32nd GST council meeting latest updates directly from major resources under which decisions on some major points including the GST threshold limit, GST rate fixed for composition scheme taxpayers along with annual return filing process taken.
32nd GST council meeting has been discussing for further announcements and decisions. The council has also decided on tax exemption for the small and medium enterprises by increasing GST threshold limit.
All Updates on 32nd GST Council Meeting in New Delhi
- Committee set up for real estate sector to go through the issues and submit a report
- GST Council permits the Kerala Govt to levy 1 per cent calamity cess for 2 years to collect funds for rehabilitation
- 6 per cent GST rate applicable to the Composition scheme for service providers and turnover up to 50 lakh per annum.
- The registration threshold limit under GST increased from earlier INR 20 lakh to INR 40 lakh. Kerala & Chattisgarh given option to remain in any limit either 20 lakh or 40 lakh. Also, Northeastern and hilly states threshold limit doubled more than 20 lakhs.
- It was also announced that a free billing and cost accounting to be made available for the small taxpayers to reduce compliance cost.
- GST Council increased the limit of annual turnover for composition scheme taxpayers to 1.50 Crores, effectively from 1 April 2019 under which the composition taxpayers allowed to file returns annually and pay tax on a quarterly basis.
- The meeting has been started at the Vigyan Bhawan, Delhi chaired by the Union finance minister Arun Jaitley and state wise finance ministers.
We are running a home stay service, annual turnover will be around 6 lakhs, whether we have to remit GST or we can file nil return?
As per 32nd Council meet, it is understood that Registered dealers falling under MSME definition are only eligible for the benefit of increased turnover limit for registration. What is applicable MSME definition as of now? I came to know that there is a proposal for change of MSME definition from the concept of investment in plant and machinery to gross receipts. Could you pl update in the light of the MSME definition? If the old definition is still in force, then all the professionals whose investment in plant and machinery i.e A/C and other fittings are less than the prescribed limits would be covered for the enhanced turnover limits?
Nothing has been notified in this regard. It is only recommended at the council meeting. the same shall be applicable only after notification.
As per 32nd GST council meeting. Is I fall under 20 lakh turnover but I supply goods to clients in other states. Can I cancel the GST registration?
Regards
Bhadresh Parmar
Yes, you can cancel.
“A composition scheme shall be made available to the supplier of services (or mixed suppliers) having Annual Turnover in the preceding Financial Year up to Rs.50 lakhs. Tax rate will be 6% (3% CGST +3% SGST).”:
Will Chartered Accountants, Service Providers, get the benefit of this proposed Amendment?
Regards
Advocate Shrikrishan
B.Com., MBA, LLB
Yes, they will be benefited as now they can opt for composition scheme.
If the majority of the clientele is registered under GST, then definitely the proposed composition scheme for service providers shall not be of any use as the clients would rather prefer obtaining a regular tax invoice to claim an input tax credit
Yes, true
correct
If automotive tyre, tube and flap are sold in SET (which is the practice followed for decades) the GST rate is 28%. If Tube and Flap are sold in a loose condition, the rate is 18%. How can one item have two different rates? There should be a different HSN code for THE SET OF TYRE, TUBE AND FLAP to avoid this problem, especially for Tally users. Do you have a better suggestion, Sir? Thanks
There is different HSN code for three items. But if you sold them in the set, such supply shall be considered as mixed supply and rate of GST shall be higher of three i.e. 28%, but if they are sold in loose condition each will attract a different rate of its own. In both, the condition only tax rate changes but HSN code are different for all three.