MM TAX CLUB

Earlier CBIC vide 06/2023–CENTRALTAX dated 31st March, 2023 brought GST amnesty scheme for deemed withdrawal of assessment orders issued under Section 62 for registered persons who failed to furnish a valid return within a period of thirty days from the service of the assessment order issued on or before the 28^th day of February, 2023.

Vide this notification, the registered person who furnish the said return on or before the 30^th day of June 2023, the assessment deemed withdrawn in such case.

Now vide Notification No. 24/2023–CENTRALTAX dated 17^th July, 2023 CBIC on recommendation of 50^th GST council meeting extended due date of this amnesty scheme by two months from 30^th day of June 2023 to 31^st August 2023.

In pursuance of 50^th GST council meeting CBIC notified council recommendation to further extend amnesty scheme for revocation of cancellation of such registration

Earlier vide notification no. 03/2023 – CENTRAL TAX dated 31st March, 2023, CBIC brought amnesty scheme for cancellation of GST revocation which allow a taxpayer to revoke their GST registration which is cancelled on or before 31^st day of December, 2022, till 30th day of June, 2023.

Content of notification can be read below;

In exercise of the powers conferred by section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017) (hereinafter referred to as the said Act), the Central Government, on the recommendations of the Council, hereby notifies that the registered person, whose registration has been cancelled under clause (b) or clause (c) of sub-section (2) of section 29 of the said Act on or before the 31st day of December, 2022, and who has failed to apply for revocation of cancellation of such registration within the time period specified in section 30 of the said Act as the class of registered persons who shall follow the following special procedure in respect of revocation of cancellation of such registration, namely:–

(a) the registered person may apply for revocation of cancellation of such registration upto the 30th day of June, 2023;

(b) the application for revocation shall be filed only after furnishing the returns due upto the effective date of cancellation of registration and after payment of any amount due as tax, in terms of such returns, along with any amount payable towards interest, penalty and late fee in respect of the such returns;

(c) no further extension of time period for filing application for revocation of cancellation of registration shall be available in such cases.

Explanation: For the purposes of this notification, the person who has failed to apply for revocation of cancellation of registration within the time period specified in section 30 of the said Act includes a person whose appeal against the order of cancellation of registration or the order rejecting application for revocation of cancellation of registration under section 107 of the said Act has been rejected on the ground of failure to adhere to the time limit specified under sub-section (1) of section 30 of the said Act. Now, CBIC vide Notification No. 23/2023 – CENTRAL TAX dated 17th July, 2023 further extended date of amnesty scheme for revocation of GST cancellation from 30^th June 2023 to 31^st August 2023.

CBIC vide Notification NO. 02/2023 – CENTRAL TAX dated 31st March, 2023 brought amnesty scheme to furnish Form GSTR-4 for the older period from July 2017 to 31^st March 2022. Under this amnesty scheme a taxpayer can file their GSTR-4 return after paying maximum late fees of Rs.500/- (Rs.250/- under CGST and Rs.250/- under SGST) upto 30^th June 2023.

GSTR-4 return filed by a composition dealer registered under, until Financial Year 18-19 it was filed on quarterly basis and from financial year 2019-20 it becomes annual return to be file by the composition dealer.

Content of that notification can be read as under;

“Provided also that the amount of late fee payable under section 47 of the said Act shall stand waived which is in excess of two hundred and fifty rupees and shall stand fully waived where the total amount of central tax payable in the said return is nil, for the registered persons who fail to furnish the return in FORM GSTR-4 for the quarters from July, 2017 to March 2019 or for the Financial years from 2019-20 to 2021-22 by the due date but furnish the said return between the period from the 1st day of April, 2023 to the 30th day of June, 2023.”

In amid of ongoing violence in state of Manipur, the GST council meeting held on 11^th July 2023 recommended to extend due date for filing various GST return in state of Manipur for the month of April, May and June 2023. However due date was already extended for filing GSTR-1, GSTR-3B and GSTR-7 for the month of April and May 2023.

Circular No. 199/11/2023-GST Dated the 17th July, 2023

Clarification  regarding  taxability  of  services  provided  by  an  office  of  an organisation in one State to the office of that organisation in another State, both being distinct persons.

Various representations have been received seeking clarification on the taxability of activities performed by an office of an organisation in one State to the office of that organisation in another State, which are regarded as distinct persons under section 25 of Central Goods and Services Tax Act, 2017 (hereinafter referred to as ‘the CGST Act’). The issues raised in the said representations have been examined and to ensure uniformity in the implementation of the law across the field formations, the Board, in exercise of its powers conferred under section 168(1) of the CGST Act hereby clarifies the issue in succeeding paras.

2.    Let us consider a business entity which has Head Office (HO) located in State-1 and a branch offices (BOs) located in other States. The HO procures some input services e.g. security service for the entire organisation from a security agency (third party). HO also provides some other services on their own to branch offices (internally generated services).

3.    The issues that may arise with regard to taxability of supply of services between distinct persons in terms of sub-section (4) of section 25 of the CGST Act are being clarified in the Table below: -

4.    It is requested that suitable trade notices may be issued to publicize the contents of this circular.

5.    Difficulty if any, in the implementation of this circular may be brought to the notice of the Board.