CBIC further amends Central Goods and Services Tax (CGST) Rules, 2017 to notify various recommendation of 47th GST council meeting
Central Board of Indirect Taxes and Customs (CBIC) has issued Notification No. 14/2022 dated 5th July, 2022 to further amend the Central Goods and Services Tax (CGST) Rules, 2017.
Key Points of the Amendment are:
1. Rule 21A relating to “Suspension of registration”, has been amended to provide for automatic revocation of suspension of registration, in cases where registration was suspended by the system for non-compliance in terms of continuous non-filing of returns and the registration has not already been cancelled by the proper officer, once all the pending returns are filed on the portal by the taxpayer.
2. Rule 87(3) relating to “Electronic Cash Ledger” has been amended to prescribe that Unified Payment Interface (UPI) from any bank and Immediate Payment Services (IMPS) from any bank shall be the additional mode for payment of taxes under GST by taxpayers.
3. In Rule 87 relating to “Electronic Cash Ledger” a new sub rule (14) has been inserted to provide a registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger to the electronic cash ledger for central tax or integrated tax of a distinct person in FORM GST PMT-09. Provided that no such transfer shall be allowed if the said registered person has any unpaid liability in his electronic liability register.
4. Rule 88B relating to “Manner of calculating interest on delayed payment of tax”, has been prescribed to be effective from 1st day of July, 2017.
5. Rule 89(5) has been amended to prescribe the change in formula for calculation of refund of unutilized Input Tax Credit on account of inverted rated structure. According to the amended formula for calculation of refund now the taxpayers shall take into account utilization of ITC on account of both inputs and input services for payment of output tax on inverted rated supplies in the same ratio in which ITC has been availed on inputs during the said tax period. This would enable taxpayers to avail ITC on input services also.
6. Rule 46 relating to particulars to be contained in Tax invoice has been amended to provide a declaration in the tax invoice that even though the aggregate turnover in any preceding financial year from 2017-18 onwards is more than the aggregate turnover notified under sub-rule (4) of rule 48, the taxpayer is not required to prepare an invoice in FORM GST INV-01.
7. Explanation 1 to Rule 43 relating to “Manner of determination of input tax credit in respect of capital goods and reversal thereof in certain cases”, has been amended to included that the aggregate value of exempt supplies shall exclude the value of Input Tax Credit of Duty credit scrips used by the exporters.
8. Form GSTR-3B has been amended to insert a new table 3.1.1, “Details of supplies notified under sub-section (5) of section 9 of the Central Goods and Services Tax Act, 2017 and corresponding provisions in Integrated Goods and Services Tax/Union Territory Goods and Services Tax/State Goods and Services Tax Acts”, wherein the registered person making taxable supplies through electronic commerce operator, on which electronic commerce operator is required to pay tax are required to provide information.
9. Form GSTR-9 and Form GSTR-9C has been amended to incorporate the details with respect to F.Y. 2021-22 ; Form PMT- 03A relating to Order for re-credit of the amount to electronic credit ledger has been inserted and Form PMT-06 has been amended to the extent to include the new mode of payments as specified above.
10. Rule 86 relating to “Electronic Credit ledger” has been amended to include sub rule (4B), where a registered person deposits the amount of erroneous refund sanctioned to him, along with interest and penalty, wherever applicable, through FORM GST DRC-03, by debiting the electronic cash ledger, on his own or on being pointed out, an amount equivalent to the amount of erroneous refund deposited by the registered person shall be re-credited to the electronic credit ledger by the proper officer by an order made in FORM GST PMT-03A.
11. Explanation has been inserted in Rule 89(1) relating refunds pertaining to supplies to SEZ Developer/Unit to clarify that “specified officer” under the said sub-rule shall mean the “specified officer” or “authorized officer”, as defined under SEZ Rules, 2006.
For further details and changes in relevant Forms please refer to the attached document.
