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Summary of the Press release relating to the 35th GST Council Meeting held on 21st Jun'19.

The following are the recommendations of the GST Council after its 35th meeting held on 21st June, 2019.

1. Benches for GST Appellate Tribunal (GSTAT)

A decision was taken on the locations of the State and Area Benches for the GSTAT. A common State Bench has been decided for the States of Sikkim, Nagaland, Manipur and Arunachal Pradesh.

Comments: The appeal against the first appellate authority lies before the Tribunal. The list of proposed locations is not revealed as of now, and in the past the courts held that the Tribunal bench shall be located in the city wherein the High Court is located. One has to wait & see whether setting up of the Tribunal bench would be as per the above decisions or not. Further, there is a legal challenge on the composition of members in the Tribunal (2 technical members and 1 being judicial member) which is pending now.

It should be remembered that the CESTAT ( for customs, excise & service tax) in some locations is still hearing the 2012 cases!! Government really needs to work on that also to clear out the earlier litigation. In the past the cases were predominantly in favour of the tax payers. It is a accepted fact that justice delayed is justice denied. Government to act fast and ensure competent members who understand the Constitution, Legal maxims, earlier court judgments as applicable to same / similar provisions in GST.  

2. National Anti-Profiteering Authority

The tenure of National Anti-Profiteering Authority which was scheduled to expire on 30th June, 2019 has been extended by 2 years.

Comments: The reason for increase in the tenure could be due to the expected rationalisation of the rates of tax and thereby a need to ensure that the benefits of such rationalisation is passed on to the customers.

3. Introduction of E-invoicing

Businesses above a certain turnover threshold will have to generate 'e-invoice' with a unique number on government or GST portal for every B2Bsupply, thereby effectively reducing the room for tax evasion and bogus ITC claims. This e-invoicing for B2B transactions would be introduced in a phase- wise manner and phase 1 would be voluntary, and is likely to be rolled out from Jan'2020.

Comments: This Is part of the measures undertaken to reduce tax evasion. This was suggested by the Indirect Tax Committee of the ICAI in March 2018.

Law and Procedure related changes

4. New returns schedule of implementation

Implementation of new return system in a phased manner is recommended to be as follows:

Tax payer


Return Forms






Small tax payers (<= Rs.5 crores aggregate turnover in previous FY, opting quarterly returns)

Jul`19 to Sep`19



Available for trial

Available for  trial

Not available

Oct`19 to Dec`19



However, tax has to be paid monthly in Form PMT-08

Compulsory. To be filed during Jan ‘20

View facility

To be filed in Jan`20.


Large tax payers

Jul`19 to Sep`19



Available for trial

Available for  trial

Not available

Oct`19 and Nov`19



Compulsory to file on monthly basis

View facility. No action can be taken.

Not available

Dec`19 onwards



To be filed in for Dec`19 in  Jan`20

Both large and small taxpayers can upload invoices etc. in Form ANX-1 on continuous basis from Oct '19 onwards.

Form GST RET-1 to be made compulsory for all taxpayers for the period ended Dec '19.

Comments: It can be seen that the new returns i.e. Form ANX-1 and ANX-2 would be available on the portal for trial basis for filling data of Jul '19 onwards, for all taxpayers. Though Form ANX-2 would only have a view facility and no action can be taken.

The phasing out of the existing forms/returns would be as follows:

  1. Form GSTR-1 would be phased out after Sep '19 and thereby from Oct '19 onwards filing of Form ANX-1 would become compulsory for all taxpayers.
  2. Form GSTR-3B would be phased out
  • For large taxpayers - after Nov '19 and
  • For small taxpayers - after Sep '19, and thereby filing of Form PMT-08 and GST RET-1 would become compulsory after such period.

However, the press release has not accorded clarity on:

  1. Filing of Form ANX-2 (which is a form in which action has to be taken for invoices of the suppliers i.e. accept/reject/etc.) but has only stated that view facility would be provided up to the period ended Dec '19.
  2. The return filing scheme for small taxpayers opting for monthly returns, which could be in line with the large taxpayers.
  3. It is inferred that GSTR-1 would be discontinued since Annexure-1 has similar contents of GSTR-1. However, there is lack of clarity in the discontinuance of GSTR-1.

Thereby, notifications in this regard are awaited to get clarity on these aspects.

5. Extension of due date for Annual Returns and Reconciliation Statement in Form GSTR-9C

Due date for furnishing Annual Return in Form GSTR-9 and Form GSTR-9A and Reconciliation Statement in Form GSTR-9C, has been extended till 31st August, 2019 (order/Notification yet to be issued).

Comments: This is a welcome move as majority of the taxpayers have not filed or ready with such forms yet. This extension may be the last as it is probably only to take care of the technical glitches.

6. Extension of due date for filing Form ITC-04

Due date for furnishing declaration relating to job work in Form ITC-04 for the period Jul'17 to Jun'19 has extended till 31st August, 2019. (order/Notification yet to be issued).

7. Deferment of applicability of rule 138E of CGST Rules, 2017

As per rule 138E, furnishing Part A of e-way bill in Form GST EWB-01 would be restricted if returns have not been filed for two consecutive tax periods.  This rule would be effective from 21st August, 2019, instead of 21st June,2019. (Order/Notification yet to be issued)

Comments: This is likely to increase the tax filing compliance under GST.

8. Extension of date of intimation for opting to pay tax under composition scheme other than section 10

The last date for filing Form GST CMP-02 for opting for composition scheme under notification No. 2/2019- Central Tax (Rate) applicable to persons supplying goods and services and who are not eligible for section 10 composition scheme, has been extended to 31st July,2019 instead of 30th April, 2019. (Order/Notification yet to be issued)

Comments: The extension for intimation through Form CMP-02 has been provided only for supplier of goods and services mentioned in notification No. 2/2019 Central Tax (Rate) and not for taxpayers eligible for opting for composition scheme under section 10 of CGST Act.

9. Rate related recommendations

  • GST concession on electric vehicles, charger and hiring of electric vehicle, to be examined in detail by the Fitment Committee and brought before the Council in the next meeting.
  • Valuation of goods and services in a solar power generating system and wind turbine be placed before next Fitment Committee and its recommendations be placed before the Council in the next meeting

It was recommended that certain issues relating to taxation (rates and destination principle) relating to lottery would require legal opinion of Learned Attorney General

Disclaimer: This material and the information contained herein prepared by Team Hiregange is intended for clients and other chartered accountants to provide updates under GST and is not an exhaustive treatment of such subject. We are not, by means of this material, rendering any professional advice or services. It should not be relied upon as the sole basis for any decision which may affect you or your business.


Published by

Madhukar N Hiregange
(Chartered Accountant)
Category GST   Report

6 Likes   9 Shares   11976 Views



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