Knowledge Base

Tag of “Risky Exporter”: Pain to Genuine Exporter
if you are one of the exporters who is bearing a tag of risky exporters and your refund is put on hold by the GST Authority then this article may help you to resolve this issue.
By CA. Sachin Jindal
Last update on November 16,2021
ITC is not eligible on expense incurred on CSR Activities
The power conferred under Rule 86A is very drastic. Power under Rule 86A should be invoked only if fraudulent ITC or ineligible ITC has been claimed by the assessee and the authority has recorded the reasons for the same in writing. The authority is bound to record the reasons of invoking Rule 86A in writing and communicate such reasons to the assessee. On receipt of such reasons, the assessee is entitled to make his submission/objection requesting for lifting.
By CA. Sachin Jindal
Last update on October 22,2021
Rule 86A can’t be invoked without communicating reasons of invoking rule 86A to the assessee
Hon’ble High Court held that power conferred under Rule 86A is very drastic. Power under Rule 86A should be invoked only if fraudulent ITC or ineligible ITC has been claimed by the assessee and the authority has recorded the reasons for the same in writing. In this matter, Hon’ble High Court relied on precedence of apex court in the matter of GKN Driveshafts (India) Limited Vs. ITO reported in (2003) 259 ITR 19 (SC) wherein it was held that in case of reopening of assessment under Section 143(3) of Income Tax Act, the assessee should be afforded an opportunity of hearing and he is entitled to know the reasons for reopening and is also entitled to object to such reopening done by the Assessing Officer. Same analogy is applicable in the given case also, the authority is bound to record the reasons of invoking Rule 86A in writing and communicate such reasons to the assessee. On receipt of such reasons, the assessee is entitled to make his submission/objection requesting for lifting.
By CA. Sachin Jindal
Last update on October 22,2021
GST is not applicable on consideration collection from employee for canteen services
The Amneal Pharmaceuticals Private Limited (The Appellant), is providing food facilities to its 500 employees. Canteen is run by a third party, i.e., Canteen Service Provider, to provide food to the employees. The Appellant collects a portion of the price of the canteen service provider from the employees by way of deduction from their salaries. To determine whether GST is payable on the amount collected from the employee, the appellant filed an appeal before GAAR wherein Hon’ble GAAR held affirmative and decided that appellant is liable to pay GST on such amount.
By CA. Sachin Jindal
Last update on October 12,2021
Clarification in respect of certain GST related issues
In pursuance of the recommendation of GST Council, CBIC issued necessary clarification vide Circular No. 160/16/2021-GST dated 20th September 2021 on the following issues
By CA. Sachin Jindal
Last update on October 5,2021
Service provided by subsidiary/ sister concern/ group concern located in India to Foreign Company located outside India is considered as Export
A lot of benefits are provided for “Export” of goods or services. However, various conditions are required to be fulfilled to qualify a transaction as “Export”. Similarly, to qualify a supply of service as “Export of service”, five conditions are provided under Section 2(6) of IGST Act, 2017.  However, one of the conditions given in […]
By CA. Sachin Jindal
Last update on September 25,2021
Clarification on Scope of “Intermediary” under GST
The GST council received various representations to clarify scope of “Intermediary” service and therefore, in the 45th GST Council meeting, the GST council recommended CBIC to issue the necessary clarifications to resolve this matter to the extent possible.
By CA. Kapil Mittal
Last update on September 25,2021
Briefing on 45th GST Council Meeting| GST Update
The GST Council met for the 45th Time on 17th September 2021 under chairmanship of the Hon’ble Finance Minister. In the 45th GST Council meeting, Major decisions were taken around the revision of GST rates on various goods such as COVID-related medicines, Paper Products, Waste of plastic, etc., and various other services also. Recommendations are also made around streamlining compliance under GST.
By CA. Sachin Jindal
Last update on September 21,2021
Export through Courier| IGST Refund process through ECCS Application (Express Cargo Clearance System)
Shipping bill filed for export of goods is automatically considered as Refund application and upon processing of shipping bills on IECGATE, the system will automatically process the refund of IGST.
By CA. Sachin Jindal
Last update on September 17,2021
Income Tax Due Dates Extension for AY 2021-22
CBDT has decided to extend the due date of filing of various income tax returns and audit reports for FY 2020-21 (A.Y. 2021-22) vide Circular No. 17/2021 dated 9th September, 2021.
By CA. Kavit Vijay
Last update on September 10,2021

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