For more updates follow Grant Thornton Bharat on WhatsApp
The November edition of GST Compendium analyses the recommendations of the GST council and clarifications from the Central Board of Indirect Taxes and Customs (CBIC) and more.
Important amendments/updates: Pursuant to the recommendations of 45th GST Council meeting, the Central Board of Indirect Taxes and Customs (CBIC) has clarified applicable tax rates on certain services such as cloud kitchen services, supply of ice-cream by ice cream parlours, admission to amusement parks, etc. It is pertinent to note that these rates are based on certain presumptions and hence, there could be a conflict between these rates and the rates determined by various advance ruling authorities for the same.
Key judicial pronouncements: On the judicial front, the Apex Court has reversed the relief provided by the Delhi High Court which permitted refund to a telecom major by way of rectifying its GST return for the error period. The honourable court observed that despite an express mechanism provided under the GST law, it was not open for the High Court to proceed on the assumption that the only remedy available was to rectify the return. The Apex Court also stated that any indulgence shown contrary to the statutory requirement would lead to a chaotic situation.
Important developments in direct taxes: On the direct tax front, rules providing conditions and the procedure to be followed to claim relief from retrospective taxation of indirect transfers have been notified. OECD has published another statement highlighting further progress in this direction and providing a detailed implementation plan for the two-pillar solution.
