Wait...
Search Global Export Import Trade Data
Recent Searches: No Recent Searches

Cos get relief from GST Council's clarifications.


Date: 20-09-2021
Subject: Cos get relief from GST Council's clarifications
NEW DELHI: Two clarifications issued by the GST Council  on Friday are expected to provide major relief to businesses - captives of overseas companies in India that cater to other foreign businesses of their parents as well as Indian entities such as telecom outfits, insurers and banks that have operations across several states. 

At its Lucknow meeting, the Council comprising union and state finance ministers decided to allow unutilised balance in CGST and IGST cash ledger to be transferred between distinct persons (entities having same PAN but registered in different states), without going through the refund procedure. 

Tax practitioners said, this will be a major relief for businesses as an insurance company, which needs separate registration across states and union territories, can now use the unclaimed credit say, in UP, for meeting its liability in Maharashtra. While in the European Union even group companies can use the credit, the facility is limited to the same company in India. So, a conglomerate in India will not be able to use the credit available with its auto company for insurance company, the insurance company can use the credit across states. 

"Businesses having multi-state operations will now be relieved that they are permitted to transfer the unutilised balance of credits across the states where they operate, making the working capital management more efficient," said M S Mani, senior director at consulting firm Deloitte. 

The other relief will benefit captive businesses of multinationals, such as Citibank or Standard Chartered, which use their India facility for transactions in the US or the UK. A ruling had made life tough for these entities, arguing that they will have to pay 18% GST on services rendered to entities outside India. While the Central Board and Excise and Indirect Taxes  had issued a clarification, the issue could not be resolved. 

"The government has proposed to issue clarification on some of the crucial areas of disputes like intermediary services, which is going to be highly relevant for resolving conflicts for BPOs, other backend global offices, etc and put an end to unnecessary litigations," said Abhishek Jain, tax partner at EY India. 

Source:thetimesoindia.com

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+


What is New?

Date: 03-02-2025
[F. No. CBIC-190354/236/2021-TRU]
Corrigendum to Notification No. 50 of 2024 Customs, dated the 30th December, 2024.

Date: 01-02-2025
Notification No. 13/2025-Customs
Seeks to further amend notification No. 153/94-Customs dated the 13 th July, 1994.

Date: 01-02-2025
Notification No. 12/2025-Customs
Seeks to further amend notification No. 19/2019 dated 06 th July 2019.

Date: 01-02-2025
Notification No. 11/2025 – Customs
Seeks to further amend notification No. 25/2002-Customs, dated the 1st March, 2002 so as to add capital goods to the already existing list of capital goods exempted from basic customs duty for manufacture of lithium-ion battery of mobile phones and electrically operated vehicles.

Date: 01-02-2025
Notification No. 09/2025-Customs
Seeks to further amend notification No. 16/2017-Customs, dated the 20 th April, 2017 so to exempt certain drugs for supply under Patient Assistance Programme run by specified pharmaceutical companies.

Date: 01-02-2025
Notification No. 04/2025–Customs
Seeks to exempt the import duty on goods which are being rationalized in the tariff.

Date: 01-02-2025
Notification No. 03/2025-Customs
Seeks to further amend notification No. 27/2011-Customs dated 30 th June, 2017 so as to reduce the export duty on crust leather.

Date: 01-02-2025
Notification No. 10/2025 – Customs
Seeks to further amend notification No. 57/2017 dated 30 th June, 2017 so as to change BCD rates on inputs/parts used for manufacture of parts of cellular mobile phones along with other high technology telecom equipments.

Date: 23-01-2025
NOTIFICATION NO. 08/2025 – CENTRAL TAX
Central Tax Notification for waiver of the late fee

Date: 16-01-2025
Notification No. 03/2025- Central Tax (Rate)
Seeks to amend Notification no. 39/2017- Central Tax (Rate)



Exim Guru Copyright © 1999-2025 Exim Guru. All Rights Reserved.
The information presented on the site is believed to be accurate. However, InfodriveIndia takes no legal responsibilities for the validity of the information.
Please read our Terms of Use and Privacy Policy before you use this Export Import Data Directory.

EximGuru.com

C/o InfodriveIndia Pvt Ltd
F-19, Pocket F, Okhla Phase-I
Okhla Industrial Area
New Delhi - 110020, India
Phone : 011 - 40703001