A circular has been issued by the Uttar Pradesh Goods and Services Tax (GST) Department explaining the procedure for defining the jurisdiction of traders registered in various corporate circles in the state.
The circular, which sought to ease the jurisdictional matters, derives from a thorough analysis of information received via 50,000 dealers, including a list of the top 100 traders from each zone. The same analysis has directed to the identification of the 60 largest traders per zone, as per earlier orders.
The process of selection for such 60 traders including 45 goods suppliers and 15 service providers in each zone hinges on their taxable turnover and tax liable to be paid. From the GSTR-3B return the same information is extracted for the final tax period of the fiscal year. Each Zonal Additional Commissioner and state Tax carries the same analysis to specify the jurisdictional boundaries.
The circular mandates that proposals for the jurisdiction of such traders be furnished in the headquarters within 15 days as per the deadline for filing the last GSTR-3B of the fiscal year. Such proposals should classify traders into different segments, like manufacturers, traders, exporters, and entities dealing with sensitive goods or influential services from the perspective of taxation.
In zones where fewer than 15 of the top 100 traders are service providers, the proposal ought to carry the top 15 service-supplying traders. This ensures fair representation and participation in the jurisdiction determination procedure.
The circular specifies that any proposals for modifications to jurisdiction or modifications to the Corporate Circle will exclusively be considered at the onset of the subsequent financial year. The same measure has the objective to maintain consistency and prevent mid-year alterations.
On the determination of the jurisdiction of traders registered in different corporate circles of the state, the circular provides transparency.