The 37th GST Council meeting held in Goa on Friday brought a sigh of relief for exporters as the council provided another extension of one year on exemption of Goods and Service Tax on export freight by air and sea till 30.09.2020.
council also decided to exempt GST on the warehousing of
cereals, pulses, fruits, nuts and vegetables, spices, copra, sugarcane, jaggery, raw vegetable fibres such as cotton, flax, jute etc., indigo, unmanufactured tobacco, betel leaves, tendu leaves, rice, coffee and tea.
Here are the key law and procedure-related changes recommended in the meeting –
- Relaxation in the filing of annual returns for MSMEs for FY 2017-18 and FY 2018-19 as under:
- Waiver of the requirement of filing FORM GSTR-9A for Composition Taxpayers for the FY 2017-18 and FY 2018-19.
- Filing of FORM GSTR-9 for those taxpayers who (are required to file the said return but) have an aggregate turnover up to Rs. 2 crores made optional for the above-mentioned tax periods.
2. A Committee of Officers to be constituted to examine the simplification of Forms for Annual Return and reconciliation statement.
3. Extension of the last date for filing of appeals against orders of Appellate Authority before the GST Appellate Tribunal as the Appellate Tribunals are yet not functional.
4. In order to nudge taxpayers to timely file their statement of outward supplies, the imposition of restrictions on availing of the input tax credit by the recipients in cases where details of outward supplies are not furnished by the suppliers in the statement under section 37 of the CGST Act, 2017.
5. New return system now to be introduced from April, 2020 (earlier proposed from October, 2019), in order to give ample opportunity to taxpayers as well as the system to adapt and accordingly specifying the due date for furnishing of return in FORM GSTR-3B and details of outward supplies in FORM GSTR-1 for the period October, 2019 – March, 2020. Integrated refund system with disbursal by a single authority to be introduced from 24th September 2019.
6. In principle decision to link Aadhar with the registration of taxpayers under GST and examine the possibility of making Aadhar mandatory for claiming refunds.
7. In order to tackle the menace of fake invoices and fraudulent refunds, in-principle decision to prescribe reasonable restrictions on the passing of credit by risky taxpayers including risky new taxpayers.