Volume 1 39th GST Council Meeting

Confidential





Agenda for
39th GST Council Meeting

14 March 2020


Volume – 1


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File No: 119/39th GSTCM/GSTC/2020
GST Council Secretariat

Room No.275, North Block, New Delhi
Dated: 20th February 2020
Notice for the 39th Meeting of the GST Council scheduled on 14th March 2020
The undersigned is directed to refer to the subject cited above and to say that the 39th Meeting
of the GST Council will be held on 14th March 2020 at Hall No.2-3, Vigyan Bhawan, New Delhi. The
schedule of the meeting is as follows:
• Saturday, 14th March, 2020 : 11:00 AM onwards
2. In addition, an Officers’ Meeting will be held on 13th March, 2020 at Hall No.2-3, Vigyan
Bhawan, New Delhi as follows:
• Friday, 13th March, 2020 : 12:30 PM onwards
3. The agenda items for the 39th Meeting of the GST Council will be communicated in due course
of time.
4. Please convey the invitation to the Hon’ble Members of the GST Council to attend the Meeting.
(-Sd-)
(Dr. Ajay Bhushan Pandey)
Secretary to the Govt. of India and ex-officio Secretary to the GST Council
Tel: 011 23092653
Copy to:
1. PS to the Hon’ble Minister of Finance, Government of India, North Block, New Delhi with the
request to brief Hon’ble Minister about the above said meeting.
2. PS to Hon’ble Minister of State (Finance), Government of India, North Block, New Delhi with the
request to brief Hon’ble Minister about the above said meeting.
3. The Chief Secretaries of all the State Governments, Union Territories of Delhi, Puducherry and
Jammu and Kashmir with the request to intimate the Minister in charge of Finance/Taxation or any
other Minister nominated by the State Government as a Member of the GST Council about the above
said meeting.
4. Chairman, CBIC, North Block, New Delhi, as a permanent invitee to the proceedings of the Council.
5. Chairman, GST Network

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Agenda Items for the 39th Meeting of the GST Council on 14th March 2020
1. Confirmation of the Minutes of 38th GST Council Meeting held on 18th December 2019
2. Update by Infosys (through GSTN)
3. Review of Revenue Position
4. Issues recommended by the Fitment Committee for the consideration of the GST Council
(Recommendations by the Committee of Officers on Revenue Augmentation)
5. Issues recommended by the Law Committee for the consideration of the GST Council
A. Issues recommended by the Law Committee for the consideration of the GST Council
i. Taxability of ‘economic surplus’ earned by brand owners of alcoholic liquor for human
consumption
ii. Challenges faced in apportionment of ITC in cases of business reorganization under
section 18 (3) of CGST Act read with rule 41(1) of CGST Rules
iii. Issue regarding waiver of penalty and interest on previous period due to removal of pre-
import condition under Advance Authorization scheme
iv. Levy of interest under the provisions of section 50 of the CGST Act, 2017 for delay in
payment of tax
v. Proposal for waiver of filing of FORM GSTR-1 by taxpayers who have availed the
special composition scheme under notification No. 2/2019-Central Tax (Rate) dated
07.03.2019.
vi. Filing of GSTR-9 (Annual Return) and GSTR-9C (Reconciliation Statement)
vii. Proposals for amendment in the CGST Rules, 2017
viii. Proposals for amendment in the CGST Act, 2017 and the IGST Act, 2017
ix. Scheme of ‘Know Your Supplier’
x. Notifying NPCI, Transunion CIBIL Ltd. and Association of Mutual fund of India under
section 150(1)(p) and Banking Information return under Section 150(1)(e)
xi. Proposal for Notification / Rule change for enabling AADHAAR based authentication
in GST
xii. Clarification in respect of appeal in regard to non-constitution of Appellate Tribunal
xiii. Exemption for certain class of registered persons from having e-invoicing along with
extension of dates for implementation of e-invoicing
xiv. Exemption for certain class of registered persons from capturing dynamic QR code
along with deferment of implementation of QR Code
xv. Agenda note for GST Council regarding extension of date of GSTR 3B filing for the
month of Jan, 2020 till 31st March 2020
xvi. Agenda note for GST Council regarding continuation of the existing system of
furnishing FORM GSTR-1 and FORM GSTR-3B till the month of September, 2020
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xvii. Transition Plan in view of merger of Union Territories of Dadra & Nagar Haveli and
Daman & Diu
xviii. Deferring e-Wallet scheme and extending duty exemption for exporters
B. Deliberations of the Law Committee in the matter of the representation by Construction
Federation of India on the orders of the Hon’ble High Court of Delhi
6. Creation of State and Area Benches of the Goods and Services Tax Appellate Tribunal
(GSTAT) for the State of Uttar Pradesh
7. Quarterly Report of the NAA for the quarter October to December 2019 for the information of
the GST Council
8. Deemed ratification by the GST Council of Notifications, Circulars and Orders issued by the
Central Government
9. Decisions of the GST Implementation Committee (GIC) for information of the Council
10. Decisions/Recommendations of the IT Grievance Redressal Committee for information of the
Council
11. Any other agenda item with the permission of the Chairperson
12. Date of the next meeting of the GST Council

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TABLE OF CONTENTS
Agenda
No.
Agenda Item Page
No.
1
Confirmation of the Minutes of 38th GST Council Meeting held on 18th December
2019 8
2 Update by Infosys (through GSTN) 118
3 Review of Revenue Position 119
4
Issues recommended by the Fitment Committee for the consideration of the GST
Council (Recommendations by Committee of Officers on Revenue Augmentation)
-
5
A. Issues recommended by the Law Committee for the consideration of the GST
Council
i. Taxability of ‘economic surplus’ earned by brand owners of alcoholic
liquor for human consumption
ii. Challenges faced in apportionment of ITC in cases of business
reorganization under section 18 (3) of CGST Act read with rule 41(1) of
CGST Rules
iii. Issue regarding waiver of penalty and interest on previous period due to
removal of pre-import condition under Advance Authorization scheme
iv. Levy of interest under the provisions of section 50 of the CGST Act,
2017 for delay in payment of tax
v. Proposal for waiver of filing of FORM GSTR-1 by taxpayers who have
availed the special composition scheme under notification No. 2/2019-
Central Tax (Rate) dated 07.03.2019.
vi. Filing of GSTR-9 (Annual Return) and GSTR-9C (Reconciliation
Statement)
vii. Proposals for amendment in the CGST Rules, 2017
viii. Proposals for amendment in the CGST Act, 2017 and the IGST Act,
2017
ix. Scheme of ‘Know Your Supplier’
x. Notifying NPCI, Transunion CIBIL Ltd. and Association of Mutual
fund of India under section 150(1)(p) and Banking Information return
under Section 150(1)(e)
xi. Proposal for Notification / Rule change for enabling AADHAAR based
authentication in GST
xii. Clarification in respect of appeal in regard to non-constitution of
Appellate Tribunal
xiii. Exemption for certain class of registered persons from having e-
invoicing along with extension of dates for implementation of e-
invoicing
xiv. Exemption for certain class of registered persons from capturing
dynamic QR code along with deferment of implementation of QR Code
xv. Agenda note for GST Council regarding extension of date of GSTR 3B
filing for the month of Jan, 2020 till 31st March 2020
xvi. Agenda note for GST Council regarding continuation of the existing
system of furnishing FORM GSTR-1 and FORM GSTR-3B till the
month of September, 2020
xvii. Transition Plan in view of merger of Union Territories of Dadra &
Nagar Haveli and Daman & Diu
xviii. Deferring e-Wallet scheme and extending duty exemption for exporters


