Updated on 21 June 2019: 35th GST Council Meeting was held on 21st June 2019 under the chairmanship of newly elected Union Finance Minister Mrs. N Sitharaman and few important decisions were undertaken. Key Highlights of 35th GST Council Meeting
The GST Council in its 32nd Meeting held today under the Chairmanship of the Union Minister of Finance & Corporate Affairs, Shri Arun Jaitley in New Delhi gave approval for the following:
Changes made by CGST (Amendment) Act,2018, IGST (Amendment) Act, 2018, UTGST (Amendment) Act, 2018 and GST (Compensation to States) Amendment Act, 2018 along with amendments in CGST Rules, notifications and Circulars issued earlier and the Corresponding Changes in SGST Acts would be notified w.e.f. 01.02.2019.
The Last Date for passing the examination for GST Practitioners to be extended till 31.12.2019 for those GST Practitioners who have enrolled under rule 83(1)(b) i.e. who were sales tax practitioner or tax return preparer under the existing law for a period of not less than five years.
Decisions around MSME Relief
The GST Council in its 32nd Meeting held today under the Chairmanship of the Union Minister of Finance & Corporate Affairs, Shri Arun Jaitley in New Delhi took the following major decisions to give relief to MSME (including Small Traders) among others –1) Higher Exemption Threshold Limit for Supplier of Goods:
Basic exemption limit for suppliers of goods will be increased from Rs 20 lakhs to Rs 40 lakhs. However, this limit remains Rs 20 lakhs for suppliers of services. For the special category States, the limit for registration is currently at Rs 10 lakhs. This limit in case of supply of goods is increased up to Rs 20 lakhs and such States have been given an option to either choose Rs 40 lakhs or Rs 20 lakhs threshold limit in a week’s time. Operational from the 1ST of April, 2019.2) Composition Scheme for Services:
A Composition Scheme shall be made available for Suppliers of Services (or Mixed Suppliers) with a Tax Rate of 6% (3% CGST +3% SGST) having an Annual Turnover in the preceding Financial Year up to Rs 50 lakhs.
The said Scheme Shall be applicable to both Service Providers as well as Suppliers of Goods and Services, who are not eligible for the presently available Composition Scheme for Goods.
They would be liable to file one Annual Return with Quarterly Payment of Taxes (along with a Simple Declaration). Operational from the 1ST of April, 2019.3) Increase in Turnover Limit for the existing Composition Scheme:
The limit of Annual Turnover in the preceding Financial Year for availing Composition Scheme for Goods shall be increased to Rs 1.5 crore. Special category States would decide, within one week, about the Composition Limit in their respective States. Operational from the 1ST of April, 2019.4) Compliance Simplification:
The compliance under Composition Scheme shall be simplified as now they would need to file one Annual Return but Payment of Taxes would remain Quarterly (along with a simple declaration). Operational from 1ST April, 2019.5) Free Accounting and Billing Software
shall be provided to Small Taxpayers by GSTN.
Matters referred to Group of Ministers:
Revenue Mobilization for Natural Calamities:
- A seven Member Group of Ministers shall be constituted to examine the proposal of giving a Composition Scheme to Boost the Residential Segment of the Real Estate Sector.
- A Group of Ministers shall be constituted to examine the GST Rate Structure on Lotteries.
GST Council approved Levy of Cess on Intra-State Supply of Goods and Services within the State of Kerala at a rate not exceeding 1% for a period not exceeding 2 years.
You may read about the 31st GST Council Meeting
IRIS Business is a leading GST Suvidha Provider (GSP) providing easy and efficient solution for GST
(IRIS Sapphire) and E-way bill (IRIS Topaz) compliance
. To have your GST queries solved and to know more about our solution, please contact us at email@example.com