06/12/2019 Release of new E-Invoice format on trial basis

GSTN builds synergy with all business software for e-invoicing procedures

New Delhi, 06/12/19: GSTN today conducted a consultation workshop with leading companies developing business software. The workshop was focused on creating synergy within the software for the e-invoicing process, set to be rolled from January 2020. Participants invited from industry bodies included representatives of top business software organizations such as Microsoft, TCS, Infosys, Wipro, HCL, Tally, Oracle, Busy and Sap participated in the
workshop. GSTN would be conducting a series of such briefing sessions at various key cities across the country.

E-Invoice or Electronic invoice is generated by a large number of businesses today. However, they all use the format as provided by the ERP or billing software they use. Lack of a standard format leads to a scenario where an e-invoice generated on one billing software can’t be read by another, requiring manual data entry from electronically generated invoices. A standard e-invoicing system will ensure complete inter-operability of e-invoices across the entire GST ecosystem and will eliminate the need for manual data entry mitigating chances of errors. The e-invoice standard was drafted in consultation with trade/industry bodies and ICAI and the same has now been approved by the GST Council. The workshop focuses on the standardization of e-invoicing across business software platforms.

Speaking on the occasion, Mr. Prakash Kumar, Chief Executive Officer, GSTN said, “The session was the next step of what was approved by the GST council as the standard of e-invoicing during its 37th meeting held on 20th Sept 2019.
The council also published the schema on its portal. Recognizing  the abstruse nature of the procedure, the GSTN felt the need to come up with an explanatory document to clear all kinds of confusions.”

The GST Council has approved the introduction of E-invoicing in a phased manner for reporting of business-to-business (B2B) invoices to GST System, starting from 1st January 2020 on a voluntary basis. The machine readability
and uniform interpretation is the key objective. This is also important for reporting the details to the GST System as part of Return. Apart from the GST System, adoption a standard will also ensure that an e-invoice shared by a seller with his buyer or bank or agent or any other player in the whole business ecosystem can be read by machines and obviate and hence eliminate data entry errors……


No E-Way Bill Generation for Non-GST Payers from 1st December

– Blocking and Unblocking of EWB generation facility activated

– If GSTR-3B is not filed for 2 months, EWB generation gets blocked

New Delhi, 1st December 2019: As per the decision of the GST Council, Goods and Services Tax Network (GTIN) has activated the Blocking and Unblocking facility of E-Way Bill (EWB) generation on the E-Way Bill
Portal from 1st December 2019.

Taxpayers who have not paid their GSTR-3B for two months i.e. for the month of September and October, the EWB generation for their GSTIN (whether as consignor or consignee) would get blocked from 1st  December 2019. Once blocked, the EWB generation for such GSTIN could not be processed either through supplier, recipient, and even transporter.

Once the Return is filed on GST Portal, the blocking status is removed by the system, next day.

Restoration of EWB generation could be done by the Jurisdictional Officer on the GST Portal by Unblocking the service. When a Taxpayer files the pending GSTR-3B return, their default period would be reduced to less than 2 months and the same status would be updated on the EWB portal. Then the Jurisdictional Officer can unblock the EWB generation facility on the GST Portal upon considering the manual representation received from such taxpayer.

This will not have any impact to the already generated e-way bills, on which goods are in transit even if the GSTIN of the associated gets blocked. The e-way bills generated before the 1st of December 2019 are valid and can be used to move goods to the destination.

Mr. Prakash Kumar, CEO-GSTN said, “As part of increasing GST compliance, we have activated the blocking unblocking facility for E-Way Bill generation as per Rule 138E of CGST/SGST Rules, 2017. We have been sending alerts to the non-filers since August and now on the directions of GST Council, the generation of
EWB facility will get blocked.”

“Transporters who are enrolled only on E-Way Bill Portal and not registered on the GST Portal will not be affected with this and could continue to do business as usual. This new change will impact only those who are registered under GST and are required to file GSTR-3B.” Mr. Kumar further added.

After filing the GSTR-3B for the default period, if the taxpayer wants to generate the e-way bills immediately, then they can log in to the e-way bill portal and select the option ‘Search > Update Block Status’ > Enter
their GSTIN and check the status.

