Summary of Notifications No. 09 to 14/2022-Central Tax dated 05.07.2022

1. SUMMARY OF NOTIFICATIONS NO. 09TO14/2022-CENTRAL TAX DATED05.07.2022 AUTHOR :AJAY1998 https://taxguru.in/goods-and-service-tax/summary-notifications-no-09-14-2022-central-tax-dated-05-07- 2022.html The government issued notifications on 05.07.2022 thereby giving effect to the changes proposed by the GST Council in their 47thGST Council Meetingheld on 28.06.2022 &29.06.2022. In this article, an attempt is made to understand the changesmade. Effect oftheamendment made S.No. NotificationNo. Section / RuleNo. AmendmentMade a. Section 110(C ) of the FinanceAct 2022 Allows the registered person (RP) to transfer any amount available in the electroniccash ledger inter head & intra head and within distinct persons having the samePAN. The transfer would notbe Section 49(10) Appointed 05.07.2022as b. the date on which the provisions of Section110 of CGST Act 2017– Payment of Tax, interest, penalty,and otheramounts 09/2022 –Central Tax possible if the RP hasany 1 (C ) & 111 of Finance Act unpaid liability in theelectronic 2022 shall comeinto effect. liabilityledger Section 111 ofFinance Act2022 Section 50 ofCGST Act 2017– Interest on delayed payment ofTax This section states that the interest must only be charged on the amount of ITCclaimed and utilized and not on mere claiming of input taxcredit. Section 44 of the CGST Exempts RPs whose aggregate turnover in theFinancial 10/2022 –Central Tax 2 Act 2017 –Annual Return year 2021-22 is up to two crore rupees from the filingof annual return in form GSTR-9 for the FY2021-22 Rule 62 – Furnishing of Extends the due date for making payment of taxfor 11/2022 –Central Tax 3 composition persons in Form GST CMP-08 for Q-1 ofthe FY 2022-23 from 18.07.2022 to31.07.2022 statement orreturn Rule 62 – Furnishing of Extension of waiver of late fees till 28.07.2022 for delayin 12/2022 –Central Tax 4 furnishing of form GSTR-4 for FY 2021-22[Annualreturn for compositionscheme] statement orreturn

2. Extends the time limit for issuance of order under section 73(10)for short payment of tax non-payment of tax or erroneous refund till 30.09.2023 The government vide this notifications haveprovided the time for the taxofficers for issuance of notice tothe RPs for the FY 2017-18 till 30.06.2023 Section 73 –Demands andrecoveries 13/2022 –Central Tax 5 Excludes thetimeperiod from 1st March 2020to This is thebestopportunity for those RPs whohave 28th Feb 2022for computation of period of missed filing theirrefund application the due datesfor filing refund application for easy reference is providedin Annexure –1 Section 54 –Refunds limitation for filing refund application under Section 54ofthe CGST Act2017 This notification has amended various rules andinserted 14/2022 –Central Tax 6 CGSTRules new rules. The detailed discussion is enclosed asAnnexure –II

3. Time Limit for filing refund application after taking into cognizance the Notification No. 13/2022 Central Tax dated05.07.2022 S. No. 5 – Annexure – 1 – Time Limit for filing refund application after taking into cognizance the Notification No. 13/2022 Central Tax dated 05.07.2022** Total number ofdays Timecompleted Month Time period starts from available forfiling Excludedfrom expired before Covid Remaining timelimit Excludedtill refundapplication Apr-18 20/05/2018 731 01/03/2020 651 80 28/05/2022 May-18 20/06/2018 731 02/03/2020 621 110 28/05/2022 Jun-18 20/07/2018 731 03/03/2020 592 139 28/05/2022 Jul-18 20/08/2018 731 04/03/2020 562 169 28/05/2022 Aug-18 20/09/2018 731 05/03/2020 532 199 28/05/2022 Sep-18 20/10/2018 731 06/03/2020 503 228 28/05/2022 Oct-18 20/11/2018 731 07/03/2020 473 258 28/05/2022 Nov-18 20/12/2018 731 08/03/2020 444 287 28/05/2022 Dec-18 20/01/2019 731 09/03/2020 414 317 28/05/2022 Jan-19 20/02/2019 731 10/03/2020 384 347 28/05/2022

