Hand Book of GST - Procedure, Commentary & Rates

Book Details

About the Authors	v
Preface	vii
Abbrevations	ix
Contents at a Glance	xi
Table of Cases	li

Part A

GLANCE & REFERENCE TABLES

Chapter A1 Finance Act-2023 and related notifications and circulars	A1-1
1.1 The Finance Act, 2023 (GST related extracts)	A1-1
1.2 The CGST / IGST Amendment Act, 2023	A1-13
1.3 Recent Circulars	A1-13
Chapter A2 Tariff Notifications under GST since 01 April 2020	A2-1
2.1 Tariff Notifications issued under CGST Act since 01 April 2020	A2-1
2.2 Tariff Notifications issued under IGST Act since 01 April 2020	A2-5
2.3 Tariff Notifications issued under Compensation Cess Act since 01 April 2020	A2-9
Chapter A3 Non-Tariff Notifications under GST since 01 April 2020	A3-1
3.1 Non-Tariff Notifications issued under CGST Act since 01 April 2020	A3-1
3.2 Non-Tariff Notifications issued under IGST Act since 01 April 2020	A3-14
3.3 Non-Tariff Notifications issued under Compensation Cess Act since 01 April 2020	A3-15
Chapter A4 Orders under GST since 01 April 2020	A4-1
4.1 Orders for Removal of Difficulties under the CGST Act since 01 April 2020	A4-1
4.2 Orders issued under the CGST Act since 01 April 2020	A4-1
Chapter A5 Circular, clarifications, Instructions and Guidelines since 01 April 2020	A5-1
5.1 Circular and clarifications issued under CGST Act since 01 April 2020	A5-1
5.2 Circular and clarifications issued under IGST Act since 01 April 2020	A5-6
5.3 Circular and clarifications issued under Compensation Cess Act since 01 April 2020	A5-6
5.4 Instructions, FAQ and Guidelines under the GST Act since 01 April 2020	A5-6
Chapter A6 Reverse Charge under GST	A6-1
6.1 Reverse Charge in respect of goods under sec 9(3) of the GST Act and
5(3) of the IGST Act	A6-1
6.2 Reverse Charge in respect of services under sec 9(3) of the GST Act and
5(3) of the IGST Act	A6-3
6.3 Reverse Charge in respect of goods and services under sec 9(4) of the GST Act and 5(4) of the IGST Act	A6-13
Chapter A7 Compliance due dates with extensions and Covid-19 related relaxations	A7-1
I. Forms and due date extensions	A7-1
7.1A Details of outward supplies of goods or services – Taxpayers with annual aggregate turnover more than INR1.5 crore – Monthly - Form GSTR–1	A7-2
7.1B Details of outward supplies of goods or services – Taxpayers with annual aggregate turnover upto INR 1.5 crore – Quarterly –Form GSTR–1	A7-5
7.1C Details of outward supplies of goods or services – Monthly - Other than QRMP Scheme - Form GSTR–1 - W.e.f. 01.01.2021	A7-7
7.1D Details of outward supplies of goods or services – QRMP Scheme- Form GSTR–1 or IFF - W.e.f. 01.01.2021	A7-8
7.2 Details of inward supplies of goods or services – Form GSTR–2	A7-8
7.2A Payment of tax under proviso to sec 39(7) in Form GST PMT-06	A7-8
7.3 Monthly return – Form GSTR–3	A7-9
7.4 Monthly return– Form GSTR–3B	A7-9
7.4A Form GSTR-3B - Quarterly return - QRMP Scheme under Rule 61(1)	A7-13
7.5 Return for person opting for composition levy–Form GSTR–4	A7-14
7.6 Return for non-resident taxable person – GSTR-5	A7-14
7.7 Monthly details of supplies of online information and database access or retrieval services (OIDAR) by a person located outside India made to non-taxable persons in India – Form GSTR–5A	A7-15
7.8 Monthly return for input service distributor – Form GSTR-6	A7-15
7.9 Return by TDS deductor – Form GSTR-7	A7-17
7.10 Return by e-commerce operator – Form GSTR-8	A7-18
7.11 Annual return – Form GSTR-9, GSTR-9A & GSTR-9C	A7-19
7.12 Final return (registration cancellation) – Form GSTR-10	A7-19
7.13 Intimation to pay tax under sec 10 (composition levy) (persons registered undererstwhile law migrating on the appointed day) – Form GST CMP–01	A7-20
7.13A Intimation to pay tax under sec 10 (composition levy) [composite suppliers and service providers exercising option to pay tax under notification no. 2/2019-CT(R) dt 07.03.2019] – Form GST CMP–02	A7-20
7.14 Intimation of details of stock on date of opting for composition levy (Only for persons registered under the existing law migrating on the appointed day) – Form GST CMP–03	A7-20
7.15 Quarterly statement under composition levy – Form CMP-08	A7-21
7.16 Declaration for claim of input tax credit under sec 18(1) by a person who has applied for registration within 30 days from the date of his liability – Form GST ITC–01	A7-21
7.17 Details of goods/capital goods sent to job worker and received back from job worker – Form GST ITC–04	A7-22
7.18 Application for enrolment of taxpayers registered in erstwhile laws and migrating in the GST– Form GST REG–26	A7-23
7.19 Person registered under any of the erstwhile laws, who is not liable to be registered under GST Act; application of cancellation – Form GST REG–29	A7-23
7.20 Transitional ITC/stock statement by the migrant taxpayers – Form GST TRAN–01	A7-23
7.21 Statement of details for supplies of goods effected during the tax period – Form GST TRAN–02	A7-24
7.22 Rectification of mistakes in the Returns for FY 2017-18.	A7-24
7.23 QR Code on B2C Invoices	A7-24
II. Covid-19 Related Relaxations	A7-25
1. The Taxation & Other Laws (Relaxation of certain Provisions) Act, 2020 dated 29 Sept. 2020 w.e.f. 31 March 2020 – Insertion of new sec 168A	A7-25
2. N. No. 30/2020–CT dated 3 April 2020 - CGST Rules (Fourth Amendment), 2020	A7-25
3. N. No. 35/2020–CT dated 3 April 2020 w.e.f. 20 March 2020	A7-26
N. No. 40/2020–CT dated 5 May 2020,	A7-26
N. No. 47/2020–CT dated 9 June 2020 w.e.f. 31 May 2020,	A7-26
N. No. 55/2020-CT dated 27 June 2020,	A7-26
N. No. 65/2020–CT dated 1 Sept. 2020,	A7-26
N. No. 66/2020–CT dated 1 Sept. 2020,	A7-26
N. No. 91/2020–CT dated 14 Dec. 2020 w.e.f. 1 Dec. 2020	A7-26
3A. N. No. 14/2021–CT dated 1 May 2021 w.e.f. 15 April 2021 read with No. 24/2021–CT dated 1 June 2021 w.e.f. 30 May 2021	A7-27
3B. N. No. 13/2022–CT dated 5 July 2022 w.e.f. 01 March 2020	A7-28
4. Notification No. 51/2020-CT dated 24 June 2020 (substituting No. 31/2020–CT dated 3 April 2020) w.e.f. 20 March 2020	A7-29
5. Removal of Difficulties Order No. 01/2020-CT dated 25 June 2020	A7-30
6. Other Covid Related Notifications in respect of extension of due dates or waiver of late fee	A7-30
7. Circulars issued for clarifications	A7-32
8. Supreme Courts Orders	A7-32
Chapter A8 Non-creditable goods/services and supplies (Blocked Credits)	A8-1
Non creditable goods/services/supplies – Blocked Credits	A8-1
Chapter A9 Interest, penalties and offences	A9-1
9.1 Interest under GST	A9-1
9.1.1 Interest payable by the person	A9-1
9.1.2 Interest payable to the person	A9-2
9.2 Penalties under GST	A9-2
9.3 Offences under GST	A9-7
9.3.1 Nature of acts regarded as offences (Sec 132)	A9-7
9.3.2 Quantum of punishment for offences stated in Para 9.3.1 (Sec 132)	A9-8
Chapter A10 State Codes	A10-1
10.1 Code wise	A10-1
10.2 Alphabetical list	A10-3
Chapter A11 Port Codes	A11-1
Chapter A12 SEZ – List of Services recognized for authorised operations	A12-1
Chapter A13 Online money gaming	A13-1
13.1 Background	A13-1
13.1.1 Supplies in casinos, horse racing and online gaming - Recommendation	A13-1
13.1.2 Changes in taxability of actionable claim.	A13-1
13.1.3 Broad objective of legislative changes	A13-2
13.2 Legislative Changes	A13-2
13.2.1 Amendment Acts	A13-2
13.2.2 Effective date	A13-2
13.2.3 Amendment in Sec 2 of the CGST Act	A13-2
13.2.4 Amendment in Sec 2 of the IGST Act	A13-3
13.2.5 Amendment in Para 6 of Schedule III of the CGST Act	A13-4
13.2.6 Amendment of Sec 24 of the CGST Act	A13-4
13.2.7 Amendment of 5 of the IGST Act	A13-4
13.2.8 Amendment of 10 of the IGST Act	A13-4
13.2.9 Insertion of new section 14A of the IGST Act	A13-5
13.3 Analysis	A13-5
13.3.1 What is ‘online money gaming’	A13-6
13.3.2 Specified actionable claims – Whether ‘goods’ or ‘services’	A13-6
13.3.3 Scope of Supply [Schedule III to the GST Act]	A13-6
13.3.4 Who is a supplier, and the taxable person?	A13-6
13.3.5 Whether recipient of supplier (winner of bet) is liable to pay tax?	A13-7
13.3.6 Place of supply	A13-7
13.3.7 Valuation	A13-7
13.3.8 Rates of tax	A13-8
13.3.9 Registration	A13-8
13.3.10 Supply by persons located outside India	A13-9
13.3.11 Valuation of imports (supply by persons located outside India)	A13-9