127
154
161
162
164
166
169
177
207

208

212

219

223

226

228

229

231

235

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Agenda
No.
Agenda Item Page
No.
B. Deliberations of the Law Committee in the matter of the representation by
Construction Federation of India on the orders of the Hon’ble High Court of
Delhi

236
6
Creation of State and Area Benches of the Goods and Services Tax Appellate Tribunal
(GSTAT) for the State of Uttar Pradesh
241
7
Quarterly Report of the NAA for the quarter October to December 2019 for the
information of the GST Council
244
8
Deemed ratification by the GST Council of Notifications, Circulars and Orders issued
by the Central Government
248
9
Decisions of the GST Implementation Committee (GIC) for information of the
Council
252
10
Decisions/Recommendations of the IT Grievance Redressal Committee for
information of the Council (Circulated separately in Volume 2)
-
11 Any other agenda item with the permission of the Chairperson
12 Date of the next meeting of the GST Council

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Discussion on Agenda Items
Agenda Item 1: Confirmation of the Minutes of the 38h GST Council Meeting held on 18th
December 2019
The 38th Meeting of the GST Council (hereinafter referred to as ‘the Council’) was held on 18th
December, 2019 at New Delhi under the Chairpersonship of Hon’ble Union Finance Minister, Smt.
Nirmala Sitharaman (hereinafter referred to as the Chairperson). A list of the Hon’ble
Members/Ministers of the Council who attended the meeting is at Annexure 1. A list of officers of the
Centre, the States, the GST Council, the Goods and Services Tax Network (GSTN) who attended the
meeting, is at Annexure 2.
2. The following agenda items were listed for the discussion in the 38th Meeting of the Council:
1. Confirmation of the Minutes of 37th GST Council Meeting held on 20th September 2019
2. Issues concerning GST on Lottery
3. GST Revenue Augmentation
Recommendations of the GoM on Revenue Analysis and
Deliberations of the Committee of Officers on Revenue Augmentation
4. Report of GoM on Real Estate on boosting real estate sector
5. Issues recommended by the Fitment Committee for the consideration of the GST
Council
6. Issues recommended by the Law Committee for the consideration of the GST Council
i. Standard Operating Procedure to be followed in case of non-filers of returns
ii. Proposed amendments in the CGST Act, 2017
7. Creation of Public Grievance Redressal Committee as per Hon’ble High Court of
Delhi’s order in the case of Sales Tax Bar Association
8. Status of Group of Ministers (GoMs) constituted for various agenda items
9. Deemed ratification by the GST Council of Notifications, Circulars and Orders issued
by the Central Government
10. Decisions of the GST Implementation Committee (GIC) for information of the Council
11. Decisions/Recommendations of the IT Grievance Redressal Committee for information
of the Council
12. Quarterly Report of the NAA for the quarter July to September 2019 for the information
of the GST Council
13. Presentation on developments regarding implementation of
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i. GST EWB System – FASTag Integration
ii. New Return System
iii. Integrated refund system with disbursal by single authority
iv. Generation of electronic Invoice Reference Number
v. Linking GST registration with Aadhaar and proposed changes in the GST Law
and GSTN System
14. Clarification on GST rate on fabrics and articles of textiles falling in Chapters 56 to 59
of the tariff pursuant to the order of the Hon’ble High Court of Delhi in Writ petition
(Civil) No. 597 of 2019
15. Any other agenda item with the permission of the Chairperson
i. Creation of the State and Area benches of the Goods and Services Tax
Appellate Tribunal (GSTAT)
ii. Measures for Revenue Augmentation
iii. Addendum to Agenda Item 10: Decisions of the GIC Implementation
Committee (GIC) for information of the GST Council
iv. Proposal for change in GST rate on woven/non-woven bags and sacks of
polypropylene/polyethylene, whether or not laminated and Flexible
Intermediate Bulk Containers (FIBC) from 12% to 18%
16. Date of the next meeting of the GST Council
Preliminary discussion
3. The Chairperson invited the Union Revenue Secretary and the ex-officio Secretary to the GST
Council (hereinafter referred to as the Secretary) to begin the proceedings. The Secretary welcomed
everyone to the 38th GST Council Meeting. He, on behalf of the Council, welcomed Shri Dushyant
Chautala, Deputy Chief Minister and the incoming Member, nominated from the State of Haryana to
the Council. He also welcomed the following Council Members nominated specifically for the 38th GST
Council Meeting:
i. Shri Mekapati Gautam Reddy, Minister for Industries & Commerce and Information
Technology, Andhra Pradesh
ii. Shri Jayant Rajaram Patil, Finance Minister, Maharashtra
iii. Shri V. Hangkhanlian, Minister of Agriculture, Manipur
iv. Shri Kyrmen Shylla, Minister for Printing & Stationery Department, Revenue & Disaster
Management and Social Welfare, Meghalaya
v. Dr. Harak Singh Rawat, Minister for Forests & Wild Life, Uttarakhand.
On behalf of the GST Council, he also placed on record its appreciation for contribution made by the
outgoing Council Members, Capt. Abhimanyu (the then Minister for Excise & Taxation), Haryana and
Shri Sudhir Mungantiwar (the then Finance Minister), Maharashtra.
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3.1 After the preliminary discussions, the Hon’ble Chairperson asked the Secretary to take up the
individual agenda items for consideration of the Council.
Agenda Item 1: Confirmation of the Minutes of the 37th GST Council Meeting held on 20th
September, 2019
4. The Secretary informed that the first agenda item was the confirmation of the Minutes of the
37th GST Council Meeting (hereinafter referred to as Minutes) held on 20th September, 2019 in Goa.
He stated that the Minutes was circulated to all the States in advance and some corrections had been
suggested by the States during the Officers’ Meeting held on 17th December, 2019.
4.1. The following three changes were proposed by the State of Odisha to the version of the Hon’ble
Member from Odisha recorded in the Minutes:
i. In paragraph 4.23 of the Minutes, to replace the presently recorded version (They also suffered
loss to the tune of Rs 600 crores on account of Sales Tax.) with the following version: ‘They
also suffered loss of VAT to the tune of Rs. 600 crores on account of paddy and pulses.’
ii. In paragraph 22 of the Minutes, to replace the last line (The Hon’ble Minister from Odisha
suggested that there should be a check in GST System where a registered taxpayer should not
be allowed to file FORM GSTR-3B unless he/she had file FORM GSTR-1 in previous
month.) with the following version: ‘The Hon’ble Minister from Odisha suggested that there
should be a check in GST System where a registered taxpayer should not be allowed to file
FORM GSTR-1 unless he/she had filed FORM GSTR-3B in previous month.’
iii. In paragraph 49.4. of the Minutes, to replace the first line (The Hon’ble Minister from Odisha
stated that if any taxpayer did not provide the Aadhar number, his refund should be restricted.)
with the following version: ‘The Hon’ble Minister from Odisha stated that if any taxpayer did
not provide the Aadhar number, his refund should be restricted, till he complies.’
4.2. The Secretary stated that the UT of Puducherry had suggested a change in version recorded in
paragraph 14.4. of the Minutes of the Hon’ble Member from Puducherry (He further stated that
Puducherry was entitled to 71% of the IGST amount collected by the Centre.) with the following
version: ‘He further stated that Puducherry was entitled to 0.27% of the IGST amount apportioned to
the States which would work out to Rs 219 crore.’
4.3. He also stated that in paragraph 34.9. of the Minutes, the State of Uttar Pradesh had requested
to replace the words recorded as ‘revenue implication’ with the word ‘turnover.’
4.4. The Secretary proposed that the Council may confirm the Minutes of the 37th GST Council
Meeting with the changes suggested above.
5. For Agenda item 1, the Council decided to adopt the Minutes of the 37th GST Council Meeting
with the following changes.
5.1. To replace the sentence ‘They also suffered loss to the tune of Rs 600 crores on account of
Sales Tax.’ in paragraph 4.23. of the Minutes with ‘They also suffered loss of VAT to the tune of Rs.
