GST Council Decisions: Special Meeting In July To Discuss Compensation To States, Says Sitharaman
Watch The Full Briefing Here
Extension Granted To Facilitate Restoration Of GST Registeration
To facilitate taxpayers who could not get their cancelled GST registrations restored in time, an opportunity is being provided for filing of application for revocation of cancellation of registration up to Sept. 30, in all cases where registrations have been cancelled till June 12, the statement said.
Will Get Clear Picture Of Revenue Only After Extensions Are Over, Says Revenue Secretary
- All states fully aware of GST collected by them.
- GST collections so far is not the correct picture of monthly revenues, as due dates have been extended.
- Will get a correct picture of the GST revenue collected in April, May and June only after the extended due dates are over.
Other Key Highlights
- Inverted duty structure leading to higher amount of refunds.
- A decision to correct the duty structure in textiles sector could not be taken today.
- Certain clauses of the Finance Act, 2020 amending CGST Act 2017 and IGST Act, 2017 to be brought into force from June 30.
GST Council To Discuss State Compensation In July
In July, there will be meeting held to exclusively discuss compensation to states, Sitharaman said.
The council will discuss borrowing to compensate states, and who will pay it back, she said.
GST Council Caps Late Fee For GSTR-3B At Rs 500
For those taxpayers with nil liability will have to pay zero late fee for late filing of GSTR-3B for July 2017-Jan 2020, said Finance Minister Nirmala Sitharaman.
Maximum late fee has been capped at Rs 500 per return for those taxpayers who have a tax liability and have not filed GSTR-3B for July 2017-Jan 2020
- Taxpayer who have tax liability can file past returns between July 1 to Sep. 30.
- Small taxpayers with turnover up to Rs 5 crore will pay reduced rate of interest of 9% from 18% for returns filed for Feb-April 2020 post July 6, if filed by Sep. 30
- Small businesses with turnover up to Rs 5 crore, can file returns for May to July till Sep 2020
- No late fee will be charged till September 2020