GOODS AND SERVICES TAX (GST)

15.12.2022

Classification of Goods under Customs Tariff.

1. Introduction :

1.1. The important Customs related functions include the collection of Customs duties on imports and exports as per the Customs Act, 1962 and the Customs Tariff Act, 1975. In relation to collection of customs duties on imports and exports, goods are assessed under the provisions of Section 17 read with Section 2(2) of the Customs Act, 1962. The said assessment includes interalia the tariff classification of such goods as determined in accordance with the provisions of the Customs Tariff Act, 1975. Classification of goods is the primary part of assessment followed by the levy of duties and implementation of foreign trade policy. The process of classification has been explained in the ongoing paras.

1.2. In this age of liberalization, several relaxations have been provided for import and export of goods. These include clearance of goods without manual read more »

06.11.2022

Three rates better than one flat rate.

After our Prime Minister made out a strong case against a flat rate of tax in GST, the debate on this issue has assumed more importance. Rahul Gandhi has said recently that if Congress comes to power, it will make one flat rate for GST. 

Flat rate vs multiple rate has been a raging controversy all along. There are supporters on both sides.  Some countries do have flat rates like Australia, Cambodia, Chile, Denmark, Israel, Japan, South Korea, Nepal, New Zealand, Taiwan, and mostly African countries. But we notice that these countries are not having so much disparate strata of people and are also not federation. Inequality of income is not so rife in these countries. 

Now let me mention some countries with different rates. Belgium - 21, 6, 12. Brazil - 25, 18, 12, 7. Canada - 7 as central GST but there are 7 read more »

01.11.2022

Rs. 1,51,718 crore gross GST revenue collected for October 2022.

Second highest collection ever with, next only to the collection in April 2022. 

Monthly GST revenues more than Rs. 1.4 lakh crore for eight months in a row, with Rs.  1.5 lakh crore crossed for the 2nd time since inception of GST

September 2022 sees generation of 8.3 crore e-way bills, which is significantly higher than 7.7 crore e-way bills generated in August 2022

The gross GST revenue collected in the month of October 2022 is Rs. 1,51,718 crore of which CGST is Rs.  26,039 crore, SGST is Rs. 33,396 crore, IGST is Rs. 81,778 crore (including Rs. 37,297 crore collected on import of goods) and Cess is Rs. 10,505 crore (including Rs. 825 crore collected on import of goods), which is second highest till date.

The government has settled Rs. 37,626 crore read more »

01.10.2022

Rs. 1,47,686 crore gross GST revenue collected in the month of September 2022.

Monthly GST revenues more than Rs. 1.4 lakh crore for seven months in a row

Revenues for the month of September 2022 are 26% higher than the GST revenues in the same month in 2021

Another milestone crossed in September with more than 1.1 crore e-way bills and e-invoices, combined (72.94 lakh e-invoices and 37.74 lakh e-way bills), generated without any glitch on the GST Portal run by NIC on 30th September 2022

The gross GST revenue collected in the month of September 2022 is Rs. 1,47,686 crore of which CGST is Rs. 25,271 crore, SGST is Rs. 31,813 crore, IGST is Rs.  80,464crore (including Rs. 41,215 crore collected on import of goods) and Cess is Rs. 10,137 crore (including Rs. 856 crore collected on import of goods).

The government has settled read more »

24.09.2022

Noida: CGST inspector arrested for sending obscene messages to Deputy Commissioner and threatening her.

The issue arose after the Deputy Commissioner had some disagreement with one of her subordinates. The subordinate was angry with his superior and ended up sending her inappropriate messages. Once a case was registered against him, he was on the run for a few days before he was arrested by the police.

Noida: A woman working as a deputy commissioner of central goods and services tax (CGST) has alleged that one of her subordinates, a man of the rank of an inspector has been sending her inappropriate text messages on her Wahttsapp. The woman also alleged that the inspector has also been threatening her with dire consequences if she mentioned about this to anyone.

According to the police they received a complaint from the IRS officer, who is a resident of Sector 121, earlier this week and registered a read more »

01.09.2022

Rs. 1,43,612 crore gross GST revenue collected in the month of August 2022.