Part B

COMMENTARY

Chapter B1 GST – A Preamble	B1-1
1.1 What is GST and why GST?	B1-1
1.2 Main indirect taxes or duties in India pre-GST	B1-1
1.3 101st Constitutional Amendment	B1-3
1.3.1 Statement of objects and reasons	B1-3
1.3.2 Insertion of new Article 246A – Simultaneous powers to levy GST	B1-4
1.3.3 Insertion of new Article 269A – Levy of integrated GST	B1-4
1.3.4 Distribution of IGST and CGST	B1-5
1.3.5 Creation of the GST Council – Article 279A	B1-5
1.3.6 Other amendments in the Constitution	B1-6
1.3.7 Supreme Court on the Constitutional amendments	B1-6
1.4 Features of Indian GST	B1-7
1.5 Taxes or duties subsumed in GST	B1-10
1.5.1 Taxes or duties subsumed in GST	B1-10
1.5.2 Taxes or duties not subsumed in GST	B1-11
1.5.3 Special status of tobacco and its products	B1-12
1.6 Meetings of the GST Council and its conclusions	B1-12
1.7 Administration of GST	B1-13
1.7.1 Officers under the Act [Sec 3]	B1-13
1.7.2 Appointment of officers [Sec 4]	B1-14
1.7.3 Powers of officers [Sec 5]	B1-15
1.7.4 Authorisation of officers of State tax or Union territory tax as proper officer in certain circumstances [Sec 6]	B1-17
Chapter B2 Steps to determine liability under GST and key definitions	B2-1
2.1 In order to determine whether a person is liable to pay GST	B2-1
2.2 Definitions relating to Goods, Services, Business, etc.	B2-2
2.2.1 Goods	B2-2
2.2.2 Actionable claim	B2-3
2.2.3 Securities	B2-4
2.2.4 Money	B2-6
2.2.5 Input	B2-6
2.2.6 Services	B2-6
2.2.7 Input service	B2-7
2.2.8 Capital Goods	B2-7
2.2.9 Voucher	B2-8
2.2.10 Business	B2-8
2.2.11 Manufacture	B2-11
2.2.12 Job work	B2-11
2.2.13 Works contract	B2-11
2.2.14 Electronic commerce	B2-12
2.2.15 Deemed Exports	B2-12
2.4.15A Virtual digital asset [Sec 2(117A)]	B2-12
2.2.16 Online information and database access or retrieval services	B2-12
2.3 Definitions relating to Person (Supplier, Recipient, etc.)	B2-13
2.3.1 Person	B2-13
2.3.2 Taxable person	B2-14
2.3.3 Registered person .	B2-14
2.3.4 Non-resident taxable person	B2-14
2.3.5 Casual taxable person	B2-14
2.3.6 Supplier	B2-15
2.3.7 Recipient	B2-15
2.3.8 Principal	B2-16
2.3.9 Agent	B2-16
2.3.10 Agriculturist	B2-16
2.3.11 Business vertical	B2-17
2.3.12 Electronic commerce operator	B2-17
2.3.13 Input Service Distributor (ISD)	B2-18
2.3.14 Special Economic Zone developer	B2-18
2.3.15 Intermediary	B2-19
2.3.16 Non-taxable online recipient	B2-19
2.4 Definitions relating to Supply, Export, Import, etc.	B2-20
2.4.1 Supply	B2-20
2.4.2 Taxable supply	B2-20
2.4.3 Non-taxable supply	B2-20
2.4.4 Exempt supply	B2-20
2.4.5 Intra-State supply of goods	B2-20
2.4.6 Intra-State supply of services	B2-21
2.4.7 Continuous supply of goods	B2-21
2.4.8 Continuous supply of services	B2-21
2.4.9 Inward supply	B2-21
2.4.10 Outward supply	B2-22
2.4.11 Composite supply	B2-22
2.4.12 Mixed supply	B2-22
2.4.13 Principal supply	B2-22
2.4.14 Zero rated supply	B2-23
2.4.15 Place of supply	B2-23
2.4.16 Export of goods	B2-23
2.4.17 Export of services	B2-23
2.4.18 Import of goods	B2-23
2.4.19 Import of services	B2-23
2.4.20 Customs frontiers of India	B2-24
2.4.21 Special Economic Zone	B2-24
2.4.22 Continuous journey	B2-24
2.4.23 Removal of goods	B2-24
2.4.23 Online gaming and online money gaming [Sec 2(80A), (80B)]	B2-24
2.5 Definitions relating to place, address, location, etc.	B2-24
2.5.1 Principal place of business	B2-24
2.5.2 Place of business	B2-25
2.5.3 Location of the supplier of services	B2-25
2.5.4 Location of the recipient of services	B2-26
2.5.5 Fixed establishment	B2-26
2.5.6 Usual place of residence	B2-27
2.5.7 Address on record.	B2-27
2.5.8 Address of delivery	B2-27
2.6 Definitions relating to Computation of Turnover, Tax, etc.	B2-28
2.6.1 Consideration	B2-28
2.6.2 Aggregate turnover	B2-30
2.6.3 Turnover in a State	B2-31
2.6.4 Output tax	B2-32
2.6.5 Input tax	B2-32
2.6.6 Input tax credit	B2-32
2.6.7 Market value	B2-33
2.6.8 Tax period	B2-33
2.7 Definitions relating to State, Territory, Government, etc.	B2-33
2.7.1 Government	B2-33
2.7.2 Local authority	B2-33
2.7.3 State	B2-33
2.7.4 Union Territory	B2-34
2.7.5 India	B2-34
Chapter B3 Supply – Meaning and Scope	B3-1
Introduction	B3-1
3.1 Meaning of supply	B3-1
3.1.1 Meaning of the term “supply�	B3-1
3.1.2 Scope of the “supply�	B3-2
3.1.3 Constituents of the term “supply�	B3-3
3.2 Supply without consideration – Schedule I	B3-5
3.3 Whether activity/[transaction] is “supply of goods� or “supply of service� - Sec 7(1A) read with Schedule II	B3-9
3.3.1 Transfer of ‘titles’ or ‘right to use’ in goods	B3-9
3.3.2 Lease or letting of land or building	B3-10
3.3.3 Treatment or process to another person’s goods	B3-10
3.3.4 Transfer of business assets	B3-11
3.3.5 Renting of immovable property	B3-13
3.3.6 Construction of complex etc	B3-15
3.3.7 Temporary transfer of Intellectual Property Right (IPR)	B3-16
3.3.8 Development, design, etc. of IT software	B3-18
3.3.9 Refrainment, tolerance an act, etc.	B3-19
3.3.10 Transfer of the right to use goods	B3-23
3.3.11 Works contract	B3-24
3.3.12 Supply of food and beverage	B3-25
3.3.13 Supply of goods by an unincorporated association	B3-27
3.4 Activities or transactions which shall be treated neither as supply of goods nor as supply of services - Sec 7(2) read with Schedule III	B3-28
3.5 Powers of the government in respect of supply	B3-35
3.6 Activities amongst the group entities and related persons	B3-37
3.6.1 Supply of good/services from HO to branches and inter-branches ofthe same PAN – Cross Charge	B3-37
3.6.2 Supply between the joint venture/AOP and members thereof	B3-39
3.6.3 Reimbursement of expenses from Foreign H.O. to Liaison Office in India	B3-40
3.6.4 Salary paid by the project office in India to expat employees	B3-41
3.6.5 Salary paid to the employees on deputation	B3-42
3.6.6 Sharing of administration and establishment expenses by group companies	B3-42
3.6.7 Recovery of expenditure from employees	B3-43
3.6.8 Notice pay recovered by the employer	B3-45
3.6.9 Remuneration paid to the partners	B3-45
3.6.10 Facilities/Perks provided by employer to employee	B3-45
3.6.11 Share capital held in subsidiary company by the parent company	B3-46
3.7 Discount, promotion, returns and warranty	B3-46
3.7.1 Discount and various sales promotion offers	B3-46
3.7.2 Discount and incentive received from third party	B3-49
3.7.3 Supply of free samples, promotional goods, etc	B3-49
3.7.4 Supply of goods and services under warranty	B3-49
3.7.5 Return of time expired goods	B3-51
(A) Return of time expired goods to be treated as fresh supply	B3-51
(B) Return of time expired goods by issuing credit note	B3-52
3.7.6 Other FAQs	B3-53
3.8 Other activities - Whether supply?	B3-54
3.8.1 Supply by an individual, who is not engaged in business	B3-54
3.8.2 Disposal of scrap vehicles	B3-54
3.8.3 Sale of Fixed Assets	B3-54
3.8.4 Treatment of supply by an artist in various States and supply of goods by artists from galleries	B3-54
3.8.5 Transfer of tenancy rights (Pagdi)	B3-55
3.8.6 Forfeiture of reward points	B3-55
3.8.7 Supply of redeemable gift card/voucher	B3-55
3.8.8 Supply of electric energy through generator	B3-56
3.8.9 Charitable activities	B3-56
3.8.10 Receipt of prize money in horse races by the owners of horses	B3-57
3.8.11 Transfer of fastened assets by tenant at the time of vacating premises	B3-57
3.8.12 Sale of standing live trees	B3-57
3.8.13 Write-off of unclaimed security deposit	B3-58
3.8.14 Financial assistance from the Government	B3-58
3.8.14A Services provided by University to its affiliated colleges	B3-58
3.8.15 Taxability of No Claim Bonus offered by Insurance companies	B3-58
3.8.16 Revenue sharing agreement and sharing of expenditure	B3-59
3.8.17 Supplies in casinos, horse racing and online gaming	B3-60
3.9 Composite or mixed supply	B3-60
3.9.1 Composite supply	B3-60
3.9.2 Mixed supply	B3-61
3.9.3 Taxability of Composite and Mixed supply	B3-62
3.9.4 Difference between composite supply and mixed supply	B3-62
3.9.5 Composite supply vs. Individual supply - “Supply in conjunction with each other�	B3-62
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3.9.6 Circulars and case laws on various activities	B3-64
3.9.6.1 Printing Contracts	B3-64
3.9.6.2 Bus body building	B3-65
3.9.6.3 Supply and installation of Fire Control or Radar Systems at Ship	B3-65
3.9.6.4 Tyre retreading	B3-66
3.9.6.5 Servicing of cars and vehicles	B3-66
3.9.6.6 AMC of machine	B3-66
3.9.6.7 Supply of Desktop, Monitor, Keyboard, Mouse at a single price	B3-67
3.9.6.8 Supply of UPS and battery	B3-67
3.9.6.9 EPC contracts	B3-67
3.9.6.10 Supply, installation and maintenance of LED Lights	B3-68
3.9.6.11 Supply, installation and fixing of Furniture or Data Centre	B3-69
3.9.6.12 Renting of Cinema Theatre along with facilities, e.g., water & electricity	B3-69
3.9.6.13 Supply of equipments without consideration, with the condition of purchase of reagents, etc. only from the supplier.	B3-70
3.9.6.14 Cleaning services to railways	B3-71
3.9.6.15 Conduct of examination	B3-71
3.9.6.16 Composite supplies of printing and selling of space	B3-71
3.9.6.17 Freight and coal beneficiation & loading charges	B3-72
3.9.6.18 Job charges alongwith packing material	B3-72
3.9.6.19 Supply of Access Card	B3-72
3.9.6.20 Supply of sale of space in print media along with designing	B3-73
3.9.6.21 Refining of old gold jewellery along with testing	B3-73
3.9.6.22 Supply of Grated Supari, Lime and Tobacco in a single pack	B3-73
3.9.6.23 ‘Take or Pay’ charges	B3-73
3.9.6.24 Supply of cooking gas along with property management services	B3-74
3.9.6.25 Printing of Pattadar Pass Book cum Title Deed	B3-74
3.9.6.26 Administering Covid and other Vaccines	B3-74
3.9.6.27 Supply of pencil with sharpener	B3-74
3.9.6.28 Allotment of additional parking space to the flat buyer	B3-75
3.9.6.29 Preferential location charges (PLC) – Long term lease	B3-75
Chapter B4 Time of Supply	B4-1
4.1 Time of supply of goods – when taxable	B4-1
Introduction	B4-1
4.1.1 Time of supply of goods subject to forward charge	B4-1
4.1.2 Time of supply of goods subject to reverse charge	B4-5
4.1.3 Time of supply of goods subject to reverse charge u/s 9(4) in case of Promoter in the Real Estate industry:	B4-6
4.1.4 Time of supply of vouchers (goods), by whatever named called	B4-6
4.1.5 Supply relating to interest, late fee or penalty	B4-7
4.1.6 Where time of supply could not be determined in accordance with earlier provisions	B4-7
4.1.7 FAQs in respect of time of supply of goods	B4-7
4.2 Time of supply of services – when taxable	B4-8
4.2.1 Time of supply in case of services subject to forward charge	B4-8
4.2.2 Time of supply in case of transfer of development rights (TDR) or F.S.I. or Upfront lease	B4-12
4.2.3 Time of supply of services subject to reverse charge	B4-13
4.2.4 Time of supply of services subject to reverse charge u/s 9(4) in case of Promoter in the Real Estate industry:	B4-14
4.2.5 Time of supply of vouchers (services), by whatever named called	B4-14
4.2.6 Special provision in relation to the “associated enterprises�	B4-14
4.2.7 Supply relating to interest, late fee or penalty	B4-15
4.2.8 Where time of supply could not be determined in accordance with earlier provisions	B4-15
4.3 Change in rates of tax – Goods or Services	B4-15
4.3.1 Time of supply of services in case of change in rate of tax (CRT) of supply of services – To summarize	B4-15
4.3.2 Time of supply of goods in case of change in rate of tax (CRT) of supply of goods – To summarize – w.e.f. 15 Nov. 2017 (other than composition tax payers)	B4-16
Chapter B5 Value of Supply	B5-1
5.1 Value of supply	B5-1
5.1.1 Value of taxable supply for levy of GST	B5-1
(A) Transaction value	B5-2
(B) Price is the sole consideration	B5-2
(C) Transaction value shall include value of scrap/by-products retained by job worker:	B5-3
5.2 Value of supply – Inclusions and Exclusions	B5-3
5.2.1 Inclusion of amounts while determining transaction value	B5-3
