Summary of Notifications issued on 26th November 2019

1. Extension of time limit to furnish various returns by registered persons having principal place of business in J&K:

2. Special transitional procedure with respect to J&K reorganization for persons having place of business in J&K:

Persons whose principal place of business or place of business:

1. was located in the erstwhile State of Jammu and Kashmir till the 30^th October 2019; and
2. now lies in the Union territory of Jammu and Kashmir or in the Union territory of Ladakh from the 31^st October 2019 onwards.

The government has notified the following special procedure to be followed by the above persons till 31^st December 2019 vide Notification No. 62/2019-CT dated 26^th November 2019:

1. Tax Period: The said class of persons shall ascertain the tax period as under:

(a) October 2019: 1st October 2019 to 30th October 2019;

(b) November 2019: 31st October 2019 to 30th November 2019;

2. Payment of taxes: Irrespective of the particulars of tax charged in the invoices, or in other like documents raised form 31^st October 2019 till 31^st December 2019, pay the appropriate applicable tax in Form GSTR-3B.

H&A comments-The Jammu and Kashmir Re-organisation (Removal of difficulties order), 2019 dated 30^th October 2019 provided in para 7 that the Jammu and Kashmir Goods and Services Tax Act, 2017 shall be applicable to the Union Territory of Jammu and Kashmir and the Union Territory Goods and Services Tax Act, 2017 shall be applicable to the Union Territory of Ladakh.

3. Transfer of input tax credit balance: The said persons are provided with an option to transfer the ITC balance as on 30^th October 2019 to the new GSTIN in UT of J&K or in UT of Ladakh by following the procedure as mentioned below:
   1. intimate the jurisdictional tax officer of the transferor and the transferee regarding the transfer of ITC, within one month of obtaining new registration.
   2. the ITC shall be transferred on the basis of the ratio of turnover of the place of business in the Union territory of Jammu and Kashmir and in the Union territory of Ladakh;
   3. the transfer of     ITC     shall be carried out through     GSTR-3B for any tax period before the 31^st December 2019 and the transferor GSTIN would be debiting the said ITC from its electronic credit ledger in Table 4 (B) (2) of FORM GSTR-3B and the transferee GSTIN would be crediting the equal amount of ITC in its electronic credit ledger in Table 4 (A) (5) of FORM GSTR-3B.
4. The balance of SGST in electronic credit ledger of the persons, whose principal place of business is located in the Union territory of Ladakh from the 31^st day of October, 2019, would be transferred as balance of UTGST in the electronic credit ledger.
5. The provision for requirement of compulsory registration under GST if interstate supply of goods done by a person would not apply to the persons making inter-state supplies between the UT of J&K and Ladakh from 31^st October 2019 till 31^st December 2019.