Amendment in GST return format: Why changes regarding ITC will increase complexity for taxpayers

• Nov 08, 2022
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• The implementation of the GST law in India has been prefaced with the narrative of national ambition and that of a global exception. The government has been striving to ease the overall GST framework for India Inc., by amending the reporting methodology to make GST a “Good and Simple Tax” so that only non-compliant assesses are questioned or held liable and the diligent ones are not affected.One such change has been recently notified by the government vide Notification No. 14/2022 – Central Tax dated July 5, 2022, in Table 4 of GSTR 3B, meant for Input Tax Credit (ITC) related information. The said changes have been made available on the GST portal since September 1, 2022. In brief, the government has majorly changed the following two aspects :

  
  

GST

GST dept steps up anti-evasion drive

• Nov 09, 2022
  Stepping up its anti-evasion drive, the goods and services tax (GST) wing of the Central Board of Indirect Taxes and Customs (CBIC) has started a process of issuing show-cause notices to thousands of entities for alleged evasion or under-payment of tax. It has already issued notices in about 20,000 cases among 34,000 scrutinised for tax evasion in 2017-18, the year in which the comprehensive indirect tax was rolled out, sources said. The tax department reckons that evasion by the entities in the year were to the tune of Rs 2,000 crore. It is also sending out notices to another lot of 35,000 cases for the year 2018-19, the sources added.
  
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GST

GST Evasion Of ? 55,575 Crore Detected In Last 2 Years

• Nov 10, 2022
  GST authorities have detected GST fraud of ? 55,575 crore over the last two years and arrested over 700 persons for causing loss to the exchequer, an official said. Over 22,300 fake GST identification numbers (GSTIN) were detected by the officers of the Directorate General of GST Intelligence (DGGI). The government on November 9, 2020, launched a nationwide special drive against unscrupulous entities for availing and passing on Input Tax Credit (ITC) fraudulently by issuing fake/bogus invoices, thereby evading Goods and Services Tax (GST). "In the two years of the special drive, GST/ITC fraud worth ? 55,575 crore has been detected. 719 persons have been arrested, which include 20 CA/CS professionals," the official told PTI.

GST

CBIC Issues Guidelines For Verification Of GST Transitional Credit Claims

Nov 11, 2022

The CBIC on Thursday issued guidelines for verification of GST transitional credit claims and said taxpayers will not be permitted to file revised returns for availing such credit. When Goods and Services Tax (GST) was rolled out on July 1, 2017, taxpayers were allowed to file Form TRAN-1 and TRAN 2 and avail credit on the taxes paid in the pre-GST regime. The Supreme Court had in July directed the revenue department to open GST portal for two months to enable taxpayers to file/revise Form TRAN-1 and TRAN-2.

GST

GST on more crypto deals off the table for now

• Nov 14, 2022

The government may not widen the coverage of the goods and services tax (GST) soon to more crypto activities as the industry is struggling after it imposed a 30% income tax on crypto gains from the current fiscal year amid a global meltdown of such assets. Currently, an 18% GST is levied only on services provided by crypto exchanges, which currently accounts for the bulk of crypto-related activities in India. Besides exchange services, the crypto ecosystem involves various other activities, including mining, wallet services, payment processing and the barter system. Crypto assets refer to the algorithm-based decentralised convertible virtual assets protected by cryptography.

GST

Consequences of Late Filing under TDS

A delay in providing the eTDS statement will result in a mandatory fine of ₹200 per day till the return is filed. However, in this case, the total fine shall not exceed the total amount of TDS deducted for the given quarter. The late filing fee has to be paid before the filing of such an eTDS statement. If there is a failure or delay in filing the eTDS statement for more than a year or the details such as PAN, Challan and TDS amount, furnished in the statement are incorrect, there may be a penalty ranging from ₹10,000 to ₹1 lakh, as determined by the Assessing Officer.

Tax Deduction at Source

CCI to look into anti-profiteering steps under GST, replace NAA from Dec

• Nov 24, 2022

• Starting next month, the Competition Commission of India (CCI) will look into anti-profiteering measures under the Goods and Services Tax (GST), replacing the National Anti-profiteering Authority (NAA). A notification to this effect was issued by the Central Board of Indirect Taxes and Customs (CBIC) on Wednesday. Apart from omitting and adding rules, the notification says, "The central government, on the recommendation of the Goods and Services Tax Council, hereby empowers the Competition Commission of India ... to examine whether input tax credit availed by the registered person or the reduction of the tax rate have actually resulted in a commensurate reduction in the price of the goods or services or both supplied by him." The decision comes at a time when 50-odd cases against the constitutional validity of NAA have been clubbed and are being heard in the Delhi High Court. The biggest issue is the lack of methodology to calculate profiteering.

  
  
  

GST

Online gaming likely to attract 28% GST on full value

• Nov 23, 2022
  A group of ministers (GoM) on casinos, race courses and online gaming on Tuesday decided not to change its earlier recommendation for a uniform 28% tax on the full value of the consideration on all the three. This paves the way for the GST Council to go for a 28% tax on online gaming on the full value, including prize money, both for skilled and unskilled games. Currently, an 18% tax is levied on the platform fee.“All the states have reiterated their earlier stance (28% tax on full value) and the view will be communicated to the GST Council in the form of a report for a decision on the matter,” West Bengal Finance Minister Chandrima Bhattacharya, who attended the meeting, told FE.
  

GST