Updates pursuant to 32nd GST council meeting:
# The Central Government has decided to provide two threshold limit for GST registration for suppliers of goods, Rs.20 lakhs and Rs.40 lakhs. However, each of the individual State Governments must decide on the threshold limit within a week as the State’s revenue is also tied to GST. This decision will now lead to various States having different GST threshold limits overtime.
Service providers will continue to be required to register for GST once they cross a turnover of Rs.20 lakhs and in case of Special Category States at Rs 10 lakhs.
# The limit of Annual Turnover in the preceding Financial Year for availing Composition Scheme for Goods has been increased to Rs 1.5 crore
# Persons enrolled under the Composition Scheme were earlier required to file GSTR-4 return every quarter. Now, persons enrolled under the Composition Scheme can one file annual return but must make quarterly payment of taxes due.
# Service providers with a turnover of less than Rs.50 lakhs are also now made eligible to enrol for the Composition Scheme. Such service providers would have to pay GST at the rate of 6% (3% CGST +3% SGST) of turnover.
# The Central Government has also decided to provide a free accounting and billing software for small taxpayers to enable easier GST compliance
# It has been approved for levy of Cess on Intra-State Supply of Goods and Services within the State of Kerala at a rate not of not more than 1% for a period not exceeding 2 years. This will be used as revenue mobilization for supporting the natural calamity.
# It has been decided to create a seven Member Group of Ministers to examine the proposal of giving a Composition Scheme to Boost the Residential Segment of the Real Estate Sector.