Check 7 Major GST Amendments Under Union Budget 2019

Brief Highlighted proposals under Union Budget 2019: Amendments proposed in Goods and Service Tax Act, 2017 under Finance (No. 2) Act, 2019 are as follows:

Proviso – Interest for late payment of tax shall be leviable on Net Tax Liability

A Proviso has been added that states that interest for late payment of tax shall be leviable only on the portion of the tax which has been paid by debiting the electronic cash ledger.

The confusion prevailing earlier whether the interest is charged on gross tax liability or only on net tax liability is now clarified with this proviso.

Exception: One exceptional case when the interest shall be charged on gross tax liability is when returns are filed subsequent to the beginning of any proceedings under the GST Act.

NAAAR for Hearing Appeals

National Appellate Authority for Advance Ruling (NAAAR) – An authority will be formulated by the Government for hearing the appeals and passing an order within 90 days from the day when the appeal is filed.

Mandatory Authentication for Every Registered user with Aadhar Card

Every registered person shall authenticate, or furnish Aadhaar number as a piece of evidence for authentication. If a registered person does not have Aadhar card, he/she shall furnish any other alternative evidence of identification.

The registration of an individual will be revoked if his/her Aadhar card or any other alternative evidence of identification fails to undergo authentication.

Amount transfer via new Form PMT-09

Now a registered person will be able to transfer any amount of interest, tax, fee, penalty or any other amount present in the electronic cash ledger for Integrated Tax, Central Tax, State Tax, Union Territory Tax or Cess to the electronic cash ledger via a new Form PMT-09 subject to the conditions specified under GST Act. Such transfers shall be deemed to be refunded from the electronic cash ledger.

In consideration of Exempt supplies while determining turnover under Composition Scheme.

The value of exempted supply of services, provided in the form of extending deposits, loans or advances (where consideration is received as interest or discount), shall not play any role while ascertainment of turnover under Composition Scheme.

Simplified Return Forms

Simple and easy return forms will be brought in very soon. Dealers registered under schemes will now be required to pay tax quarterly and file return annually by Gen GST software.

State taxes refunds by Central Government

Now the Central Government can pay the refund towards State taxes to the taxpayers.