GST News Latest Update November 2017

GST News Latest Update

GST News Latest Update

GST News Latest Update the tax rates on over 200 items, including chocolates, chewing gums, coffee, beauty products, etc. were slashed from 28% to 18%. The GST council pruned the list of items in the top 28% GST slab to just 50 from current 228. Thus, only luxurious and sins goods are now in the highest tax bracket and the items of daily use are shifted to 18%.

GST News Latest Update

Eating out gets cheaper

All restaurants will be levied the GST at 5%, without input tax credit benefits. Further, five-star restaurants within starred-hotels with room rent above Rs. 7,500 shall attract 18% and can still avail ITC benefits. Outdoor catering will attract 18 percent GST with input tax credit benefits.GST News Latest Update

The top tax rate of 28% will now be levied on goods like pan masala, aerated water, and beverages, cigars and cigarettes, cement, perfumes, paints, tobacco products, ACs, washing machine, dishwashing machine, refrigerators, vacuum cleaners, two-wheelers, cars, aircrafts, and yachts.GST News Latest Update

Reduction in GST

  • GST on 13 items is reduced to 12% from 18%.
  • GST on items has been brought into 12% GST slab from 28%.
  • 6 items are brought into 5% from 18% slab
  • GST on 8 items is cut to 5% from 18%.
  • The tax rate on 6 items is lowered to 0 from 5%.
  • The tax on wet grinders and armored vehicles is cut to 12% from 28%.
  • The tax rate on 6 items is reduced to 5% from 18%, on 8 items from 12% to 5% and on 6 items from 5% to nil.

Items on which GST is cut from 28% to 18%:

Wire, cables, insulated conductors, electrical insulators, electrical plugs, switches, sockets, fuses, relays, electrical connectors

Electrical boards, panels, consoles, cabinets etc. for electric control or distribution

Particle/fiber boards and plywood. Article of wood, wooden frame, paving block

Furniture, mattress, bedding and similar furnishing

Trunk, suitcase, vanity cases, briefcases, traveling bags and other handbags, cases

Detergents, washing and cleaning preparations

Liquid or cream for washing the skin

Shampoos; Hair cream, Hair dyes (natural, herbal or synthetic) and similar other goods; henna powder or paste, not mixed with any other ingredient

Pre-shave, shaving or after-shave preparations, personal deodorants, bath preparations, perfumery, cosmetic or toilet preparations, room deodorizer

Perfumes and toilet waters

Beauty or make-up preparations

Fans, pumps, compressors

Lamp and light fitting

Primary cell and primary batteries

Sanitary ware and parts thereof of all kind

Articles of plastic, floor covering, baths, shower, sinks, washbasins, seats, sanitary ware of plastic

Slabs of marbles and granite

Goods of marble and granite such as tiles

Ceramic tiles of all kinds

Miscellaneous articles such as vacuum flasks, lighters

Wristwatches, clocks, watch movement, watch cases, straps, parts

Article of apparel & clothing accessories of leather, guts, fur skin, artificial fur and other articles such as saddlery and harness for any animal

Articles of cutlery, stoves, cookers and similar non-electric domestic appliances

Razor and razor blades

Multi-functional printers, cartridges

Office or desk equipment

Door, windows and frames of aluminum.

Articles of plaster such as board, sheet

Articles of cement or concrete or stone and artificial stone

Ceramic flooring blocks, pipes, conduit, pipe fitting

Articles of mica

Articles of asphalt or slate

Wallpaper and wall covering

Glass of all kinds and articles thereof such as mirror, safety glass, sheets, glassware

Electrical, electronic weighing machinery

Fire extinguishers and fire extinguishing charge

Forklifts, lifting and handling equipment

Bulldozers, excavators, loaders, road rollers

Earthmoving and leveling machinery

Escalators

Cooling towers, pressure vessels, reactors

Crankshaft for sewing machine, tailor’s dummies, bearing housings, gears and gearing; ball or roller screws; gaskets

Electrical apparatus for radio and television broadcasting

Sound recording or reproducing apparatus

Signaling, safety or traffic control equipment for transports

Physical exercise equipment, festival and carnival equipment, swings, shooting galleries, roundabouts, gymnastic and athletic equipment

All musical instruments and their parts

Artificial flowers, foliage and artificial fruits

Explosive, anti-knocking preparation, fireworks

Cocoa butter, fat, oil powder,

Extract, essence ad concentrates of coffee, miscellaneous food preparations

Chocolates, Chewing gum/bubble gum

Malt extract and food preparations of flour, groats, meal, starch or malt extract

Waffles and wafers coated with chocolate or containing chocolate

Rubber tubes and miscellaneous articles of rubber

Goggles, binoculars, telescope

Cinematographic cameras and projectors, image projector

Microscope, specified laboratory equipment, specified scientific equipment such as for meteorology, hydrology, oceanography, geology