600 crores on account of paddy and pulses.’
5.2. To replace the sentence ‘The Hon’ble Minister from Odisha suggested that there should be a
check in GST System where a registered taxpayer should not be allowed to file FORM GSTR-3B
unless he/she had file FORM GSTR-1 in previous month.’ in paragraph 22 of the Minutes with ‘The
Hon’ble Minister from Odisha suggested that there should be a check in GST System where a registered
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taxpayer should not be allowed to file FORM GSTR-1 unless he/she had filed FORM GSTR-3B in
previous month.’
5.3. To replace the sentence ‘The Hon’ble Minister from Odisha stated that if any taxpayer did not
provide the Aadhar number, his refund should be restricted.’ in paragraph 49.4. of the Minutes with
‘The Hon’ble Minister from Odisha stated that if any taxpayer did not provide the Aadhar number, his
refund should be restricted, till he complies.’
5.4. To replace the sentence ‘He further stated that Puducherry was entitled to 71% of the IGST
amount collected by the Centre.’ in paragraph 14.4. of the Minutes with ‘He further stated that
Puducherry was entitled to 0.27% of the IGST amount apportioned to the States which would work out
to Rs 219 crore.’
5.5. To substitute the words revenue implication’ in paragraph 34.9 of the Minutes with the word
‘turnover’.
5.6. The Secretary also requested to be allowed to formally sign the already confirmed Minutes of
the 34th GST Council Meeting held under the Chairmanship of the then Hon’ble Finance Minister and
Chairperson of the Council, Late Arun Jaitley, on 19-3-2019 in New Delhi so that it can be put in public
domain.
Agenda Item 2: Issues concerning GST on Lottery
6. The Secretary invited Shri Manish Kumar Sinha, Joint Secretary, TRU-II to brief the agenda to
the Council.
6.1. Dr. Thomas T M Isaac, the Hon’ble Minister from Kerala intervened and stated that he and few
other Hon’ble Ministers had requested for discussion on the issue of compensation to the States.
However, he could not find the Agenda on compensation to the States listed and enquired as to when
would the same be discussed. Shri Manish Sisodia, the Hon’ble Deputy Chief Minister of Delhi
concurred with the views of the Hon’ble Minister from Kerala and stated that the agenda should have
been listed and if not, then at least the reasons for not including the same may be informed. Shri Sushil
Kumar Modi, the Hon’ble Deputy Chief Minister of Bihar stated that the compensation to States issue
could be discussed along with Agenda Item 3 which would cover the issue of compensation to the States
also. Dr. Amit Mitra, the Hon’ble Minister from West Bengal stated that the States had given up their
taxation matters in the GST and, therefore, it was imperative to discuss compensation to them. Shri
Manpreet Singh Badal, the Hon’ble Minister from Punjab stated that the agenda on revenue position
should be discussed in every meeting as a part of agenda. The second issue he highlighted was regarding
activating the dispute resolution mechanism which had been provided by the Constitution that the
Council would establish a mechanism to adjudicate any dispute arising out of the recommendations of
the Council or implementation thereof.
6.2. The Hon’ble Minister from West Bengal stated that the like Centre, the States had also
surrendered many of their powers related to taxation so as to roll out GST regime. He recalled that prior
to formation of GST Council, one of the reasons for which the Empowered Committee of Finance
Ministers had agreed to GST regime was due to the binding nature and number of years for which
compensation was agreed to be paid to States by the Government of India in case of revenue shortfall.
However, he observed that for the first time, the compensation to States for August-September had been
delayed for whatever reasons. The key point of the concerns expressed by the States and the desired
agenda item was regarding the mechanism, periodicity, problems, prospects and the solutions related to
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compensation to the States so that it becomes a consistent pattern as it has been so far. Shri T.S. Singh
Deo, the Hon’ble Minister from Chattisgarh stated that time and again we had reminded ourselves about
the federal nature of our polity and the constitution of GST Council. Therefore, the States should be
reassured again as to what was the status of the single Member State and if a State had any issue and
raised it to be included as an agenda, did it not merit a response. He further requested the Chairperson
to reassure the Members that the issues which were of obvious importance would be taken up. The
Hon’ble Minister from Kerala stated that the suggestion made by the Hon’ble Deputy Chief Minister
of Bihar was acceptable and the issue of compensation to States could be clubbed along with Agenda
item3. The Hon’ble Chairperson stated that there was absolutely no hesitation in discussing this issue;
that she would like to quell any worry that Centre did not want to discuss compensation. She added that
it had been told to her that the issues on revenue augmentation was discussed during the Officer’s
Meeting held on 17th December 2019 and a presentation was to be made in this regard as part of Agenda
item 3 and compensation issues would be discussed as part of that Agenda in an elaborate manner. The
Council agreed to discuss the issues related to revenue and compensation in Agenda item 3 and
continued with discussion on issues concerning GST on Lottery.
6.3. The Joint Secretary, TRU-II (JS, TRU-II) initiated the discussion with a presentation (attached
as Annexure 3) on this agenda item by stating that it was essentially the proceedings till date of the
GoM on Lottery headed by Shri Sudhir Mungantiwar, the then Hon’ble Finance Minister of
Maharashtra and associated litigations. The issues referred to GoM on Lotteries were GST rate on
supply of lottery; ensuring destination principle for supply so that GST revenue accrued to the
consuming State; valuation principles to be adopted for charging GST; addressing the Constitutional
challenge to levy of GST on Lottery as ‘Goods’; regulation of online lottery; and miscellaneous issues
related to Casinos, Horse Racing and Online Gaming. He further stated that the issues currently pending
before the GoM were the GST rates on supply of lottery and miscellaneous issues related to Casinos,
Horse Racing and Online Gaming.
6.4. He added that the recommendation of the GoM to the 33rd GST Council Meeting held on
24.02.2019 were that a single rate of GST should be levied on lottery instead of existing two rates and
as lottery was a sin and demerit good, it should be taxed at the higher rate of 18% or 28% to be decided
by the GST Council. However, no final decision could be taken in this regard and the Council requested
GoM to further deliberate on the issue. He added that in the GoM, finality could not be arrived on the
issue due to different stance of the States. He stated that while Assam, Arunachal Pradesh, Goa and
Maharashtra supported single rate of GST, the States of Kerala, Punjab, West Bengal and Karnataka
supported the existing two rates of GST on lottery. Therefore, the convenor of the GoM directed that
the matter be placed before the GST Council for appropriate rate structure on the supply of lottery. JS,
TRU-II, recapitulating the issue of tax rates, stated that the recommendations ofGoM presented to 35th
GSTC Meeting on 20.06.2019 were as follows:
(i) There was no consensus on the need for a new rate of GST on lottery. Assam, Arunachal
Pradesh, Goa, Maharashtra supported single rate of GST. However, Kerala, Punjab, West
Bengal and Karnataka supported the existing two rates of GST on lottery. Punjab was
willing to consider lower uniform rate, if there were legal difficulties with rate differential.
Therefore, the Convener of the GoM directed that the matter be placed before the GST
Council and the Council decide appropriate rate structure on the supply of lottery. Given
that this is a sin good, rate of tax should be high i.e. 28% or 18%.
(ii) The constitutional challenge to the dual rate structure should be defended forcefully.
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The JS, TRU-II stated that in the 35th GST Council Meeting held on 20th June 2019, the Council was
directed to seek legal opinion from learned Attorney General of India as to whether differential rate