5.2.2 Exclusion of discounts while determining transaction value	B5-7
5.3 Reference to Valuation Rules	B5-8
5.3.1 When is a person required to refer the Valuation Rules?	B5-8
5.3.2 Value of supply where supply is for a consideration not wholly in money – Rule 27 of the GST Rules	B5-8
5.3.3 Value of supply taking place between related persons or the distinct persons (inter-unit supply) – Rule 28	B5-10
5.3.4 Value of supply of goods made or received through an agent – Rule 29	B5-10
5.3.5 Residual manner of valuation prescribed in Rules 30 & 31	B5-11
5.4 Valuation Rules for specified Services	B5-11
5.4.1 Power to specify manner through Valuation Rules	B5-11
5.4.2 Value of supply in case of lottery, betting and gambling – Rule 31A	B5-11
5.4.3 Foreign currency & money changing [Rule 32(2)]	B5-12
5.4.4 Booking of air tickets by travel agents [Rule 32(3)]	B5-13
5.4.5 Life insurance business [Rule 32(4)]	B5-13
5.4.6 Margin Scheme – Dealing in second hand goods [Rule 32(5)]	B5-14
5.4.7 Other supplies as specified below [Rule 32(6), (7), 32A]	B5-15
5.4.8 Supply of old and used motor vehicle	B5-16
5.4.9 Value of supply of TDR, FSI etc	B5-17
5.4.10 Value of supply in the case of complex construction service	B5-18
5.4.11 Value of supply in the case of solar system installation contracts	B5-18
5.4.12 Supplies in casinos, horse racing and online gaming	B5-19
5.5 Value of supply of services in case of pure agent	B5-19
5.5.1 Meaning of the term “pure agent�	B5-19
5.5.2 Conditions for exclusion of expenses incurred by pure agent	B5-19
5.5.3 Illustration and case laws	B5-19
5.6 Other Rules	B5-22
5.6.1 Exchange rate of currency, other than INR – Rule 34	B5-22
5.6.2 Value of supply is inclusive of GST – Rule 35	B5-23
5.6.3 Proportion of value attributable to different States or Union territories – Rule 3 to 9 of the IGST Rules:	B5-23
5.6.4 FAQs in respect of value of supply	B5-23
Chapter B6 Concept of IGST – Inter-State Supply, Intra-State Supply, Import & Export	B6-1
6.1 Key definitions	B6-1
6.1.1 Export of goods	B6-1
6.1.2 Export of services	B6-1
6.1.3 Import of goods	B6-2
6.1.4 Import of services	B6-2
6.1.5 Customs frontiers of India	B6-2
6.1.6 Special Economic Zone	B6-2
6.1.7 Deemed Exports	B6-2
6.1.8 India	B6-3
6.2 IGST model for inter-state transactions	B6-3
6.2.1 Features of the “IGST� mechanism	B6-3
6.2.2 Inter-state supplies vs. Intra-state supplies	B6-4
6.2.3 Supplies in territorial water [Sec 9 of the IGST Act]	B6-6
6.3 Import of goods and services	B6-6
6.3.1 Import of goods	B6-6
6.3.2 Import of services	B6-6
6.3.3 Sale of goods by SEZ unit to DTA Unit – Procedure	B6-7
6.3.4 Taxability of goods imported under lease	B6-7
6.3.5 Goods sold before customs frontier at Duty Free Shops and bonded Warehouse	B6-8
6.3.6 High seas sale of goods	B6-9
6.3.7 GST on supply where goods do not enter Indian Territory	B6-10
6.4 Zero rated supply	B6-10
6.4.1 Meaning of zero-rated supply	B6-10
6.4.2 Eligibility of input tax credit or refund on zero-rated supply	B6-11
6.5 Export of goods and services, Deemed Export & Penultimate Export	B6-12
6.5.1 Export of goods	B6-12
6.5.2 Supplies in territorial waters (sec 9 of the IGST Act)	B6-13
6.5.3 Export of services	B6-13
6.5.4 Deemed export	B6-15
6.5.5 Penultimate export	B6-16
6.5.6 Export of goods through Indian Manufacturer	B6-18
6.5.7 Goods sent/taken out of India for exhibition or on consignment basis for export promotion – Procedure, Invoicing and Refund	B6-18
6.6 Supply of goods and/or services to SEZ unit/developer	B6-21
Chapter B7 Place of supply	B7-1
7.1 Determination of place of supply (POS) of goods and services	B7-1
7.2 Determination of POS of goods other than supply of goods imported into, or exported from India [Sec 10 of the IGST Act]	B7-1
(A) Involves movement of goods	B7-1
(B) Three or more parties – “Bill To Ship To�	B7-3
(C) Supply does not involve movement of goods	B7-4
(D) Goods are assembled or installed at site	B7-5
(E) Goods are supplied on board a conveyance	B7-5
(F) Where POS of goods cannot be determined	B7-6
7.3 Determination of place of supply (POS) of goods imported into, or exported from India [Sec 11 of the IGST Act]	B7-6
7.4 Place of supply (POS) of services [Where location of supplier of service and location of the recipient of service (both) are in India (Sec 12 of IGST Act)]	B7-8
7.4.1 General provision - Sec 12(2) [other than sec 12(3) to 12(14)] of the IGST Act	B7-8
7.4.2 Specific provisions - Sec 12(3) to 12(14) of the IGST Act	B7-8
7.5 Place of supply (POS) of services [Where location of supplier or location of the recipient is outside India (Section 13)]	B7-20
7.5.1 General provision- Sec 13(2) [other than sec 13(3) to 13(13)] of the IGST Act	B7-20
7.5.2 Specific provisions - Sec 13(3) to (13) of IGST Act	B7-20
7.5.2.1 Performance based services in respect of goods where either the supplier or the recipient is located outside India	B7-20
7.5.2.2 Performance based services supplied to an individual - Sec 13(3)(b)	B7-23
7.5.2.3 In relation to immovable property – Sec 13(4)	B7-25
7.5.2.4 Admission to or organization of event etc. – Sec 13(5)	B7-26
7.5.2.5 Banking, Intermediary and hiring services – Sec 13(8)	B7-27
7.5.2.6 Transportation of goods – Sec 13(9)	B7-34
7.5.2.7 Passenger transportation service – Sec 13(10)	B7-34
7.5.2.8 Services on board a conveyance – Sec 13(11)	B7-35
7.5.2.9 Online information and database access or retrieval services –Sec 13(12)	B7-35
7.5.2.10 Residual Powers of the Central Government – Sec 13(13)	B7-37
7.6 Transfers of goods/services to branch/agent	B7-39
Chapter B8 Levy, Rates and Exemptions	B8-1
8.1 Levy and collection of GST (Incidence of Tax) u/s 9(1) & 9(2) of the GST Act and u/s 5(1) & 5(2) of the IGST Act	B8-1
8.2 Levy of Compensation Cess	B8-1
8.3 Rates of GST in India	B8-1
8.4 Exemptions and exempt supplies	B8-4
8.4.1 Power to grant exemption	B8-4
8.4.1A Exemptions through separate Enactment	B8-6
8.4.2 Meaning of exempted supply	B8-6
8.4.3 Meaning of non-taxable supply	B8-6
8.5 Non-taxable persons	B8-7
8.5.1 Who is a taxable person?	B8-7
8.5.2 Agriculturist	B8-8
8.6 Zero rated supply and export of goods and services	B8-8
8.7 Supply of old and used motor vehicle	B8-8
Chapter B9 Reverse Charge and Deemed Suppliers under section 9(5)	B9-1
9.1 Reverse charges u/s 9(3) of the GST Act and 5(3) of the IGST Act	B9-1
9.1.1 Reverse charge in respect of goods under the CGST/SGST/IGST Act	B9-2
9.1.2 Reverse charge in respect of services under the CGST/SGST/IGST Act	B9-4
9.1.2.1 Goods transport agency (GTA)	B9-5
9.1.2.2 Advocate including Senior Advocate and Arbitral Tribunal	B9-8
9.1.2.3 Sponsorship	B9-10
9.1.2.4 Services by government or local authority	B9-10
9.1.2.5 Renting of immovable property services by Government	B9-13
9.1.2.6 Renting of residential dwelling to a registered person	B9-15
9.1.2.7 Transfer of Development Rights (TDR), FSI, Long term lease, etc	B9-16
9.1.2.8 Services by director	B9-18
9.1.2.9 Insurance agent	B9-19
9.1.2.10 Recovery agent	B9-19
9.1.2.11 Author, music composer, photographer, artist, or the like	B9-20
9.1.2.12 Members of Overseeing Committee constituted by the RBI	B9-21
9.1.2.13 Services supplied by Individual Direct Selling Agents (DSAs)	B9-22
9.1.2.14 Services provided by business facilitator (BF)	B9-22
9.1.2.15 Services provided by an agent of business correspondent (BC)	B9-23
9.1.2.16 Security services (Supply of security personnel)	B9-24
9.1.2.17 Renting of a motor vehicle	B9-24
9.1.2.18 Lending of securities under Securities Lending Scheme of SEBI	B9-26
9.1.3 Reverse charge in respect of services only under the IGST Act (in addition to services specified in Para 9.1.2 above)	B9-27
9.1.3.1 Service supplied by a person located in a non-taxable territory	B9-27
9.1.3.2 Transportation of goods by a vessel from outside India up to the customs station - Service supplied by a person located in a non-taxable territory	B9-28
9.2 Reverse Charges u/s 9(4) of the GST Act and 5(4) of the IGST Act	B9-30
9.2.1 Applicability of reverse charge on receipts from unregistered suppliers	B9-30
9.3 Specified e-commerce operators – Deemed suppliers u/s 9(5) of the GST Act and 5(5) of the IGST Act	B9-35
Chapter B10 Composition levy	B10-1
10.1 Scope and features of the composition levy	B10-1
10.2 Important definitions in this Chapter	B10-1
10.2.1 Meaning of Aggregate Turnover	B10-1
10.2.2 Meaning of “Turnover in the State or in UT�	B10-3
10.3 Applicability of Composition Levy	B10-3
10.3.1 “Supplier of Goods + Certain Services up to specified amount�	B10-3
10.3.2 Supplier of specified service	B10-6
10.3.3 Composite suppliers and service providers other the specified in the previous Paras	B10-6
10.3.4 Composition/Regular scheme for Bricks Manufactures/Traders	B10-8
10.3.5 Composition levy – Eligibility and Computation of Tax – A Summary	B10-10
10.4 Conditions and Restrictions for opting Composition Levy	B10-11
10.4.1 Eligibility and general conditions	B10-11
10.4.2 Additional Conditions and restrictions under Rule 5	B10-12
10.5 Intimation for the composition levy and Effective date	B10-13
10.5.1 Opting for the composition at the time of registration	B10-13
10.5.2 Opting for the composition after the date of registration	B10-13
10.5.3 Effective date of Composition levy	B10-14
10.5.4 No need to intimate every year [Rule 5(2)]	B10-14
10.6 ITC on switch over to/from composition levy	B10-14
10.6.1 Reversal of ITC where the taxable person switches over from regular method to composition levy	B10-14
10.6.2 Eligibility of the ITC where a taxable person paying tax under composition levy, starts paying tax under regular method	B10-15
10.7 Validity of the composition levy and Procedure	B10-16
10.7.1 Validity of composition levy	B10-16
10.7.2 Intimation for withdrawal	B10-16
10.7.3 Contravenes the provisions of the Act	B10-16
10.7.4 Effective date of withdrawal	B10-17
10.7.5 Filing of details of stock and others	B10-17
10.8 Cancellation of permission or registration	B10-17
Chapter B11 Input tax credit (ITC)	B11-1
11.1 Meaning of input tax credit (ITC) and related terms	B11-1
11.2 Eligibility and Conditions for claiming of input tax credit (ITC) [Sec 16 of the GST Act]	B11-2
11.2.1 Conditions for claiming ITC	B11-4
(A) He is in possession of any of the following document	B11-4
(AA) Details of invoice is furnished in GSTR-1 by the counterparty supplier	B11-5
(B) The registered person has received the goods and/or services	B11-6
(BA) ITC is not restricted under sec 38	B11-7
(C) Payment of output tax by the supplier	B11-7
(D) He has furnished the GST Return under sec 39	B11-10
(E) Failure to pay consideration (with tax) to supplier within 180 days	B11-10
(F) No ITC on the amount of ‘depreciation on the tax component’	B11-12
(G) Overall time limit for claiming ITC [Sec 16(4)]	B11-12
11.2.1A Can a person claim ITC of CGST/SGST paid or incurred in other State	B11-16
11.2.1B Availment of unmatched credit – Rule 36(4)	B11-16
11.2.1C Difference in ITC availed in Form GSTR-3B as compared to that in Form GSTR-2A for 01.07.2017 to 31.12.2021 – How to deal	B11-18
11.2.1D Clarification on various issues relating to applicability of demand and penalty provisions in respect of transactions involving fake invoices	B11-18
11.2.2 Manner of claiming ITC [Sec 16(1)]	B11-20
11.2.3 Utilization of credit	B11-20
11.2.4 Claim of ITC in respect of invoices before registration	B11-21
11.3 Eligibility and Conditions in claiming of input tax credit (ITC) [Sec 17 of the GST Act]	B11-21
11.3.1 Restrictions in claiming ITC [Sec 17]	B11-21
11.3.2 Banking Co., Financial Institutions and NBFC	B11-39
11.3.3 Recovery of ITC wrongly taken	B11-40
11.4 Non-creditable goods or services (Blocked Credit) [Sec 17(5)]	B11-40
11.4.1 Non-creditable goods or services	B11-40
11.5 ITC in special circumstances [Sec 18 of the GST Act]	B11-69
11.5.1 Eligibility for ITC on stock to a taxable person, who has applied for registration mandatorily for the first time	B11-69
