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Recent Updates Under GST


CBIC has issued certain notifications issued on 9th October, 2019 and various circulars on 3rd October and 11th October, 2019, inter alia, to facilitate filing of GST returns for the next six months, amendment in some of the rules to CGST Rules 2017 and clarifications related to filing of refunds and some other miscellaneous provisions.  A summary of those is provided below:


  1. Notification No. 44/2019 – Central Tax – Extension of returns in Form GSTR-3B for further period of 6 months i.e. from October, 2019 to March, 2020 which is to be filed by 20th of the next month alongwith tax payment.
  2. Notification No. 45/2019 – Central Tax - Prescribing the due date of GSTR 1 for taxpayers filing the same on quarterly basis (i.e. the taxpayers having aggregate turnover up to 1.5 crores annually) for quarter October, 2019 to December, 2019 by 31st January, 2020 and for Quarter January, 2020 to March, 2020 by 30th April 2020.
  3. Notification No. 46/2019 – Central Tax - Prescribing the due date of furnishing GSTR 1 for taxpayers filing the same on monthly basis (i.e. the taxpayers having aggregate exceeding 1.5 crores annually) for the period from October, 2019 to March, 2020 as eleventh day of the month succeeding such month.
  4. Notification No. 47/2019 – Central Tax – Taxpayers having aggregate turnover upto 2 crores (i.e. not liable to GST Audit) and who have not furnished the annual return in Form GSTR – 9 for FY 2017-18, have the option not to file the same for FY 2017-18 and FY 2018-19. However, taxpayers who have already filed the same for FY 2017-18 shall not be allowed to avail this option.
  5. Notification No. 48/2019 – Central Tax – Waiver of fee for filing of various returns (GSTR- 1, GSTR- 7 and GSTR-3B) to be filed by the taxpayers in the state of Jammu and Kashmir for the month of July and August.
  6. Notification No. 49/2019 – Central Tax – Amendment brought in Central GST Rules, 2017 to the effect
    • that any taxpayer who has suo motu applied for cancellation for registration or otherwise, shall not issue any tax invoice or charge GST on any supply during the period of suspension
    • the ITC not reflecting in GSTR - 2A exceeding 20% of the total eligible ITC for the period shall not be allowed to be claimed.
    • Form GST DRC-01A has been prescribed for intimation of tax ascertained by Proper Officer as payable in fraud and non-fraud cases.
    • Due date of furnishing FORM GST TRAN-1 and FORM GST TRAN-2 has been extended to December 31, 2019 and January 31, 2020 respectively in respect of registered persons who could not submit the said declaration by the due date on account of technical difficulties on the common portal and in respect of whom the Council has made a recommendation for such extension.
  7. Circular No. 110/29/2019-GST dated 3rd October, 2019 provides clarification regardineligibility to file a refund application in Form GST RFD-01 for a period and category under which a nil refund application has already been filed.
    A registered person who has filed a Nil refund claim for a specified period in Form GST RFD-01A/ RFD-01 may again apply for refund for the said period by satisfying the following 2 conditions:
  8. He must have filed a Nil refund claim in the said form
  9. No refund claim must have been filed by the person under the same category in the subsequent period.

The above condition (b) shall only apply to the refund of unutilized ITC the following categories:

  • Exports without payment of tax
  • Supplies made to SEZ Unit/ SEZ Developer without payment of tax
  • Accumulation due to inverted tax structure

Registered persons satisfying the above conditions may file the refund claim under “any other” category instead of the category in which Nil return has been filed.
On receipt of the claim, the proper officer shall calculate the admissible refund amount as per the applicable rules. Further, upon scrutiny of the application for completeness and eligibility, if the proper officer is satisfied that the whole or any part of the amount claimed is payable as refund, he shall request the taxpayer in writing, if required, to debit the said amount from his electronic credit ledger through FORM GST DRC-03. Once the proof of such debit is received by the proper officer, he shall proceed to issue the refund order in FORM GST RFD-06 and the payment order in FORM GST RFD-05.