could be levied on lottery and whether it would violate Article 304 of the Constitution. He drew the
attention to the opinion furnished by the learned Attorney General of India that there would be no
impediment arising from the Constitution of India to the levy of a uniform rate of GST on ‘State Run
Lotteries’ and State Authorised Lotteries’; that Article 304 of the Constitution of India had no bearing
on the levy of differential GST on ‘State Run Lotteries’ and ‘State Authorised Lotteries’; and that these
two lotteries could be treated as different goods.
6.5. The JS, TRU-II also drew attention to a Writ Petition (C) No. 961/2018 filed in the Hon’ble
Supreme Court relating to levy of GST on lottery on the grounds that GST could not be levied on lottery
‘as goods’; GST on lotteries should be imposed after excluding the prize money component of the
lottery ticket since the said amount never formed part of income in the lottery trade; and levy of GST
on lottery at two different rates was in violation to the Constitution of India and all lotteries might be
taxed at a uniform rate. He further stated that the learned Additional Solicitor General, Shri Vikramjit
Bannerji had informed Department of Revenue that the Hon’ble Supreme Court had adjourned hearing
of the petition to 15.01.2020 after giving final opportunity to the Group of Ministers/GST Council to
decide on the issues agitated in the petition. In view of the above, he requested the GST Council to take
decision on the issue of GST Rate on lottery, i.e., (a) whether a uniform rate of GST be levied on lottery?
(b) If yes, what should be the rate of GST on lottery, 18% or 28%? (or any other rate). Further, he
stated that the following issues might be referred to Law Committee to address the associated issues.as
these issues were not part of the original terms of reference of the GoM: -
Supply Request made by the Industry
Casinos Value retained by a Casino after winnings as taxable value
Horse Racing Value retained by a club after giving prize money as taxable value
Online Gaming Value retained by an online platform after giving prize money as taxable value
6.6. The Hon’ble Chairperson requested the Hon’ble Members to give their views on the proposal.
6.7. The Hon’ble Minister from Kerala stated that in the 35th GST Council Meeting held on 21st
June 2019, he had circulated a 15-page note where he had explained the rationale of differential
treatment of the two types of lottery i.e. ‘State Run Lottery’ and ‘State Authorised Lottery’ in terms of
actionable claims. He stated that the Council after long deliberation decided the current differential rate
structure of 12% and 28% and that this position had been upheld by the Hon’ble High Court of Kolkata.
Therefore, in his view, there was no need of a uniform rate on the two types of lottery. He also stated
that he did not have the political mandate to change his stand and the Council might call for division
and decide the issue of differential treatment of the lotteries. Dr. Himanta Biswa Sarma, the Hon’ble
Minister from Assam stated that there had been enough debate on this issue. He added that he
appreciated the views expressed by the Hon’ble Minister from Kerala but the North Eastern States too
had their own view point on the issue. He stated that Kerala Government run its own lottery (State Run
Lottery); however, the North-Eastern States did not have requisite infrastructure to run their own
lotteries. Therefore, they had to outsource it to someone to run their lotteries. He likened it to State-
operated bus service where the State also outsourced the bus service to private agencies to operate it
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under the State’s banner and the consumer did not have to pay differential rate for using the bus services
irrespective of it being State run or State authorised. Similarly, there was no difference between the two
kinds of lotteries. He added that irrespective of the argument of continuing the differential rate structure
on lotteries, by having two different GST rates on lotteries, North-Eastern States were being
discriminated. Therefore, he supported a Division to decide the issue. He also added that as lottery
was a sin good, the GST rate might be pegged at higher rate of 28%.
6.8. Shri Mauvin Godinho, the Hon’ble Minister from Goa stated that this issue had been debated
enough in the Council. He observed that even though the lotteries were classified as State Run and State
Authorised, it could not be run privately. He had no doubt that irrespective of the fact that lottery was
State Run or State Authorised, the lottery was one good and not two different goods, and therefore, they
should attract the same rate of tax. He stated while the matter was under consideration in the Hon’ble
Supreme Court, the Council was required to formulate its response as well. He stated that like the North
Eastern States, the State of Goa was also losing because of the differential GST rates on lotteries. He
also drew attention of the Council to the fact that a higher rate of 28% on lottery might lead to a
legitimate business going underground and instead of lottery, people might start indulging in illegal
things such as ‘Satta Bazaar’ ‘Matka’. Therefore, he cautioned the Council while deciding the GST rate
on lottery. On the issue of casino, he stated that the GoM could not deliberate on the issue of casinos
that was referred to it by the Council and requested the Council to refer the matter to the Law
Committee. He informed the Council that consequent to action by GST Intelligence Unit from
Hyderabad, casinos in the State of Goa were on the verge of closing down, because GST was sought to
be levied on the full amount, including the prize money instead of the gross gaming revenue. He
requested that concerned authorities might be advised to wait till the issue got settled. The Hon’ble
Minister from Goa concluded by saying that till now every decision was taken by consensus in the
Council and all the Members were bound by it. He added that one should not distance oneself from
decisions of the Council as the revenue collection fell during the slowdown in economy. The
camaraderie and spirit of Council should be as it had been.
6.9. Shri Nitinbhai Patel, the Hon’ble Deputy Chief Minister of Gujarat stated that in GST we had
implemented the principle ‘One Nation, One Tax’ and the differential rates of 12% and 28% on Lottery
was not in line with the principles of GST. He stated that when the Hon’ble Supreme Court of India had
required us to give an opinion by 15.01.2020 then the Council should decide on the issue. He also
observed that till now all the decisions related to GST had been taken by consensus in the Council and
till now it had never happened that a decision was taken by the Courts instead of the Council. He also
stated that till date none of the decision on any issue had been done by division and requested the
Council to decide something on the issue in hand by consensus again. He stated that in his view one
standard rate could be prescribed for lottery. Further, as lottery was a sin good, it should attract higher
GST rate of 28% so as to increase revenue for the Centre and the State simultaneously. The Hon’ble
Deputy Chief Minister of Delhi requested JS, TRU-II to reiterate the advice furnished by the learned
Attorney General of India. The JS, TRU-II stated that the Learned Attorney General had clarified that
the two types of lottery could be intelligibly classified as two different goods but he also clarified that
there was no bar in keeping the rate uniform. Thereafter, the Hon’ble Deputy Chief Minister of Delhi
stated that two perspectives were being discussed on the issue, the first being in line with national
interest for lottery being a sin good and the second was regarding augmentation of revenue by raising
the GST rate on lottery. He added that on the first perspective, even if it was not domain of the Council,
but he felt that for the sake of the country. With respect to the second perspective on revenue and it
appeared that the revenue generated from lottery for one State clashed with the other. He stated that the
Learned AG’s opinion was not very clear, the GoM on Lottery had not given any categorical
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recommendation and that the issue had been going on in Hon’ble Courts for a while. In this backdrop,
he stated that he supported status quo to be maintained.
6.10. Shri Suresh Kumar Khanna, the Hon’ble Minister from Uttar Pradesh stated that the matter
