The Government had in December 2019 prescribed that the GST Taxpayers having aggregate annual turnover more than Rs. 100 crore in any preceding Financial Year will be required to issue e-invoice for all the Business to Business (B2B) supplies, in the manner prescribed under rule 48(4) of the CGST Rules, 2017 w.e.f. 1^st April 2020. Further, it was also mandated under rule 48 (5) of the CGST Rules, 2017 that a B2B  invoice or an export invoice issued by such a taxpayer, in any other manner, shall not be treated as an invoice.

In March 2020, the date of implementation of e-invoice was extended to 1^st October 2020. Keeping in view the hardships faced by the taxpayers due to COVID-19 lockdown, in July 2020, it was further prescribed that the taxpayers having aggregate turnover of Rs. 500 crore and above only would be required to issue e-invoice w.e.f. 1^st October 2020.

It has been reported that even after more than 9 months of the first notification in this regard, some of these taxpayers having aggregate turnover of Rs. 500 crore and above are still not ready. Accordingly, as a last chance, in the initial phase of implementation of e-invoice, it has been decided that the invoices issued by such taxpayers during October 2020 without following the manner prescribed under rule 48(4),  shall be deemed to be valid and the penalty leviable under section 122 of the CGST Act, 2017, for such non-adherence to provisions, shall stand waived if  the Invoice Reference Number (IRN) for such invoices is obtained from the Invoice Reference Portal (IRP) within 30 days of date of invoice.

The same is illustrated with an example: In case a registered person has issued an invoice dated 3^rd October, 2020 without obtaining IRN but reports the details of such invoice to IRP and obtains the IRN of the invoice on or before 2^nd November, 2020, then it shall be deemed that the provisions of rule 48 (5) of the CGST Rules, 2017 are complied with and the penalty imposable under section 122 of the CGST Act, 2017 shall also stand waived. Relevant notifications would follow.

It may be noted that no such relaxation would be available for the invoices issued from 1^st November 2020 and such invoices issued in violation of rule 48(4) of the CGST Rules 2017 would not be valid and all the applicable provisions of CGST Act and Rules would apply for the said violation.

The post GST taxpayers got relief appeared first on newsmantra.in l Latest news on Politics, World, Bollywood, Sports, Delhi, Jammu & Kashmir, Trending news | News Mantra.

In the proposed system of new GST Return filing, a normal taxpayer would have to file FORM GST RET-1 (Normal) (on either monthly or quarterly basis) or FORM GST RET-2 (Sahaj) / FORM GST RET-3 (Sugam) (both on quarterly basis). Annexure of supplies (GST ANX-1) and Annexure of Inward Supplies (GST ANX-2) will also have to be uploaded as part of these returns. For familiarization of stakeholders with the proposed New Returnssystem and to obtain their feedback/suggestions, to further improve the New Return Offline tool, the trial version of the Offline Tool was released on GST Portal in July this year.

So far the taxpayers could use the new return offline tool for preparation of the Form GST ANX 1 and create JSON file for upload on GST Portal. They could also download GST ANX 2 JSON file (details of inwards supplies as recipient) and import it in the tool. They could then import their purchase details in the tool and use matching tool built in the Offline Tool to compare it with the GST ANX 2 to identify purchases which have not been reported by supplier or reported but incorrectly. Based on outcome of matching Tool, they could also take actions of ‘Accept’, ‘Reject’ or keep ‘Pending’on these documents. They could also upload the JSON of GST ANX-2 on portal after taking actions.

With the release of the online version of GST ANX-1 and GST ANX-2, the supplier taxpayers have now been provided with a facility to fill in details of Business-to-Business (B2B), Business-to-Consumer (B2C) and Details of Supplies attracting Reverse Charge in their Form GST ANX 1, online, on the GST Portal directly. On saving these details by Supplier Taxpayer, records of Form GST ANX-1 will automatically flow to GST ANX 2 of the recipient taxpayer and respective tables of GST ANX-2 of the Recipient Taxpayer will thus get auto-populated on which he/she can now take ‘Action’ (Accept / Reject / Pending) on Form GST ANX-2 online.
Prakash Kumar, CEO-GSTN, said that, “We have released the online version of GST ANX-1 and GST ANX-2 of the New Return for the Taxpayers’ familiarisation with the upcoming system of filing New GST returns. The online version will provide working on real environment and we would appeal taxpayers and tax consultants to use the online features of GST ANX-1 & GST ANX-2 and share feedback to help us make changes/ enhancements wherever required.