Solvent, thinners, hydraulic fluids, anti-freezing preparation

Items on which GST is cut to 12% from 28%

Wet grinders consisting of stone as grinder

Tanks and other armored fighting vehicles

 Items on which GST is cut to 12% from 18%

Condensed milk
Refined sugar and sugar cubes
Pasta
Curry paste, mayonnaise and salad dressings, mixed condiments and mixed seasoning

Diabetic food

Medicinal grade oxygen

Printing ink

Handbags and shopping bags of jute and cotton

Hats (knitted or crocheted)

Parts of specified agricultural, horticultural, forestry, harvesting or threshing machinery

Specified parts of sewing machine

Spectacles frames

Furniture wholly made of bamboo or cane

Items on which GST is cut to 5% from 18%

Puffed rice chikki, peanut chikki, sesame chikki, revdi, tilrevdi, khaza, kazuali, groundnut sweets gatta, kuliya

Flour of potatoes put up in unit container bearing a brand name

Chutney powder

Fly ash

Sulphur recovered in refining of crude

Fly ash aggregate with 90% or more fly ash content

Items on which GST is cut from 12% to 5%

Desiccated coconut

Narrow woven fabric including cotton newer [with no refund of unutilized input tax credit]

Idli, dosa batter

Finished leather, chamois and composition leather

Coir cordage and ropes, jute twine, coir products

Fishing net and fishing hooks

Worn clothing

Fly ash brick

Items on which GST is cut from 5% to nil

Guar meal

Hop cone (other than grounded, powdered or in pellet form)

Certain dried vegetables such as sweet potatoes, maniac

Unworked coconut shell

Fish frozen or dried (not put up in unit container bearing a brand name)

Khandsari sugar

GST rates on aircraft engines are cut from 28%/18% to 5%, aircraft tires from 28% to 5% and aircraft seats from 28% to 5%. GST rate on bangles of lac/shellac is also cut from 3% to nil.GST News Latest Update

Changes in GST Composite Scheme

  • Composition scheme limit has been increased to Rs. 1.5 crore.
  • 1% GST rate for manufacturers & traders
  • Composition tax of 1% on turnover of taxable goods (turnover of exempted goods to be excluded)
  • Those supplying goods & services (services not exceeding Rs. 5 lakhs in total) eligible for composition scheme.
  • Composition Returns, GSTR-4 due date extended to 24th
  • Composition dealers cannot make inter-state sales. Input Tax benefit not allowed.

Relief in GSTR compliance

  • All businesses to file GSTR-1 and GSTR-3B till March 2018.
  • GSTR-2 and GSTR-3 filing dates for July 2017 to March 2018 will be worked out later by a Committee of Officers.
  • All businesses to file GSTR-3B by 20th of next month till March 2018.
  • Turnover under Rs. 1.5 crores to file quarterly GSTR-1.
  • Turnover above Rs. 1.5 crores to file monthly GSTR-1.

New GSTR-1 filing due dates

For turnover up to Rs. 1.5 crore:

Period (Quarterly)

Due Dates

July-September

31st December 2017

October-December

15th February 2018

January-March

30th April 2018

For turnover above Rs. 1.5 crores:

Period

Dates

July-October

31st December 2017

November

10th January 2018

December

10th February 2018

January

10th March 2018

February

10th April 2018

March

10th May 2018

All service providers with turnover up to Rs. 20 lakhs are exempted from GST registration including those who supply inter-state or supple thorough e-commerce operator, such service providers do not have to register.

For restaurants: GST rate is cut to 5% with no input tax credit.

GSTR filing extensions

Return

Old Due Date

Revised Due Date

GSTR-5 (for Non-Resident)

Earlier of 20th August 2017 or 7 days from date of registration

15th December 2017

GSTR-4 (for composition dealers)

18th October 2017

24th December 2017

GSTR-6 (for input service distributor)

13th August 2017

31st December 2017

ITC-04 (for job work) for quarter of July-September

25th October 2017

31st December 2017

TRAN-1

30th September 2017

31st December 2017

GST News Latest Update

Other taxpayer relief measures

  • For delayed filing of nil returns, late fee reduced from Rs. 200 per day to Rs. 20 per day.
  • Late fees for GSTR-3B of July, August and September waived. Any late fees paid for these months will be credited back in electronic cash ledger under “tax” & can be utilized to make GST payments.
  • Manual filing for advance ruling application to be introduced.
  • Export of services to Nepal and Bhutan are exempted from GST and now has been allowed to claim a refund of input tax credit paid if any.
  • TRAN-1 can be filed and revised till 31st December 2017. Revision to be done only once.
  • Timelines for filing of GSTR-2 & GSTR-3 for July to March 2018 to be worked out by Committee of Officers. However, subsequently, month filing of GSTR-1 will not be impacted.

All the above changes are to be made prospectively from 15th November 2017.GST News Latest Update

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