MM TAX CLUB

Srinagar, May 11: The State Taxes Department Enforcement (Central) Kashmir has realised a penalty amount of Rs. 25,34,808, which is by far the highest single penalty realised by the office under the Jammu and Kashmir GST Act, 2017 against one loaded goods vehicle for failing to produce any documents as required to be accompanying the goods on movement/ transit.

The vehicle bearing No. JK01AD 3557 was apprehended on a tip-off by a team of officers lead by Assistant Commissioner Enforcement (Central) Kashmir, Shabnam Rashid and comprising of inspectors, SIs/ Guards of the central Enforcement Wing, during a Nakka laid on NH-44 between Hyderpora Bye-Pass and Batamaloo Bye-Pass.

The team of Officials was constituted by the Deputy Commissioner State Taxes Department Enforcement (Central) Kashmir, Parveez Ahmad Raina.

The Driver/ Person in Charge of the vehicle disclosed that the loaded goods are cigarettes only but failed to produce any documents as required to be accompanying the goods on movement/ transit. Accordingly, FORM GST MOV- 01 and MOV- 02 were issued to the driver/PIC on spot and vehicle was detained at Excise and Taxation Complex, Solina, Rambagh, Srinagar.

Further proceeding U/s 129 of JK GST Act, 2017 were initiated and physical verification of the goods was conducted on the same day under the supervision of DC/AC Enforcement (Central) Kashmir and accordingly penalty was calculated under aforementioned section.

On 10 May, 2023 the owner of the goods appeared before DC Enforcement (Central) Kashmir and moved an application for release of goods. The goods were released after realising of penalty amount of Rs 2534808.00.

Meanwhile, the Commissioner State Taxes Department Jammu and Kashmir Dr. Rashmi Singh and Additional Commissioner State Taxes Department (Adm. & Enf.) Kashmir  Shakeel Maqbool (ICAS) expressed their satisfaction and applauded the efforts of the team.

Centre for Processing Accelerated Corporate Exit (C-PACE) established for providing hassle-free filing, timely and process-bound striking off companies from MCA Register

The Ministry of Corporate Affairs (MCA) has moved a step forward by centralising the strike off process of companies with the establishment of the Centre for Processing Accelerated Corporate Exit (C-PACE).  The establishment of the C-PACE will help to reduce the stress on the Registry along with keeping the registry clean besides availability of more meaningful data to the stakeholders. The C-PACE will also benefit the stakeholders by providing a hassle-free filing, timely and process-bound striking off their company’s names from the Register.  The setting up of the C-PACE is part of the several measures taken by MCA in the recent past towards Ease of Doing Business and ease of exit for the Companies.

The C-PACE institution, established under sub-section (1) of section 396, shall be in operation through the Registrar of Companies (RoC) for the purposes of exercising functional jurisdiction of processing and disposal of applications.

The Office of C-PACE was inaugurated on 1^st May 2023 by Shri R.K. Dalmia, Director, Inspection & Investigation, MCA. Shri Harihara Sahoo, ICLS, has been appointed as first Registrar of the office of C-PACE. The C-PACE office will work under the supervision/administration of Director General of Corporate Affairs. (DGCoA), New Delhi.

ABOUT C-PACE

C-PACE was established vide MCA Notification No. S.O. 1269(E) dated 17^th March 2023 which shall be situated at Indian Institute of Corporate Affairs (IICA), 7^th Floor, Plot No. 6,7,8, Sector 5, IMT Manesar, District Gurgaon (Haryana), Pin Code – 122050

Subsequently vide notification No.G.S.R. 298(E) dated 17^th April 2023, Ministry amended the companies (Removal of Names of Companies from the Register of Companies) Rules, 2023 which has come in effect from 1^st May, 2023.

The CBIC issued Notification No. 10/2023–Central Tax dated May 10, 2023 to amend Notification No. 13/2020 – Central Tax, dated March 21, 2020 to decrease the E-invoicing aggregate turnover limit from 10 crore to 5 crore w.e.f. August 01, 2023.

Phased wise government enhanced the applicability of e-invoicing; initially it was applicable to the taxpayer whose aggregate turnover exceeds 500 crores

Following are the list of time to time e-invoice applicability

Who is liable?

 If your aggregate turnover does not exceed Rs.5 Cr in any of the previous period during GST era, but expected to exceed turnover limit of Rs.5 Cr. During current financial year 2023-24 then e-invoice applicability will be from 1^st April 2024 instead 1^st August 2023.

E-invoice applicability was originally notified vide Notification No. 13/2020– Central Tax dated 21st March, 2020. Extract of that notification are as under;

In exercise of the powers conferred by sub-rule (4) of rule 48 of the Central Goods and Services Tax Rules, 2017(hereinafter referred as said rules), the Government on the recommendations of the Council, and in supersession of the notification of the Government of India in the Ministry of Finance, Department of Revenue No. 70/2019 – Central Tax, dated the 13th December, 2019, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 926 (E), dated the 13^th December, 2019, except as respects things done or omitted to be done before such supersession, hereby notifies registered person, other than those referred to in sub-rules (2), (3), (4) and (4A) of rule 54 of the said rules, whose aggregate turnover in a financial year exceeds one hundred crore rupees, as a class of registered person who shall prepare invoice and other prescribed documents, in terms of sub-rule (4) of rule 48 of the said rules in respect of supply of goods or services or both to a registered person.

Circular vide F.3/432/GST/Policy/2022/582-89 dated May 08, 2023

Time barring of Scrutiny of GST Returns of Delhi taxpayers for the FY 2017-18, 2018-19 & 2019-20.

Under the provisions of Section 73(10) of DGST Act, the Proper Officer shall issue the order under sub-section (9) within three years from the due date for furnishing of annual return for the financial year to which the tax not paid or short paid or input tax credit wrongly availed or utilized relates to or within three years from the date of erroneous refund. The provision of scrutiny returns are specified under Section-61 of DGST act, 2017 and Rule 99 of DGST Rules, 2017.

The Central Board of Indirect Taxes & Customs (CBIC), Ministry of Finance, GoI vide notification No. 9/2023 Central Tax dated March 31, 2023 has extended the time limit specified u/s 73(10) for issuance of order u/s 73(9) of CGST Act, 2017 for recovery of tax not paid or short paid or input tax credit wrongly availed or utilized for any reason other than reason of fraud or any willful misstatement or suppression of facts to evade tax relating to the period as specified below: -

The whole process of scrutiny of return u/s 61 and rule 99 of DGST Act takes around 5 to 6 months, hence, all Ward Incharges/Proper Officers are hereby advised to ensure timely issuance of order u/s 73(9) for the scrutiny of returns for periods as mentioned in the CBIC vide Notification No. 9/2023 Central Tax dated March 31, 2023.

Amendment in import policy condition of Apples under ITC (HS) 08081000 of Chapter-08 of ITC (HS), 2022, Schedule-I (Import Policy)

Notification No. 5/2023 Dated: 8^th May, 2023

In exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development and Regulation) Act, 1992, read with paragraph 1.02 and 2.01 of the Foreign Trade Policy 2023, as amended from time to time, the Central Government hereby amends the import policy condition under ITC(HS) 08081000 of Chapter-08 of ITC (HS), 2022, Schedule-I (Import Policy) as under:

Effect of this Notification: Import of Apples under ITC (HS) 08081000 is ‘Prohibited’ wherever the CIF Import Price is less than equal to Rs. 50/- per kilogram. Minimum Import Price (MIP) conditions shall not be applicable for imports from Bhutan.