4. Feb-19 20/03/2019 731 11/03/2020 357 374 28/05/2022 Mar-19 20/04/2019 731 12/03/2020 327 404 28/05/2022 Apr-19 20/05/2019 731 13/03/2020 298 433 28/05/2022 May-19 20/06/2019 731 14/03/2020 268 463 28/05/2022 Jun-19 20/07/2019 731 15/03/2020 239 492 28/05/2022 Jul-19 20/08/2019 731 16/03/2020 209 522 28/05/2022 Aug-19 20/09/2019 731 17/03/2020 179 552 28/05/2022 Sep-19 20/10/2019 731 18/03/2020 150 581 28/05/2022 Oct-19 20/11/2019 731 19/03/2020 120 611 28/05/2022 Nov-19 20/12/2019 731 20/03/2020 91 640 28/05/2022 Dec-19 20/01/2020 731 21/03/2020 61 670 28/05/2022 Jan-20 20/02/2020 731 22/03/2020 31 700 28/05/2022 Feb-20 20/03/2020 731 23/03/2020 3 728 28/05/2022

5. Mar-20 20/04/2020 731 24/03/2020 731 28/05/2022 Apr-20 20/05/2020 731 25/03/2020 731 28/05/2022 May-20 20/06/2020 731 26/03/2020 731 28/05/2022 Jun-20 20/07/2020 731 27/03/2020 731 28/05/2022 Jul-20 20/08/2020 731 28/03/2020 731 28/05/2022 Aug-20 20/09/2020 731 29/03/2020 731 28/05/2022 Sep-20 20/10/2020 731 30/03/2020 731 28/05/2022

6. Annexure – II – Sl. 6 – Amendments made in CGST Rules 2017vide Notification No. 14/2022 – Central Ta dated05.07.2022 The government has amended Rule 21A of the CGST Rules 2017 (Suspension of Registration) wherein it has stated that where the registration has been suspended for non-filing of returns and the registration has not already been canceled by the proper officer, the suspension of registration shall be deemed to be revoked upon the furnishing of all the pendingreturns. The government has amended Rule 43 of the CGST Rules 2017 (Reversal of ITC) clarifying that there is no requirement of reversal of ITC for the exempted supply of Duty Credit Scripts by theexporters The government has inserted clause s in Rule 46 of the CGST Rules 2017 (Tax Invoice) mandating those RPs whose turnover is greater than 20 Crores in any of the FY from 2017-18 till today but are not required to generate e-invoice to provide a declaration in the invoice mentioning that ““I/We hereby declare that though our aggregate turnover in any preceding financial year from 2017-18 onwards is more than the aggregate turnover notified under sub-rule (4) of rule 48, we are not required to prepare an invoice in terms of the provisions of the saidsub-rule.” Insertion of sub – rule 4B in Rule 86, to provide that where the erroneous refund amount is sanctioned to a taxpayer on account of accumulated ITC or on account of IGST paid on zero rated supply in contravention of Rule 96(10), and the taxpayer has deposited the said amount along with interest and penalty in Form DRC-03 by debiting the electronic cash ledger, on his own or on being pointed out. Then the same amount would be re-credited in Form PMT-03A thereby enabling the taxpayers to get credit of the amount of erroneous refund, paid back by them in the electronic creditledger. The government has made amendment in Rule 87, to provide UPI and IMPS as an additional mode of payment underGST The government has issued form GST PMT-09 for the transfer of amount available in the electronic cash ledger of one distinct person to another distinct person having the samePAN. The Government has inserted Rule 88B for the manner of calculation of interest which is asunder 88B. Manner of calculating interest on delayed payment oftax.- In case, where the supplies made during a tax period are declared by the registered person in the return for the said period and the said return is furnished after the due date in accordance with provisions of section 39, except where such return is furnished after commencement of any proceedings under section 73 or section 74 in respect of the said period, the interest on tax payable in respect of such supplies shall be calculated on the portion of tax which is paid by debiting the electronic cash ledger, for the period of delay in filing the said return beyond the due date, at such rate as may be notified under sub-section (1) of section50. In all other cases, where interest is payable in accordance with sub section (1) of section 50, the interest shall be calculated on the amount of tax which remains unpaid, for the period starting from the date on which such tax was due to be paid till the date such tax is paid, at such rate as may be notified under sub-section (1) of section50. In case, where interest is payable on the amount of input tax credit wrongly availed and utilised in accordancewithsub-section(3)ofsection50,theinterestshallbecalculatedontheamountofinputtaxcredit

