CBIC Dept. Updates Table 6.1 of GST Return Form 3B for Adjustments Prior Negative Liability

To include the ‘Adjustment of negative liability of previous tax period’ for Reverse Charge and supplies under Section 9(5) of GST Act and other than Reverse Charge and supplies made under Section 9(5) of GST, the Central Board of Indirect Taxes and Customs (CBIC) has revised Table 6.1 of the GSTR 3B. From a new table, the former one was substituted. Section 9(5) of the GST statute mentions the services proposed by the E-commerce operators. The government has informed the amendment, though the effective date has not been announced till…

Madras HC Reverses GST Demand on Rent-Free Canteen Facility, Orders Reconsideration

The Madras High Court in a ruling set aside the GST demand order issued on rent-free canteen utilities. The court remanded the case for reconsideration since the taxpayer’s submission had not been regarded by the GST department. The taxpayer, M/s.Erode Medical Centre filed a writ petition contesting the GST demand order based on non-application of mind. The counsel of the applicant, Mr. G. Natarajan, indicated two main defects in the impugned GST demand order. Firstly, he addressed the GST levy on premises used by a third party for running a…

MH Govt. Issues Administrative Instructions on GST Audit for All Field Officers

The Maharashtra SGST department has provided the norms on GST audits by the State GST officers dated 9th July 2024. To ensure constancy in audit procedures and easier transitioning the instructions were issued. GST Department of Maharashtra has Issued the below-mentioned Instructions- As per the old guidelines, the GST audit for the matter pertinent to FY2020-21 shall be continued. Under Internal Circular 04A of 2024, the amended audit framework shall not be applicable to FY 2020-21. For issuing Show Cause Notices under section 73 for FY 2020-21 the limitation period…

Foreign Airlines Refuse to Submit Data Requested by GST Officers in Investigation

Various foreign airlines, along with Lufthansa, Emirates and British Airways, have refused to furnish the information asked via the Indian Goods and Services Tax (GST) authorities related to ongoing investigations, as per the sources. The director general (DGGI) of GST had asked for information related to a probe into the valuation of services given via the foreign airline to their Indian arms. However, the airlines have learned to have told the council that they do not uphold such granular data. As per the GST council, late last year sent notices…

No Reopening Assessment Can Be Done After 4 Years for Non-Filing of GST By Dealer

It was ruled by The Mumbai Bench of Income Tax Appellate Tribunal (ITAT) that no reopening can take place after the expiry of four years from the end of the relevant assessment year unless any income levied to tax has escaped assessment for the reasons of the failure on the taxpayers part to reveal truly and wholly all material facts necessary for the assessment. The bench of Amit Shukla (Judicial Member) and Gagan Goyal (Accountant Member) has noted that the assessment was completed earlier under section 143(3) by the order…

GST Portal Now Includes Several Address-Related Fields in Registration

In a bid to ease the Goods and Services Tax (GST) registration procedure the GST Network (GSTN) has launched numerous enhancements to address the pertinent fields. Such updates are made to rectify the preciseness and efficiency of the process of registration which provides an advantage to the taxpayer in India. Below are the enhancements that have been made to address related fields in the registration functionalities: New GST Registration, Amendment Application (Core & Non-Core), and Geocoding Business Addresses. These enhancements are based on the analysis of tickets and user feedback.…

ITC on GST paid on Repair of Vehicles by Insurance Companies

As you are aware, an insurance company insures various types of motor vehicles and indemnifies financial losses in case of any event that may be specified. There are various types of products related to motor vehicles offered by various insurance companies on the market. These insurance companies generally pay repair charges for vehicles to garages in two ways: cashless and by reimbursement of payments made by the insured to the garage. Cashless payments are generally held to net-work garages by the insurance companies directly, since invoices are generally…

GST CMP 08 for Composition Taxpayers : Facts & Features

Composition Taxpayers can not find GSTR 4 (Querterly Return) in their dashboard from financial year 2019-20. A new return filing procedure was introduced in April 2019 and it is applicable from FY 2019-20 and onwards. Let’s take a look on new changes. Form CMP 08 is a statement cum challan to declare the details or summery of a taxpayer’s self assessed tax payable for a given quarter. Composition Taxpayers need to file Form CMP 08 quarterly instead of GSTR 4 from FY 2019-20. Composition Taxpayers need to file Form CMP…

HC Emphasizes Need to Record Reasons in GST INS-01 Form Before Initiating Search U/S 67

On May 20, 2024, in the case of Excellentvision Technical Academy Pvt. Ltd. v. State of U.P. [Writ Tax No. 554 of 2023, the Allahabad High Court highlights the need for the Revenue Department to record reasons in INS-01 before initiating search proceedings under Section 67 of the Central Goods and Services Tax (CGST) Act, 2017. It has been ruled by the Hon’ble Allahabad High Court that where the Revenue Department loses to place the actual reasons to trust as needed u/s 67 of the CGST, 2017 before executing the…

GST Advance Ruling Only Binds Applicant, No Benefit for Third Parties

The case revolves around appeals by Sarkar Diesel & Anr. against orders by the learned Single Judge in three writ petitions, where interim relief was denied. The Calcutta High Court heard the appeals and writ petitions together. Central Issue In the Case of Sarkar Diesel The problem is whether the Joint Commissioner of State Tax, Berhampore Circle, addressed all the problems that the appellants raised in their appeal. Arguments and Results Earlier the Appellate Authority overturned the Deputy Commissioner of State Tax’s order, ruling that the penalty must be levied…