32ND GST COUNCIL MEETING
OUTCOME – 10TH JAN’2019
THRESHOLD LIMIT INCREASED FROM 20 LAKHS TO 40 LAKHS
Effective from April 1st, the GST exemption threshold has been raised from Rs 20 Lakhs to Rs 40 Lakhs. For Hilly states and those in North Eastern states, the threshold limit has been increased from 10 Lakhs to Rs 20 Lakhs.
However, in this matter the power has been given to the states if they want to keep the GST exemption limit at Rs 20 lakhs / Rs 10 Lakhs or they want to raise it to Rs 40 Lakhs or Rs 20 Lakhs.
COMPOSITION LIMIT INCREASED FROM 1 CRORES TO 1.5 CRORES
The existing composition scheme turnover threshold has been raised from 1 crore to Rs 1.5 crores. The option will be available from 1st April’ 2019.
COMPOSITION SCHEME – PAYMENT AND GST RETURN CHANGES
Now composition scheme tax payers will pay tax quarterly and file their GST returns annually.
COMPOSITION SCHEME – FOR SERVICE PROVIDERS
Those providing services or mixed supplies (goods or services) with a turnover up to Rs 50 Lakhs will now be entitled to avail composition scheme. The GST compounding rate for such services is fixed @ 6 percent.
COMMITTEE SET UP TO CONSIDER RELAXATION IN REAL ESTATE GST RATES
A committee has been set up to consider real estate GST rates, a consensus is yet to be achieved, says Finance Minister.
CALAMITY CESS BY KERALA @ 1%
GST council lets Kerala levy 1% cess for 2 years on intra-state sales.
For any queries/clarification you may contact
CA. Bharat Poplani
B.Com, FCA, LLB