Chamber of Tax Consultants GST Workshop at IMC, Mumbai Significant - PDF document

Chamber of Tax Consultants “GST Workshop” at IMC, Mumbai “Significant changes in GST Rates on supply of Goods & Issues there under” by CA Deepak Thakkar 1 Sept 2018 1 Sept 2018 CA Deepak Thakkar Mumbai 1 1 Put your Mobile on Silent Mode 1 Sept 2018 CA Deepak Thakkar Mumbai 2 2

Advances received for supply of goods is not liable to GST • Notifn # 40/2017-CT Dt. 13 Oct 2017: Regd. Person whose aggregate turnover in preceding FY did not exceed Rs. 1.5 Crore or whose turnover in year of Regn is likely to be less than Rs. 1.5 Crore and who did not opt for composition levy shall not be liable to pay GST when he receives advances in respect of supply of goods. • Notifn # 66/2017-CT Dt. 15 Nov 2017 superseded above Notification: Regd. Person who did not opt for composition levy shall not be liable to pay GST when he receives advances in respect of supply of goods. • Sec. 12(2)(b) provision for Time of Supply of goods: “the date on which the supplier receives the payment with respect to the supply:...” • Above sub-clause (b) does not apply to RP covered by above Notifications. 1 Sept 2018 CA Deepak Thakkar Mumbai 3 GST reduced on supply of certain goods • New Notification # 6/2018- Central Tax (Rate) dt 25 Jan 2018 amends CGST Sch Rates as under: • Amends Schedules of Notification # 1/2017- Central Tax (Rate) dt 28 June 2017 Sr. # HSN Description of Goods New CGST Old CGST Rate wef 1 July Code Rate wef 25 2017 to 24 Jan 2018 Jan 2018 32AA 1704 Sugar boiled confectionery 6% 9% (u/Sch III-Sr # 12) 46B 2201 Drinking water packed in 6% 9% (u/Sch III-Sr # 24) 20 litres bottles 236B 7324 Sanitary ware and parts 9% 14% (u/Sch IV-Sr # 102) thereof, of iron and steel 1 Sept 2018 CA Deepak Thakkar Mumbai 4

GST reduced on supply of certain goods • New Notification # 18/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018: • Amends Principal Notfn # 1 CTR dt 28 June 2017, last amended by Notfn # 6- CTR dt 25 Jan 2018 Sr. HSN Description of Goods CGST Rate wef Remark # Code 1 July 2017 222 61 Articles of apparel and 2.5% Q.1. Sale value means? Sec. 15(2): The value of supply clothing accessories, knitted shall include– –– (a) any taxes, or crocheted, of sale value duties, cesses, fees and charges not exceeding Rs. 1000 per levied under any law for the time piece being in force other than this Act, the State/UT GST Act,.. if charged separately by the supplier Entry substituted as under Wef 27 July 2018 222 61 or Article of apparel and 2.5% Q.2. Tax rate on cap/topi upto 6501 or clothing accessories or cap/ 26 July 2018? 6505 topi, knitted or crocheted, of sale value not exceeding Rs 1000 per piece 1 Sept 2018 CA Deepak Thakkar Mumbai 5 GST reduced on supply of certain goods • New Notification # 18/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018: • Amends Principal Notfn # 1/2017- CTR dt 28 Jun 17, last amended by Notfn # 6/2018-CTR dt 25 Jan 18 Sr. # HSN Description of Goods CGST Rate wef Remark Code 1 July 2017 225 64 Footwear having a retail sale 2.5% ‘RSP’ vs price not exceeding Rs.500 per Sale value? pair, provided that such retail sale price is indelibly marked or embossed on the footwear itself. Entry substituted as under Wef 27 July 2018 225 64 Footwear having a retail sale 2.5% price not exceeding Rs.1000 per pair, provided that such retail sale price is indelibly marked or embossed on the footwear itself. 1 Sept 2018 CA Deepak Thakkar Mumbai 6

