PPT ON TRANSITIONAL PROVISIONS IN GST

1. GST CELL
TRICHIRAPPALLI EXCISE & SERVICE TAX COMMISSIONERATE
CBEC
TRANSITIONAL
PROVISIONS
IN GST
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2. SECTIONS
MIGRATION OF EXISTING TAX PAYERS [S. 139]
 CENVAT/VAT CREDIT [S. 140]
• INPUT CREDIT ON STOCK
ITC of goods/services in Transit, ISD
ITC of Centralised RC
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3.  JOB WORK [S. 141]
 GOODS RETURN IN RESPECT OF EXEMPTED/DUTY PAID GOODS [S. 142]
 PRICE REVISION….issue of supplementary invoices/debit & credit notes
 REFUND/APPEAL/ASSESSMENT/ADJUDICATION/REVISED
RETURNS/RECOVERY
 TAX ON SUPPLY MADE ON/AFTER APPOINTED DAY
 APPROVAL BASIS
 TDS
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4. MIGRATION OF EXISTING TAX PAYERS’ TO GST
S-139
Issue of
Provisional
Certificate
to recognize
existing status
Taxable Person does
not furnish required
information within 3
months
FINAL
REGISTRATION
CERTIFICATE IS
GRANTED
Provisional
Certificate may be
Cancelled
Provisional Certificate is cancelled
upon dealer’s application
[Not Liable under GST]
Provisional Certificate is
DEEMED NOT TO HAVE BEEN
ISSUED
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5. PRE GST
CENVAT/
VAT CREDIT
ITC of C/B IN THE LAST RETURN
UNAVAILED CREDIT ON
CAPITAL GOODS
CREDIT OF INPUTS HELD IN STOCKS/IN SEMI-
FINISHED GOODS/FINISHED GOODS
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6. CENVAT/VAT CREDIT
CARRIED FORWARD
CREDIT WILL BE
AVAILABLE IN GST
Subject to the following Conditions :
The amount has to be admissible as ITC under the GST act
All RETURNS has been filed for 6 months period immediately
preceding the appointed date
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amount of credit not related to goods manufactured and cleared under
such exemption notifications as are notified by the Government.(CGST)

7. UNAVAILED
CENVAT/VAT CREDIT
ON CAPITAL GOODS
NOT CARRIED
FORWARD
CREDIT WILL BE
AVAILABLE IN GST
Subject to the following Conditions :
The amount has to be admissible as as ITC under the GST Act
UNAVAILED CREDIT = CAPITAL GOODS CREDIT – ALREADY
AVAILED CREDIT
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Application electronically in FORM
GST TRAN 1 (common portal)

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CREDIT OF INPUTS HELD IN STOCKS/IN SEMI-FINISHED
GOODS/FINISHED GOODS (S-140(3))
REGISTERED
PERSON ,who was
not liable to
registered under
existing law
WHOLLY
EXEMPTED
GOODS/SERVICES
TAXABLE &
EXEMPTED
GOODS/SERVICES
WORKS CONTRACT
SERVICE &
AVAILING NOTIF
26/2012-ST
REGISTERED
IMPORTER
FIRST/SECOND
STAGE DEALER

9. Earlier Exempted but
Taxable under GST
Earlier in Composition but
under Normal scheme in
GST
PROVIDED
SHALL BE ENTITLED for Credit of eligible
duties/taxes/VAT on
Inputs held in stock on the
appointed day
 Inputs contained in semi-finished /finished
goods held in stock on the appointed day
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10.  such inputs or goods are used or intended to be used for making taxable
supplies under this Act
 the said registered person is eligible for input tax credit on such inputs
under this Act;
 the said registered person is in possession of invoice or other prescribed
documents evidencing payment of duty under the existing law in respect
of such inputs;
 such invoices or other prescribed documents were issued not earlier than
twelve months immediately preceding the appointed day; and
 the supplier of services is not eligible for any abatement under this Act:
• Not wholly exempt/nil + document for procurement of goods
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Other than manufacturer & Service Provider, can avail 40%
credit, if there is no document evidencing payment

