In exercise of powers conferred by various provisions of CGST Act 2017, CBIC issued various Notifications on 30th July, Gist of notifications are as follows:
|Notification No.||Gist of notifications|
|Central Government hereby appointed 1st August’2021 as the date from which Section 110 & 111 of the Finance Act shall become applicable.
Section 110 of the Finance Act omitted sub-clause (5) of Section 35 of the CGST Act which reads as under:
(5) Every registered person whose turnover during a financial year exceeds the prescribed limit shall get his accounts audited by a chartered accountant or a cost accountant and shall submit a copy of the audited annual accounts, the reconciliation statement under sub-section (2) of section 44 and such other documents in such form and manner as may be prescribed.
Thus Taxpayers need not to get their accounts audited from a Chartered Accountant or a Cost Accountant w.e.f 1st August’2021
Section 111 of the Finance Act substituted Section 44 of the CGST Act to read as under:
“Every registered person, other than an Input Service Distributor, a person paying tax under section 51 or section 52, a casual taxable person and a non-resident taxable person shall furnish an annual return which may include a self-certified reconciliation statement, reconciling the value of supplies declared in the return furnished for the financial year, with the audited annual financial statement for every financial year electronically, within such time and in such form and in such manner as may be prescribed
Provided that the Commissioner may, on the recommendations of the Council, by notification, exempt any class of registered persons from filing annual return under this section:
Provided further that nothing contained in this section shall apply to any department of the Central Government or a State Government or a local authority, whose books of account are subject to audit by the Comptroller and Auditor-General of India or an auditor appointed for auditing the accounts of local authorities under any law for the time being in force.”
Thus the Taxpayers are required from FY 2020-21 to furnish a self-certified reconciliation statement in FORM GSTR-9C alongwith annual return in FORM GSTR-9. Till FY 2019-20, there was requirement of certification of reconciliation statement by CA or CMA in FORM GSTR-9C which is replaced with self-certification.
|The Government, on the recommendations of the Council hereby amends the Central Goods and Services Tax Rules, 2017-
Rule 80(1) & 80(3) substituted together read as:
Every registered person, other than those referred to in the second proviso to section 44, an Input Service Distributor, a person paying tax under section 51 or section 52, a casual taxable person and a non-resident taxable person, shall furnish an annual return for every financial year as specified under section 44 electronically in FORM GSTR-9 and whose aggregate turnover during a financial year exceeds five crore rupees, shall also furnish a self-certified reconciliation statement as specified under section 44 in FORM GSTR-9C along with the annual return referred to in sub-rule (1), on or before the thirty-first day of December following the end of such financial year, electronically through the common portal either directly or through a Facilitation Centre notified by the Commissioner.”
Thus w.e.f 1st August’2020, Taxpayers shall furnish an annual return in FORM GSTR-9 on or before the 31st December following the end of such financial year alongwith self-certified reconciliation statement in FORM GSTR-9C through the common portal whose aggregate turnover exceeds 5 crore rupees.
|31/2021-Central Tax||Registered persons whose aggregate turnover in the FY 2020-21 is up to 2 crore rupees have been exempted from filing the annual return in FORM GSTR-9.|
For more details, please read the notifications from the link below:
This document has been prepared in summary form by Dewan P. N. Chopra & Co. based on the notifications issued by CBIC as indicated above. For further details, please refer the relevant notification as per link given above. While the information is believed to be accurate to the best of our knowledge, we do not make any representations or warranties, express or implied, as to the accuracy or completeness of such information. Reader should conduct and rely upon their own examination, investigation and analysis and are advised to seek their own professional advice. The information and data contained herein is not a substitute for the recipient’s independent evaluation and analysis. This document is not an offer, invitation, advice or solicitation of any kind. We accept no responsibility for any errors it may contain, whether caused by negligence or otherwise or for any loss, howsoever caused or sustained, by the person who relies on it.