CA NARESH KUMAR SANKHLA

  Can a composition taxpayer sell through an e-commerce operator in India? In the realm of tax compliance, the Composition Scheme emerges as a beacon of simplicity for small businesses, especially those navigating the complexities of e-commerce. Recent amendments have expanded the scope of this scheme, granting e-commerce goods suppliers the opportunity to embrace its advantages. Now, they can revel in the perks of a fixed tax rate based on turnover and streamlined compliance procedures. It's important to emphasize that this amendment exclusively pertains to the sale of goods via e-commerce platforms, excluding services. Service providers operating within the e-commerce landscape remain outside the purview of the Composition Scheme. This amendment represents a significant stride forward, lightening the tax load for e-commerce goods suppliers. It's a testament to fostering growth and adherence to regulations within the ever-evolving digital marketplace.

The Central Government, acting on the recommendations of the GST Council, has issued a set of significant notifications, bringing about changes that will impact electronic commerce operators and businesses operating in the e-commerce space. These changes are set to take effect on October 1, 2023. Can a composition scheme dealer sell online? Notification No. 36/2023 - Central Tax (Dated: August 4, 2023): According to this composition scheme dealer can sell online within same state. This notification outlines a special procedure for electronic commerce operators in India. It restricts them from facilitating inter-State supply of goods by persons paying tax under Section 10 of the Central Goods and Services Tax Act. Electronic commerce operators are required to collect tax at source for such supplies and file the details electronically in FORM GSTR-8. These changes aim to ensure smoother tax collection and reporting, particularly for composition scheme dealers. The effectiv

Recent notification issued by CBIC with respect to Standard Operating Procedure (SOP) for Scrutiny of GST Returns for FY 2019-20 onwards. Earlier CBIC had rolled out a module for automated scrutiny of GST returns. The module enables tax officers to carry out scrutiny of GST returns selected on the basis of data analytics and risks identified by the System.  Selection of returns for scrutiny will be done by the Directorate General of Analytics and Risk Management (DGARM) based on various risk parameters identified by them. The selected GSTINs (GST Identification Numbers) with the details of the risk parameters, in respect of which risk has been identified for a particular GSTIN, and the amount of tax/ discrepancy involved in respect of the concerned risk parameters (i.e. likely revenue implication), will also be shown on the ACES-GST application i.e scrutiny dashboard of the proper officer for their convenience. Step 1:- Tax officer would send scrutiny notice to an assessee in GST ASM

The Central Board of Indirect Taxes & Customs (CBIC) has rolled out Automated Return Scrutiny Module for GST returns in ACES-GST backend application for Central Tax Officers. During the recent review of the performance of the CBIC, Union Minister for Finance and Corporate Affairs Nirmala Sitharaman had given directions to roll out an Automated Return Scrutiny Module for GST returns at the earliest. "In order to implement this non-intrusive means of compliance verification, CBIC has rolled out the Automated Return Scrutiny Module for GST returns in the ACES-GST backend application for Central Tax Officers this week.  This module will enable the officers to carry out scrutiny of GST returns of Centre Administered Taxpayers selected on the basis of data analytics and risks identified by the System," said an official release. In the module, discrepancies on account of risks associated with a return are displayed to the tax officers.  Tax officers are provided with a workflo

New GST E-invoicing notification:   The Finance Ministry has issued a notification announcing reduction in threshold limit for GST E-invoicing . Businesses with a turnover of ₹5 crore or more will be required to adopt e-invoicing from August 1, whereas the current threshold stands at ₹10 crore.  E-invoicing was initially implemented in 2020 for large companies with turnover of more than Rs 500 crore, and within 3 years the threshold has now been lowered to Rs 5 crore. E-invoicing for business-to-business (B2B) transactions was made mandatory under GST law for companies with annual revenues over Rs 500 crore starting on October 1, 2020, and then for those with annual revenues over Rs 100 crore starting on January 1, 2021. Companies that had a turnover of more than Rs 50 crore started producing B2B e-invoices from April 1, 2021. from April 1, 2022, the barrier was reduced to Rs 20 crore. The threshold was further reduced to Rs 10 crore as of October 1, 2022. 

Recent GST Notification for a Special All-India Drive:-  A Special All-India Drive may be launched by all Central and State Tax administrations during the period 16th May 2023 to 15th July 2023 to detect suspicious / fake GSTINs and to conduct requisite verification and further remedial action to weed out these fake billers from the GST eco-system and to safeguard Government revenue.  Basic Things for GST registered persons:-  1. Mention GST number on Sign bord.  2. Display of Registration Certificate on prompt place.  3. Filing of GST returns on timely basis.  4. Maintain purchase and sales bills in proper file or folder.  5. If any additional place of business or godown then same to be updated on GST registration certificate. For regular updates click here  More details