should be decided by consensus instead of division of votes and that supply of lottery should attract a
uniform rate of 18% or 28%. Shri V. Narayansamy, the Hon’ble Chief Minister of Puducherry stated
that the issue of GST on lottery had been deliberated in various Council Meetings. He stated that the
differential rate on ‘State Run Lottery’ and ‘State Authorised Lottery’ was arrived after long
deliberation in the Council. He added that in his view, a State authorising private parties to run its
lotteries, taxed at higher GST rate, should not dictate terms to other States running their own lotteries
taxed at lower GST rate and that it would be illogical and unacceptable. Therefore, in his view, they
could continue to attract two different GST rates.
6.11. The Hon’ble Minister from West Bengal stated that his State had only paper lotteries i.e. ‘State
Run Lottery’ and ‘State Authorised Lottery’, which were taxed differentially at 12% and 28% of GST
rate respectively. Further, the State of West Bengal had banned online lottery and only paper lottery
was there. He informed that the differential rates had been upheld by the Hon’ble High Court of Kolkata.
He added that the lower tax rate of 12% on State Run Lottery was an incentive for people to buy it
instead of the privately-run State Authorised Lotteries. Therefore, he wondered as to whether to
continue the status quo or do away with dual rate and have a uniform rate as decided by the Council
with the view of increasing revenue. However, he too preferred for status quo to continue and that the
Council should try to reach to a decision by consensus and not by having division on the matter. The
Hon’ble Deputy Chief Minister of Bihar stated that GST Council had been discussing this issue since
long. He added that as stated by some of the Members, Goa and the North-Eastern States had been
losing revenue due to this differential rate while they did not have many other sources of revenue. He
observed that most of the States had given their opinion on the issue and the mood of the Council could
be ascertained. He stated that personally he was of the opinion that Lottery should be banned across the
country as it was a sin good. However, in the given context he supported a uniform higher rate for
lotteries. He called upon the Council Members to move from ‘unanimity’ (sarvaanumati) to ‘consensus’
(sarvasahmati) and also to not insist for division of votes on the proposal.
6.12. Shri Metsubo Jamir, the Hon’ble Minister from Nagaland stated that the Hon’ble Member from
Assam and Goa had explained the problems of North Eastern States and the smaller States vis-à-vis
differential rates of GST on the two types of lotteries. He added the issue was not about lottery here,
but the fact that because the apex body on GST matters i.e. GST Council was unable to take a decision
on an issue and therefore, the Hon’ble Supreme Court would have to intervene in the matter based on
litigation. While he appreciated the diversity of opinion among the Council members, he also stated that
the outcome from today’s meeting would reflect upon us and therefore, he felt that this body should
make a decision in the matter. The Hon’ble Minister from Chattisgarh stated that in his view the issue
did not seem to be of principles. He felt that the solution seemed to be struck in getting a particular
viewpoint across. He observed that the State of West Bengal had two rates and were not being contested
by the State; learned AG’s opinion did not say that two rates were not allowed as per the Constitution.
Therefore, he suggested to wait for the Hon’ble Supreme Court’s decision in the matter. He also opined
that the Council should continue with the tradition of decision by consensus instead of decision by
majority.
6.13. The Hon’ble Minister from Assam stated the differential rates on State Run Lottery and State
Authorised Lottery across the country was due to the decision of the Council. He stated that the North
Eastern States lotteries did not have market in Kerala so they did not operate there whereas in West
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Bengal by virtue of it being a neighbouring State the State Run Lottery of West Bengal and the State
Authorised Lottery of North Eastern States operated in each other’s region. Therefore, it was not that
the North Eastern States had accepted something in West Bengal and not accepted in Kerala. He added
that State Authorised Lottery of the North-Eastern States were unable to compete with State Run Lottery
on account of higher differential rates on the former. He stated that the revenue accruing from Lottery
for the larger States might be insignificant overall but for the smaller States of the North-Eastern region,
the lottery revenue was very vital. He requested the Council Members and the Chairperson to
accommodate the aspirations of the North-East, and if not then at least allow them to vote on the matter.
6.14. The Hon’ble Chief Minister from Puducherry added that even on the contentious issues, the
Council had arrived at decisions by give and take and by consensus. Therefore, he requested the States
demanding division and the Council Members to reconsider and not deviate from the tradition. He
wondered as to what if the Council decided something on the matter and the same got
challenged/decided otherwise in the awaited decision of the Hon’ble Supreme Court. Therefore, he
suggested to arrive at any decision by consensus. Shri Dushyant Chautala, the Hon’ble Deputy Chief
Minister of Haryana stated even though lottery was banned in Haryana, but since it was a sin good, it
should be taxed in highest rate slab. He also stated that in line with tradition of the Council and its
smooth functioning, it would be better if the matter could be decided by consensus instead of division
of votes.
6.15. The Hon’ble Minister from West Bengal stated that the State Authorised Lotteries of North-
Eastern States competed very well with State Run Lottery in the State of West Bengal. He observed
that almost 92% of the revenue accruing to the State of West Bengal was from lotteries were generated
from State Authorised lotteries. (This is shown in page 138 of the Detailed Agenda Notes - Volume.1).
He observed that many States did not have paper lottery or might had only online lottery. Therefore, he
suggested that the States where lottery was not banned might be allowed discretion on whether they
wanted a dual rate or uniform single rate. The Hon’ble Minister from Punjab stated that they have no
opinion in the matter. However, since some of the States were suggesting division, he wished to suggest
a solution of levying GST rate of 12% and 18% on State Run Lottery and State Authorised Lottery.
Thus, reducing the gap to only 6% between them. Perhaps, apart from levying GST, compensation cess
could also be levied on lottery, as it was a sin good.
6.16. The Hon’ble Minister from Kerala once again stated that there were political compulsions as to
why he could not agree to a single rate on lottery because they did not want private
operators/intermediaries to come to Kerala. As regards the loss of revenue from lottery to the North
Eastern States, he reiterated his proposal made during the previous Council Meetings to the States of
North-East region to run their lottery and give them a better return than any private operator. He stated
that the Council in its wisdom might decide on the issue and requested for division on the issue. The
Hon’ble Minister from Assam clarified that his State did not run any lottery, nor did it allow any lottery
to be operated, except in the autonomous region of Bodoland, where lottery was being run in four
districts. However, he was fighting for ashmita of the people of North East. He stated that the crux of
his submission was that the North Eastern States should not be discriminated and the path to integration
of North East States with main stream India should be welcomed. Therefore, he submitted that the
Lottery might be banned across the country since it was a sin good but as long as lottery trade was
allowed, the North Eastern States should not be discriminated. He also stated that, if needed, the Council
in its wisdom might decide the issue by division of votes.
6.17. Shri Brajendra Singh Rathore, the Hon’ble Minister from Madhya Pradesh stated that lottery
was banned in his State. However, since the matter was already under consideration in the Hon’ble
