Steps to be taken by taxpayers to file Form GSTR 9C

1. Digital Signature Certificate (DSC)

i. Digital Signature Certificate (DSC) must be PAN based and in format PKCS7.
ii. DSC must not be corrupted.
iii. DSC should be valid and must not have expired.

2. Pre-requisites for filing FORM GSTR - 9C.
i. Prior filing of Annual Return GSTR-9 is mandatory.
ii. Form GSTR-9C has to be prepared by the Auditor by filling up data in the Offline Tool available on the GST portal.

Note: Any observations/ comments must be entered in excel tool directly and must not be copy/pasted from anywhere else.

Steps for Filing Form GSTR 9C	Actions to be done on GST Portal/Offline or through email communication with Auditor
I. Taxpayer should compile details & Data and send the same to Auditor.
A. The Form GSTR-9 that has already been filed on GST portal (gst.gov.in) should be downloaded (in PDF format).	ON GST Portal
B. Taxpayer should download GSTR-9C Tables by clicking on “initiate filing” available under the tab of GSTR 9C. The tables (derived from Form GSTR-9) contain following pre-filled fields (as filed in Annual return): i. Turnover ii. Taxable turnover iii. Total amount of tax paid iv. ITC	ON GST Portal
C. The above mentioned PDF files of GSTR 9 and tables of GSTR 9C should be sent to the Auditor for Preparing GSTR-9C Statement.	Through email/offline
II. Auditor Prepares GSTR-9C Statement Using GSTR-9C Offline Utility.	Offline
D. Download GSTR-9C Offline Utility from GST portal in “Downloads”.	ON GST Portal
E. Install emSigner after downloading the latest version from GST Portal.	ON GST Portal
F. Open the GSTR-9C Offline Utility Excel Worksheet.	Offline
G. Add table-wise details in the Worksheet.	Offline
H. Generate Preview PDF file to view Draft Form GSTR-9C	Offline
I. Generate JSON File and	Offline
J. Auditor needs to affix his/her DSC.	Offline
K. Auditor needs to send the Signed JSON File to the Taxpayer.	Can use email or offline storage devices such as USB etc. to exchange files with each other.
III. Taxpayer Uploads GSTR-9C Statement (prepared by Auditor)
L. Click “initiate filing” and upload other relevant documents and by clicking on “prepare offline” Upload the Signed JSON File on GST Portal and Save form.	ON GST Portal
M. Sign the Form and complete filing of Form GSTR-9C.	ON GST Portal

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Process to claim TDS and TCS Credit Received on GST Portal

 Step I: - Login to GST Portal

Step II: - Select TDS and TCS Credit Received

Step III: - Click on Prepare Online

Step IV: - Click on Table – TDS Credit Received or TCS Credit Received.

Step V: - On Clicking Table a Summary of TDS Received is displayed, then select Transaction and Click on Accept (If you think any Transaction is not correct than you can reject).
Step VI: - On Accepting Transaction TDS or TCS Credit will be displayed in Respective table, Accept Declaration and Select Authorized Signatory then Click on File TDS TCS Credit Received and File using DSC or EVC.

On Successfully Filling of TDS and TDS Credit Received Amount of TDS and TCS Credit will be automatically credited to Electronic Cash Ledger.

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Treatment of Sales Promotion Schemes under GST

Free Samples and Gifts: - As Per sec 7 (1) (a) Supply includes all forms of Supply of Goods or Service or both as Sale, Transfer, Barter, Exchange, License, Rental, Lease or Disposal made or agreed to be made for a consideration by a person in the course or furtherance of business. However, as per Schedule I of CGST Act 2017 following Activities to be treated as Supply even made without Consideration: -
• Permanent transfer or disposal of business assets where Input Tax Credit has been availed on such assets.
• Supply of Goods or Service or both between related persons or distinct person as specified in Sec 25, made in the course or furtherance of Business. Provided Gift by Employer to Employer value not exceeding Rs. 50000 in a financial year shall not be treated as Supply of Goods or Service or both.
• Supply of Goods by a Principal to his agent where the agent undertakes to supply such Goods on the behalf the Principal or Supply of Goods by an Agent to his Principal where the agent undertakes to receive such Goods on behalf of the Principal.
• Import of Service by a Taxable Person from a Related Person or from any of his other establishments outside India, in the Course or Furtherance of Business.

Therefore Sample which are supplied free of Cost (Without Consideration) does not qualify as Supply except Activities Covered under Schedule I of CGST Act 2017.
As Per Sec 17(5) (h) of CGST Act 2017 Input Tax Credit (ITC) shall not be available in respect of Goods, Lost, Stolen, Destroyed, Written off or disposed of by way of Free Gifts or Free Samples etc. Thus, no Input Tax Credit (ITC) is not available to Supplier on Inputs, Input Service and Capital Goods to the extend they are used in relation to Free Gifts or Free Sample distributed without any consideration. However, where Activity of Supply of Gifts or Free Sample treated as Supply on account of Provisions contained in Schedule I of CGST Act 2017, supplier would be eligible to avail Input Tax Credit (ITC).