11.5.2 Eligibility for ITC on stock to a taxable person, who has applied for registration voluntarily under sec 25(3)	B11-70
11.5.3 Eligibility for ITC on stock of a person who ceases to pay tax under composition levy and pays tax under regular scheme	B11-70
11.5.4 Eligibility for ITC on stock where an exempt supply becomes taxable supply	B11-71
11.5.5 Manner prescribed for claiming ITC in Para 11.5.1 to 11.5.4 above [Rule 40(1) of the GST Rules]	B11-71
11.5.6 Eligibility of ITC where there is a change in the constitution of a registered taxable person	B11-72
11.5.6A Eligibility of ITC in case Corporate Debtors under the Insolvency and Bankruptcy Code	B11-76
11.5.6B Eligibility of ITC in case of death of registered taxable person (sole proprietor)	B11-76
11.5.7 Payment equivalent to the ITC if the outward taxable supplies subsequently become exempt absolutely	B11-76
11.5.8 Payment equivalent to the ITC where the taxable person switches over from regular scheme to composition scheme	B11-77
11.5.9 Payment equivalent to the ITC where the registration is cancelled under sec 29	B11-78
11.5.10 Supply of capital goods on which ITC has been claimed earlier	B11-78
11.5.11 Transfer of credit to other registered place of business within the same state	B11-79
11.5.12 Merger of UT of “Daman and Diu� and “Dadra and Nagar Haveli�	B11-79
11.6 Goods transferred for job-work [Sec 19 of the GST Act]	B11-80
Chapter B12 Input service distributor (ISD)	B12-1
12.1 Purpose and Concept of ISD	B12-1
12.2 Meaning of ISD and Obligations	B12-3
12.2.1 Who is input service distributor?	B12-3
12.2.2 Obligations for registration and filing of return	B12-4
12.2.3 Conditions/restrictions and procedure for distribution of credit [Sec 20(2) read with Rule 39 of the GST Rules]	B12-4
12.2.4 Manner of distribution of credit [Sec 20(1) read with Rule 39 of GST Rules]	B12-8
12.2.5 Manner of recovery of credit excess distributed	B12-8
Chapter B13 Job Worker, Casual Taxable Person, Non-resident Taxable Person & Corporate Debtors	B13-1
13A Job-worker	B13-1
13A.1 Who is “job-worker� and “principal�	B13-1
13A.1.1 Meaning of ‘job work’ and ‘job worker’	B13-1
13A.1.2 Significance of the term “Registered Person�	B13-1
13A.1.3 Can the person also use his own goods during the process?	B13-2
13A.1.4 Case laws and advance rulings	B13-2
13A.1.5 Manner of Supply chain - A Graph:	B13-3
13A.2 Privileges available to the principal and restrictions	B13-4
13A.2.1 Facilities to the principal and the job worker	B13-4
13A.2.2 ITC on inputs and capital goods sent for job work [Sec 19]	B13-5
13A.2.3 Special conditions specified in sec 143	B13-5
13A.2.4 Supply of goods by the principal from the place of job worker	B13-6
13A.2.5 Manner of dispatch and return prescribed in rule 45 of the GST Rules:	B13-7
13A.2.6 Supply of waste or scrap	B13-7
13A.2.7 Documents for movement of goods	B13-7
13A.2.8 Liability to issue invoice, determination of place of supply and payment of GST	B13-9
13A.2.9 Availability of input tax credit to the principal and job worker	B13-10
13A.3 Responsibilities of Job-worker	B13-11
13A.3.1 Whether a job-worker is required to obtain registration?	B13-11
13A.3.2 Whether goods, directly supplied from the job-worker’s premises, will be included in the aggregate turnover of job worker?	B13-11
13A.3.3 If the principal and job-worker are located in difference states, will the service by job-worker be treated as inter-state supply? What is the threshold limit for registration?	B13-11
13A.3.4 Valuation of job charges – Whether transaction value would include value of scrap/by-products retained by the job worker	B13-12
13A.3.5 Recovery of damages or cost of destroyed tools by the job worker	B13-12
13B Casual Taxable Person	B13-13
13B.1 Who is casual taxable person?	B13-13
13B.2 Registration by casual taxable person	B13-13
13B.3 Exemption from registration to casual taxable person	B13-14
13B.4 Returns by casual taxable person	B13-14
13B.5 Refund to casual taxable person	B13-14
13C Non-resident Taxable Person	B13-15
13C.1 Who is non-resident taxable person	B13-15
13C.2 Difference between casual taxable person and non-resident taxable person:	B13-15
13C.3 Registration by non-resident taxable person	B13-16
13C.4 Input tax credit by non-resident taxable person	B13-16
13C.5 Returns by non-resident taxable person	B13-16
13C.6 Refund to non-resident taxable person	B13-16
13C.7 Registration by non-resident person vs. RCM by Indian Recipient:	B13-17
13D Corporate Debtors under the Insolvency and Bankruptcy Code	B13-17
13D.1 Notification No. 11/2020-CT, dated 21 March 2020 as substituted vide N. No. 39/2020-CT, dated 05 May 2020	B13-17
13D.2 Related Circulars	B13-17
Chapter B14 E-commerce, TCS & supply of online data – special provisions	B14-1
14.1 E-commerce	B14-1
14.1.1 Meaning of ‘e-commerce’	B14-1
14.1.2 Omission of the term ‘Aggregator’ in the GST Act	B14-1
14.1.3 Activities of the e-commerce operator [ECO]	B14-1
14.1.4 Threshold limit for registration	B14-3
14.1.5 When the ECO itself be deemed as supplier	B14-4
14.1.6 Obligations of the ECO for supply of goods of unregistered persons and composition taxpayers	B14-4
14.2 Collection of tax (TCS) by e-commerce operators	B14-5
14.2.1 Rate of TCS	B14-5
14.2.2 Applicability of TCS and its value	B14-6
14.2.3 Multiple E-commerce Operators (ECO) in one transaction	B14-7
14.2.4 Collection of TCS by Tea Board of India	B14-7
14.3 Procedure for registration or cancellation and obligations of TCS	B14-8
14.3.1 Registration	B14-8
14.3.2 Obligations of the e-commerce operators	B14-8
14.3.3 Claim of credit for the amount of TCS deposited by the ECO by the concerned supplier	B14-9
14.3.4 Matching of details filed by the ECO with that of filed by the supplier	B14-9
14.3.5 Powers of the proper officer to issue notice upon the ECO	B14-10
14.3.6 Cancellation	B14-11
14.3.7 Penalties on the ECO for defaults	B14-11
14.3.8 Manner of issue of invoice	B14-11
14.3.9 FAQ on TCS by CBIC (Extracts]	B14-12
14.4 Special provision for payment of tax by a supplier of online information and database access or retrieval services (OIDAR) located outside India to specified person in the taxable territory	B14-14
14.4.1 Meaning of “online information and database access or retrieval services� [Sec 2(17) of the IGST Act]	B14-14
14.4.2 Meaning of “non-taxable online recipient�	B14-16
14.4.3 Applicability of the provisions	B14-17
14.4.4 Who is responsible for payment of tax and role of intermediary who arranges the services?	B14-17
14.4.5 Registration and payment of ta	B14-18
14.4.6 Filing of return [Rule 64]	B14-18
14.4.7 Officers empowered to grant registration	B14-19
14.4.8 Manner of issue of invoice	B14-19
Chapter B15 Registration, Amendment and Cancellation	B15-1
15.1 Format of registration number (GSTIN)	B15-1
15.2 Mandatory registration	B15-1
15.2.1 Liability for mandatory registration under the GST – Threshold limit	B15-1
15.2.2 Meaning of aggregate turnover for the purpose of threshold limit	B15-6
15.2.3 Circumstances when threshold limit is not applicable	B15-8
15.2.3A Liability of registration in case of agents	B15-9
15.2.4 Persons not liable for registration [Sec 23]	B15-10
15.2.5 Time limit for taking registration [Sec 25(1)]	B15-13
15.2.6 Registration is required in every state/UT separately	B15-13
15.2.7 Separate registrations for multiple business places of business in the same state/UT [Sec 25(2)]	B15-13
15.2.7A Registration by unit located in SEZ and supply from territorial waters [Sec 25(1)]	B15-14
15.2.8 Registration of Corporate Debtors under the Insolvency and Bankruptcy Code	B15-14
15.3 Procedure for registration	B15-14
15.3.1 Pre-requisites for registration [Sec 25]	B15-14
(A) Permanent Account Number (PAN) - Mandatory	B15-14
(A.1) Mobile Number and Email address [Rule 8]	B15-14
(B) Aadhaar number or alternate and viable means	B15-14
(B.1) Persons to whom Aadhaar No. has been assigned	B15-15
(B.2) Persons to whom Aadhaar No. has not been assigned (with alternate and viable means)	B15-16
(B.3) Process after Aadhaar authentication -	B15-16
(B.4) Consequences of not providing Aadhaar or alternate means	B15-17
15.3.2 Application for registration	B15-17
15.3.2A Documents required for registration	B15-18
15.3.3 Persons authorised to sign or verify through electronic verification code application for registration	B15-20
15.3.3A Manner of authentication/sign by the Taxpayer	B15-21
15.3.3B Manner of issue of notices, certificate and orders	B15-21
15.3.4 Submission of registration application	B15-21
15.3.5 Verification and disposal of registration application	B15-22
15.3.6 All places of businesses are to be declared at the time of registration	B15-28
15.3.7 Application through Goods and Services Tax Practitioners	B15-28
15.3.8 Guidelines for processing of applications for registration	B15-28
15.3.9 Guidelines for Special All-India Drive against fake registrations	B15-31
15.4 Voluntary registration	B15-31
15.4.1 Circumstances when voluntary registration may be obtained	B15-31
15.4.2 Procedure for voluntary registration	B15-31
15.5 Registration by the department (Suo-moto registration)	B15-31
15.5.1 Circumstances	B15-31
15.5.2 Procedure for registration	B15-32
15.5.3 Effective date for registration	B15-32
15.6 Input service distributor (ISD)	B15-32
15.6.1 Requirements for registration by ISD	B15-32
15.6.2 Procedure for registration	B15-32
15.7 Casual taxable person	B15-33
15.7.1 Who is casual taxable person?	B15-33
15.7.2 Procedure for registration	B15-33
15.7.3 Process for registration/extension	B15-33
15.8 Non-resident taxable person	B15-34
15.8.1 Who is a non-resident taxable person?	B15-34
15.8.2 Procedure for registration	B15-35
15.8.3 Process for registration/extension	B15-35
15.9 Unique Identity Number (UIN) by UN Bodies etc	B15-36
15.9.1 Who requires UIN?	B15-36
15.9.2 Process for registration/extension	B15-36
15.9.3 Circular No. 36/10/2018-GST, dated 13 March 2018	B15-37
15.10 Others	B15-37
15.10.1 Job Worker	B15-37
15.10.2 SEZ Developer/SEZ Unit	B15-37
15.10.3 Supply from Territorial Waters	B15-38
15.10.4 Person required to deduct tax at source (TDS)	B15-38
15.10.5 Person supplying online information and data base access or retrieval(OIDAR) services from a place outside India to a non-taxable online recipient	B15-38
15.10.6 Person required to collect tax at source (TCS)	B15-38
15.10.7 Unregistered person (exempted from registration) supplying goods though Electronic Commerce Operator – Exemption & Enrolment	B15-38
(A) Applicability	B15-38
(B) Conditions regarding activities	B15-38
(C) Conditions regarding enrolment on the common GST porta	B15-38
(D) Further conditions	B15-39
15.11 Effective date of Registration	B15-39
15.12 Penal consequences of not applying for registration	B15-40
15.13 Amendment of registration	B15-40
15.13.1 Circumstances for amendment of registration	B15-40
15.13.2 Procedure for amendment of registration	B15-40
15.14 Cancellation of registration and revocation	B15-42
15.14.1 Circumstances for cancellation of registration	B15-42
15.14.2 Suspension of registration	B15-46
15.14.3 Procedure for cancellation of registration	B15-48
15.14.4 Procedure for cancellation of registration in case of death of sole proprietor and transfer of input tax credit	B15-51
15.14.5 Revocation of the cancellation order	B15-52
Chapter B16 Returns under the GST	B16-1
16.1 Persons responsible for filing returns	B16-1
16.1.1 Whether there are separate returns for SGST, CGST, etc.?	B16-1
16.1.2 Persons liable to file returns	B16-1
16.2 Types of returns or reports and periodicity	B16-1
16.3 New Procedure from 01 Jan 2021 - GSTR-1/3B - Related Notifications	B16-4
16.4 Due date of payment of Self-Assessed Tax	B16-4
16.5 Returns for outward supplies [GSTR–1]	B16-5
16.5.1 Persons liable to furnish GSTR-1	B16-5
16.5.2 Periodicity of furnishing of GSTR-1	B16-5