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Supreme Court, the Council might await the decision of the Hon’ble Court and defer its decision to next
meeting. Shri D. Jayakumar, the Hon’ble Minister from Tamil Nadu stated that though his State did not
run any lottery, he supported a uniform GST rate on lottery. Shri Chowna Mein, the Hon’ble Minister
from Arunachal Pradesh stated that as one of the Member of the GoM on Lottery, they had earlier
recommended to have a uniform GST rate on State Run Lottery and State Authorised Lottery and he
reiterated the same. He further stated that they endorsed the views expressed by the Hon’ble Minister
from Assam with respect to the North East. Shri Jishnu Dev Varma, the Hon’ble Deputy Chief Minister
of Tripura stated that though his State also did not have any lottery, he also supported a single rate of
lottery as the North Eastern States were smaller States with limited resources and they should have
parity with the mainland States. Shri V. Hangkhanlian, the Hon’ble Minister from Manipur stated that
even though they did not have lottery, still they also supported single GST rate on lottery. Shri
Lalchamliana, the Hon’ble Minister of Mizoram also supported the views of Hon’ble Minister from
Assam for the North Eastern States. He stated that their State also supported single GST rate on lottery.
6.18. Shri C P Singh, the Hon’ble Member from Jharkhand stated that his State had no lottery and he
was of the opinion that lottery should be banned in the entire country. However, he supported uniform
GST rate on lotteries. Shri Basavaraj Bommai, the Hon’ble Minister from Karnataka stated that his
State ran no lottery. However, based on discussion in the Council, it appeared to him that there were
two sets of States i.e. those who allowed the lottery and those who did not allow the lottery. He
suggested that those who allowed lottery might be allowed to take any view in the matter after taking
into consideration the view of stakeholders. Shri T. Harish Rao, the Hon’ble Minister from Telangana
stated that the mood of the House was very clear with many States wanting to have a uniform GST rate
on lotteries and requested the Hon’ble Minister from Kerala to not insist for division.
6.19. The Hon’ble Chairperson requested for final views of Hon’ble Council Members from the
States of Assam and Kerala upon hearing the views of the other Council Members about the division
and consensus in the process of decision making. The Hon’ble Minister from Kerala stated that he did
not mean any insinuation but the issue on lottery was brought before the Council based on the
representation made by lottery association and that he could not make a compromise on the issue.
Therefore, the Members could proceed with Division as per the rule. The Hon’ble Minister from Assam
stated that he too had expressed his views and he was alright with Division of votes for decision on the
issue. The Chairperson clarified/stated that many issues were discussed in the GST Council at the
request of some or the other association. She hoped that there was no question of any mala fide in the
matter and the same was not implied in the Hon’ble Member from Kerala’s statement. She once again
asked the Members as to whether the Council should proceed as per the sense of the House or sought a
Division. The Hon’ble Member from Goa suggested that Hon’ble Council Member from Kerala could
put a note of dissent and the Council could proceed as per the sense of the House. However, the Hon’ble
Minister from Kerala stated that the regulations framed by the GST Council for the conduct of its
business provided that in case any Member sought division on any proposal then the same had to be
agreed upon. The Hon’ble Chairperson with a view to re assess the sense of the Council asked the
Members as to what should be done. The Hon’ble Members from many States including Uttar Pradesh,
Gujarat, Bihar, Puducherry, Haryana, Uttarakhand Goa etc. stated that so far, we had run the Council
by consensus and we should try to continue the same. The Hon’ble Minister from West Bengal
suggested that if the Council felt that it would let the States do what they had with respect to taxation
on lottery or change it as they wished. It could lead us to the solution of this impasse. The Hon’ble
Chairperson once again on the behalf of the Council appealed to the Hon’ble Minister from Kerala to
reconsider his demand for division. However, the Hon’ble Member from Kerala insisted on division.
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6.20. The Hon’ble Chairperson requested the Secretary to follow the rules in this regard. The
Secretary then read out the relevant Rule 14 i.e. ‘Decision on proposals’ in Chapter V from the
Procedure and Conduct of Business Regulations of the Goods and Services Tax Council to the Members
of the Council which reads as follows:
‘All proposals before the Council shall be discussed threadbare. Thereafter, the Chairperson
shall put the question and invite the Members of the Council to cast their votes by show of
hands. In case Member seeks division on any proposal, the Chairperson shall put the proposal
to vote through secret ballot’
The Hon’ble Chairperson directed the Secretary to conduct the proceedings accordingly. Thereafter,
the Secretary put forth the question before the Council to vote i.e. “Do you support the proposal to levy
a uniform rate of tax on State Run Lottery and the State Authorised Lottery?”. Then the Secretary
requested the Hon’ble Members to indicate their decision by the show of hands if they supported the
proposal. The Secretary then read out the names of the States who voted for the proposal. The 21 States,
namely: the States of Arunachal Pradesh, Assam, Manipur, Mizoram, Nagaland, Sikkim, Tripura, Bihar,
Goa, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir (UT), Jharkhand, Karnataka, Uttar
Pradesh, Uttarakhand, Andhra Pradesh, Odisha, Tamil Nadu and Telangana raised their hands in favour
of the proposal. Then, the Secretary requested the Hon’ble Members who were against the proposal, to
raise their hands The Secretary read out the names of the States who voted against the proposal. The 7
States, namely: Puducherry (UT), Kerala, Maharashtra, Madhya Pradesh, Chhattisgarh, Delhi (UT) and
West Bengal voted against the proposal. The States of Punjab, Rajasthan and Meghalaya did not cast
their votes. The Secretary then pronounced that in accordance with the Procedure and Conduct of
Business Regulations of the Goods and Services Tax Council, of the 28 States present and voting, 18
votes were required for passage of the proposal. He informed that 21 States had voted in favour of the
proposal and therefore, the proposal to levy a uniform rate on lottery had been passed in GST Council.
6.21. The Hon’ble Chairperson of the Council thereafter asked the Council Members as to what GST
rate should we apply on lottery. The Hon’ble Deputy Chief Minister of Bihar stated that because lottery
was a sin good, it should attract 28% GST along with cess. The Hon’ble Minister from Punjab cautioned
that the drawback of high rate on lottery would be an increase in illegal market business. The Hon’ble
Minister from Kerala stated that the highest rate should apply because the benefit of rate reduction
would go to the middlemen. The Hon’ble Ministers from Goa, Assam, Puducherry, Delhi, West Bengal,
Maharashtra, Uttar Pradesh, Haryana and Arunachal Pradesh supported the levy of 28% GST. The
Hon’ble Minister from Telangana and Goa stated that the issue of taxation on horse racing and Casino
were yet to be finalised, while Andhra Pradesh supported 28% GST on lottery. The GST Council
thereafter decided to levy 28% GST on lottery by consensus. The Hon’ble Minister from Telangana
also requested the Chairperson to include the State of Telangana in the GoM on Lottery. The Hon’ble
Minister from Kerala requested for grace period of two months for implementing the new rate of 28%
so as to enable printing of fresh lottery tickets and exhaust the already printed lottery tickets. The
Secretary proposed that the Council may approve that 28% rate of lottery would apply from 01.03.2020.
7. For Agenda item 2, the Council decided to apply a single uniform rate of 28% on supply of
State Run Lottery as well as State Authorised Lottery with effect from 01.03.2020.
7.1. The Council also decided to refer the pending matters relating to casino, horse racing and online
gaming to the Law Committee/Fitment Committee.