Buy one get one free: - Where Goods supplied under Offer as ‘Buy One, Get One Free’ or under other similar offer than such Supply will be treated as Composite or Mixed Supply under Sec 8 of CSGT Act 2017, therefore it will be treated as Supply of Two Goods for the Price of one. Taxability of such Supply will depend upon type of Supply (i.e. Composite Supply or Mixed Supply). Input Tax Credit (ITC) shall be available to the Supplier for Inputs, Input Service and Capital Goods used in relation to Supply of Goods or Service or both as part of such Offer.

As Per Sec 8 of CGST Act 2017 -
Composite Supply means Supply consisting of two or more supplies of Goods or Service or Both, which are Naturally Bundled and supplied in conjunction with each other in ordinary course of Business, one of which is a Principal Supply. Tax Liability shall be at the rate of Principal Supply. Example: - Charger Supplied with Mobile Phone.

Mixed Supply means Supply consisting of two or more supplies of Goods or Service or Both which are not naturally bundled and can be supplied independently but still supplied together. In other words, Mixed Supply means Supply consisting of two or more supplies of Goods or Service or Both made in conjunction with each other by a Taxable Person for a single Price where such supply does not constitute a Composite Supply.     
Discounts including ‘Buy more, save more’ offer: - Where Supplier offers like Buy two or Get 20% off, 30% Discount on Purchase of RS.10000 or more and Get 1% Additional Discount on Purchase of 20000 Quantity or more in a year, in such case Discount offered by supplies to customers including staggered discount under such schemes shall be excluded from the Value of Supply determined under sec 15(3) of CGST Act 2017, including the reversal of Input Tax Credit (ITC) by the recipient of Supply attributable to Discount on the basis of documents(s)  issued by the Supplier. Supplier shall be entitled to avail the Input Tax Credit (ITC) for such Inputs, Input Services and Capital Goods used in relation to Supply of Goods or Service or both on such Discount.   

Secondary Discount:- As Per Sec 34(1) of CGST Act 2017, where one or more tax invoices have been issued for supply of any goods or services or both and the taxable value or tax charged in that tax invoice is found to exceed the taxable value or tax payable in respect of such supply, or here the goods supplied are returned by the recipient, or where goods or services or both supplied are found to be deficient, the registered person, who has supplied such goods or services or both, may issue to the recipient one or more credit notes for supplies made in a financial year containing such particulars as may be prescribed.
As per clarification vide Circular No. 92/11/2019-GST Financial/Commercial Credit Note can be issued by Supplier even if the conditions of Sec 15(3)(b) of CGST Act 2017 are not satisfied (i.e. credit note(s) can be issued as a commercial transaction between the two contracting parties).  Value of Supply shall not include any discount by way of issuance of Credit Note(s) as Secondary Discount or by any other means except in cases where provisions of Sec 15(3) (b) of CGST Act 2017 are satisfied. However, there will be no Impact on Availability of Input Tax Credit (ITC) in the Hands of Supplier in case of Secondary Discount, i.e. Supplier shall be entitled to avail the Input Tax Credit (ITC) for such Inputs, Input Services and Capital Goods used in relation to Supply of Goods or Service or both on such Discount.

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Validity and Extension of E -Way Bill

E – Way Bill (Electronic Way Bill) is a document needs to be generated before movement of Consignment of Goods commences if Consignment Limit exceeds Rs. 50000 ( However Threshold limit of E-way Bill in some states exceeding Rs. 50000). For Calculation of Threshold limit GST Charged on Supply will be included but Value of Exempted Supply shall be excluded.

Validity of E – Way Bill

For Normal Cargo: -
• For Distance up to 100 Km – Valid for One Day
• For Every 100 Km or Part thereof beyond 100 Km: - Valid for Additional One Day for Every 100 Km or Part thereof.

For Over Dimensional Cargo: -
• For Distance up to 20 Km – Valid for One Day
• For Every 20 Km or Part thereof beyond 20 Km: - Valid for Additional One Day for Every 20 Km or Part thereof.
Extension of E – Way Bill
Validity of E – Way Bill can be extended 8 Hours before Expiry of validity or 8 Hours after Expiry of Validity.

Cancellation of E – Way Bill
E – Way Bill can be cancelled within 24 Hours of generation if any mistake or incorrect entry in E- Way Bill, Provided that E – Way Bill has not been verified by Officer(s) in transit.