11. (S-140(4))
REGISTERED PERSON MANUFATURING GOODS OR
PROVIDING SERVICES FOF BOTH DUTIABLE AND
EXEMPTED CATEGORIES :
Follow the procedures
prescribed under (S-140(1)) and (S-
140(3))
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12. (S-140(5))
Goods / Services were
received on/after
appointed day
REGISTERED TAX PAYER
But Duty /Tax paid under
existing law
Receipt should be recorded in
book of accounts within 30 days
of appointed day (further 30 days
by commissioner)
+
Furnish a statement
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INPUT SERVICE
DISTRIBUTOR
Services were received
prior to appointed day
Even if invoices are
received on/after
appointed day
Shall be eligible for distribution as
credit under this Act

13. (S-140(8))
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• ITC CARRIED FORWARD
• Should be admissible as ITC under this Act
• May also transfer to any registered person
having same PAN for which Centralized RC was
obtained
• Has to furnish return (for the immediate
preceding period) within 3 months of the
appointed day

14. Should be admissible as
ITC under this Act
CENVAT CREDIT
CARRIED FORWARD
Has to furnish return (for
the immediate preceding
period) within 3 months
of the appointed day
May also transfer to any
registered person having same
PAN for which Centralized RC was
obtained
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15. Conditions:
 Removal/Dispatch to the job worker prior to the appointed day&
 Returned within six months from the appointed day/extended
period (not more than 2 months)
 Manufacturer & Job Worker both declare the details of
Inputs/Semi-finished/Finished Goods held in stock by the Job
Worker on the appointed date
No Tax is
payable
In Semi-Finished
goods/Finished
goods
Manufacturer can (within
specified period)transfer
finished goods to the
premises of any regd. Taxable
person on payment of tax or
for Export – without tax
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If NOT returned within the specified period, the ITC to be recovered as
arrears of Tax under the CGST/SGST Act.

16. Registered
person
Un-Registered
person
When,
Goods were removed/sold within 6 months prior to the appointed day &
 Returned within 6 months from the appointed day
 Proper Officer can satisfactorily identify the goods, then for
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Registered
person
Registered
person
Refund
Deemed supply

17. Price is REVISED after the appointed day in
respect of a previous contract
Documents that may be issued by the supplier
• Supplementary Invoice/Debit
Note (within 30 days)
For Upward
Revision
• Supplementary Invoice/Credit
Note (within 30 days)
For Downward
Revision
Documents shall be deemed to have been
issued in respect
of an outward supply made under GST
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Correspondingly recipient has reduced his ITC

18. REFUND/RECOVERY
CENVAT/VAT Credit as
per Earlier Law
Refund/
Recovery
Proceeding of
Appeal/Review as per
Earlier Law (ITC,TAX)
Assessment/Adjudication
Proceeding as per Earlier
Laws(any tax/penalty/interest)
Revision of return as
per Earlier Law
REFUND CLAIMS related to CENVAT/VAT credit, Duty, Tax, Interest or
any amount paid under existing law – disposed- existing law
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19. REFUND/RECOVERY
REFUND -
Pending or accruing
from appeal, etc
To be generally paid in Cash
No refund for carried forward ITC
RECOVERY resulting
from proceedings under
the earlier law
To be Recovered as an arrear under
GST Act
Amount refundable/recoverable shall not
be admissible as ITC under GST
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Rejected Claim of Refund (ITC) to
LAPSE

20. • the goods or services or both supplied on or after
the appointed day for a contract entered into
prior to the appointed day
Supply to be taxed
under GST Law
• to the extent the tax was leviable on the said
goods under the ValueAdded Tax Act of the
State
No Tax to be
paid under GST
• to the extent the tax was leviable on the said
services under Chapter V of the Finance Act,
1994
No Tax to be
paid under GST
# Applicable irrespective of the provisions relating
to Time of Supply of Goods & Services in the
GST Law
Tax payments
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21. Goods Sent
on approval
basis
Rejected Goods
returned within six
months
 Rejected Goods
returned after six
months/ extended
period(Max. 2 months)
 Goods taxable
under GST
No Tax is payable on
returned goods
Not earlier
than six
months prior
to the
appointed
dated
Rejected/Not
Approved by
the buyer
 Goods Rejected
but not returned
within six months/
extended period
 Goods taxable
under GST
Tax is payable by the
person returning
the goods
Tax is payable by the
person who sent
the goods on
approval basis
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22. DEDUCTION OF TAX AT SOURCE
Tax was required to
be deducted on such
sale under earlier law
Goods sold/invoice
issued prior to the
appointed day
Payment made against such
sale, on or after the
appointed day
Will not be considered for
TDS under GST Law
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