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Agenda Item 3: GST Revenue Augmentation
Recommendations of the GoM on Revenue Analysis and
Deliberations of the Committee of Officers on Revenue Augmentation
8. The Secretary requested the Hon’ble Deputy Chief Minister of Bihar, the Convenor of the GoM
on Revenue Analysis to present the recommendations of the GoM to the Council. The Hon’ble Deputy
Chief Minister of Bihar mentioned that the GoM had observed that the revenue gap for the period April
2019 – August 2019 had increased for almost all the States compared to the period April 2018 – August
2018 and that most States had growth rate of less than 14% in pre-GST period. He further stated that
the GoM had made the following recommendations:
i. States should be asked to suggest ways to improve the GST compliance.
ii. A study should be conducted on rationalisation of GST rates/ tariff and merger of GST slab;
iii. GST collection from real state sector should be analysed;
iv. How States can be better equipped to harness the tax potential on supplies of services;
v. A detailed study should be conducted on e-Commerce including deep discounts offered by them
with a view to augmenting revenue;
vi. A study should also be conducted to explore avenues for expanding the scope of the Cess being
levied including increase in the Cess rate or bringing some new items under the levy of Cess.
8.1. The Hon’ble Deputy Chief Minister of Bihar called upon Joint Secretaries, TRU-I and TRU-II
to initiate the discussions on the agenda item concerning revenue analysis. The presentation (attached
as Annexure 4) was made jointly by JS, TRU-I and JS, TRU-II. The JS TRU-I initiated the presentation
by stating that a Group of Ministers’ Meeting on analysis of revenue from GST took place on
09.11.2019 at North Block, New Delhi. Further, a Committee of Officers consisting of Central and State
Governments officials was constituted to consider looking into areas such as measures to improve
voluntary compliance, measures for expansion of tax base, systematic changes in GST including checks
and balances to prevent misuse, policy measures and relevant changes needed in the law, improved
compliance monitoring and anti-evasion measures using better data management and better
administrative coordination. Further, a letter from GST Council Secretariat was also circulated to States
and Central officials inviting suggestions/input/proposals as regards measures on compliance as well as
rates, to help in augmenting revenue including suggestions on, review of items currently under
exemption; GST and compensation Cess rates on various items; rate calibrations for addressing the
inverted duty structure; compliance measures other than those currently under implementation; and any
other measure to augment revenue. A meeting had also been convened of the Committee of Officers to
suggest measures to augment GST revenue collection and administration on 10.12.2019 where valuable
inputs had been obtained from the SGST officials. Several States had also provided written suggestions
on the above.
8.2. Continuing the presentation, JS, TRU-II stated that monthly GST collection in the year 2019-
20 was higher than that of 2018-19 except during the months of September, 2019 and October, 2019.
He stated that the revenue in the month of November, 2019 was more than that of November, 2018 and
the short period of negative growth in GST collection was already over. The JS, TRU-I stated that while
the growth rate of GST collection for April, 2019 – November, 2019 on domestic supplies was 8.3%,
the same for IGST collection on import of goods showed a decline of 7.2%. He stated that imports have
witnessed compression as well. He further stated that the combined growth rate (GST and Cess
collection on domestic supplies and imports) was 3.7% which was less than the expected rate of growth.
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He presented the projection of requirement for compensation when growth rates were assumed at 5%,
8% and 10%. He stated that while in the previous two financial years, the Compensation Cess collection
was more than its requirement, in the next two years, the gap was likely to be widened, depending on
the growth rate. He presented compensation requirement gap under various growth rate scenarios. The
JS, TRU-I then proceeded with the presentation on the evolution of the GST rate structure, the
recommendation regarding the revenue-neutral rate made by the Committee headed by the then Chief
Economic Adviser (CEA) and a recent report of RBI on the decline in weighted average (effective)
GST rate since before May 2017 till September 2019. He also stated that the RNR estimated by the
Committee headed by the then CEA, made certain assumptions about collection efficiency post-
introduction of GST which is higher than that in the past, and comparable to or higher than some other
jurisdictions. It was, thereafter, highlighted about actual collection of GST (excluding Cess) at different
rates, which showed that the taxable base attracting 5% and 12% slabs were significant. The
presentation also listed out some of the major items at 5% and 12% slabs and exempted items. He then
dwelt upon the manufactured goods which suffer inverted duty structure on account of lower rate while
the inputs attracted higher GST rate, which has resulted in refunds estimated at about Rs.20,000 crore
in a year. Suggestions received for augmenting revenue from some of the States were thereafter
highlighted. Finally, in the slide on the requirement of Cess, the Cess gap and the extent to which
compensation requirement was covered under the various revenue growth rates scenario was presented
by JS, TRU-I.
8.3. The Hon’ble Deputy Chief Minister of Delhi stated that the presentation did not reflect the
timelines for bringing about invoice matching and implementation of HS codes. The Secretary clarified
that requirement to upload invoices in FORM GSTR-1 was being fulfilled by the requirement that the
gap which was presently admissible in the ITC allowed to be availed and the dealers’ invoices uploaded
was restricted to 20%. This would be discussed as an Agenda Item 15 (ii) under measures for revenue
augmentation.
8.4. The Hon’ble Minister from Kerala stated that projections of revenue and compensation Cess
collections had to be based on the rate-structure, the compliance levels and the current slow-down in
the economy. These three factors would determine the compensation gap and thus, a simple linear
projection might not give the complete picture. He stated that there was a short-term problem that had
created this gap. He highlighted that the then Chairperson of the GST Council, Shri Arun Jaitley had
stated in one of the Council Meetings that GST Council could borrow to fund the compensation Cess
requirement and also decide to extend it from 5 years to 6 years. The problem would arise around
February, 2020. He then wanted to know as to why there was a delay in disbursement of compensation
Cess when money was available. He stated that the bi-monthly disbursal of compensation was backed
by the law. This problem could recur and this would lead to non-fulfilment of expenditure requirement
by the States. He further highlighted that in the 7th GST Council Meeting, an assurance was given by
the then Chairperson, which had been duly minuted.
8.5. The Hon’ble Minister from West Bengal enquired about the expected rate of growth and stated
that they would first like to understand and examine all the information provided in the presentation
and then react. Ultimately, all this was a function of the political economy of the country. He stated that
regarding compensation, the Centre might confirm the frequency of compensation disbursal for the
future, so that the States were assured of their fiscal space.
8.6. The Hon’ble Deputy Chief Minister of Delhi stated that GST rates structure should not be
tinkered with and instead focus should be there on utilizing all the tools available to increase compliance
level. He further stated that as per the information provided in the 37th GST Council Meeting held on
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20th September 2019 in Goa, around Rs. 35,000 crore was lying in the compensation cess account and
another Rs. 5000 crore were added to the account during last few months taking the total to around
Rs.40,000 crore. He enquired as to why the disbursal of this amount was delayed when sufficient
amount was available in the fund. Of the monthly budgeted requirement of about Rs. 5,000 crore, Delhi
Government gets about Rs.2,500 crore from GST. He stated that since the compensation amount formed
a significant part of the State’s budget requirement every month, it was important to know the reason
for the delay in disbursement.
8.7. The Hon’ble Minister from Chhattisgarh enquired as to whether it would be prudent to raise
taxes when the economy was slowing down. He also wanted to know if we had data projections with
