GST Compendium – October 2022

The October edition of GST Compendium analyses various important amendments/updates, key judicial pronouncements and decodes advance rulings.

Key highlights of the publication

• Important updates/announcements: The Central Board of Indirect Tax and Customs (CBIC) has notified that the time limit for availing the input tax credit and reporting of credit notes for a financial year has been extended to 30 November of the following financial year under the Goods and Services Tax (GST) law. Further, taking cognizance of the misuse of provisions related to prosecution by the GST officers, the CBIC has issued guidelines for the initiation of prosecution proceedings under the GST law.
• Key judicial pronouncements: In a landmark ruling, the Apex Court has held that there is no connection between the appellant's manufacturing operations and the transportation services offered to the employees for pick-up and drop to the factory. Such a facility is just for the employees' convenience. Therefore, the Central Value Added Tax (CENVAT) credit for such services, primarily for the employees' personal use or consumption, shall not be available.
• Expert’s column: This edition of the Compendium analyses the provisions on charging of interest for non-filing of the returns under the GST, despite having a sufficient balance in electronic ledgers.
• Important developments in direct taxes: On the direct tax front, the Central Board of Direct Taxes (CBDT) has issued additional guidelines on withholding tax on benefits/perquisites under Section 194R of the Income Tax Act, 1961.