Tax Summary of Updates from 23rd GST Council Meeting

Summary of Updates from 23rd GST Council Meeting held on 10/11/2017

178 items have been moved from 28 per cent to 18 like chewing gums, Detergent, marble floorings, toiletries to 18 per cent from existing 28 per cent. New rates to be applicable from 15.11.2017 prospectively after notification.
Restaurants in starred-hotels will charge 18 per cent tax with input tax credit, those in lower category hotels to charge 5 per cent GST without ITC.
Tax rate on 13 items reduced from 18 per cent to 12 per cent, while tax rates have been reduced to 5 per cent on five items from 18 per cent. Besides, rate on 6 items lowered to zero from 5 per cent.
Late Fees for the months of July, August and Sept, 2017 for GSTR-3B waived in all such cases. It will be re-credited to their Electronic Cash Ledger under “Tax” head instead of “Fee” head so as to enable them to use that amount for discharge of their future tax liabilities. The software changes for this would be made and thereafter this decision will be implemented.
For subsequent months, i.e. October 2017 onwards, the amount of late fee payable by a taxpayer whose tax liability for that month was ‘NIL’ will be Rs. 20/- per day (Rs. 10/- per day each under CGST & SGST Acts) instead of Rs. 200/- per day (Rs. 100/- per day each under CGST & SGST Acts).
A facility for manual filing of application for advance ruling is being introduced for the time being.
Exports of services to Nepal and Bhutan have already been exempted from GST. It has now been decided that such exporters will also be eligible for claiming Input Tax Credit in respect of goods or services used for effecting such exempt supply of services to Nepal and Bhutan.
Due dates for furnishing the following forms shall be extended as under: -GST ITC-04 for the quarter July-September, 2017 25.10.2017 ; GSTR-4 for the quarter July-September, 2017 From 18.10.2017 To 24.12.2017; GSTR-5 for July, 2017 To 20.08.2017 or 7 days from the last date of registration whichever is earlier 11.12.2017; GSTR-5A for July, 2017 20.08.2017 To 15.12.2017; GSTR-6 for July, 2017 13.08.2017 To 31.12.2017; TRAN-1 30.09.2017 To 31.12.2017 (One-time option of revision also to be given till this date).
For Foreign Diplomatic Missions / UN Organizations, a centralized UIN will be issued to every Foreign Diplomatic Mission / UN Organization by the Central Government and all compliance for such agencies will be done by the Central Government in coordination with the Ministry of External Affairs.
Taxpayers with annual aggregate turnover up to Rs. 1.5 crore need to file GSTR-1 on quarterly basis as per following frequency:- Jul- Sep 31st by Dec 2017; Oct- Dec 15th by Feb 2018; Jan- Mar 30th by April 2018.
Taxpayers with annual aggregate turnover more than Rs. 1.5 crore need to file GSTR-1 on monthly basis as per following frequency: -Jul- Oct 31st by Dec 2017; Nov by 10th Jan 2018; Dec by 10th Feb 2018; Jan 10th by Mar 2018; Feb 10th by Apr 2018; Mar 10th by May 2018
Composition rate of 1% for manufacturers. Composition scheme for services up to Rs. 5 Lakhs in addition to supply of goods.
Composition limit to be increased to Rs. 1.5 crores only upon amendment of law.