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Recommendation of 33rd GST Council Meeting

GST rate:-

• GST shall be levied at effective GST rate of 5% without ITC on residentialp properties outside affordable segment;
• GST shall be levied at effective GST of 1% without ITC on affordable housingp properties

Effective date: -
The new rate shall become applicable from 1 of April, 2019.

Definition of affordable housing shall be:-
A residential house/flat of carpet area of upto 90 sqm in non-metropolitan cities / towns and 60 sqm in metropolitan cities having value upto Rs. 45 lacs (both for metropolitana nd non-metropolitan cities).

Metropolitan Cities are Bengaluru, Chennai, Delhi NCR (limited to Delhi, Noida, Greater
Noida, Ghaziabad, Gurgaon, Faridabad), Hyderabad, Kolkata and Mumbai (whole of
MMR).

GST exemption on TDR/ JDA, long term lease (premium), FSI:
Intermediate tax on development right, such as TDR, JDA, lease (premium), FSI shall bee exemptedonly for such residential property on which GST is payable.

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Deemed Exports in GST

• Supplies made to Export Oriented Unit (EOU) / Software Technology Park (STP) /Electronic Hardware Technology Park (EHTP) /Bio –Technology Park (BTP).
• Supplies made against Advance Authorization/ Duty Free Import Authorization (DFIA).
• Supply of goods made to mega power projects against International Competitive Bidding.
• Supplies made to United Nation Agencies.
• Supply of goods made to nuclear projects through competitive bidding.
• Supply of marine freight containers.
• Supplies against Export Promotion Capital Goods (EPCG) authorization.
• Supplies to projects against international competitive bidding.
• Supplies to projects with zero customs duty.

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Applicability of Reverse Charge Mechanism on Inward Supply form Unregistered Person under GST

Any Registered Tax Payer made in Inward Supply of Notified Goods or Services from Unregistered Person on or after 1st February 2019 liable to pay Tax under Reverse Charge Mechanism.

Conditions for Applicability of Reverse Charge Mechanism: -
• There should be Supply of Goods or Services
• Such Supply of Goods or Services should be in respect of Taxable Goods/Services.
• Such Supply must be by an Unregistered Person to Registered Person.
• Such Supply must be an intra-state supply of notified Goods or Services.

Date on from which Reverse Charge Mechanism is applicable: - From 1st February 2019 Reverse Charge Mechanism on Inward Supply of Notified Goods or Service from Unregistered Person by Registered Tax Payer.

Notified Goods or Service under Reverse Charge Mechanism: - Till now No Goods or Services Notified.

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Place of Supply of Goods

Place of supply of goods imported into, or exported from India
In case of Import of Goods: - Location of Importer
In case of Export of Goods: - Location Outside India

Place of supply of goods other than import and export
• Where the supply involves the movement of goods, whether by the supplier or the recipient or by any other person: - Location of the goods at the time at which, the movement of goods terminates for delivery to the recipient.

• Where the goods are delivered to the recipient or any person on the direction of the third person by way of transfer of title or otherwise: - Principal place of business of such third person.

• Where there is no movement of goods either by supplier or recipient: - Location of such goods at the time of delivery to the recipient.

• Where goods are assembled or installed at site: - Place where the goods are assembled or installed.

• Where the goods are supplied on-board a conveyance like a vessel, aircraft, train or motor vehicle: - Place where such goods are taken on-board the conveyance.

• Where the place of supply of goods cannot be determined in terms of the above provisions: - To be determined in the prescribed manner.

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Place of supply of services where location of supplier and recipient is in India

General Rule: -
For Supply of Service from Business to Business (B2B Supply): - Location of Such Registered Person (Location of Receipt).

For Supply of Service from Business to Customer (B2C Supply): -
• Where the address on Record Exist: - Location of Receipt (Customer).
• For Other Cases: - Location of the Supplier of Service.

Exceptions to General Rule: -
1. Immovable property related services including accommodation in hotel/boat/vessel: -
• Location at which the immovable property or boat or vessel is located or intended to be located.
• If located outside India: - Location of the recipient
• If the immovable property or boat or vessel is located in more than one State: - Each State in proportion to the value of Services provided in each state.

2.  Restaurant and catering services, personal grooming, fitness, beauty treatment and health service: - Location where the services are actually performed.

3. Training and performance appraisal: -
• For Supply of Service from Business to Business Supply (B2B Supply): - Location of Such Registered Person (Location of Receipt).
• For Supply of Service from Business to Customer (B2C Supply): - Location where the services are actually performed.

4. Admission to an event or amusement park: - Place where the event is actually held or where the park or the other place is located.