16.5.3 Due date for furnishing of GSTR-1 (Other than QRMP)	B16-6
16.5.4 Components of GSTR-1	B16-6
16.5.5 Manner of dealing with difference in liability reported in GSTR-1 and that reported in GSTR-3B	B16-7
16.5.6 Advances received against a supply to be made in future	B16-7
16.5.7 GST paid on advance - Supply not made – Reclaim/Refund of Tax paid	B16-7
16.5.8 Rectification of return [Sec 37(3)]	B16-8
16.5.9 Information availability to Recipients	B16-10
16.5.10 Furnishing of Nil return by short messaging service (SMS) facility	B16-10
16.5.11 Restrictions in furnishing of Form GSTR-1/IFF	B16-10
16.6 Quarterly Return Monthly Payment (QRMP) [GSTR–1 & 3B]	B16-12
16.6.1 Relevant provisions and Notifications w.e.f. 01 Jan. 2021	B16-12
16.6.2 The QRMP Scheme - Features	B16-12
16.6.3 Eligibility for the Scheme	B16-13
16.6.4 Manner of opting for QRMP Scheme	B16-13
16.6.5 Furnishing of details of outward supplies	B16-13
16.6.6 Monthly payment of tax	B16-15
16.6.7 Quarterly filing of Form GSTR-3B	B16-16
16.6.8 Applicability of interest	B16-16
16.6.9 Applicability of late Fee	B16-17
16.6.10 FAQ in respect of Invoice Furnishing Facility (IFF)	B16-18
16.7 Returns for inward supplies	B16-19
16.7.1 Communication of details of inward supplies and input tax credit	B16-19
16.7.2 Form and manner of ascertaining details of inward supplies	B16-20
16.7.3 How the ITC to be claimed in Form GSTR-3B	B16-20
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16.7.4 Features of Form GSTR-2B	B16-20
16.7.5 When Form GSTR-2B is available to the Recipient	B16-21
16.7.6 Details available in Form GSTR-2B	B16-21
16.7.7 ITC Eligibility - Form GSTR-2B	B16-22
16.8 Monthly Return [GSTR-3B]	B16-22
16.8.1 GSTR-3 is now history	B16-22
16.8.2 Due dates of filing GSTR-3B – w.e.f. 01 Jan. 2021	B16-22
16.8.3 Monthly return (GSTR-3B) for the months July 2017 and onwards	B16-23
16.8.4 Components	B16-23
16.8.5 Amendment in Form GSTR-3B and Clarification	B16-24
16.8.6 Furnishing of Nil Return - Mandatory	B16-28
16.8.7 Filing of GSTR-3B not allowed after the specified period	B16-28
16.8.8 Restrictions in furnishing of Form GSTR-3B	B16-28
16.8.9 Furnishing of Nil return by short messaging service (SMS) facility	B16-29
16.8.10 Rectification of Form GSTR-3B	B16-29
16.8.11 Manner of dealing with difference in liability reported in GSTR-1 and that reported in GSTR-3B	B16-30
16.9 Quarterly return by composition taxpayers and persons (e.g. service providers) opted vide N. No. 02/2019–CT(R), dated 7 March 2019 [GSTR–4 and CMP-08]	B16-31
16.9.1 Legal provisions under sec 39(2)	B16-31
16.9.2 Persons to whom GSTR-4 and CMP-08 is applicable	B16-31
16.9.3 Obligations to file returns	B16-31
16.9.4 Special procedure vide N. No. 21/2019–CT, dated 23 April 2019 as amended vide N. No. 12/2020–CT, dated 21 March 2020	B16-31
16.9.5 Others	B16-32
16.10 Non-resident foreign taxpayer [GSTR–5]	B16-33
16.10.1 Meaning	B16-33
16.10.2 Due date and form of return	B16-33
16.10.3 Others	B16-33
16.11 Person providing OIDAR services [GSTR–5A]	B16-34
16.11.1 Obligations	B16-34
16.11.2 Payment of tax	B16-34
16.12 ISD Return [GSTR–6]	B16-35
16.12.1 Meaning	B16-35
16.12.2 Others	B16-35
16.13 TDS Return [GSTR – 7]	B16-35
16.13.1 Return submission and TDS certificate	B16-35
16.13.2 Others	B16-36
16.14 Return by e-commerce operator (ECO) [GSTR–8]	B16-36
16.14.1 Requirement	B16-36
16.14.2 Others	B16-37
16.15 Inward supplies details by persons having UIN [GSTR–11]	B16-37
16.15.1 Return submission	B16-37
16.15.2 Others	B16-38
16.15A Special procedure to be followed for specified manufacturers	B16-38
16.16 Annual Return [GSTR–9]	B16-38
16.16.1 Liability to submit annual return	B16-39
16.16.2 Press Release and Circulars issued with regard to filling of GSTR-9 and GSTR-9C	B16-41
16.17 Annual return for composition taxpayers [GSTR–9A]	B16-41
16.18 Annual statement for e-commerce operator [GSTR–9B]	B16-41
16.19 Acknowledgement	B16-42
16.20 ITC (Input tax credit) eligibility, availment & matching	B16-42
16.20.1 Availment and matching of ITC [Sec 41]	B16-42
16.20.2 Matching of input tax as per GSTR-3B with GSTR-2B	B16-42
16.20.3 Matching of liability reported in GSTR-1 vs. GSTR-3B [Rule 88C]	B16-43
16.20.4 Matching of ITC in GSTR-2B vs. GSTR-3B [Rule 88D]	B16-43
16.21 Non-filers, late filers & short filers of returns	B16-43
16.21.1 Non-filers & late return filers [Sec 46]	B16-43
16.22 First return	B16-43
16.23 Final return	B16-44
16.24 Returns by Corporate Debtors (Insolvency and Bankruptcy Code)	B16-44
16.25 Late fees	B16-45
16.26 Signing of returns	B16-45
16.27 Rectification of common errors/mistakes while filing returns	B16-45
Chapter B17 Payment of tax and Interest	B17-1
17.1 Nature of taxes to be paid under GST	B17-1
17.2 Due date of payment of self assessed tax	B17-1
17.3 Methods of payment	B17-1
17.3.1 Electronic liability ledger (Electronic Tax Liability Register)	B17-1
17.3.2 Electronic credit ledger (ITC Ledger)	B17-2
17.3.3 Electronic cash ledger	B17-8
17.3.4 Order of utilization of ITC [Sec 49(5) and Sec 49A]	B17-10
17.3.5 Manner of dealing with difference in liability reported in GSTR-1 and that reported in GSTR-3B	B17-12
17.3.6 Manner of dealing with difference in liability reported in GSTR-2B and that reported in GSTR-3B	B17-14
17.4 Modes of payment	B17-14
17.4.1 Mode of payment [Rule 87(3)]	B17-14
17.4.2 Circumstances when payment of OTC exceeds INR 10,000/-	B17-15
17.4.3 Person supplying OIDAR Services – Additional mode	B17-15
17.4.4 Whether mandate form needs to be generated for payment by way of NEFT/RTGS? [Rule 87(5)]	B17-15
17.4.5 Payments by unregistered person [Rule 87(4)]	B17-16
17.4.6 Generation of CIN [Rule 87(6)]	B17-16
17.5 Payment of GST - Other points	B17-16
17.5.1 Sequence of discharge of dues	B17-16
17.5.2 Payment of tax in installments	B17-16
17.5.3 Identification number for each transaction [Rule 88]	B17-17
17.5.4 Date of deposit of the tax dues	B17-17
17.5.5 Transfer of balance from one cash ledger to another	B17-17
17.5.6 Maximum utilization from Electronic Credit Ledger	B17-18
17.6 Basic features of challans	B17-18
17.6.1 Who can generate challans?	B17-18
17.6.2 Process of generation of challans	B17-19
17.6.3 What would happen if payment is made but CIN is not generated?	B17-19
17.7 Tax wrongly deposited – IGST vs. CGST/SGST	B17-20
17.7.1 From inter-state supply to intra-state supply	B17-20
17.7.2 From intra-state supply to inter-state supply	B17-20
17.7.3 Circular No. 26/26/2017-GST, dated 2 Dec. 2017	B17-20
17.8 Interest under GST	B17-20
17.8.1 Rate of Interest and circumstances	B17-20
(A) Interest payable TO the Government	B17-20
(B) Interest payable BY the Government	B17-21
17.8.2 Manner of calculating interest on delayed payment of tax	B17-22
17.8.3 Important case laws and advance rulings	B17-24
17.8.4 Covid related relaxations	B17-25
Chapter B18 Tax Deduction at Source	B18-1
18.1 Tax deduction at source (TDS)	B18-1
18.2 Who is required to deduct TDS?	B18-1
18.3 Rate of TDS	B18-2
18.4 Deduction of TDS - Threshold limit	B18-2
18.4.1 Threshold limit	B18-2
18.4.2 Circumstance when TDS is not required	B18-3
18.4.3 Vide Standard Operating Procedure on TDS by CBIC (Extracts)	B18-3
(A) Conditions for & amount of deduction	B18-3
(B) When tax deduction is not required to be made under GST	B18-3
18.4.4 Case Laws	B18-4
18.5 Goods or services liable for TDS	B18-4
18.6 Obligations or responsibilities of the deductor	B18-5
18.6.1 Responsibilities of the deductor	B18-5
18.6.2 Covid related relaxations	B18-6
18.7 Procedure for TDS registration or cancellation	B18-6
18.7.1 Registration	B18-6
18.7.2 Cancellation	B18-6
18.8 Amendment of TDS Registration	B18-7
18.8.1 Circumstances for amendment of registration	B18-7
18.8.2 Procedure for amendment of registration	B18-7
18.9 How will the amount of TDS be utilized by the supplier?	B18-8
18.10 What would happen if there is excess or erroneous deduction?	B18-9
18.11 Interest and penalties on deductor for various defaults	B18-9
Chapter B19 Refund	B19-1
19.1 Refund – Features	B19-1
19.1.1 Refund and its meaning	B19-1
19.1.2 Grounds of refund and the appropriate form	B19-2
19.1.3 Time Limit for claiming refund [Sec 54(1), (2), (3)]	B19-3
19.1.4 Furnishing of documentary evidence to claim refund [Sec 54(4)]	B19-5
19.1.5 Refund less than INR 1,000/- [Sec 54(14)]	B19-5
19.1.6 Refund of taxes paid under existing laws	B19-5
19.1.7 Filed Nil refund application, inadvertently – Procedure to file fresh application and its disposal	B19-6
19.1.8 Manual filing of refund application and processing (Rule 97A)	B19-6
19.1.9 Mechanism for filing of refund claim by the taxpayers registered in erstwhile U.T. of Daman & Diu for the period prior to merger with U.T. of Dadra & Nagar Haveli	B19-7
19.2 Refund due to inverted tax structure	B19-7
19.2.1 Persons entitled for refund [Sec 54(3)(a)]	B19-7
19.2.2 Determination of amount of refund [Rule 89(5)]	B19-12
19.2.3 Procedure for claiming refund	B19-15
19.2.3A Documents/Statements to be filed online for claiming refund	B19-16
19.2.4 Time limit	B19-18
19.2.5 Manner of allowing refund	B19-18
19.2.6 Disposal of refund application	B19-18
19.3 Refund to Exporters of goods and/or services	B19-18
19.3.1 Zero-rated supply - Export of goods and services	B19-19
19.3.2 Two options are available to such persons	B19-19
19.3.3 Rate of exchange	B19-19
19.3.4 Circumstances - Exporters not eligible for refund of unutilised ITC	B19-20
19.3.5 Provisional refund to zero-rated supply of goods or services	B19-22
19.3.6 Refund of IGST - Export of goods with payment of IGST (Rule 96)	B19-24
19.3.7 Refund of IGST - Export of services with payment of IGST (Rule 96)	B19-32
19.3.8 Refund of ITC - Export of goods/services against Bond or Letter of Undertaking	B19-34
19.3.8A Supplies to Merchant Exporters	B19-43
19.3.8B Export of electricity - Manner of filing refund of unutilized ITC	B19-44
19.3.9 Eligibility date and Limitation period	B19-46
19.3.10 Recovery of refund of unutilised ITC or IGST paid on export of goods where export proceeds not realised	B19-46
19.3.11 Refund for goods sent/taken out of India for exhibition or on consignment basis for export promotion	B19-47
19.3.11A Aadhaar authentication by the registered person	B19-47
19.3.12 Disposal of refund application	B19-48
19.4 Refund related to supply to SEZ developer/SEZ unit	B19-48
19.4.1 Supply to SEZ unit/developer - Zero-rated supply	B19-48
19.4.1A Two options are available to the Suppliers	B19-48
19.4.2 Furnishing of bond or letter of undertaking	B19-49
19.4.3 Filing of application for refund along with documents	B19-49
19.4.4 Determination of amount of refund [Rule 89(4)]	B19-51
19.4.5 Time limit for claiming refund by the supplier	B19-52
19.4.6 Filing of Refund application by the SEZ Unit (Recipient)	B19-52
19.4.7 Disposal of refund application	B19-53
19.5 Refund in case of deemed export of goods	B19-53
19.5.1 Meaning of deemed export	B19-53
19.5.2 Procurement of supplies of goods under deemed export - Procedure	B19-54
19.5.3 Filing of refund application along with documents	B19-55
19.5.4 Refund claimed by the recipients – Clarification in relation to ITC	B19-58
19.5.5 Eligibility date and Limitation period	B19-59
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19.5.6 Disposal of refund application	B19-59
19.6 Refund to United Nation Organisations, Embassies, Diplomats, and other persons notified under sec 55	B19-59
19.6.1 Entitlement of claiming refund	B19-59
19.6.2 Procedure of claiming refund [Rule 95]	B19-60
19.6.3 Time limit	B19-62
19.6.4 Passing of refund order and settlement of funds	B19-63
19.7 Refund to casual or non-resident taxable persons	B19-63
19.7.1 Procedure of claiming refund	B19-63
19.7.2 Disposal of refund application	B19-64
19.8 Tax wrongly deposited – IGST vs. CGST/SGST	B19-64
19.8.1 Circumstances arising refund – Tax wrongly paid	B19-64
