Key GST changes applicable from April 1, 2019: CBIC circulars issued on March 7, 2019.

Key GST changes applicable from April 1, 2019: CBIC circulars issued on March 7, 2019.

(1) Benefit of composition scheme has been extended to service providers also. This scheme shall be available only if supplier is engaged in supply of goods or services within same state and the aggregate turnover of supplier does not exceed Rs. 50 lakhs during the financial year.

(2) Threshold Limit for composition scheme has been increased to Rs. 1.Cr to 1.50 Cr. In respect of special category states (North-Eastern States), the threshold limit has been increased from Rs. 50 lakhs to Rs. 75 lakhs. Consequently, the taxable persons can substantially reduce their compliance burden as they would be required to file GST returns on quarterly basis instead of monthly.

(3) Threshold limit to take registration has been increased to Rs. 40 lakhs from Rs. 20 lakhs. If supplier is engaged in supply of goods. This exemption from GST registration is subject to various conditions, inter-alia, he is not making any inter-state supply; he is not a non-resident taxable person, etc.

(4) Due date for filing of GSTR-1 and GSTR-3B for the months of April, May and June of 2019 has been notified, For GSTR-1 If the turnover of registered person is up-to Rs. 1.50 crores for the month of April to June, 2019, he shall file his GSTR-1 on quarterly basis and the due date shall be 31st July, 2019. If the turnover of registered person is exceeds Rs. 1.50 crores for the month of April to June, 2019, he shall file his GSTR-1 on monthly basis and the due date shall be 11th of succeeding month. Form GSTR-3B shall be filed on monthly basis by every tax payer and due date shall be 20th of succeeding month.

(5) Clarification issued for levy of GST on various sales promotional schemes.The CBIC has issued clarifications on chargeability of GST, valuation of goods and reversal of ITC in respect of free samples and promotional goods distributed by a taxable person.

(6) No GST to be levied on TCS component collected by suppliers. CBIC has clarified that if supplier collects TCS form the buyer on sale of a product then GST shall not be charged on the TCS component collected by the supplier.

(7) GST Annual return in Form GSTR-9 and 9A are now live on portal. The last date for filing of Annual Return for the Financial Year 2017-18 is June 30, 2019.

Regards
CA Sunil Kumar