ORDER NO. 10/2019 HIGHLIGHTS

Recently CBIC has passed on the followings modifications through vide Order No. 10/2019. The salient features of the order are as following:

1. Waiver of late fees for late filing of GSTR-1 for the period July 2017 to November 2019 if filed during 19.12.2019 to 10.01.2020. (Notification No. 74/2019–Central Tax dated 26.12.2019)

2. Maximum ITC can be availed up to 10% of eligible ITC for invoices which are not reflecting in GSTR 2Ae.f. 01.01.2020 earlier it was 20% (Notification No. 75/2019–Central Tax dated 26.12.2019)

3. Insert new rule 86A, namely conditions of use of amount available in E-Credit Ledger under CGST Rule 2017 w.e.f. 26.12.2020: Notification No. 75/2019–Central Tax dated 26.12.2019);

Where the proper officer has reason to believe that ITC available in E-Credit Ledger has been fraudulently availed or is ineligible may, for reasons to be recorded in writing, not allow utilization of such ITC or refund of the unutilized amount to the extent of:

• ITC availed for the invoices issued by the supplier who has been found non-existent or not to is conducting any business from any place for which registration has been obtained.
• ITC availed without the receipt of goods or services or both.
• ITC availed in respect of the supply, the tax charged in respect of which has not been paid to Govt.
• The recipient has been found non-existent or not to be conducting any business from any place for which registration has been obtained;.
• ITC availed for which Tax invoice or other valid document is not in the possession of the registered person.

4. Extend the last date for furnishing of annual return/reconciliation statement in FORM GSTR-9/FORM GSTR-9C for FY 2017-18 till 31.01.2020 (earlier it was 31.12.2019)