GST: The King of amendments

GST in our country is so prone to amendments that something that you read a week back might be redundant now. Keeping a track of all the changes in GST Act is certainly no piece of cake. The GST Council on Nov 9, 2017 made major amendments in the Act.


So what do you get? Here are some major changes simplified just for you:

  • Munching food at Restaurants are now charged at 5%, Good for foodies like us! Okay what else
  • Chewing gum / bubble gum and white chocolate, not containing cocoa is now cheaper so keeps chewing guys.
  • Chocolates and other food preparations containing cocoa are cheaper. For the Girls obviously!
  • Shaving razors and deodorants are cheaper.
  • Winter is here and tax rates on Wool have decreased as well. Expect Woolen Clothes on sale soon.
  • Printers are their Ink Cartridges will cost less.
  • Cleaning your home is easier with Vacuum Cleaners now having lower tax rate.
  • Rates reduced for 178 items from 28% to 18% effective Nov 15, 2017. Some of them are:
    Washing Machines
    Air Conditioners
    Make up
    Sanitary Items
  • Outdoor Catering will be charged @18% with ITC
  • Restaurants in Hotel will be charged @5% without ITC (except hotels with room tariff of 7500 and above where tax will be charged @18% with ITC)

Some other Important Changes in GST:-

Composition scheme expanded
Threshold for Composition scheme to be increased to Rs. 1.5 Crores. Uniform tax rate of 1% applicable for both traders and manufacturers. Composition suppliers allowed services upto Rs. 5 lakh per annum for eligibility. Exempted supply not to be taxed at 1%.

GST Returns

Filing of Form GSTR 2 and GSTR 3 has been suspended for the current financial year. Only GSTR 1 is to be filed as per the below schedule.

For suppliers having turnvover below 1.5 crores,
For the period of July to Sept – 31st Dec 2017
For the period of Oct to Dec – 15th Feb 2018
For the period of Jan – Mar – 30th Apr 2018

For suppliers having turnvover more than 1.5 crores,
For the period of Jul to Oct – 31st Dec 2017
For the month of Nov – 10th Jan 2018
For the month of Dec – 10th Feb 2018
For the month of Jan – 10th Mar 2018
For the month of Feb – 10th Apr 2018
For the month of Mar – 10th May 2018

Filing of return in Form 3B to be continued till March.

For small taxpayers, return to be simplified. It is not clear whether small suppliers will have to file monthly or quarterly (as proposed in the last meeting).

A committee to simplify details of GSTR 2 and GSTR 3 will be setup.

*TRAN-1 date extended *
The due date of TRAN-1 has been extended to December 31, 2017.

Penalties reduced
Rate of penalty for delay in filing of returns will be reduced from Rs. 200 per day to Rs. 20 per day for suppliers with nil returns. For others, penalty to be reduced to Rs. 50 per day.

GSTR-4 extended

Due date for return of suppliers covered in composition scheme in Form GSTR-4 has been extended to 24th December 2017.

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Post Author: Rohit Sharma

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