Seminar on GST - Changes and challenges References to Poultry Sector held on 31st August 2018 by CA. Mukul Sringeri www.poultrykarnataka.net

1. seminar on
GOODS AND SERVICES TAX
CHANGES AND CHALLENGES – SPECIAL REFERENCE TO POULTRY SECTOR
By CA.MUKUL SRINGERI
6:45P.M, 31ST AUGUST, 2018 | HOTEL ADARSH HAMILTON
www.poultrykarnataka.net

2. TOPICS TO BE COVERED
1. Registration under GST
2. Composition Scheme - CGST Act, 2017
3. Taxation under Reverse Charge Mechanism - 9(4) of CGST Act, 2017
4. Return filings - Monthly, Quarterly, Sahaj, Saral and Nil Returns
5. Annual Return filing
6. Proposed incentives to digital payments
7. Highlights on E way bill
8. Q & A’s
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3. REGISTRATION
• Any person engaged only in supply of
exempted supply or Non GST Supply –
Registration not required. Eg: Sale of
Poultry birds.
• If registration was already taken – May
apply for cancellation of Registration.
• However if the person is involved in inter-
state supplies or needs to pay tax under
reverse charge or making supplies through
e commerce website cannot apply for
cancellation of registration.
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4. REGISTRATION
•As per CGST Amendment Act, 2018 a
person may apply for multiple GSTIN for
multiple places of business in the same
state.
• Any person applied for cancellation of
GSTIN, his registration shall remain
suspended till such time the GSTIN is
cancelled.
• Mobile and E-mail details can be updated
through Amendment of Non Core fields.
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5. COMPOSITION SCHEME
Aggregate Turnover limit raised from the present 1 crore to Rs.1.5 crores per annum.
Persons opting for composition scheme was not allowed to provide services, the
condition has been relaxed, revised conditions are as such:
• Value of services supplied must not exceed 10% of turnover of the previous year; or
• Rs. 5 lakhs; whichever is higher.
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6. COMPOSITION SCHEME
Q) Mr. A sells poultry feed with annual turnover of Rs. 80 lakhs in previous year, he
also receives commission from other persons amounting to Rs.6 lakhs. Can he opt
for composition scheme.
A) Yes he can opt for composition scheme as he satisfies the above condition
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7. REVERSE CHARGE MECHANISM
• Reverse charge u/s 9(4) was made
applicable only if total supplies from an
individual in a day was exceeding
Rs.5000/- from 1st July,2017
• Subsequently reverse charge u/s 9(4)
was made exempted upto 31st March,
2018 – Notfn 38/2017.
• Exemption from RCM u/s 9(4) was
extended upto 30th June, 2018 – Notfn
11/2018 and upto 30th Sept, 2018
through Notfn 12/2018.
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8. REVERSE CHARGE MECHANISM
•Exemption has been further extended up
to 30th Sept, 2019 – Notfn 22/2018 dated
06-08-2018.
• CGST Amendment Act, 2018 – RCM u/s
9(4) is applicable only to specified class
of persons for specified categories of
goods or services.
• RCM u/s 9(3) of CGST Act, 2018 to
continue.
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9. RETURN FILING
• Currently GSTR-3B is being filed monthly,
GSTR-1 is either being filed monthly or
quarterly.
• Current System to continue up to tax
period – March, 2019.
• New formats of Returns has been put in
public domain for comments, last date for
submission is 31st August, 2018.
• New returns include Monthly returns and
Quarterly Returns.
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10. RETURN FILING
•Input tax credits shall be unidirectional.
• Option of amending the filed returns shall
be provided up to 2 times for one original
return.
• Penalty shall be levied if the deviation is
more than 10% from the original return.
• Real time uploading of Outward Supplies
shall be enabled.
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11. RETURN FILING
Returns
Turnover < 5
crores
Quarterly
Return
Sahaj (B2C
supplies)
Saral ( B2B +
B2C supplies)
Turnover > 5
crores
Monthly
• Registered person with turnover
below 5 crores may opt to file
monthly returns.
• Outward Supply details can be
uploaded on real time basis.
• Recipient shall be eligible to claim
credit on invoices uploaded by the
Supplier; Initial six months, Input tax
can be claimed by recipient even if
supplier has not uploaded outward
supply details
• Only Invoices uploaded up to 10th of
the subsequent month can be
claimed for the tax period.
• Nil return can be filed through SMS.
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12. ANNUAL RETURNS
•Annual Return in Form GSTR-9 is to be filed
within 9 months from the end of the
relevant financial year. For FY 2017-18,
GSTR-9 to be filed by 31st December, 2018.
• Audit by a CA/CMA is mandatory if the
turnover of the taxable person in a state
exceeds Rs. 2 crores.
•Late filing fee = Rs.100/- per day of default,
maximum of 0.25% of his turnover.
• Formats for GSTR-9 yet to be notified.
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13. DIGITAL PAYMENTS
• A Cashback of upto 20% on the
GST Component will be credited
to the Consumers.
• Maximum cashback shall be
restricted to Rs.100 per
transactions.
• Initially will be initiated on a trial
basis
• States have the discretion to
provide cashback or not.
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14. E WAY BILL
• E way bill is not required to be raised if goods
are being moved through non-motorized
conveyance.
•E way bill is not required if the goods being
moved is (Goods mentioned in Notfn 2/2017)
• (0105) Live Poultry
• (0207) Meat and edible offal of Poultry of
heading 0105 (other than frozen and put in
unit container)
• (0209) Poultry fat (other than frozen and put in
unit container)
• ( 2302, 04, 05, 06, 08 and 09) Poultry Feed.
• E way will is to be raised if de-oiled cake is
being transported
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15. E WAY BILL
• The officer may detain or seize the goods
and the conveyance through which the
goods are being moved if e way bill has not
been raised.
• Penalty for movement without e way bill
shall attract penalty of upto 100% of the tax
on such goods.
• If the goods being moved are exempted
then the penalty shall be either 2%/5% or
25,000 whichever is less.
• In case the goods are perishable or
hazardous, the commissioner may dispose
the goods and recover the dues.
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16. THANK YOU
For Queries and Suggestion:
CA.Mukul Sringeri
📞: 9945397780
📧: mukul.sringeri@finominals.com
*participants are requested to approach their GST
Consultant before taking any action on the basis of this
presentation.
“It is well known that a doctor treats the diseases but few people know that a CA looks after the
health of the society”
– PM.Narendra Modi
Sources:
1) CGST Act,2017
2) CGST Rules
3) CGST Amendment Act, 2018
Available on the CBIC website
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17. Q & A’s
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