19.8.2 Payment deposited in the incorrect head	B19-64
19.8.3 Filing of application to claim refund	B19-64
19.8.4 Eligibility date and Limitation period	B19-65
19.8.5 Disposal of refund application	B19-67
19.9 Refund of IGST paid on supply of goods to outbound tourist	B19-68
19.9A Refund to unregistered persons	B19-68
19.10 Other refunds	B19-71
19.10.1 Nature of refunds and application and documents to be submitted	B19-71
19.10.1A Excess Payment of Tax - GST paid on advance - Supply not made	B19-72
19.10.1B Refund of TDS/TCS deposited in excess	B19-73
19.10.1C Refund of excess balance in electronic cash ledger	B19-73
19.10.1D Refund of excess Payment of Tax	B19-74
19.10.2 Refund of unutilized ITC of compensation cess availed on inputs -where final product is not subject to levy of compensation cess	B19-74
19.10.3 Refund subsequent to favourable order in appeal or any other forum	B19-76
19.10.4 Refund by the Canteen Stores Department (CSD)	B19-77
19.10.5 Eligibility date and Limitation period	B19-78
19.10.6 Disposal of refund application	B19-78
19.11 Self-declaration or Certificate by the Chartered Accountant or the Cost Accountant	B19-79
19.12 Disposal of refund application	B19-80
19.12.1 Acknowledgement of refund application (Rule 90)	B19-82
19.12.1A Withdrawal of refund application	B19-82
19.12.2 Time limit for disposal of refund claim	B19-83
19.12.3 Order sanctioning / rejecting refund [Sec 54(5) read with Rule 92,93]	B19-83
19.12.4 No refund order except as per Sec 54(8)	B19-86
19.12.5 Disbursement of refund by the Govt.	B19-86
19.12.6 Modalities of filing of refund application and disposal thereof	B19-86
19.12.7 Procedure relating to sanction, post-audit and review of refund claims	B19-87
19.12.8 Recovery of sanctioned refund	B19-87
19.13 Withhold/Deduct the refund	B19-87
19.14 Re-credit or payment of demand in case of rejection of refund claim	B19-88
19.14A Re-credit in cases where excess or erroneous refund has been paid back	B19-89
19.15 Interest on delayed refund	B19-90
Chapter B20 Invoice, Accounts and Records	B20-1
20.1 Tax invoice and its contents	B20-1
20.1.1 What is the tax invoice?	B20-1
20.1.2 Tax invoice vs. bill of supply	B20-1
20.1.3 Contents of tax invoice	B20-2
20.1.4 Requirement of mentioning HSN on the invoice	B20-2
20.1.5 Invoice – Export and supply to SEZ	B20-2
20.1.6 Tax invoice for petty amount – Consolidated invoice	B20-3
20.1.7 When signature or digital signature on invoice is not required	B20-3
20.1.8 QR Code on the invoice	B20-3
20.1.9 Invoice of tax payable under sec 74, 129 & 130	B20-8
20.1.10 Invoice to unregistered persons	B20-8
20.1.11 Indication of amount of tax on the tax invoice	B20-9
20.1.12 Time of issuance of tax invoice	B20-9
20.1.13 Revision of invoice in case of new registration	B20-9
20.1.14 Revised invoice	B20-9
(A) Time and manner of issue of revised invoice	B20-9
(B) Contents of the revised invoice	B20-10
20.1.15 Issuance of invoice & payment voucher - Reverse charge (RCM)[Sec 31(3)(f), (g) read with rule 52]	B20-10
20.1.16 Electronic tickets by multiplex screens for exhibition of films	B20-11
20.1.17 Manner of issuance of tax invoice	B20-11
20.1.18 FAQ relating to tax invoice by the CBIC	B20-12
20.1.19 E-invoice	B20-13
20.2 Bill of supply	B20-18
20.2.1 Who is required to issue bill of supply and under what circumstances?	B20-18
20.2.2 Contents of bill of supply	B20-18
20.2.3 Bill of supply for petty amount	B20-18
20.2.4 Provisions of issuance of tax invoice – Applicable to bill of supply	B20-18
20.2.5 Electronic tickets by multiplex screens for exhibition of films	B20-19
20.2.6 Bill of supply by composition taxpayer	B20-19
20.2.7 Person dealing in exempted supplies	B20-19
20.2A Invoice cum bill of supply	B20-19
20.3 Receipt voucher in case of advance collection	B20-20
20.4 Delivery Challan	B20-21
20.5 Credit and debit notes	B20-22
20.5.1 Circumstances when a debit note or credit note is issued	B20-22
20.5.2 Time limit of declaration of credit/debit note in the return [Sec 34(2),(4)]	B20-23
20.5.3 Contents of a debit or credit note	B20-24
20.5.4 GST paid on advance - Supply not made – Reclaim/Refund of Tax paid	B20-24
20.6 Tax invoice in case of input service distributor (ISD)	B20-24
20.6.1 Contents of a ISD invoice or credit note	B20-24
20.6.2 Contents of an invoice or credit/debit note issued to the ISD	B20-24
20.7 Tax invoice in case of banks, financial institution & NBFC	B20-25
20.8 Tax invoice in case of goods transport agency (GTA)	B20-25
20.9 Tax invoice in case of passenger transportation service	B20-26
20.10 Facility of digital payment to recipient	B20-26
20.10A Prohibition of unauthorized collection of tax	B20-26
20.11 Accounts and records - maintenance	B20-26
20.11.1 Nature of accounts, records and documents to be maintained	B20-27
20.11.2 Where to keep and/or maintain accounts and records	B20-30
20.11.3 How to maintain accounts and records	B20-31
20.11.4 Obligations of registered persons towards the Proper Officer	B20-31
20.12 Generation and maintenance of electronic records	B20-32
20.13 Accounts and records by custodian of goods	B20-32
20.13.1 Owner or operator of warehouse or godown or transporter	B20-32
20.13.2 Records by a person having custody over goods [Rule 56(17)]	B20-33
20.13A Unregistered person (exempted from registration) supplying goods through Electronic Commerce Operator - Enrolment	B20-33
20.13B Special procedure to be followed for specified manufacturers	B20-34
(A) Applicability (Specified Manufacturers)	B20-34
(B) Furnishing the details of Packing Machines	B20-34
(C) Additional records to be maintained	B20-34
(D) Special Monthly Statement	B20-35
20.14 Audit of accounts	B20-35
20.15 Accounts and records - retention	B20-36
20.16 Contents of invoice/bill of supply/receipt and refund voucher	B20-37
Chapter B21 Assessment and audit	B21-1
21.1 Self-assessment	B21-1
21.2 Provisional assessment	B21-1
21.2.1 Procedure of provisional assessment	B21-2
21.2.2 Finalization of provisional assessment	B21-2
21.2.3 Liability of interest at the time of final assessment	B21-3
21.2.4 Release of security	B21-3
21.3 Scrutiny of returns	B21-3
21.4 Assessment of non-filers of returns	B21-5
21.5 Assessment of unregistered persons	B21-6
21.6 Summary assessment	B21-7
21.6.1 Circumstances	B21-7
21.6.2 Order of summary assessment	B21-8
21.6.3 Withdrawal of summary assessment	B21-8
21.7 Audit	B21-8
21.7.1 Meaning of the term ‘audit’	B21-8
21.7.2 Order to conduct audit	B21-8
21.7.3 Finalization and proceedings of audit	B21-9
21.7.4 Indicative List of documents to be submitted / to be kept ready for verification by dealer as per GST ADT-01	B21-10
21.8 Special Audit	B21-11
21.8.1 Direction for special audit	B21-11
21.8.2 Person authorised to conduct special audit and its fee & expenses	B21-12
21.8.3 Finalization and Report	B21-12
21.8.4 Proceeding by proper officer based upon report	B21-12
21.9 Generation and quoting of Document Identification Number (DIN)	B21-12
Chapter B22 Show cause notice and adjudication	B22-1
22.1 Determination of tax short/not paid – Scheme	B22-1
22.2 Issue of SCN under sec 73 and 74	B22-1
22.2.1 Broad circumstances of issuance of SCN	B22-1
22.2.2 When can the SCN be issued	B22-2
22.2.3 Who can issue the SCN?	B22-2
22.2.4 Sec 73 vs. Sec 74	B22-2
22.2.5 Circumstances of issue of SCN under sec 74-Extended period	B22-3
22.2.6 What would happen if invoking of Sec 74 is not maintainable?	B22-6
22.2.7 Centre vs. State – Simultaneous powers?	B22-6
22.2.8 SCN under sec 73/74 for recovery of interest or penalty	B22-7
22.2.9 Issue of SCN and statement under sec 73/74	B22-2
22.2.10 Pre-consultation or Pre-SCN	B22-8
22.2.11 SCN should not be vague and incomplete and give opportunity	B22-9
22.2.12 SCN should specify the grounds, reasons and amount in default	B22-9
22.2.13 SCN should be issued within the specified time limit	B22-9
22.2.14 Justifiable reasons to invoke extended period under sec 74	B22-9
22.2.15 Whether Rule 142(1)(a) is ultra-vires?	B22-10
22.2.16 Writ petitions challenging SCN or pre-SCN	B22-10
22.2.17 Manner of service of SCN – Uploading on web portal	B22-11
22.2.18 Other circulars, case laws and advance rulings	B22-11
22.3 Relief/Immunity on voluntary payment	B22-12
22.4 Adjudication	B22-13
22.4.1 Principles specified in Sec 75 of the GST Act	B22-13
22.4.2 General Principles	B22-14
22.4.3 Adjournments	B22-17
22.4.4 Personal hearing	B22-17
22.4.5 Who can adjudicate?	B22-17
22.4.6 Rectification of errors apparent on the face of record	B22-18
22.4.7 Adjudication proceedings not to be invalid	B22-19
22.5 Timeline for issuance of SCN and Adjudication Order	B22-19
22.5.1 Time limit specified under sec 73(10) and 74(10)	B22-19
22.5.2 Extension of time limit - Issue of SCN for erroneous refunds	B22-20
22.5.3 Matters pending before higher forums/courts	B22-20
22.6 Deemed conclusion	B22-20
22.7 Modification of demand	B22-21
22.8 Adjudication of interest and penalty	B22-21
22.8.1 Adjudication of interest	B22-21
22.8.2 Adjudication of penalty	B22-21
22.8.3 Imposition of penalty for delay in filing of return in GSTR-3B	B22-22
22.8.4 Early payment of tax etc. after adjudication under sec 74	B22-22
22.9 Procedure/Steps of SCN and its Adjudication	B22-22
Chapter B23 Collection of tax, Demands & Recovery and Liability in certain cases	B23-1
23.1 Tax collected but not paid to the Government	B23-1
23.2 Tax wrongfully collected and paid to Government	B23-2
23.2.1 Intra-State supply considered as inter-State supply	B23-2
23.2.2 Inter-State supply considered as intra-State supply	B23-2
23.3 Notice of Demand and Recovery proceedings	B23-2
23.3.1 Notice and order for demand of amounts payable – Procedure	B23-2
23.3.2 Initiation of recovery proceedings (Sec 78)	B23-3
23.3.2A Intimation for amount recoverable under sec 79 or Notice for recovery	B23-3
23.3.3 Modes of recovery of tax	B23-3
23.3.4 Recovery by sale of goods under the control of the proper officer [Rule 144]	B23-6
23.3.5 Recovery by sale of movable and immovable property [Rule 147]	B23-7
23.3.6 Disposal of proceeds of sale of goods and movable or immovable property [Rule 154]	B23-9
23.4 Payment of tax and other amount in installments	B23-9
23.5 Transfer of property to be void in certain cases	B23-9
23.6 Tax to be first charge on property	B23-10
23.7 Provisional attachment in certain cases	B23-10
23.7.1 Circumstances	B23-10
23.7.2 Who may order for attachment?	B23-12
23.7.3 Types of property that can be attached	B23-12
23.7.4 Period of attachment – One year	B23-13
23.7.5 Process/Steps of order and objection	B23-14
23.7.6 Important case laws	B23-15
23.8 Attachment of other properties	B23-16
23.8.1 Attachment of debts and shares, etc. [Rule 151]	B23-16
23.8.2 Attachment of property in custody of Courts or Public Officer[Rule 152]	B23-16
23.8.3 Attachment of interest in partnership [Rule 153]	B23-17
23.9 Continuation and validation of certain recovery proceedings	B23-17
23.10 Prohibitions upon the officers and facilities	B23-18
23.10.1 Prohibition against bidding or purchase by officer [Rule 148]	B23-18
23.10.2 Prohibition against sale on holidays [Rule 149]	B23-18
23.10.3 Assistance by police [Rule 150]	B23-18
23.11 Liability to pay in certain cases	B23-18
23.11.1 Nature and extent of the liability	B23-18
23.11.2 Procedure for cancellation of registration in case of death of sole proprietor and transfer of input tax credit	B23-22
Chapter B24 Inspection, search & survey	B24-1
24.1 Inspection	B24-1
24.1.1 The appropriate authority to make the inspection	B24-1
24.1.2 Circumstances	B24-1
24.1.3 Powers of the officers	B24-2
24.1.4 Reason to believe	B24-2
24.1.5 No authority to collect cheques at the time of survey	B24-2
24.1.6 Guidelines for Special All-India Drive against fake registrations	B24-3
24.2 Access to business premises	B24-3
24.2.1 The appropriate authority to access to business premises	B24-3
24.2.2 Powers of the officers and circumstances	B24-4
