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Introduction

Under taxation, levy plays a vital role which requires meticulous observation and analysis of a transaction in line with statue and whether it falls in taxability bracket. In the GST era, interest implication can be for delay in discharge of taxes, short discharge of taxes, wrong availment of credit, and so on. This article provides brief discussion on what is the exact terminology of interest, scope of levy, analysis of section 50 read with section73/74 and interpretation...

Introduction

Recently, there have been multiple amendments and notifications under GST. This leads to difficulty in confirming whether an entity is in compliance with the GST law or not. Some of the recent changes are:

• E-invoicing being introduced in a phased manner from October 2020.
• Finance Act 2021, having major modifications but not yet notified
• Pandemic lockdown related notifications
• Rule 36(4) – 5?-hoc credit reduction and validity

Considering industry hardship...

The Hon’ble Prime Minister said that “the government, the states, the industry and the transporters, and all the hospitals need to come together and work in unison. The better the synergy and coordination, the easier it will be able to deal with this challenge”.  The “challenge” he was referring to, was the challenge of meeting the massive demand of life saving oxygen gas, pursuant to surge in Covid cases. Further, he promised “full support” to the above warriors in combating...

Introduction

Most of times we as Tax payer concentrates only on tax payments, discharging our liabilities and regular tax compliances considering the way the bureaucrats are implementing the Tax laws with the threating measures. It is equally or more important for us to enjoy or the avail or utilize the benefits provided in the Tax Law. One of such massive benefit in the Customs law is Authorized Economic Operator Status. AEO Status holders enjoy with lot of fiscal, operational defined...

Introduction:

Motor vehicles are an inextricable part of modern life commutation. The industry has grown clouds & skies over last century and is today one of the largest sectors in the economic scheme of things. While it’s no less than a magic to experience a motor vehicle as a single unit, but in reality this manufacturing marvel is nothing but an amalgam of lakhs of parts, spares, components & accessories that are aesthetically engineered & interconnected in a manner to function in...

One of the Mantra’s to avoid litigation in GST is charging GST on the higher side (higher rate or valuation or not taking disputed exemptions etc.,) and pass it to the recipient. It becomes easier when the recipient can take the ITC. While the aforesaid Mantra works wonderfully when sufficient care was taken at the time of issuing the original invoice. However, there is an extended facility by way of ‘Debit notes’.

What is “Debit note” under GST:

Section 34(3) & (4) of the...

There are 3 categories of Inward supply of which an Assessee can claim ITC (Input Tax Credit) namely – Inputs, Input services and Capital Goods.

Here, we shall be discussing about various aspects of Capital Goods under GST Law and the eligibility of an Assessee to claim ITC on Capital Goods and the scenarios where reversal of such TC is required or its subsequent Refund from Electronic Credit Ledger.

• First of all, we need to understand that - what does the term ‘Capital...

Principle of natural justice is a ground of agrument taken in a law, to ensure fairness, reasonableness, equality and equity. Audi Alteram Partem (or audiatur et altera pars) is a Latin phrase meaning "listen to the other side", or "let the other side be heard as well". It is the principle that no person should be judged without a fair hearing in which each party is given the opportunity to respond to the evidence against them.

Under this doctrine, both the parties have the right to...

Introduction

We would like to communicate that this article is not to criticize but to bring out lot of thorny issues in GST administration which requires immediate redressal. The Constitution Bench of the Supreme Court has held that access to Justice is a Fundamental Right guaranteed to citizens by Article 14 and Article 21 of the Constitution of India.

The 3 independent pillars of Indian Democracy along with the GST Council were to safeguard the tax payer as well as the revenue: 1^st...

With increased changes and amendments being made in the GST law, it becomes a bit difficult to keep track of each such change and implement the same in a right way within the statutory mandated timeframe. Although GST law provides for various compliances that needs to be carried out on a regular basis i.e. Monthly, Quarterly, Half-yearly etc. However, there are certain compliances that are mainly required to be carried out on a yearly basis. Since, the yearly compliances are not a matter of...