So far thousands of stakeholders have taken part in the trial and given their feedback at https://selfservice.gstsystem.in/, by attaching screenshots and by uploading other relevant material. The feedback/ suggestions for improving the tool have been analysed and relevant ones have been incorporated in the second version of offline tool released last week. ”

In addition, GSTN partnered with Industry Bodies like CII, FICCI, ASSOCHAM and PHD Chamber of Commerce to create awareness and obtain their feedback/suggestions on the offline tool of New Returns. So far 13 training sessions in major cities such as Delhi, Mumbai, Kolkata, Bengaluru, Hyderabad, Kochi, Guwahati, Chandigarh, Pune etc. for Tax Consultants and Taxpayers have been held as part of this exercise and more such events are planned in 15 cities in near future.

About GSTN:
Goods and Services Tax Network (GSTN) is a Section 8 (under new companies Act, not for profit companies are governed under section 8), non-government, private limited company. Instituted in March 2013, the Company has been set up primarily to provide IT infrastructure and services to the Central and State Governments, tax payers and other stakeholders for implementation of the Goods and Services Tax (GST).

The post Online version of New GST Return (Trial) released by GSTN appeared first on newsmantra.in l Latest news on Politics, World, Bollywood, Sports, Delhi, Jammu & Kashmir, Trending news | News Mantra.

The task force submitted its report last week and recommended that the government increase the number of tax slabs or tax brackets from four to five, but lower the tax rates for many.

There is no change in the first income-tax slab (up to Rs 2.5 lakh a year), which attracts zero tax. The current second slab (Rs 2.5 lakh to Rs 5 lakh) attracts 5% tax. The task force wants to expand this slab (Rs 2.5 lakh to Rs 10 lakh) and have a 10% tax rate, while retaining the available full tax rebate for those earning up to Rs 5 lakh.

“Effectively, people having income up to Rs 5 lakh will have to pay zero tax. Tax will be charged for income between Rs 5 lakh and Rs 10 lakh at 10% and an individual can save up to about Rs 37,500 a year (at the higher end) under the proposed regime,” one of the persons cited above said. Currently, people earning between Rs 5 lakh and Rs 10 lakh are taxed at the rate of 20%. The proposed third slab (Rs 10 lakh to Rs 20 lakh ) will attract a tax of 20%; it is expected to give a benefit of about Rs 1 lakh to the taxpayer if his or her income is on the upper side, the first person said. People in this slab now pay 30% (the current slab is Rs 10 lakh and above). The panel has proposed a fourth tax slab of Rs 20 lakh to Rs 2 crore that will attract a tax rate of 30% and the fifth slab, Rs 2 crore and above, will attract a rate of 35%. Under the current regime, the rate is 30% for people whose incomes fall in these slabs. If the proposal of the committee is accepted, a person earning Rs 2 crore will save around Rs 8.5 lakh.

This is, of course, assuming that there are no surcharges on tax. Currently, for instance, people whose incomes fall in the higher tax slabs pay surcharge.

The Central Board of Direct Taxes (CBDT) did not respond to queries. A government official said on condition of anonymity that the report presented by the task force is yet to be evaluated and that it isn’t necessary to accept all recommendations.

The government constituted the task force on the Direct Tax Code in November 2017 to check the existing income-tax legislation and to draft a new direct tax law in consonance with economic needs of the country.

“The recommendations have something for every taxpayer. But, exact benefits can be calculated after one is clear whether the panel proposed to remove cess and surcharge or not,” chartered accountant shravan kumar said. Currently, with surcharges and cess, a person earning over Rs 2.5 crore pays tax at an effective rate of 42.7%.

The post TAXPAYERS MAY GET RELIEF appeared first on newsmantra.in l Latest news on Politics, World, Bollywood, Sports, Delhi, Jammu & Kashmir, Trending news | News Mantra.