Relaxation in GST return filing procedure for first two months of GST implementation

Relaxation in GST return filing procedure for first two months of GST implementation:

GST Council categorically decided to implement GST from 1st July. Finance Minister Arun Jaitely announced that there will be a special launch of GST at Vigyan Bhawan, New Delhi on the mid-night of 30th June. Now it's certain that GST roll out date won't be postponed from 1st July,2017 but necessary relaxation in rules will be given as and when required.

No late fees and penalty would be levied for the interim period. This is intended to provide a sense of comfort to the taxpayers and give them an elbow room to attune themselves with the requirements of the changed system. This not only underlines the governments commitment towards ensuring that all the stakeholders are on board but also provides an opportunity to the taxpayers to be ready for this historic reform.

Relaxation in Return filing time-line for first 2 months

• A summary return (single page) form in GSTR-3B will required to be filed on self-declaration basis for first 2 month i.e. July and August by 20th day of next month. i.e. for the month of July, a summary return needs to be filed by 20th August after paying appropriate taxes, and for the month of August, the same needs to filed by 20th September.

 

• GSTR-1 with invoice level details needs to be filed for the month of July by 5th September,2017 and for the month of August by 20th September,2017.

 

• GSTR-2 and GSTR-3 for these 2 months will be filed thereafter. It means matching for 1st two months of July & August will take place only after 5th/20th September respectively.

Month	GSTR 3B	GSTR - 1	GSTR 2 (auto populated from GSTR-1)
July, 2017	20thAugust	1st 5thSeptember*	6th 10thSeptember
August, 2017	20thSeptember	16th 20thSeptember	21st 25thSeptember

* Facility for uploading of outward supplies for July, 2017 will be available from 15^th July, 2017.

Relaxation in tax rate for hotels with tariff between Rs.5000- Rs. 7500

• Reduced tax rate of 18% will apply on the hotels with tariff between Rs. 5000 to Rs. 7500. Restaurants in these hotels will also be taxable at 18%. Earlier it was proposed to be taxed @28%.

Tax rate on Lotteries

• State-run lotteries will be taxed at 12%
• State authorised (Private) lotteries will be taxed at 18%

Negative List of Composition Scheme

Relaxation in E-way bill implementation

E-way bill will be deferred and will be implemented later on once the rules for same are finalized. Till that time, an alternate e-way bill will be introduced to allow the state with their current system. It means current system of way bill will continue till GST E-way bill is approved and implemented.

IGST rate of 5% on Ship with full ITC will be applicable.

GST Council also approved anti-profiteering rule.

New Registration in GST will be commenced from 25th June.

GST Council shall meet again on 30th June, 2017.