24.2.3 Obligations and duties of person in charge of business premises	B24-4
24.2.4 Access of business premises in other circumstances	B24-4
24.3 Search and seizure	B24-4
24.3.1 The appropriate authority to authorize search & seizure	B24-5
24.3.2 Circumstances	B24-5
24.3.3 Period for retention of documents or books or goods	B24-7
24.3.4 Procedure to be followed at the time of seizure	B24-8
24.3.5 Powers and obligations of the proper officer	B24-8
24.3.6A Rights of the person	B24-9
24.3.6B Transfer of files from one jurisdiction to another	B24-10
24.3.7 Release of goods on provisional basis	B24-10
24.3.8 Release of perishable or hazardous nature goods [Rule 141]	B24-11
24.3.9 Time limit for issuance of SCN in respect of seized goods	B24-11
24.3.10 Disposal of goods in specified circumstances	B24-12
24.3.11 Making of inventory of the seized goods	B24-12
24.3.12 Applicability of the Code of Criminal Procedure	B24-12
24.3.13 Validity of documents seized during illegal search	B24-12
24.4 Inspection of goods in movement & validation	B24-13
24.5 Powers to summon to produce documents/things	B24-13
24.5.1 Power to summon to produce documents/things	B24-13
24.5.2 Who can summon?	B24-14
24.5.3 Who can be summoned?	B24-14
24.5.4 Consequences of non-appearance to summons	B24-15
24.5.5 Statement of assessee after issue of summon	B24-15
24.5.6 Issue of summons repeatedly	B24-16
24.5.7 Parallel enquiry proceedings under sec 70 by the State and the Centre	B24-16
24.5.8 Right of cross examination	B24-17
24.5.9 No interference by the High Court	B24-17
24.5.10 Guidelines on issuance of summons under sec 70 of the GST Act	B24-18
24.5.11 Format of Summon	B24-18
24.6 Powers to arrest
24.5.11 Format of Summon	B24-18
24.6.1 Power of arrest– Circumstances and quantum of punishment	B24-18
24.6.2 Appearance before the magistrate within 24 hours	B24-18
24.6.3 Cognizable and non-cognizable offences under the GST Act	B24-20
24.6.4 Applicability of the provisions of the Code of Criminal Procedure	B24-21
24.6.5 Guidelines for arrest and bail in relation to offences punishable under the GST Act	B24-21
24.6.6 Format of Arrest Memo	B24-21
24.7 Officers of other departments to assist proper officer	B24-22
24.8 Generation and quoting of Document Identification Number (DIN)	B24-22
24.9 Powers to make sample purchases	B24-23
24.10 Jurisdiction in Enforcement Matters: Centre vs. State	B24-23
24.10.1 Initiation of Enforcement Action by CGST Officers in case of Taxpayers Assigned to SGST Authority and Vice Versa –Clarification	B24-23
24.10.2 Intelligence based enforcement actions by the Central Officers	B24-23
24.10.3 Parallel jurisdiction – State vs. Centre	B24-24
24.10.4 Parallel enquiry proceedings under sec 70	B24-24
24.10.5 Jurisdiction of the Central Officers - Proper officer under sec 73 and 74 of the CGST Act and the IGST Act	B24-24
Chapter B25 Inspection of goods in movement, confiscation and e-way bill	B25-1
25.1 Inspection of goods in movement	B25-1
25.2 E-way bill – Generation, Validity and Cancellation	B25-1
25.2.1 Person responsible for furnishing of information and generation of e-way bill [Rule 138(1) of the GST Rules]	B25-3
25.2.2 E-Way bill to be issued – Movement by way of supply or otherwise	B25-3
25.2.2A Movement may take place within the State or inter-state	B25-4
25.2.3 Value of consignment for mandatory generation of e-way bill –Threshold limit	B25-4
25.2.4 Mode of conveyance	B25-5
25.2.5 How to furnish the information	B25-6
25.2.6 Is e-way bill required when the goods are supplied by an unregistered supplier?	B25-6
25.2.7 Exemption from generation of e-way bill [Rule 138(14)]	B25-6
25.2.8 Manner of generation of e-way bill – Movement by railways or air or vessel [Rule 138(2A)]	B25-7
25.2.9 Manner of generation of e-way bill – Movement by Road [Rule 138(2), (3)]	B25-8
25.2.10 Generation of e-way bill by the e-commerce operator or courier	B25-9
25.2.11 Transferring goods from one conveyance to another [Rule 138(5)]	B25-9
25.2.12 Assignment of e-way bill [Rule 138(5A)]	B25-10
25.2.13 Generation of consolidated e-way bill by transporter and where aggregate value of goods in a conveyance exceeds INR 50,000/-	B25-10
25.2.14 Generation of e-way bill by the transporter in various scenarios	B25-10
25.2.15 Acceptance of details in e-way bill [Rule 138(11), (12)]	B25-12
25.2.16 Optional generation of e-way bill [I & II proviso to Rule 138(3)]	B25-12
25.2.17 Validity period of e-way bill [Rule 138(10)]	B25-13
25.2.18 Cancellation of e-way bill [Rule 138(9)]	B25-13
25.2.19 Use of information furnished in Part A of e-way bill [Rule 138(8)]	B25-14
25.2.20 e-Way Bill in case of “Bill To Ship To� transaction	B25-14
25.2.21 Penalty for non-compliance of e-way bill provisions	B25-15
25.2.22 Important e-way bill FAQ released by the CBIC on 31 March 2018	B25-15
25.2A Intra-State movement of gold, precious stones, Jewellery, etc	B25-15
25.2A.1 Goods falling under Rule 138F	B25-15
25.2A.2 Applicability of Rule 138F	B25-16
25.2A.3 Circumstances when e-way bill is not required	B25-16
25.2A.4 Obligations of the person moving goods	B25-16
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25.2A.5 Cancellation of e-way bill	B25-17
25.2A.6 Other provisions	B25-17
25.3 Obligations of person-in-charge of a conveyance or Transporter – To carry e-way bill, documents and other devices	B25-17
25.3.1 Generation of e-way bill by the transporter	B25-17
25.3.2 Documents to be carried by the person in charge of conveyance –Rule 138A (1)	B25-17
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25.3.3 Invoice reference number in lieu of tax invoice –Rule 138A (2) & (3)	B25-18
25.3.4 Carrying of other documents instead of e-way bill – Rule 138A (5)	B25-18
25.3.5 Obtain a unique RFID and embedding it on to conveyance –Rule 138A(4)	B25-18
25.4 Verification of documents and conveyances [Rule 138B]	B25-19
25.5 Inspection and verification of goods and detention of vehicle	B25-19
25.5.1 Inspection and verification of goods – Rule 138C	B25-19
25.5.2 Facility for uploading information regarding detention of vehicle [Rule 138D]	B25-20
25.5.3 Restriction on furnishing of information in Part A of Form GST EWB-01	B25-20
25.6 Confiscation of goods and/or conveyances and fine	B25-21
25.6.1 Detention, seizure and release of goods and conveyances in transit[Sec 129 of the GST Act]	B25-21
25.6.2 Circumstances when goods and/or conveyances can be confiscated[Sec 130 of the GST Act]	B25-24
25.6.3 Penalty in addition to confiscation of goods	B25-25
25.6.4 Paying fine or compounding amount in lieu of confiscation	B25-25
25.6.4A Whether Sec 129 and 130 overlap or are independent of each other?	B25-26
25.6.4B Provisional release under sec 130	B25-27
25.6.4C Manner and time for recovery of penalty under sec 129	B25-27
25.6.4D Disposal of proceeds of sale of goods and movable/immovable property	B25-27
25.6.5 Judicial pronouncements in respect of detention and confiscation of goods and/or vehicle	B25-28
25.7 Procedure for interception of conveyances for inspection of goods in movement, and detention, release and confiscation of such goods and conveyances	B25-31
25.7.1 Instructions issued by the Board	B25-31
25.8 Prescribed forms	B25-35
Chapter B26 Penalties and Prosecution	B26-1
26.1 Penalties under the GST Act	B26-1
26.1.1 Defaults and amount of penalty	B26-1
26.1.2 General disciplines related to penalty [Sec 126]	B26-6
26.1.3 Power to impose penalty in certain cases [Sec 127]	B26-11
26.1.4 Power to waive penalty or fee or both [Sec 128]	B26-11
26.2 Offences under the GST Act	B26-11
26.2.1 Offences and the punishment/fine	B26-11
26.2.2 Liability of officers and certain other persons [Sec 133]	B26-13
26.2.3 Cognizance of offences [Sec 134]	B26-13
26.2.4 Presumption of culpable mental state [Sec 135]	B26-14
26.2.5 Relevancy of statements under certain circumstances [Sec 136]	B26-14
26.2.6 Offences by companies, firms, etc. [Sec 137]	B26-14
26.2.7 Guidelines for Launching of Prosecution under the CGST Act	B26-15
26.2.8 Compounding of offences [Sec 138]	B26-15
Chapter B27 Appeal, Advance Ruling and Anti-profiteering Provisions	B27-1
27.1 Appeals	B27-1
27.1.1 Nature and scope of the Appeals under the GST Act	B27-1
27.1.1A Date of Service of the order	B27-6
27.1.2 Condition for filing of appeal – Pre-deposit	B27-7
27.1.2A Condonation of delay	B27-8
27.1.2B No right of appeal or non-appealable decisions and orders	B27-10
27.1.2C Filing of appeal against rejection of revised Tran-1	B27-11
27.1.3 Steps of filing of Appeal before the First Appellate Authority	B27-12
27.1.3.1 Filing an Appeal against Demand Order	B27-12
27.1.3.2 Filing of Appeal against Registration Order	B27-16
27.1.3A Withdrawal of Appeal	B27-16
27.1.4 Disposal of appeal by the Appellate Authority [Sec 107]	B27-17
27.1.5 Revisional Authority [Sec 108]	B27-18
27.1.6 Constitution of Appellate Tribunal and Benches thereof [Sec 109]	B27-20
27.1.7 Manner of filing of Appeal before the Appellate Tribunal [Sec 112]	B27-20
27.1.7A Procedure before Appellate Tribunal [Sec 111]	B27-20
27.1.7B Disposal of appeal by the Appellate Tribunal [Sec 113]	B27-21
27.1.8 Production of additional evidence before the Appellate Authority or the Appellate Tribunal [Rule 112]	B27-22
27.1.9 Appeal to the High Court [Sec 117]	B27-23
27.1.10 Appeal to the Supreme Court [Sec 118]	B27-24
27.1.11 Writ denied due to alternative remedy	B27-24
27.1.12 Appeal vis-à-vis Writ Petition before the High Court or the Supreme Court	B27-24
27.1.13 Appearance by authorised representative [Sec 116]	B27-24
27.2 Advance ruling	B27-24
27.2.1 Nature and scope of the Advance Ruling Authority	B27-25
27.2.2 Questions to be referred to the Advance Ruling Authority	B27-25
27.2.3 Application to the Advance Ruling Authority [Rule 104]	B27-26
27.2.4 Can the Recipient of supply file the application for advance ruling?	B27-27
27.2.5 To whom Ruling Authority is binding [Sec 103]	B27-27
27.2.6 Procedure on receipt of application and disposal [Sec 98]	B27-27
27.2.7 Time limit of filing and disposal of appeal by the applicant or the GST Officer [Sec 100 & 101 read with Rule 106]	B27-28
27.2.8 Orders of Advance Ruling Appellate Authority [Sec 101]	B27-29
27.2.9 Appeal to National Appellate Authority	B27-29
27.2.10 Rectification of advance ruling [Sec 102].	B27-29
27.2.11 Powers of Authority and Appellate Authority [Sec 105]	B27-30
27.2.12 Manual filing of applications for Advance Ruling and appeals before Appellate Authority	B27-30
27.3 Anti-profiteering measure	B27-30
27.3.1 Meaning of Authority	B27-31
27.3.2 Broad features of the Anti-Profiteering Authority (APA)	B27-32
Chapter B28 Miscellaneous Provisions	B28-1
28.1 GST Practitioner	B28-1
28.1.1 Eligibility Criteria for becoming GST practitioner [Rule 83(1)]	B28-1
28.1.2 Examination for Enrolment as GST Practitioner [Rule 83A]	B28-2
28.1.3 Application for becoming GST practitioner and validity – Enrolment [Rule 83(2), (3)]	B28-3
28.1.4 Activities of the GST practitioner [Sec 48(1) read with Rule 83(8)]	B28-3
28.1.5 Authorization by the taxpayer to the GST practitioner	B28-4
28.1.6 Responsibility for correctness of particulars	B28-4
28.1.7 Surrender of enrolment of GST practitioner:	B28-5
28.2 Appearance by authorised representative [Sec 116]	B28-5
28.2.1 Who can be authorised representative?	B28-5
28.2.2 Disqualifications of an authorised representative	B28-6
28.3 Service of Notice, Order, Decision, etc. (Sec 169)	B28-6
28.3.1 Manner of service	B28-6
28.3.2 To whom service may be made	B28-7
28.3.3 Deeming provisions in relation to service	B28-7
28.4 Method of authentication (Rule 26)	B28-8
28.4.1 Manner of authentication/sign by the Taxpayer [Rule 26(1)]	B28-8
28.4.2 Who will authenticate/sign (by the Taxpayer) [Rule 26(2)]	B28-9
28.4.3 Manner of issue of notices, certificate and orders in Chapter III [Rule 26(3)]	B28-9
28.5 Other Miscellaneous Provisions	B28-10

