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7 Major Changes Post 37th GST Council Meeting

7 Major Changes Post 37th GST Council Meeting

37th GST Council meeting held on the 20th of September 2019 in Goa. Which was headed by Smt. Nirmala Sitharaman, the Union Finance Minister. Here are 7 major changes incorporated post Council meeting bringing suitable changes in Goods and Services Tax.

  1.    Annual return
  • Filing of GSTR 9 is optional for taxpayers having a turnover up to Rs. 2 crores for the financial year 2017-2018 and 2018-2019.
  • Waiver of GSTR-9A for composition taxpayers for the financial year 2017-2018 and 2018-2019.
  1. GST Refund-
  • Aadhaar mandatory for registration of taxpayers under GST and it may become mandatory for claiming refunds.
  • Integrated refund system with refund disbursal by the single authority to be introduced from 24th September 2019. 
  1. Appellate Tribunal-
  • Last date to file appeals with the appellate tribunal to be extended, as tribunal yet to be functional. 
  1. New Return Scheme-
  • New GST return system will be implemented from April 2020.
  • ITC claims to be restricted unless GSTR-1 has been filled.
  • The aim is to make taxpayers familiar with the latest development under GST.
  • A committee of officers will review the simplification of GSTR-9 and GSTR
  1. GST is applicable in J/&K –
  • Suitable amendments in the CGST Act, UTGST Act, and the corresponding SGST Acts because of the creation of UT’s of Jammu & Kashmir and Ladakh.
  1. Post Sale Discount-
  • In principle decision to prescribe reasonable restrictions for passing of ITC by risky taxpayers including risky new taxpayers (likely be system driven based on their activity).
  • Circular 105 CT dated 28 June 2019 on post-sale discount treatment taken back.
  1. Reduction in GST rates-
GST Rate Revision effective from 1 October 2019
  • GST on Plates and cups made of flowers, leaves, and bark reduced from 5% to Nil.
  • GST on Caffeinated Beverages increased from 18% to 28%+12% cess
  • GST on Supplies of Railways wagons & coaches (without refund of accumulated ITC) increased from 5% to 12%
  • GST on Outdoor Catering (without ITC) reduced from 18% to 5%
  • GST on Diamond Job work reduced from 5% to 1.50%
  • GST on Other Job work reduced from 18% to 12%
  • GST on Hotels (Room Tariff of Rs.7501 or above) reduced from 28% to 18%
  • GST on Hotels (Room Tariff from Rs 1,001 to Rs 7,500) reduced from 18% to 12%
  • Cess on Petrol Motor Vehicles (Capacity of 10-13 passengers) reduced from 15% to 1%
  • Cess on Diesel Motor Vehicles (Capacity of 10-13 passengers) reduced from 15% to 3% 
GST Exemption available for:
  • Supplies to FIFA- specified persons for the Under-17 Women’s Football World Cup in India
  • Supply to the Food and Agriculture Organisation (FAO) for definite projects in India
  • Imports of certain defense goods not made indigenously (up to 2024)
  • Supply of silver/platinum by specified agencies (Diamond India Ltd) for export
  • Import of Silver or Platinum by specified agencies (Diamond India Ltd)


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