CA Umesh Sharma
Quick Summary
Arjun (Fictional Character): Krishna, massive changes have been made in the GST law to take effect from 1st January 2021. What is the need for such changes? Krishna (Fictional Character): Arjuna, the year 2020 has seen a large number of false transactions malpractices of the taxpayers. Hence in
Daily Limit Reached
You have reached your daily limit of 2 Free Articles
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Broadcasts
- Daily E-Newsletter
- Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits
Already a PRO member? Login here for an ad-free experience.
FAQ :
Changes were made to the GST law to curb malpractices and tax evasion by taxpayers, with the GST department implementing new tools to address anomalies.
Taxpayers can now opt for Aadhaar authentication during registration. If Aadhaar authentication is not chosen or fails, the system-based GST registration time limit increases from 3 to 7 days, and physical verification timelines extend to 30 days.
A GST registration can be cancelled if a taxpayer violates provisions related to Input Tax Credit, furnishes excess outward supply in GSTR-1 compared to GSTR-3B, or violates the rule for paying 1% of liability through the cash ledger.
The provisional ITC claimable from GSTR-2B has been reduced from 10% to 5% under Rule 36(4), which could impact tax liability, especially for small taxpayers filing quarterly returns.
Yes, small taxpayers cannot file GSTR-1 if they haven't filed GSTR-3B for the last two months. Quarterly filers face similar restrictions for the previous quarter, and large taxpayers are restricted from filing monthly GSTR-1 if their GSTR-3B is pending.
Taxpayers with monthly taxable supplies exceeding 50 Lakhs can now only use their credit ledger for up to 99% of their GST liability, requiring the remaining 1% to be paid in cash, with certain exceptions for specific taxpayers.
CAclubindia