Part C

GST RATES

Chapter C1 GST Rates on Goods as on 1 September 2023	C1-1
C1.1 Notification No. 1/2017-Central Tax (Rate), dated 28 June 2017 as amended from time to time	C1-3
C1.1.1 Schedule – I – 5%	C1-4
C1.1.2 Schedule – II – 12%	C1-70
C1.1.3 Schedule – III – 18%	C1-126
C1.1.4 Schedule – IV – 28%	C1-244
C1.1.5 Schedule – V – 3%	C1-300
C1.1.6 Schedule – VI – 0.25%	C1-304
C1.1.7 Schedule – VII – 1.5%	C1-306
C1.2 Explanations and Annexures - Notification No. 1/2017, dated 28 June 2017	C1-316
C1.3 Notification No. 3/2017 [G.S.R. 675(E) dated 28th June, 2017] Notifying 2.5% concessional CGST rate for supplies to petroleum operations undertaken under exploration license/ mining lease	C1-318
C1.4 Notification No. 37/2017-Central Tax (Rate) dated 13 Oct. 2017	C1-325
C1.5 Notification No. 39/2017-Central Tax (Rate) dated 18 Oct. 2017	C1-327
C1.6 Notification No. 40/2017-Central Tax (Rate) dated 23 Oct. 2017	C1-306
C1.7 Notification No. 45/2017-Central Tax (Rate) dated 14 Nov. 2017; Rescinded vide No. 11/2022-Central Tax (Rate) dated 13 July 2022, w.e.f. 18 July 2022	C1-329
C1.8 Notification No. 8/2018-Central Tax (Rate) dated 25 January 2018	C1-334
C1.9 Notification No. 21/2018-Central Tax (Rate) dated 26 July 2018	C1-336
C1.10 Finance Act, 2020 (12 of 2020) (s.132 & s.135) dt. 27 March 2020	C1-339
C1.11 Notification No. 5/2021-Central Tax (Rate) dated 14 June 2021	C1-339
C1.12 Notification No. 12/2021-Central Tax (Rate) dated 30 September 2021	C1-340
C1.13 Notification No. 02/2022-Central Tax (Rate) and No. 02/2022- Integrated Tax (Rate), both dated 31 March 2022	C1-341
Chapter C2 Exemptions in the GST – Goods as on 1 September 2023	C2-1
(A) Notification No. 2/2017-Central Tax (Rate) dated 28 June 2017 as amended from time to time	C2-3
(B) Explanations in Notification No. 2/2017-CT (Rate), dt. 28 June 2017	C2-36
Chapter C3 GST Rates on Services as on 1 September 2023	C3-1
Notification No. 11/2017-Central Tax (Rate) and No. 8/2017-Integrated Tax (Rate), both dated 28 June 2017 as amended from time to time	C3-1
Appendix 1	C3-53
Appendix 2	C3-74
Appendix 3	C3-83
Chapter C4 Exemptions in the GST – Services as on 1 September 2023	C4-1
Notifications relating to exemptions of GST Services	C4-2
(A) Notification No. 09/2017-Integrated Tax (Rate), dated 28 June 2017 as amended from time to time [Other than those covered in Part (B) of this Chapter]	C4-2
(B) Notification No. 12/2017-Central Tax (Rate), dated 28 June 2017; No. 9/2017-Integrated Tax (Rate), dated 28 June 2017 as amended from time to time	C4-5
(C) Notification No. 11/2017- Central Tax (Rate) dated 28 June 2017; No. 8/2017-Integrated Tax (Rate), dated 28 June 2017	C4-40
(D) Notification No. 15/2017- IT (Rate), dated 30 June 2017 rescinded vide No. 17/2017- IT (Rate), dated 05 July 2017; No. 18/2017- IT (Rate), dated 05 July 2017 - SEZ	C4-42
(E) Notification No. 5/2018-CT (Rate), dated 25 January 2018; No. 5/2018- IT (Rate), dated 25 January 2018	C4-42
(F) Notification No. 6/2018- IT (Rate), dated 25 January 2018	C4-42
Explanations and definitions given in the Notifications relating to the services	C4-43
Chapter C5 Rates of Compensation Cess as on 1 September 2023	C5-1
A. GOODS	C5-2
(A.1) Notification No. 1/2017-Compensation Cess (Rate) dated 28 June 2017 as amended from time to time	C5-2
(A.2) Notification No. 4/2017-Compensation Cess (Rate) dated 20 July 2017	C5-15
(A.3) Notification No. 7/2017-Compensation Cess (Rate) dated 13 October 2017	C5-16
(A.4) Notification No. 1/2019-Compensation Cess (Rate) dated 29 June, 2019	C5-17
B. SERVICES	C5-17
(B.1) Notification No. 2/2017-Compensation Cess (Rate) dated 28 June 2017 as amended from time to time	C5-17

About the Author

Rakesh Garg & Sandeep Garg

Sandeep Garg CMA, FCA, a graduate from Shri Ram College of Commerce, Delhi and a fellow member of the Institute of Chartered Accountants of India, has been practicing as CA for almost 30 years. He has co-authored a number of books in past more than 20 years. Amongst others, his well-recognized books are:

Delhi Sales Tax Ready Reckoner
Hand Book for NGOs and NPOs
Migration to GST - Enrolment, Transition and Safeguards
GST Refund – A Practical Guide
Handbook of GST in India
GST Laws Manual – Acts, Rules and Forms
GST Guide with Ready Reckoner
Guide to GST on Services – (HSN Code wise taxability of all services)

He has vast experience in the field of indirect taxation, GST process review and implementation. The NIRC of the I.C.A.I. conferred upon him the Award for Exemplary Services for authoring books in the year 2000. He has also presented papers and contributed as faculty in training programs at various forums.

Rakesh Garg LLB, FCA, a graduate of Shri Ram College of Commerce, Delhi and a fellow member of the Institute of Chartered Accountants of India, has been practicing as CA for more than 38 years and has specialization in Sales Tax, VAT, Service Tax, and now, GST. He has authored a number of books during the last more than 20 years. His first book “Law of Sales Tax on Works Contract in Delhi” was released in 1999. Amongst others, his well-recognized books are:

Delhi VAT Ready Reckoner
Concepts of Central Sales Tax
Goods under Sales Tax Laws
Service Tax Ready Reckoner
Migration to GST - Enrolment, Transition and Safeguards
GST Refund – A Practical Guide
Handbook of GST in India
GST Laws Manual – Acts, Rules and Forms
GST Guide with Ready Reckoner
Guide to GST on Services – (HSN Code wise taxability of all services)

These books have not only been referred extensively by the business community and professionals but also appreciated by the Government Taxation Departments.
For several years, he has been an advisor and convener of Indirect Tax Study Circle of N.I.R.C. of the I.C.A.I., who has also conferred upon him the Award for Exemplary Services for authoring books and contributing as faculty in seminars.
He has presented papers on Sales Tax/VAT and Service Tax in countless meetings with Professionals, Corporates, CII and other Trade Associations; and contributed as faculty in training programs organized by the Revenue Departments for its officers.

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