Important Announcements made by GST Council in its 32nd Meeting

Important Announcements made by GST Council in its 32^nd Meeting

Recommendation made by the GST Council in its 32^ndMeeting held on Thursday (10 Jan 2018), to beEffective from1^stof April, 2019:

1.) Higher Exemption Threshold Limit for Supplier of Goods: There would be two Threshold Limits for exemption from Registration and Payment of GST for the suppliers of Goods i.e. Rs 40 lakhs and Rs 20 lakhs. States would have an option to decide about one of the limits within a weeks time. The Threshold for Registration for Service Providers would continue to be Rs 20 lakhs and in case of Special Category States at Rs 10 lakhs.

2.) Increase in Turnover Limit for the existing Composition Scheme: The limit of Annual Turnover in the preceding Financial Year for availing Composition Scheme for Goods shall be increased to Rs 1.5 crore. Special category States would decide, within one week, about the Composition Limit in their respective States.

3.) Composition Scheme for Services: A Composition Scheme shall be made available for Suppliers of Services (or Mixed Suppliers) with a Tax Rate of 6% (3% CGST +3% SGST) having an Annual Turnover in the preceding Financial Year up to Rs 50 lakhs.

4.) Returns under Composition: Suppliers of goods as well services under Composition Scheme would need to file one Annual Return but Payment of Taxes would remain Quarterly (along with a simple declaration).

5.)Free Accounting and Billing Software shall be provided to Small Taxpayers by GSTN.

6.) Revenue Mobilization for Natural Calamities: GST Council approved Levy of Cess on Intra-State Supply of Goods and Services within the State of Kerala at a rate not exceeding 1% for a period not exceeding 2 years.