5. Organization of an event including ancillary services and assigning of sponsorship to such events: -
• For Supply of Service from Business to Business Supply (B2B Supply): - Location of Such Registered Person (Location of Receipt).
• For Supply of Service from Business to Customer (B2C Supply): - Location where the services are actually performed.
• If the event is held in more than one State: - Each such State in proportion to the value of services provided in each State.
• If the event is held outside India: - Location of the recipient.

6. Transportation of goods, including mails or courier: -
• For Supply of Service from Business to Business Supply (B2B Supply): - Location of Such Registered Person (Location of Receipt).
• For Supply of Service from Business to Customer (B2C Supply): - Location at which such goods are handed over for their transportation.

7. Transportation of Passenger: -
• For Supply of Service from Business to Business Supply (B2B Supply): - Location of Such Registered Person (Location of Receipt).
• For Supply of Service from Business to Customer (B2C Supply): - Place where the passenger embarks on the conveyance for a continuous journey.

8. Services on board a conveyance: - Location of the first scheduled point of departure of that conveyance for the journey.

9. Banking and other financial services including stock broking: -
• Location of the recipient of services in the records of the supplier.
• Location of the supplier of services if the location of the recipient of services is not available.

10. Insurance Services: -
• For Supply of Service from Business to Business Supply (B2B Supply): - Location of Such Registered Person (Location of Receipt).
• For Supply of Service from Business to Customer (B2C Supply): - Location of the recipient of services in the records of the supplier.

11. Advertisement services to the Government: -
• Each of States/Union Territory where the advertisement is broadcasted/displayed/ run/disseminated.
• Proportionate value in case of multiple States.

12. Telecommunication Services: -
• Services involving fixed line, leased and internet leased circuits, dish antenna etc: - Location of such fixed equipment.
• Post-paid mobile/ internet services: - Location of billing address of the recipient and if the same is not available, location of supplier.
• Pre-paid mobile/ internet/DTH services provided through selling agent/re-seller/distributor: - Address of such selling agent/re-seller/distributor in the records of supplier at the time of supply.
• Pre-paid mobile/ internet/DTH services by any person to final subscriber: Location where pre-payment is received or place of sale of vouchers.
• Pre-paid mobile/ internet/DTH services provided through Electronic Mode (Payment is made through electronic mode): - Location of recipient in records of supplier.
• Any Other Cases: - Address of the recipient in the records of the supplier and if the same is not available, location of supplier.
If the leased circuit is installed in more than one State: - Each such State in proportion to the value of services provided in each State.

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Amendments in GST Applicable from 1st February 2019

1. Exemption limit for GST Registration in States of Assam, Arunachal Pradesh, Himachal Pradesh, Meghalaya, Sikkim, and Uttarakhandh raised to Rs. 20 Lakhs.
2. Turnover Limit raised up to Rs. 1.5 Crs for Tax Prayers who want to Opt for Composition Scheme.
3. Supply of Service up to Rs. 5 Lakh or 10%  of Turnover (whichever is higher) in the preceding Financial Year (other than. Restaurant Services) allowed to  Composition Scheme Dealers.
4. Reverse Charge Mechanism will be applicable to notified Registered Persons on Purchase of Goods from Unregistered Suppliers.
5. Mandatory Registration for those E- Commerce Operators who are liable to Collect TCS.

6. Multiple Registration will be allowed on Same PAN within Same State or Union Territory in respect of Multiple Business Place.
7. Taxpayers will not required to file GST Returs during the Process of Cancellation, as  Registration will remain temporary Suspended while Cancellation of Registration.
8. Following Transactions will not be treated as Supply : -
1. Supply of Goods in High Sea Sales.
2. Supply of Goods from Non - Taxable Territory to Non - Taxable Territory without entering in to India.
3. Supply of Wharehoused Goods before Clearance for Home Consumption.
9. Consolidated Debit/Credit Note can be issued to a party in respect of Multiple Invoices issued to that party.
10.  Supply of Services outside India even in Indian Rupees shall be treated as Export if RBI permits.
11.  ITC will be available in respect of the following:-
1. Motor Vehicles for Transportation of Persons having seating capacity of 13 or More (including driver), vessels and aircrafts.
2. ITC on General Insurance, Repair and Maintenance of Motor Vehicles, Vessels and Aircraft on which credit available.
3. Goods or Service provided by employer to employees which are obligatory in nature under any law.
4. In Respect of Activities or Transactions covered under Schedule III (except few).
12. Commissioner may extend the time limit for Return of Inputs sent on Job work up to period of 1Year and time limit for Return of Capital sent on Job work up to 2 Years.
13. Place of supply shall be outside India, where job work or any treatment or process has been done on goods temporarily imported into India and then exported out of India without putting them to any other use in India except the uses which were necessary for the purpose of such job work or treatment or process.
14. Recovery of taxes, interest, fine, penalty etc. can be made from distinct persons, even if such distinct persons are present in different State/Union territories.

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