Even if the Coronavirus has gripped the entire nation, you shouldn’t have to be left behind when it comes to following the latest GST updates. In this blog, we are highlighting the latest GST news, updates and other announcement in digestible crumbs for you to take a look at
Are you a service provider with over 20 lakh rupees of annual turnover? Or, are you a product provider with over 40 lakhs rupees of annual turnover? In both cases, it’s now mandatory for you to get GST registration in India and have a valid GST number. Here are the latest GST updates.
GST rates on mobile phones to increase to 18%
In a news that will surely be bad for the tech-heads among you, the government has increased the GST on mobile phones from 12% to 18%. Done to correct the inverted duty structure, there is some good news that has come of it. To ensure maximum availability of intermediate activities in the country, the GST rate on repairs of such products have been reduced to 5%. So, if you are a tech head, you might have to pay more for that mobile phone, but might have to pay less for repairing it.
GST rate set to promote aircraft, overhaul, repaid and maintenance in India
In a bid to promote overhauling, repairing and maintenance, the India GST council has decided to reduce the GST tax rate on these articles from 12% to 5%. The move is set to breathe a new life into the downward spiralling aviation industry of India.
Changes made for new businesses
If you are a new business who has just gotten your GST registration number, you will now have to face new restrictions. Before any new tax inputs can be done, you have to get your business physically verified by the GST department.
Know your supplier initiative
A new feature called “Know your supplier” will be added as per the order of the GST council. As per that initiative, all the registered persons will have a basic information abut their suppliers with whom they are currently conducting or proposing to conduct business transactions.
Same GST rates for all matches
Whether your matches are factory borne or manmade, you have to give them equal GST for them. Previously, the handmade matches cost 5% GST and factory-borne cost 18%. Now, they have all been given equal GST rate of 12%.
Choose between Cash or Credit
All the GST registered businesses/individuals can now initiate a refund (if applicable) in the form of cash or credit. This move is taken to allow cash-starved businesses to earn a working-capital, instead of driving their business backwards by adjusting their finances towards tax repayment in the next cycle.
Changes in Annual Return filing date
The dates for filing GSTR-9 or 9C that’s to be filed by all the taxpayers, has now been extended. Instead of 31st march 2020, the GST return filing date for FY 2018-2019 has now been pushed to 30th June 2020.
Mandatory Annual return filing threshold increased
Providing a sigh of relief to small and medium businesses, the GST council has increased the threshold for mandatory annual return filing from INR 2 Crore to INR 5 Crore. Furthermore, there will be no penalty filed against those who got a bit late in filing the returns.
Coronavirus has brought many relaxations to the taxpayer but it seems, in some regards, the economic requirement remains unaffected. For more things related to GST, contact with our GST registration experts.