GST reduced on supply of certain goods • New Notification # 18/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018: • Amends Principal Notfn # 1/2017- CTR dt 28 Jun 17, last amended by Notfn # 6/2018- CTR dt 25 Jan 18 Sr. # HSN Description of Goods New CGST Old CGST Rate wef 1 July Code Rate wef 2017 to 26 July 2018 27 July 2018 52A/52 3208 or Paints and varnishes..... 9% 14% (u/Sch IV- Sr # 20, 21, B/52C 3209 or 22) 3210 319A 8418 Refrigerators, freezers and 9% 14% (u/Sch IV- Sr # 120) other refrigerating or freezing equipment, electric or other; heat pumps other than air conditioning machines of heading 8415 341A 8450 Household or laundry-type 9% 14% (u/Sch IV- Sr # 130) washing machines, including machines which both wash and dry 1 Sept 2018 CA Deepak Thakkar Mumbai 7 GST reduced on supply of certain goods • New Notification # 18/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018: • Amends Principal Notification # 1/2017- CTR dt 28 June 2017, last amended by Notfn # 6/2018- CTR dt 25 Jan 2018 Sr. # HSN Description of Goods New CGST Old CGST Rate Code Rate wef 27 wef 1 July 2017 July 2018 to 26 July 2018 378A 8516 Electric instantaneous or storage water heaters 9% 14% (u/Sch IV- and immersion heaters; electric space heating Sr # 146) apparatus and soil heating apparatus; electrothermic hair-dressing apparatus (for example, hair dryers, hair curlers, curling tong heaters) and hand dryers; electric smoothing irons; other electro- thermic appliances of a kind used for domestic purposes; electric heating resistors, other than those of heading 8545 383C 8528 Television set (including LCD or LED television) 9% wef 27 14% (u/Sch IV- of Sch of screen size not exceeding 68 cm July 2018 Sr # 154) upto III 26 July 2018 1 Sept 2018 CA Deepak Thakkar Mumbai 8

GST reduced on supply of notified handicraft goods • New Notification # 21/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018; • Old Notfn 32/CT/15-9-2017 & 38/CT/13-10-2017 Sr. # HSN Description of Goods CGST Rate Remark 39 3406... Handicraft goods as notified For 1.5% or 2.5% or Different rates as covered by Entrie .9703 Eg. Handicraft candles, 6% wef 27 different entries/schedules upto s handbags, purses, jewellery July 2018 26 July 2018 box, coir articles, toran, etc 16 6117, Handmade/hand embroidered 2.5% wef 27 July ----do---- 6214 shawls of sale value not 2018 exceeding Rs. 1000 per piece 17 6117, Handmade/hand embroidered 6% wef 27 July ----do---- 6214 shawls of sale value 2018 exceeding Rs. 1000 per piece Explanation - For the purpose of this notification, the expression “handicraft goods” means – ” Goods predominantly made by hand even though some tools or machinery may also have been used in the process; such goods are graced with visual appeal in the nature of ornamentation or in-lay work or some similar work of a substantial nature; possess distinctive features, which can be aesthetic, artistic, ethnic or culturally attached and are amply different from mechanically produced goods of similar utility. “ 1 Sept 2018 CA Deepak Thakkar Mumbai 9 Supply of certain goods, made exempt • New Notification # 19/2018- CTR dt 26 July 2018 amends CGST Sch Rates wef 27 July 2018: • Amends Principal Notification # 2/2017- CTR dt 28 June 2017, last amended by Notfn # 7/2018- CTR dt 25 Jan 2018 Sr. # HSN Description of Goods New CGST Old CGST Rate wef 1 July 2017 to Code Rate wef 27 26 July 2018 July 2018 114A 44 or 68 Deities made of stone, Nil Residuary Entry Sr # 453 rate 9% or 14% as article of stone.... marble or wood 117 48 or Rupee notes or coins when sold Nil Residuary rate 9% or (14% as coin 4907 or under HSN 7118 -Sr. 18 of Sch. IV) to Reserve Bank of India or the 71 Government of India 146 9619 00 Sanitary towels (pads) or Nil 6% (u/Sch IV- Sr # 235) upto 26 July 10 /20 2018 A sanitary napkins; tampons 152 Any Rakhi (other than those made of Nil Residuary Entry Sr # 453 rate 9% Chapter (CH 71 is for precious stones, pearls, goods falling under Chapter 71) except 71 precious metals, jewellery, etc) 1 Sept 2018 CA Deepak Thakkar Mumbai 10