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Indian polity forced India to adopt the dual GST model where both the Centre and the State would collectively levy and collect GST. Before the insertion of Article 246A in the Constitution of India (COI), both the Parliament (P) and Legislature of the States (SLs) possessed independent powers to levy and collect taxes on different mutually exclusive aspects. Both the functionaries’ tried to maintain respectable distance with the legislative field belonging to the other. The conflicts, if...

This Article has been published in the Chamber's Journal Oct'20 Edition

The credits mentioned in section 17(5) of the CGST Act, 2017 are blocked and would not be eligible to the assessee even if used by him for business. All credits other than these, if used for making taxable supplies, would be eligible, provided the other conditions in the law are also satisfied. Hence it is important to understand the scope and ambit of these blocked credits to ensure that the assessee does not lose...

This article has been published in the Chambers' Journal Aug '20 edition.

The credit available under GST is seemingly much wider than what was available under the earlier laws for the mere reason that under GST, credit will be available if it is used for business. However, no tax law can exist without restricting any credit and GST is no exception, which blocks certain credits even if used for business.

It is thus important to understand the extent of the credits blocked under...

Introduction

In the light of introduction of Insolvency and Bankruptcy Code 2016 (Hereinafter, referred as IBC), there has been reduction in time for the process of carrying out insolvency/restructuring. IBC provides various options to draw resolution plans within a short period of time which renders the business to re-establish being a going concern during the process of resolution. Let us analyse a couple of decisions rendered with respect to the proceedings initiated and treatment of...

The Government’s slogan for the implementation of GST has always been ‘One Nation One Tax’, though none of the stakeholders have ever been able to relate GST to this slogan for the reason that GST has continued (as in the earlier regime of indirect taxes) to levy

1. A Centre’s Tax i.e. IGST
2. State Taxes i.e. each State having its own SGST like TNGST, MGST, etc.
3. Central Taxes i.e. each State having its own CGST (depicted by the fact that the CGST of one State is not available...

We all have got an abundance of opportunities to enhance our skills in this pandemic. GSTN also has taken due benefit of the same by adding new functionalities on the portal, most prominent being enabling of form GSTR 2B. In the 39th Council meeting held on 14.03.2020, Shri Nandan Nilekani addressed the system related issues that are being faced by the taxpayers. Addressing the difficulty in compliance and tax evasion, it was suggested to link ITC in FORM GSTR 3B to the details of the...

“The essence of law lies in the spirit, not its letter, for the letter is significant only as being the external manifestation of the intention that underlies it” – Salmond

Introduction

Interest in taxation matters is an automatic levy and compensatory in nature, for withholding the money of the Government by delay in payment of tax within due date. It is a mechanism to compensate the revenue for the loss caused to it due to the late payment[1]. The overall context of levy...

Introduction

Completed 3 years in operation but still struggling to rise-up to the average expectations of the stakeholders; GST has proved to be a loop of extension of compliance deadlines. The main reason behind such extensions is incompetent and incapable GSTN network which crashes every now and then #gstnfailed. One such compliance is the filing of Annual Return (Form GSTR 9) and GST Audit (Form GSTR 9C). As of now, the due date of filing GSTR 9 and GSTR 9C is fast approaching and is...