If their GSTIN is still shown as blocked, then they can use update option to get the latest filing status from the GST Common Portal. If their return filing default period reflects as less than two, their return filing status will be communicated by GST System to E Way Bill Portal. Such blocked GSTIN will get unblocked and their E Way Bill generation facility will be restored on EWB Portal.

If the issue is not resolved, Taxpayers may contact the GST helpdesk and raise a grievance at 0120-4888999


GST slab rationalisation on cards: CEA

  • The original plan was to have a three-rate structure of GST, Subramanian said. “However, what we have to be very cognizant about is that often with policymaking, you don’t want perfect to become the enemy of excellent.
 The rationalization of the goods and services tax (GST) structure into three slabs by merging two existing slabs is on the cards, and progress should be seen soon, chief economic adviser (CEA) in the finance ministry Krishnamurthy Subramanian said on Thursday.It’s something that is definitely going to happen. The three-rate structure is definitely important. Even the inverted duty structure that is there is equally important to actually fix. The government is definitely seized of the matter. You should hopefully see traction on that soon,” he said at an event organised by Assocham.

The original plan was to have a three-rate structure of GST, Subramanian said. “However, what we have to be very cognizant about is that often with policymaking, you don’t want perfect to become the enemy of excellent. GST, the way it got created with five rates, was basically an excellent move because now we are seeing the amounts that are coming in. The policymakers must be given credit for being practical enough to say, ‘let’s get it going first’,” he said.

India has four primary GST rates of 5%, 12%, 18%, and 28%. There is also a cess on luxury and demerit goods such as automobiles, tobacco, and aerated drinks. On precious stones and metals, special rates of 0.25% and 3%, respectively, are applicable. A proposal to merge the 12% and 18% slabs into a single rate has been discussed for several years. However, no final proposal on this has been made at the GST Council, which will take a call on it.

If the council approves the merger of the two rates, items such as ghee, butter, cheese, and spectacles may become expensive, while soap, kitchenware and apparel may get cheaper.

In its report tabled in Parliament earlier this year, the 15th Finance Commission (FFC) urged restoring the “rate neutrality of GST”, which was compromised by rate cuts.“If the GST slabs of 12% and 18% are merged to form a new slab somewhere in between, the tax burden on items currently in 12% slab will go up. It remains to be seen how businesses and consumers will respond to this change. On the other hand, tax on items currently at 18% will come down,” said Abhishek Jain, tax partner, EY India.


Central and State officials discussimplementation of GST Acts

Senior officials of the Revenue Department of Andhra Pradesh, led by its Special Chief Secretary Rajat Bharagava, and Central and State GST officials discussed the strategy to be adopted for effective implementation of the GST Acts, at the State Tax Chief Commissionerate here on Thursday.

The participants stressed the need for close coordination between the Centre and the State tax departments in sharing the data on outward and inward supplies as well as the returns furnished by the taxpayers every month.

They insisted that information collected through market intelligence should be collated and shared. Besides, orders passed by the officers of the Central and State government departments on contentious issues had to be shared seamlessly so that the officers could present strong arguments in courts if the taxpayers take legal recourse.

It was observed that unlawful or bogus claims of input tax credit with fictitious invoices had been a major source of revenue leakage under the GST Acts. The officers said it was also necessary to closely monitor those defaultIng in filing returns and on the collection of tax arrears.

The meeting took various decisions on the modalities of sharing the data, intelligence, orders, joint investigations and periodic analysis of different sectors.

 Principal Chief Commissioner (Customs & Excise, Visakhapatnam Zone) P. Naresh, Chief Commissioner of State Tax Peeyush Kumar, Principal Commissioner at Central Board of Indirect Taxes (Guntur/Vizag Commissionerate) S. Faheem Ahmed, Special Commissioner of State Taxes Sadhu Narasimha Reddy and others were present.

Centre-State action to plug GST revenue leak

VIJAYAWADA:  GST officers of Andhra Pradesh and the Central governments met here on Thursday to discuss ways to plug revenue leak through coordinated efforts and information sharing. They have drawn up an action plan to monitor and pursue cases where GST returns were not filed, particularly in businesses with a turnover of over `5 crore. In the last four years since the implementation of GST, the major source of revenue leakage has been the unlawful or bogus claims related to Input Tax Credit (ITC) with fictitious invoices, according to the officials.