7. wrongly availed and utilised, for the period starting from the date of utilisation of such wrongly availed inputtax credit till the date of reversal of such credit or payment of tax in respect of such amount, at such rate as may be notified under said sub-section (3) of section50. • Explanation. —For the purposes of this sub-rule,— • input tax credit wrongly availed shall be construed to have been utilised, when the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, and the extent of such utilisation of input tax credit shall be the amount by which the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed. (2) the date of utilisation of such input tax credit shall be taken to be,— • the date, on which the return is due to be furnished under section 39 or the actual date of filing of the said return, whichever is earlier, if the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, on account of payment of tax through the said return;or • the date of debit in the electronic credit ledger when the balance in the electronic credit ledger falls below the amount of input tax credit wrongly availed, in all othercases. • The government has separately mandated a statement to be filed by those RPs where a refund is on account of export of electricity, containing the number and date of the export invoices, details of energy exported, tariff per unit for export of electricity as per the agreement, along with the copy of the statement of scheduled energy for exported electricity by Generation Plants issued by the Regional Power Committee Secretariat as a part of the Regional Energy Account (REA) under clause (nnn) of sub-regulation 1 of Regulation 2 of the Central Electricity Regulatory Commission (Indian Electricity Grid Code) Regulations, 2010 and the copy of agreement detailing the tariff perunit, • The government has provided a clarification on the value of goods exported out of India for those RPs claiming refund of zero-rated supplies of goods and stated that the value of goods exported out of India wouldbe • the Free on Board (FOB) value declared in the Shipping Bill or Bill of Export form, as the case may be, as per the Shipping Bill and Bill of Export (Forms) Regulations, 2017;or • the value declared in tax invoice or bill ofsupply, Which ever isless. • The government has provided a big relief for RPs those claiming the refund of inverted duty structure by amending the formula thereby including the ITC claimed on Input services in the calculation of refund. To keep it short now the RPs can claim a refund of ITC claimed on the inputs of goods as well as the ITC availed on input oservices. • Supplier from Duty-Free shops (DFS) at the international terminal to outgoing international passengers to be treated as export by DFS and consequential refund benefit to be available to them on such supplies. In this regard, Rule 95A of the CGST Rules isomitted. • Report on the export of goods is generally suspended/withheld where the exporters are classified as risky exporters (due to verification by GST officers or violation of Customs laws). In order to expedite the refund of these exporters, an amendment has been made in sub-rule 5 of rule 96, to provide for transmission of such IGST refund claims on a GST portal in a system generated From GST RFD-01 to jurisdictional authorities for processingandtheintimationofsuchtransmissionshallalsobesenttotheexporterelectronicallythroughthe

8. common. 13. Apart from the above the government has made changes in the following forms which are summarized as under

9. S.No GSTForm Amendment made Effect ofamendment 1.In3.1.1,atablehasbeenadded wherein the details of supplies on 1. By the said amendment the RPs and t which the electronic commerce operators have to separately providethe operators are liable to paytax. 2. Table in 4(D), wherein following line with respect supplies made on the e-commerceoperator 1 GSTR-3B the 2. Now the department wants to capturethe to the RPs have reversed the credit and isrecl reclaim of ITC which was reversed credit separately. has to bementioned The form is the same except for thefollowin The Non-GST supply has to bereported The nil-rated supplies and exempted The government has now clubbed and be reported in exemptedsuppli 2 GSTR-9 prescribed the form GSTR-9 for FY 3. Now filing of it shall be mandatory tore 2021-22 at six digits level for taxpayers having ann the preceding year above ? 5.00 Cr and at for all B2B supplies for taxpayers having in the preceding year up to ? 5.00Cr The government has now 3 GSTR-9C prescribed the form GSTR-9C for NoChange FY2021-22 4 GSTPMT-03A Prescribed the form for the order for re-credit of the amount to the electroniccre 5 GSTPMT-06 In the mode of payment, the IMPS has beenadded 6 GSTPMT-07 Theformhasbeenamendedtomakethetransferofbalancentheelectron 7 GSTPMT-09 between 2 GSTNs having the samepan 8 GSTRFD-01 Added FOB value for refund claimed on the export of goods with and withoutpa

10. CA Ajay Kumar Mundada | E mail Id :Ajay@mundadaandco.com