203, Ace Krishna Prime, Kothapet, Hyderabad - IN info@cajkpp.com

Imp GST Changes that are applicable from 01/01/2022 – By CA Jithendar Patel


KEY HIGHLIGHT – You will be able to claim ITC for your business only if your supplier has filed GST returns.

  • The Transaction between the club and its member will be treated as supply. This amendment has been brought in to nullify the judgment of Calcutta High court, where it was told that the Principle of mutuality still exists in the club association between the club and its members and the service by the club to its members is not a supply.
  • The Input Tax credit will be allowed to the GST Tax payer only if the GSTR 1 return is filed by the supplier. Earlier a leeway of 5% of ITC were allowed to be taken on the possession of invoice and receipt of goods or services even if the GST return is not filed by the supplier, which now stands withdrawn from 01/01/2022.
  • 200% of Tax shall be collected as Penalty for release of goods confiscated U/s 129 during transit of goods for contravention of provision of GST Act 2021. That means if the goods are transported without invoice or waybill or waybill which is not filled properly then a penalty amount of 200% of Tax amount shall be collected by the proper officer for the release of the said goods.
  • The GST Rate on the textile sector will be taxed at a uniform rate of 12%. Earlier the tax rate was 5% for the value of goods below Rs.1000 and 12% for value goods above Rs.1000.


Leave a comment