KSA Infomatrix

In the effort to evolve a consensus over provisional input tax  credit  for the  goods and services tax  (GST), stakeholders have asked the group of ministers (GoM) on the subject to de-link this from payment. The panel will make a draft of all suggestions and give it to the  GST  Council, for the ultimate purpose of having a simpler, single form. The  Confederation of Indian Industry  (CII) has suggested provisional  credit  be given on the basis of acceptance of invoices by buyers, not linked to payment by suppliers. Saloni Roy, senior director at consultants  Deloitte  India, said: "The worry in pursuing the matching concept is, where a purchaser has paid his supplier and the supplier has either not reported his supply or deposited tax, the purchaser is penalised with denial of  credit. " Prakash Maheshwari, manager, Marg ERP, said the trade wants grant of provisional  credit  even if tax is not pa...

Gujarat, Uttar Pradesh, Telangana, Andhra Pradesh and Kerala together account for 61 per cent of the inter-state e-way bill generation, GSTN said today. The electronic way or e-way bill has become mandatory for movement of goods valued over Rs 50,000 from one state to another beginning April 1. “Gujarat, Uttar Pradesh, Telangana, Andhra Pradesh and Kerala have taken the lead over other states and have emerged as the top states in terms of number of E-Way bills being generated. These five states together have accounted for 61 per cent of all the E-Way Bills generated in the country till April 8,” the GSTN said in a statement. Incidentally, these are the five states which the government has chosen in the first phase of e-way bill roll out for movement of goods intra-state or within the state. Gujarat, Uttar Pradesh, Telangana, Andhra Pradesh and Kerala will roll out intra-state eway bill beginning April 15. “Since the nationwide rollout of the E-Way Bill system from the 1st of this m...

Both the businesses as well as the transporters moving goods worth Rs 50,000 from one state to another will have to carry an electronic or e-way bill from April 1, except for Karnataka having notified the e-way bill for both inter-state as well as the intra-state movement of goods. The e-way bill is being touted as an anti-evasion measure that would help boost tax collections by clamping down on the trade that currently happens on the cash basis. It was first introduced on February 1 but the implementation was put on hold after the system developed glitches in generating permits. The system reportedly developed a snag after many states also started to generate intra-state e-way bills on the portal. The GSTN, meanwhile, has activated only that facility on its portal where the e-way bill can be generated when goods are transported from one state to another by either road, railways, airways or vessels. The step was taken to ensure a foolproof system. “We will block any attempt to ...

The Central Board of Indirect Taxes and Customs (CBIC) has sanctioned Rs 12,639 crore of refunds to exporters, almost all of the pending amount of Rs 13,000 crore estimated by the government at the start of this month. Out of the total Rs 12,639 crore sanctioned to exporters, Rs 7,632 crore is on account of payment of Integrated GST (IGST) on exports under the goods and services tax (GST) regime, while the rest of the amount of Rs 5,007 crore has been cleared as refunds for input tax credit (ITC), CBIC chairman Vanaja N Sarna said in a letter to CBIC officials. Sarna said that Rs 2,293 crore was sanctioned as IGST refunds as part of the Board’s special drive which began March 15, while Rs 633 crore was sanctioned as ITC refund during the drive. Prior to the start of the drive on March 15, IGST refunds worth Rs 5,339 crore had been sanctioned and ITC refunds amounting to Rs 4,374 crore had been approved by the Board. “I am informed that officers’ intervention has ensured sanctio...

The government has extended the date for filling up a form for claiming transitional credit by three months till June 30. Also, the Central Board of Excise and Customs (CBEC) has notified the deadline for businesses to fill up final sales return form GSTR-1 from April to June. The CBEC has notified the extension of date till June 30 for submitting Form GST Tran-2. It is a transitional form in which businesses have to disclose the deemed credits claimed by them on stock as on the date of implementation of GST. “This extension is expected to bring substantial relief to traders who were struggling with system issues for filing the said form,” EY Partner Abhishek Jain said. PwC’s Partner and Leader Indirect Tax Pratik Jain said, this extension is a major relief for the industry, “specifically for those who have to claim deemed credit of opening stock as on July 1, 2017, which have been sold till December 31, 2017.” Besides, giving effect to the decision by the GST Council earlier t...

E-way bill will be rolled out from 1 April this year. On 10 March, at the 26th GST Council meeting, it was decided to relaunch the inter-state E-way Bill from April 1. The intra-state E-way Bill will be rolled-out later in the month in phases, the council had then told. In order to keep the roll out glitches free, the government has this time taken some important steps to simplify the entire process. Here are the significant points that suppliers and recipients must take a note of: 1. E-way bill for inter-state movement of goods will be rolled out from 1 April, 2018. Till then e-way bill can be generated on voluntary basis. 2. You can presently register on the official portal of e-way bill by using your GSTIN without waiting for 1 April, 2018. 3. E-way bill is required to be generated only when the value of consignment exceeds Rs 50,000 which includes tax but doesn’t include value of exempted goods. 4. No e-way bill is required if the value of goods in an individual con...

NEW DELHI: In order to check "frivolous and fraudulent" tax credit claims by businesses, the  CBEC  has decided to verify demands of top 50,000 tax payers claiming maximum  GST transitional credit , starting with those where the quantum exceeds Rs 25 lakh. The verification of "unreasonable" transitional credit claims would be conducted in four phases, a source said, adding that credit verification will remain one of the focus areas in 2018-19. As part of transition to  GST  last July, taxpayers were allowed to file Form  TRAN-1 and avail tax credit on the basis of closing balance of the credit declared in the last return under the pre-Goods and Services Tax regime. In order to check "frivolous and fraudulent" transitional credit claims, the CBEC has shared with field offices the list of 50,000 taxpayers whose claims would be further scrutinised. It is suspected that some of these businesses might have obtained a registration under the GST only ...