The GST Council has decided to amend Rule 59 (6) of the Central GST Rules with effect from January 1, 2022.
New Delhi. Companies defaulting in payment of summary return and monthly GST from January 1 onwards will not be allowed to file GSTR-1 sales return for the following month. In the meeting of the GST Council held in Lucknow on Friday, several decisions were taken with a view to harmonizing the compliance. This also includes making Aadhaar authentication mandatory for companies or businesses to claim refunds.
It is believed that with these steps, the loss in revenue due to evasion of GST will be prevented. The GST system was implemented on July 1, 2017.
Amendment in Rule 59(6) of Central GST Rules The
GST Council has decided to amend Rule 59(6) of Central GST Rules with effect from January 1, 2022. Under this, if a registered person has not filed return in Form GSTR-3B for the previous month, then he will not be allowed to submit GSTR-1. At present, if companies fail to submit GSTR-3B for the last two months, then they are not allowed to submit outward supplies or GSTR-1.
Companies have to submit GSTR-1 for a month by the 11th day of the subsequent month. On the other hand, GSTR-3B, through which companies pay tax, has to be submitted from the 20th to the 24th day of the subsequent month.
GST essentially based authentication for registration
Also GST
Council has mandated based authentication for GST registration only could a company claim refund. The Central Board of Direct Taxes and Customs ie CBIC had made Aadhaar authentication mandatory for GST registration with effect from August 21, 2020. The council has now decided that companies will have to link their GST registration with biometric Aadhaar, only then they can claim for refund or apply for restoration of canceled registration.