  1. Circular No. 111/30/2019-GST dated 3rd October, 2019 clarifies Procedure to claim refund in Form GST RFD-01 subsequent to favourable order in appeal or in any other forum.
    In case a registered person who makes an application for refund of unutilized ITC, he will debit the same to his electronic credit ledger and if he gets a partial approval of refund from the proper officer and prefer to file an appeal for the rejected amount of refund, he shall not credit that to the electronic credit ledger. The refund approved by appellate authority shall be claimed afresh under “Refund on account of assessment/provisional assessment/appeal/any other order”. Now the claim not refunded can be credited to the Electronic credit ledger and Form GST RFD 01B shall be uploaded for the refund amount.
  2. Circular No. 112/31/2019-GST dated 3rd October, 2019 Withdraw circular no. 105/24/2019-GST dated 28/06/2019”
    This circular hereby withdraws, ab-initio, Circular No.105/24/2019-GST dated 28.06.2019, wherein certain clarifications were given in relation to various doubts related to treatment of secondary or post sales discounts under GST.
  3. Circular No.113/32/2019-GST dated 11th October, 2019, issued clarifying GST rates and classification of goods like leguminous vegetables, Almond Milk, Mechanical Sprayer, taxability of Imported stores by India Navy, taxability of goods imported under lease, Applicability of GST rate on parts for the manufacture solar water heater and system, Applicability of GST on the parts and accessories suitable for use solely or principally with a medical device etc.
  4. Circular No.114/33/2019-GST dated 11th October, 2019 issued to clarify regarding scope of providing support services to exploration, mining or drilling of petroleum crude or natural gas or both.
  5. Circular No.115/34/2019-GST dated 11th October, 2019 clarifies issue regarding GST on Airport levies like Passenger Service Fee (PSF) and User Development Fee (UDF).
    • The Airline shall not be liable to pay GST on the PSF and UDF charges (for airport services provided by airport licensee) in case the Airline is acting as a pure agent of the Airport Operator (Provided that all conditions under Rule 33 of the CGST Rule are satisfied).
    • The Airport operators shall pay GST on PSF and UDF and the airline shall not take ITC on such PSF and UDF. The registered passengers, who are the ultimate recipient of the airport services, may take ITC of GST paid on PSF and UDF on the basis of pure agent’s invoice issued by the airline to them.
    • The collection charged paid by the Airport operator to the Airlines on which airlines shall be liable to pay GST on the same under forward charge. ITC of the same will be available with the Airport operator.
  6. Circular No.116/35/2019-GST dated 11th October,2019 - It is clarified with regard to Levy of GST on services of display of name or placing of name plates of donor in the premises of charitable organisation receiving donation or gifts. GST shall not be leviable if 3 conditions are satisfied
  7. Gift or donation is made to a charitable organization
  8. Payment has the character of gift or donation
  9. Purpose is neither commercial gain nor an advertisement
  10. Circular No.117/36/2019-GST dated 11th October,2019 – It is clarified regarding applicability of GST exemption to the DG Shipping approved maritime courses conducted by Maritime Training Institute of India.
  11. Circular No.118/37/2019-GST dated 11th October, 2019 – It is clarified that the place of supply of software design by supplier located in taxable territory to service recipient located in non-taxable territory by using sample prototype hardware / test kits in a composite supply, where such testing is an ancillary supply, is the location of the service recipient as per Section 13(2) of the IGST Act. Provisions of Section 13(3) (a) of IGST Act (I.e. performance-based services in respect of “goods required to be made physically available by the recipient to the provider”) do not apply separately for determining the place of supply for ancillary supply in such cases.
  12. Circular No.119/38/2019-GST dated 11th October, 2019 - It is clarified that lending charges charged by the lenders from the borrowers under security lending scheme (prescribed by SEBI for the purpose of facilitating lending and borrowing of securities) shall be chargeable to GST under forward charge from 1st July 2017 to 30th September 2019 and afterwards GST shall be payable by the borrower under Reverse charge. The activity of lending of securities is not a transaction in securities as it does not involve disposal of securities and hence GST would levy.
  13. Circular No.120/39/2019-GST dated 11th October, 2019 – It is clarified that the explanation on 27.07.2018 inserted with regard to the fact that where the Central or State Government or any Local authority is engaged as public authorities, the activity shall not be treated as business; the said clarification shall be applicable from the original date i.e. 21.09.2017 from when the activity was granted the concessional GST rate of 12%.
  14. Circular No.121/40/2019-GST dated 11th October, 2019 - It is clarified that granting of liquor license against licence fees or applicable fees by state government is neither a supply of goods nor a supply of services. This notification applies only to granting of liquor licence not on any other license.