Revenues for the month of August 2022 28% higher than the GST revenues in the same month in 2021

Monthly GST revenues more than the Rs. 1.4 lakh crore for six months in a row

The gross GST revenue collected in the month of August 2022 is

Rs. 1,43,612 crore of which CGST is Rs. 24,710 crore, SGST is Rs. 30,951 crore, IGST is Rs. 77,782 crore (including Rs. 42,067 crore collected on import of goods) and cess is Rs. 10,168 crore (including Rs. 1,018 crore collected on import of goods).

The government has settled Rs. 29,524 crore to CGST and Rs. 25,119 crore to SGST from IGST. The total revenue of Centre and the States in the month of August 2022 after regular settlement is Rs. 54,234 crore for CGST and read more »

09.08.2022

CAG shows several gaps in GST regime.

NEW DELHI: The Comptroller and Auditor General (CAG) has pointed to several gaps in the goods and services tax (GST) regime, including problems with the refund mechanism as well as with the filing system and failure of the IT platform provider GSTN in checking the filed data.

Refunds have come in for special scrutiny with the CAG report, which dealt with FY21, noting that there were instances of non-compliance with the rules, with the provisions in cases where refunds were paid and the department did not use its own database for the purpose. Similarly, it noted that officers failed to scrutinize cases where suspicious refund claims were not supported by adequate documents.

The government sought to counter it saying that during the initial phase the focus was on "facilitation" instead of "enforcement".

There were also read more »

01.08.2022

Rs. 1,48,995 crore gross GST revenue collected in the month of July 2022.

GST Revenue collection for July second highest ever & 28% higher than the revenues in the same month last year

The gross GST revenue collected in the month of July 2022 is Rs. 1,48,995 crore of which CGST is Rs.  25,751 crore, SGST is Rs.  32,807 crore, IGST is Rs.  79,518 crore (including Rs.  41,420 crore collected on import of goods) and cess is Rs.  10,920 crore (including Rs.  995 crore collected on import of goods). This is second highest revenue since introduction of GST.

The government has settled Rs.  32,365 crore to CGST and Rs.  26,774 crore to SGST from IGST. The total revenue of Centre and the States in the month of July 2022 after regular settlement is Rs.  58,116 crore for CGST and Rs.  59,581 crore for read more »

08.07.2022

GST 2.0 may be free of jurisdiction: Vivek Johri, chairman, CBIC.

India could consider a significant shift in the Goods and Services Tax (GST) including a jurisdiction-free regime as part of the next set of reforms for the five-year-old indirect tax system.

New Delhi, which raised the import duty on gold recently, is not looking at any further administrative measures immediately to clamp down imports.

"The second aspect of administrative structure, which we need to sort of discuss is whether we still need a territorial jurisdiction, at least within CBIC. I think technology makes it possible for us to not be tied to a particular geographic location," Vivek Johri, chairman of the Central Board of Indirect Taxes and Customs (CBIC), told ET.

“Industry has requested centralised registration and audit, particularly for the financial services sector or enterprises that have pan-India presence,” Johri said.

"I read more »

01.07.2022

Rs. 1,44,616 crore gross GST Revenue collection for June 2022; increase of 56% year-on-year.

Gross GST collection in June 2022 is the second highest collection next to the April 2022 collection GST collection crosses Rs. 1.40 lakh crore mark 5^th time since inception of GST; 4th month at a stretch since March 2022

The gross GST revenue collected in the month of June 2022 is Rs. 144,616 crore of which CGST is Rs. 25,306 crore, SGST is Rs. 32,406 crore, IGST is Rs. 75887 crore (including Rs. 40102 crore collected on import of goods) and cess is Rs. 11,018 crore (including Rs. 1197 crore collected on import of goods). The gross GST collection in June 2022 is the second highest collection next to the April 2022 collection of Rs. 1,67,540 crore.

The government has settled Rs. 29,588 crore to CGST and Rs. 24,235 crore to SGST from GST. In addition, Centre has also settled Rs. 27,000 crore read more »