The GST Council, in its 37th meeting held today at Goa, recommended the following:
1. 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 said tax periods; and
- 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 said tax periods.
2. For the simplification of GSTR – 9 forms (Annual Return) and reconciliation statements, a committee of officers will be constituted.
3. An applicant can file the appeal against the order of Appellate Authority before the GST Appellate Tribunal within three months of passing an order; however, the due date for filing of return has been extended 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 availment 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. It was earlier decided to implement the new GST return system from October, 2019. However, it has been proposed and now will be introduced from April, 2020. This move has been taken to give ample opportunity to taxpayers as well as the system to adapt.
Consequently, Form GSTR – 3B and Form GSTR – 1 shall be continuing to apply.
6. Various circulars have been issued for uniformity in the application of law across all jurisdictions:
- Procedure to claim refund in FORM GST RFD-01A subsequent to favourable order in appeal or any other forum;
- Eligibility to file a refund application in FORM GST RFD-01A for a period and category under which a NIL refund application has already been filed; and
- Clarification regarding the supply of Information Technology enabled Services (ITeS services) (in supersession of Circular No. 107/26/2019-GST dated 18.07.2019) being made on own account or as an intermediary.
7. Required amendments in CGST Act, UTGST Act, and the corresponding SGST Acts in view of the creation of UTs of Jammu & Kashmir and Ladakh.
8. Integrated refund system with disbursal by a single authority to be introduced from 24th September, 2019.
9. In principle decision to link Aadhar with the registration of taxpayers under GST and examine the possibility of making Aadhar mandatory for claiming refunds.
10. 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.
11. Rescinding of Circular No.105/24/2019-GST dated 28.06.2019, ab-initio, which was issued in respect of post-sales discount.
Note: The above amendments would be given effect through relevant Circulars/Notifications which alone shall have the force of law.