They said close coordination between the state and the Central tax departments was vital to identify the sources of these bogus invoices and claimants of false ITC. “All these issues have been thoroughly discussed in the meeting and decisions have been taken on the modalities for sharing data, intelligence, orders, joint investigations, periodic analysis of different sectors,” Special Chief Secretary (Revenue-Commercial Taxes) Rajat Bhargava, who chaired the meeting, said.He said it was also necessary to monitor the (GST) return defaulters, collection of tax arrears and follow-up of court cases.

“Close coordination between the Central and the State tax departments is essential to enhance effective implementation of GST Acts. A uniform approach is also required to resolve cases involving huge revenue implications, legal interpretations and where divergent views are taken by the Central and the state authorities,” Bhargava added.

The state and Central officials decided to share information related to the modus operandi of tax evaders, particularly in commodities and services. The tax authorities would periodically share data on commodity analysis, dealer analysis and market intelligence to ensure tax compliance and check evasion.


Online Refund Processing and Single Disbursement under GST

GST Network developed and implemented 100% Electronic Refund Process

New Delhi, September 26, 2019: As decided by the GST Council, the refund processing by tax officers have been made online and disbursal through a single authority.

The refund is sought by taxpayers largely on account of exports. The other categories are for a refund of excess Input Tax Credit, inverted duty (where tax on inputs is higher than the tax on output), refund of excess cash in cash ledger
etc. As far as refund of export of goods on payment of IGST is concerned, the same has been fully online since inception where the return (GSTR-1) of the taxpayer is treated as refund application. After filing of GSTR-01 and GSTR3B, GST System processes the refund and shares the export invoice data along with details like shipping bills, port code etc. with a Customs System called ICEGATE, which then matches the details with shipping bills in its system and status of refund claimed on the same. Based on this, the eligible amount gets transferred to the bank account of taxpayers thru PFMS system of the Government. More than half of refund amount goes thru this route. Till date more than Rs 95,000crores has been refunded under this method.

For other set of refunds like export of services, inverted duty structure cases, accumulated ITC etc., the taxpayers applied for refunds online, on the GST Portal, along with the required statements in RFD 01-A form. The refund
application was transmitted electronically to the dashboard of the tax officer. However, the processing of the refund application by the tax officer was done manually, which included issue of deficiency memo, sow cause notice, payment advice, refund order etc.


Online version of New GST Return (Trial) released by GSTN

New Delhi, September 13, 2019: As part of the ongoing New GST Returns Trial, Goods and Services Tax Network (GSTN) today released the online version of GST ANX-1 and GST ANX-2of the New Returns for familiarisation of
the Taxpayers. The new features have been made available on the GST portal www.gst.gov.in.

In the proposed system of new GST Return filing, a normal taxpayer would have to file FORM GST RET-1 (Normal) (on either monthly or quarterly basis) or FORM GST RET-2 (Sahaj) / FORM GST RET-3 (Sugam) (both on a quarterly
basis). Annexure of supplies (GST ANX-1) and Annexure of Inward Supplies (GST ANX-2) will also have to be uploaded as part of these returns. For the familiarization of stakeholders with the proposed New Returns system and
to obtain their feedback/suggestions, to further improve the New Return Offline tool, the trial version of the OfflineTool was released on GST Portal in July this year.

So far the taxpayers could use the new return offline tool for the preparation of the Form GST ANX 1 and create a JSON file for upload on GST Portal. They could also download GST ANX 2 JSON file (details of inwards supplies as
the recipient) and import it in the tool. They could then import their purchase details in the tool and use the matching tool Built in the Offline Tool to compare it with the GST ANX 2 to identify purchases that have not been reported by
supplier or reported but incorrectly. Based on outcome of the matching Tool, they could also take actions of ‘Accept’, ‘Reject’ or keep ‘Pending’ on these documents. They could also upload the JSON of GST ANX-2 on portal after
taking action.

