the output supplies, other than nil rated or fully exempt supplies), shall be able to claim a refund of unutilised input tax credit.
6. 8/2017 dated
28 June 2017
The notification provides that intra-state supplies of goods or services, or both, received by a registered person from an unregistered supplier have been exempted from the reverse charge mechanism up to the extent of INR 5,000 per day.
7. 9/2017 dated
28 June 2017
The notification provides that no tax would be required to be paid under the reverse charge mechanism in case of intra-state supply to a deductor by an unregistered supplier.
8. 10/2017 dated
28 June 2017
Intra-state supplies of second-hand goods received by a registered person, dealing in buying and selling of second-hand goods and who pays central tax on the value of outward supply of such second-hand goods, from any supplier, who is not registered, shall be exempt vide such notification.
9. 11/2017 dated
28 June 2017
The CGST rate of 37 services has been notified vide such notification.
10. 12/2017 dated
28 June 2017
Certain services which have been exempted have been provided vide such notification.
11. 13/2017 dated
28 June 2017
Nine services have been prescribed in respect of which the tax would be required to be paid under the reverse charge mechanism.
12. 14/2017 dated
28 June 2017
Certain activities which would neither be treated as supply of goods nor supply of services are covered under this notification.
13. 15/2017 dated
28 June 2017
No refund of ITC in the case of services of 'construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after the issuance of a completion certificate.
14. 16/2017 dated 28 June 2017 The notification has provided for the refund of taxes paid on notified supplies of goods or services, or both, received by certain specialised agencies
15. 17/2017 dated
28 June 2017
The notification has provided that in case of intra-state supply of certain services, the tax shall be paid by the e-commerce operator

C. Integrated Tax notifications

Notifications corresponding to those issued under the CGST Act, in relation to rates on supply of goods and services, have been issued under the provisions of the IGST Act. They can be accessed here.

D. Event conducted by the State Finance Minister (FM) of Maharashtra - Key takeaways

An event was organised by the Maharashtra FM (Sudhir Mungantiwar) for GST wherein the Commissioner of Sales Tax, Rajiv Jalota, addressed queries of trade and industry.

  • A prototype of Form 3B (in excel format) will be made available on the Maharashtra VAT/GST website in two to three days – Assessees may access the same and test filing of such interim returns.
  • The trade circular to be issued on the format of debit notes/credit notes/invoices, etc. The draft content has already been circulated on Whatsapp to some trade associations.
  • As a reach-out effort, trainings on filing GSTRs are to be conducted by the Maharashtra Sales Tax Department (the Department).
  • A flyer on pros and cons of composition dealers are to be circulated by departments for small assesses.
  • The Department must also set up a GST Suvidha Kendra at their BKC office for registration related issues. Assesses can approach this office for any issues on GST migration/registration.
  • The notification on SGST rates, which will be same as CGST rates, shall be issued shortly. The GST Council will revisit this in case of any industry issues on rates under GST. Assessees may approach the Department with representation in case of any concerns (however, representation must contain global and other state background on such rates (if any) so as to enable department to take it forward to the Council).
  • The email ID for GST-related queries set up by the Department is maharashtragst@gov.com. The Department is also in the process of setting up separate email IDs for registrations, refunds, returns, etc. respectively.
SKP's comments
  • These notifications were issued with the intent to bring the provisions of the GST Laws into force from today, 1 July 2017.
  • While it is expected that there will be certain initial implementation issues, the determined resolve of the government needs to be appreciated. GST has finally come into existence and is one of the most substantial achievements in terms of tax reforms.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
Similar Articles
Relevancy Powered by MondaqAI
 
In association with
Related Topics
 
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
 
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
 
Email Address
Company Name
Password
Confirm Password
Position
Mondaq Topics -- Select your Interests
 Accounting
 Anti-trust
 Commercial
 Compliance
 Consumer
 Criminal
 Employment
 Energy
 Environment
 Family
 Finance
 Government
 Healthcare
 Immigration
 Insolvency
 Insurance
 International
 IP
 Law Performance
 Law Practice
 Litigation
 Media & IT
 Privacy
 Real Estate
 Strategy
 Tax
 Technology
 Transport
 Wealth Mgt
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions