MISCELLANEOUS Provisions in GST

Rajiv Jalota
Commissioner of Sales Tax
Maharashtra

1
GST Compliance Rating (Sec. 116)

Compliance Rating of taxpayer based on

compliance with provisions of Model GST Act
Parameters for rating to be prescribed in the rules
Rating to be updated periodically and to be
published in public domain

2
 Information Return (Sec. 117)

Information return to be filed by certain persons.

Forms, periods, intervals regarding information return to be
prescribed in rules
Defects in information return to be rectified within 30 days
from date of communication.
Information return to be treated as not submitted if defects
are not rectified within prescribed period.
Non filer to furnish information return within 90 days from
date of service of the notice.
3
 Information Return (Sec. 117)

Information return to be furnished by

Taxable person
Local authority or other public body or association
State authority collecting VAT/State excise duty/Sales tax
Central authority collecting excise duty/customs duty
Income tax authority
Banking companies
State electricity board/Electricity distribution or transmission
licensee
4
Information Return (Sec. 117)

Information return to be furnished by

Registrar or sub registrar (As per Registration Act, 1908)
Registrar (As per Companies Act, 2013)
Registering authority (As per Motor Vehicles Act, 1988)
Collector (As per Right to fair Compensation and Transparency in
Land Acquisition, Rehabilitation and Resettlement Act, 2013)
Recognized stock exchange (As per Securities Contracts
(Regulation) Act, 1956)
Depository (As per Depository Act, 1996)
Officer of RBI (As per Reserve Bank of India Act, 1934)
Goods and Service Tax Network (GSTN) 5
Penalty For Failure to Furnish Information Return (Sec-
118)

Penalty for failure to furnish information returns-

Person required to furnish an information return
under section 117 if fails to do so,
Penalty-Rs. 100 per day of the period during which
failure continues.

6
Power to Collect Statistics (Sec. 119)

Board/Commissioner to notify matters for

collection of statistics
Concerned persons to furnish information or
returns for the purpose of this section
Forms, particulars, intervals regarding collection of
statistics to be prescribed in rules

7
Disclosure of Information Required u/s 119
(Sec. 120)

No information or return collected u/s 119 be published without consent of

concerned person
Penalty of Rs. 100 per day (Up to max. Rs. 1000) for non furnishing or
furnishing false information required u/s 119
No access of information collected u/s 119 to anybody other than person
engaged in collection, compilation or computerization of statistics
Imprisonment up to 6 months and/or fine up to Rs. 1000 for willful disclosure
of information collected u/s 119 by person having access to such information
Publishing of Information relating to class of dealers or class of transactions is
permissible
8
 Test Purchase of Goods and Drawl of Samples

Sect. 121 Test purchase of goods

Test purchase of goods is permissible to check issue of tax
invoices/bills
Taxable person to refund the amount of test purchase after
cancelling the invoice/bills

Sect. 122 - Drawl of samples

Drawl of samples of goods from taxable person is permissible
Receipt of samples to be provided by GST officer.

9
 Burden of Proof (Sec. 123)

Burden of proof lies with the claimant taxable

person regarding
Non liability to pay tax in respect to any supply of goods and/or
services
Eligibility of Input Tax Credit under section 16

10
GST Authorities to be Public Servants (Sec 124)

All persons discharging functions under Model GST Act be

deemed to be public servants within the meaning of
Section 21 of the Indian Penal Code, 1860.
The words public servant denote a person falling under
any of the descriptions (Sect. 21 of IPC) -
Every Commissioned Officer in the Military, Naval or Air
Forces of India;
Every Judge including any person empowered by law to
discharge, whether by himself or as a member of any
body of persons. any adjudicatory functions; 11
GST Authorities to be Public Servants (Sec 124)

The words public servant denote a person falling

under any of the descriptions (Sect. 21 of IPC) -
Every officer of a Court of Justice (including a liquidator,
receiver or commissioner) whose duty it is, as such
officer, to investigate or report on any matter of law or
fact, or to make, authenticate, or keep any document,
or to take charge or dispose of any property, or to
execute any judicial process, or to administer any oath,
or to interpret, or to preserve order in the Court, and
every person specially authorized by a Court of Justice
to perform any of such duties;
Every juryman, assessor, or member of a panchayat 12
GST Authorities to be Public Servants (Sec 124)

The words public servant denote a person falling

under any of the descriptions (Sect. 21 of IPC) -
Every arbitrator or other person to whom any cause or
matter has been referred for decision or report by any
Court of Justice, or by any other competent public
authority;
Every person who holds any office by virtue of which he
is empowered to place or keep any person in
confinement;
Every officer of the Government whose duty it is, as
such officer, to prevent offences, to give information of 13
GST Authorities to be Public Servants (Sec 124)

The words public servant denote a person falling

under any of the descriptions (Sect. 21 of IPC) -
Every officer whose duty it is as such officer, to take, receive,
keep or expend any property on behalf of the Government, or to
make any survey, assessment or contract on behalf of the
Government, or to execute any revenue process, or to
investigate, or to report, on any matter affecting the pecuniary
interests of the Government, or to make authenticate or keep
any document relating to the pecuniary interests of the
Government, or to prevent the infraction of any law for the
protection of the pecuniary interests of the Government;

14
GST Authorities to be Public Servants (Sec 124)

The words public servant denote a person falling

under any of the descriptions (Sect. 21 of IPC) -
Every officer whose duty it is, as such officer, to take,
receive, keep or expend any property, to make any
survey or assessment or to levy any rate or tax for any
secular common purpose of any village, town or district,
or to make, authenticate or keep any document for the
ascertaining of the rights of the people of any village,
town or district;
Every person who holds any office in virtue of which he
is empowered to prepare, publish, maintain or revise an15
GST Authorities to be Public Servants (Sec 124)

The words public servant denote a person falling

under any of the descriptions (Sect. 21 of IPC) -
Every person
in the service or pay of the Government or remunerated by
fees or commission for the performance of any public duty by
the Government;
in the service or pay of a local authority, a corporation
established by or under a Central, Provincial or State Act or a
Government company as defined in section 617 of the
Companies Act, 1956 (1 of 1956).
16
 Indemnity (Sec 125)

No legal proceeding to lie against any GST officer,

for anything which is done or intended to be done
in good faith

17
Disclosure of Information by Public Servant (Sec. 126)

All particulars in any statement, return, accounts or

document produced in accordance with or under any
proceedings of the Act to be treated as confidential.
No court be entitled to ask for production or give
evidence in respect to above particulars barring some
exception
Imprisonment up to 6 months and/or fine for
disclosure of above particulars by any GST officers.
18
Disclosure of Information by Public Servant (Sec. 126)

Exceptions
Disclosure for the purpose of any prosecution under Indian Penal Code, 1860,
Prevention of Corruption Act, 1988, etc.
Disclosure to State/Central Government or to a person authorized for
verification of such particulars under the Act
Disclosure for the purpose of service of any notice or recovery of any demand
under the Act
Disclosure to Civil Court/Tribunal where Government or any authority under the
Act is a party and the matter is arising out of any proceeding under the Act
Disclosure to any officer appointed for the purpose of audit of tax receipt or
refunds under the Act

19
Disclosure of information by Public Servant (Sec. 126)

Exceptions
Disclosure to inquiry officer for the purpose of inquiry into the conduct of any
GST officer
Disclosure to State/Central Government for enabling it to levy or realize any
tax/duty imposed
Disclosure by public servant under lawful exercise of his powers under the Act
Disclosure to the authority empowered to take disciplinary action against
Advocates, cost accountants, CAs, CS, etc.
Disclosure to Central or State Government officer for exercising his duties under
any other law
Disclosure of information relating to any class of taxpayers or to any class of
transactions desirable in public interest.

20
Publication of Information Respecting Persons in
Certain Cases (Sec. 127)

In the public interest, the authority can publish names of

any person and particulars relating to any proceeding or
prosecution under the Act
Publication in relation to penalty admissible only in cases
where appeal is not filed with First Appellate Authority
before due date
Names of partners, directors, secretaries, treasurers,
managers, agents, etc. can also be published in certain
cases.
21
Assessment Proceedings, etc. Not to be Invalid on
Certain Grounds (Sec.
128)

Assessment, re-assessment, adjudication, review, revision,

appeal, rectification, notice, summons, etc. will not be
invalid merely by the reason of any mistake, defect or
omission, if effect is in conformity with intents, purposes
and requirements of the Act
Service of any notice, order or communication will not be
in question if it has already been acted upon or if
proceedings are commenced, continued or finalized in
similar earlier cases.
22
Rectification of Mistakes or Errors Apparent From
Record
(Sec. 129)

Mistakes or errors apparent from record can be rectified by

the authority who has passed or issued any decision, order,
summons, notice, certificate or any other document.
Time limit for rectification is 6 months
Principle of Natural justice to be followed if rectification
adversely affects any person
Amendment of substantive part of decision, order, summons,
notice, certificate, etc. not allowed under rectification

23
 Bar of Jurisdiction of Civil Courts (Sec. 130)

Civil courts shall not have jurisdiction to deal with

or decide any question arising from or relating to
anything done or purported to be done under the
Act.

24
 Levy of Fees (Sec. 131)

There will be fees for copy of any order or

document as may be prescribed

25
Power of Central (or State) Government to Make Rules
(Sec. 132)

Central Government or State Government empowered to

make rules on the recommendation of GST Council
This includes power to issue notifications with retrospective
effect under those rules
Power to make rules includes Power to give retrospective
effect to the rules, but not earlier than the date of effect of
this provision
Penalty not exceeding Rs. 10,000 for breach of any rule, if
not provided elsewhere
26
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Specify the persons required to take registration under GST and the manner,
time, application form, etc. for such registration
Provide for fees, if any for registration
Provide for manner of verification of registration application
Provide for manner of issue of registration under the Act
Provide for situations and manner of grant of deemed registration
Provide for manner of migration, amendment, surrender, revocation,
suspension, cancellation of registration under the Act
Provide for assessment and collection of tax, issue of notices requiring
payment, manner in which tax shall be payable and recovery of tax not paid
Provide for the authorities by whom functions under the Act are to be
discharged
27
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Impose the duty of furnishing information, maintaining records and filing
returns on persons and prescribe nature, forms, particulars, etc. of such
information, records or returns
Provide for form, manner and frequency for filing of return and late fees
for delayed filing of return
Provide for charging or payment of interest
Provide for detention/attachment of movable or immovable properties and
their subsequent disposal for recovery of dues
Authorise and regulate composition (compounding) of offense or liabilities
Provide for compounding amount and the manner of compounding of
offense
28
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Provide for publication of names and other particulars of defaulters
Provide for the manner of recovery of any amount due
Authorize and regulate inspection and Audit of business premises
Provide for taking samples and for making tests
Provide for inspection or search of any place or conveyance used for
production, storage, sale, supply or transport of goods
Specify form and manner in case of refund application
Provide for the manner in which amounts shall be credited to the
Consumer Welfare Fund and their utilization

29
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Provide for the form in which accounts and records relating to Consumer
Welfare Fund to be maintained
Specify the forms in which appeals, applications and memoranda of cross
objections to be filed and verified
Provide for the qualifications and the manner of appointment of the National
President, the State President, and the Members of the Appellate Tribunal
Regulate the manner of movement of supplies from any part of India to any
other part
Regulate the removal of taxable supplies of goods from the place where
produced, stored or manufactured or subjected to any process of production or
manufacture and their transport to or from the premises of a registered
person, or a bonded warehouse, or to a market
30
Power of Central (or State) Government to Make
Rules
(Sec. 132)

Rules can be made to -

Provide for the appointment, licensing, management and supervision of
bonded warehouses and the procedure to be followed for entry of goods
into such warehouses and clearance of goods therefrom
Provide for the distinguishing of supply of goods which have been
manufactured after registration, of materials which have been imported,
and of supply of goods on which tax has been paid, or which are exempt
from tax under this Act, or any other class of goods as may be specified
in such rules
Require that taxable supplies of specified goods shall not be made
except in prescribed containers, bearing a banderol, stamp or label of
such nature and affixed in such manner as may be prescribed
31
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Provide for the grant of a rebate of the tax paid on supply of goods or
services which are exported out of India or shipped for consumption on a
voyage to any port outside India including interest thereon
Provide for rebate of tax paid or payable on the taxable supply of
services used as input services in the supply of goods or services
exported out of India under section 38
Provide for the charging of fees for the examination of goods intended for
export out of India and for rendering any other service by a GST Officer
under this Act or the rules made thereunder
Authorise the Board (or competent authority) or officers of GST, as the
case may be, appointed for the purposes of this Act to provide, by written
instructions, for supplemental matters arising out of any rule made by
the Central Government (or the State Government) under this section 32
Power of Central (or State) Government to Make Rules (Sec.
132)

Rules can be made to -

Provide for the manner of provisional attachment of property under section 58
Make provisions for determining export of taxable supply of services
Provide for grant of exemption to, or rebate of tax paid on, taxable supply of
services which are exported out of India
Provide for manner of administering of payment of taxes under the
compounding of tax
Provide for dealing with situations where goods are returned
Provide for specifying the details to be given in the invoices, the maintenance
of accounts, the furnishing of audit reports, and matters related thereto
Provide for the qualifications and the manner of appointment of the Advance
Ruling authority under section 95 of the Act, and other matters related to
functioning of the authority
33
Power of Central (or State) Government to Make Rules
(Sec. 132)

Rules can be made to -

Provide for the qualifications of tax return preparers, tax practitioners
and authorized representatives under various provisions of the Act,
the manner of their selection or appointment or nomination, their
codes of conduct, and other matters related or incidental thereto
Provide for matters relating to tax deducted at source
Provide for matters covered by Chapter XXV
Provide for the suspension of certain facilities admissible under this Act or
the rules made thereunder in case of repeat violations of conditions and
restrictions as may be prescribed; and
Any other matter related to administering or enforcing the provisions
of the Act.
34
General Power to Make Regulations (Sec. 132A)

Board or commissioner is empowered to make

regulations consistent with the Act
Matters with respect to which regulations will be
provided to be enlisted in this section
Section 2 (81) : Definition of Regulations
Regulations means the regulations made by Board/Commissioner
under any provision of the Act on the recommendation of the Council .
Section 68 describes general discipline related to
breach of regulations.
35
 Delegation of Powers (Sect. 133)

Powers exercisable by any GST authority can be

delegated to other GST authority by notification in
the Gazette
Conditions for delegation may also be published
in the Gazette

36
 Instructions to GST Officers (Sec. 134)

The competent authority may issue orders, instructions or

directions to GST officers for the purpose of uniformity in
the implementation of the Act
No such orders, instructions or directions can be issued in -
Disposing of a particular case in a particular manner or making a particular
assessment
Deciding appeals by First Appellate Authority

37
 Removal of Difficulties (Sec. 135)

Central or State Government empowered to publish

any special or general order in the Gazette, to enable
it to do anything not inconsistent with the Act, for
removal of difficulties
Such order to be laid before Parliament or State
Legislature as soon as possible
Time limit for passing such order is 2 years from the
date of effect of the provision
38
Service of Notice in Certain Circumstances (Sec. 136)

Service of any decision, order, summons, notice or

other communication can be made by any of following
Giving or tendering directly or by courier, etc. to taxpayer, his
advocate, tax practitioner, manager, employee or authorized person
etc.
By post or courier to the taxpayer or his authorized agent at his last
known place of business or residence
By facsimile message
By e-mail
By SMS to registered mobile number
By making it available on taxpayers dashboard on the website
39
Service of Notice in Certain Circumstances (Sec. 136)

Service of any decision, order, summons, notice or

other communication can be made by any of following
By publication in local newspaper
By affixing at last known place of business or residence
By affixing on the notice board of the officer who passed such decision,
order, summons, notice, etc. if other ways are not practicable
Date of service will be considered to be date of tendering,
publishing, affixing, etc.
In case of non receipt of acknowledgment by registered post, date of
service will be considered to be the date of delivery in normal
circumstances
40
Rounding off Tax, etc. (Sec. 137)

The amount of tax, interest, penalty, fine or any

other sum payable and the amount of refund or
any other sum due to be rounded of to the nearest
rupee

41
Effect of Amendments of Rules, Notifications or Orders (Sec.
138)

Where any rule, notification or order is amended,

repealed, superseded or rescinded, it shall not
Revive anything not in force or in existence
Affect previous operation of such rule, notification or order
Affect any previous right, privilege, obligation or liability
acquired
Affect any previous penalty, forfeiture or punishment
Affect any investigation, legal proceeding, remedy initiated
previously

42
Publication of Rules and Notifications and Laying of Rules
Before Parliament or State Legislature (Sec. 139)

All rules made and notifications issued under the Act

shall be published in the official Gazette
Every rule or notification issued under certain sections to
be laid before Parliament or State Legislature as soon as
possible
If Parliament or State Legislature suggested certain
modifications or rejected the rules or notifications, effects
of such modifications or deletion will be prospective

43
 MISCELLANEOUS
Provisions in Model
IGST Act

44
 Miscellaneous Provisions - Model IGST Act

Miscellaneous Provisions are provided in following

sections of Model IGST Act
Section 27: Application of certain provisions of CGST Act
Section 28: Power to make rules
Section 29: Interest on delayed payment of tax
Section 30: Tax wrongfully collected and deposited with
the Central or State Government

45
 Application of certain provisions of CGST Act
(Sec. 27 IGST)

Following provisions of CGST Act to apply mutatis-

mutandis in IGST Act
Registration Valuation
Time of supply of goods Time of supply of services
Change in tax rates in respect Exemption from payment of
of supply of services tax
Input Tax Credit and utilization Accounts and records,
thereof
Payment Return
Audit Assessment
Adjudication Demands
46
 Application of certain provisions of CGST Act
(Sec. 27 IGST)

Following provisions of CGST Act to apply mutatis-

mutandis in IGST Act
Refunds Interest
Recovery of tax Offences and penalties
Inspection Search and seizure
Prosecution and power to Appeals
arrest
Review Advance ruling
Compounding

47
Power to make rules (Sec. 28 - IGST)

Central Government authorized to make rules by

notification on recommendation of GST Council
Rules can be made in the matter of -
Settlement of cases
In all or any matters required to be prescribed by rules
under IGST Act

48
Interest on delayed payment of tax (Sec. 29
- IGST)

Every person liable to pay tax should also pay

interest on delayed payment of such tax
Rate of interest to be notified on the
recommendation of
GST Council
Interest also required to pay on undue or excess
claim of Input Tax Credit
Interest to be calculated from the first day on which
such tax is due for payment
49
Tax wrongfully collected and deposited with the Central or
State Government (Sec. 30 - IGST)

IGST paid on transactions which are subsequently

held to intra-State supply liable for refund
Such refund is eligible only on payment of
corresponding CGST and SGST in the appropriate
State
Provisions of section 38 of CGST Act (Refunds)
applicable for such refunds

50
Thank You

51