With the release of the online version of GST ANX-1 and GST ANX-2, the supplier taxpayers have now been provided with a facility to fill in details of Business-to-Business (B2B), Business-to-Consumer (B2C) and Details of
Supplies attracting Reverse Charge in their Form GST ANX 1, online, on the GST Portal directly. On saving these details by Supplier Taxpayer, records of Form GST ANX-1 will automatically flow to GST ANX 2 of the recipient taxpayer and respective tables of GST ANX-2 of the Recipient Taxpayer will thus get auto-populated on which he/she can now take ‘Action’ (Accept / Reject / Pending) on Form GST ANX-2 online….


GSTN Releases Offline Tool of New GST Return for Trial Run by Stakeholders

  • Offline Tool for Form GST ANX-1 and GST ANX-2 which also has Matching Tool released

New Delhi, July 30, 2019: As per directions of GST Council, Goods and Services Tax Network (GSTN)

today released the trial version of the New Returns Offline Tool of Form GST ANX-1 and Form GST ANX2. In the proposed system of new GST Return filing, a normal taxpayer would have to file FORM GSTRET-1 (Normal) or FORM GST RET-2 (Sahaj) or FORM GST RET-3 (Sugam) on either monthly or quarterly basis. Annexure of supplies (GST ANX-1) and Annexure of Inward Supplies (GST ANX-2) will be filed as part of these returns. All the outward supplies will be detailed in GST ANX-1 while GST ANX-2 will contain details of inward supplies auto-populated mainly from the suppliers’ GST ANX-1. It will also
contain details auto-populated from Form GSTR-5 and Form GSTR-6.

The taxpayer will be required to take action on details of inward supplies contained in Form GST ANX-2 by accepting or rejecting the entries. The taxpayer can also keep the invoice pending by marking the entry

The Tool released today also contains an excel template in which Purchase Register has to be prepared by the taxpayer which will then be imported in the tool for matching. The set also included excel template in which outward supplies and reverse charge details can be kept for importing in the Tool to create ANX-1. The Offline Tool along with templates can be downloaded from download section of GST Portal (www.gst.gov.in ).


GSTN Offers Free Accounting Billing Software for Taxpayers

Goods and Services Tax Network (GSTN) is a Section 8 (under new companies Act, not for profit companies are governed under section 8), non-government, private limited company. Instituted in March 2013, the Company has been set up primarily to provide IT infrastructure and services to the Central and State Governments, taxpayers and other stakeholders for implementation of the Goods and Services Tax (GST).


Express GST Software: Easing GST Compliance for SME’s and Tax Professionals

New Delhi, (Delhi), [India], July 28 (ANI/NewsVoir): The pandemic has demanded a lot of businesses to move online which has further increased the demand for tools and solutions that can ease their GST needs. The business community, especially SMEs, are just getting started with the process of automating their taxation and bookkeeping workflows and this presents a huge opportunity for various solution providers like KDK Softwares.The Express GST (www.expressgst.com), a Cloud based online solution from KDK Softwares addresses complete GST compliance needs of SME’s and Tax professionals: with many changes to how businesses account for their purchases, sales and calculation of input tax credits, and makes it easy and fast for business to transition to being fully GST compliant.

Other than GST Compliance this software also takes care of GST Reporting, as GST laws require timely filing of GST returns monthly, quarterly and annually. This software, file all your returns from GSTR 1 to GSTR 3B on time and accurately and generates complete returns by importing data from your existing software/excel, push to GSTN.

This software is very simple to use as anyone can access and manage it from using multiple devices like computer, laptop, tablet, or smartphone. Also, one can assign multiple users who can work simultaneously and can login and work with GST data, online. Beside this its 100% Accurate filing – Single click to auto-fill.

Over few years things have changed the way the entire GST regime has worked – mandating the returns online, bringing up e-bills and then the multiple target dates for compliances,” says Kapil Goyal, Managing Director, K.D.K. Softwares (India) Pvt. Ltd.

KDK Express GST product can help save a lot of manual effort and time, Goods and Services Tax (GST) has been driving the development of tech-based taxation products and solutions and it has given a host of operations to be automated, from GST registration to filing returns and everything in between further added Mr. Goyal.