respect to national levels of consumption of goods, for instance edible oil. According to him, it was
imperative to have consumption data at the national level in respect of goods and services before
discussing the GST rates. He wanted to know as to why the States were being compensated, and to his
mind, this was on account of the fact that the GST rates had been slashed vis-à-vis the erstwhile
applicable VAT rates. There was a lacuna in realization and according to him the realization potential
under the existing rates structure should be exhausted and thereafter only should we resort to increasing
the GST rates.
8.8. The Hon’ble Minister from Uttar Pradesh stated that in the VAT system, the revenue accruing
to his State from Pan Masala was around Rs.1,500 crore while in GST it was Rs. 500 crore, implying a
Rs.1000 crore deficit in this product alone. He further stated that in case of brick kilns too, the State
was observing a decrease in tax realization from Rs.550 crores in VAT regime to Rs.75 crores in GST
regime. He stated that all such anomalies in different products might be observed and be corrected
through capacity-based levy or such methods. He further requested that Uttar Pradesh should be
included in the Group of Ministers on Analysis of Revenue from GST. He further stated that while the
parts of mobile phone were charged at 18%, the finished product of mobile phone was charged at 12%.
He stated that such anomalies might also be corrected in a way to ensure the revenues for both the States
and the Centre. He stated that the States of Uttar Pradesh did well in GST regime and that they were
optimistic that the States would continue to do well in the future. Ideally, the GST rate should take care
of 10% increase in the VAT collections.
8.9. The Hon’ble Minister from Punjab stated that we had reached mid-way in the assured
compensation regime. He highlighted the fact that the rates were predominantly decided in the 14th GST
Council Meeting held on 18th & 19th May 2017 in Srinagar. Further, in the subsequent meetings, there
had been several rate reductions without sufficient discussion which compromised the revenue of the
Centre as well as the States. He stated that if the revenues were not balanced quickly, the consensus
might disappear in the GST Council. Shri V. K. Garg, Advisor, Financial Resources to Chief Minister,
Punjab drew attention of the Council to the fact that several reports had made recommendations on the
GST rates structure till the inception of GST and had made varying recommendations on the rates
structure. He further stated that GST was collected as a tax on final consumption, so tax on intermediate
products did not matter except when such products were used in making exempt supplies. Therefore,
supposing it was assumed that all the steel produced in the country was used in making automobiles,
then the GST rates structure on steel did not matter; this was for the reason that the GST rate on
automobile would end-up collecting the due GST on its raw material which was steel. He stated that
when looking at the revenue from each of the rate slabs, we were looking at the GST collections from
the first stage of revenue, not at the stage of consumption. He stated that for the last two years, the rates
which were reduced were the rates at the stage of final consumption to appease the sensitivity of the
consumer. He clarified that the reduction in rate on final consumption goods or white goods like paints,
resulted in a fall in revenue collections which was more than what was initially apparent. He further
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underscored the point that the fall in GST revenue was not on account of economic slowdown alone,
but due to rate reduction/structure.
8.10. The Hon’ble Minister from Karnataka stated that immediate course correction was necessary
to meet the gap in revenue collection. The options available to cover the compensation gap were to
either increase the Cess base or the Cess rate. He stated that item-wise rate review should be made to
improve revenue collection, with a focus on core sectors and their cascading effect. He further stated
that State-specific corrections could also be looked at and be presented to the Centre.
8.11. The Hon’ble Minister from Assam stated that the rate reduction had taken place under the belief
that this would improve compliance and thereby resulting in higher collections. However, it needed to
be studied in detail as to whether this had really happened. He further stated that he was happy with the
compensation given because prior to GST, the VAT revenues of Assam were growing at the rate of 9%,
while GST had given them an additional 5% through way of assured growth rate of 14% for
compensation. He felt that before questioning the Central Government, the States also needed to look
at as to what was the growth in VAT revenue prior to GST and also whether the States had done enough
to improve their GST collections. He finally requested to make a more in-depth constructive
presentation on revenue which should be forwarded to State Governments seven days in advance of the
next GST Council Meeting.
8.12. The Hon’ble Deputy Chief Minister of Bihar stated that the steepest reduction in the GST rates
was effected in the 23rd GST Council Meeting held in Guwahati on 10.11.2017 when GST rate of 28%
on 243 items was reduced to 18%. He stated that any shortfall in tax collection because of this reduction
in rates, should have been observed within the following months and not after two years. Hence, the
current fall in GST collections should not be attributed to the rate reduction undertaken in earlier years.
He further stated that the increase in threshold limit for registration could not have caused significant
fall in revenue collection. He suggested that in GST regime, the excise component which was hidden
earlier had become visible to the consumer which resulted in resistance to higher rate slabs,
necessitating reduction of rate for few items. He stated that GST collections had fallen not due to
downward rate revisions but due to economic slowdown. He stated that knee-jerk reactions should be
avoided as economic growth was expected to grow after two to three quarters. He further stated that
complacency in the State tax administration because of the assured compensation should be avoided.
He stated that changing rates or merging of the slabs should be avoided during the slow-down in the
economy and such measures could wait for next 4-5 months. He stated that measures like e-invoicing,
Aadhaar integration, new returns, linking of e-Waybill with FASTag, blocking of ineligible ITC,
cancellation of registration of non-filers and their regular monitoring by the Ministers would result in
increase in compliance level, thereby increasing GST revenue collections. As the GDP was growing at
the rate of about 5%, therefore, the Compensation Cess would also grow at the rate of 5% and it needed
to be examined whether assured compensation growth rate could be linked to GDP growth rate instead.
8.13. The Chairperson suggested that the Detailed Agenda Note might be circulated to the States well
in advance for the next meeting, after incorporating the inputs from all the Hon’ble Members. The
Hon’ble Minister from Kerala wanted to know the status of disbursement of compensation Cess due in
December, 2019 (for October, 2019 and November, 2019). He also requested that it might be assured
that whatever accumulated IGST and Cess was collected should be distributed. The Hon’ble Deputy
Chief Minister of Gujarat stated that as most of the States had less liquidity, whatever compensation
Cess was collected, should be distributed among the States.
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8.14. Thereafter, the Hon’ble Chairperson informed the Council that the States of Uttar Pradesh and
Jammu & Kashmir (UT with Legislature) would be making presentations on the best practices in GST
and measures taken by the Govt. of Jammu & Kashmir to improve revenue collections. Thereafter, the
Hon’ble Minister from Uttar Pradesh asked Shri Alok Sinha, Additional Chief Secretary, Commercial
Tax Department, Uttar Pradesh to make the presentation (attached as Annexure 5). This was followed
by a presentation by Shri K K Sharma, Advisor to Lt. Governor, Jammu & Kashmir on measures taken
by them to improve revenue collections (attached as Annexure 6).
9. For Agenda item 3, the Council took note of the presentation made by JS TRU-I and TRU-II
and the suggestions made by the Hon’ble Members. The Council also took note of the presentations
made by the State of Uttar Pradesh and UT of Jammu & Kashmir.
Agenda Item 4: Report of GoM on Real Estate on boosting Real Estate Sector
10. The Secretary asked Shri Manish Kumar Sinha, JS, TRU-II i.e. Secretary to the GoM on Real
Estate to apprise the Council about the developments in the GoM and their recommendations by way
of a presentation (attached as Annexure 7) on the agenda item. The JS, TRU-II stated that the Hon’ble
Chairperson in the 37th GST Council Meeting held on 20.09.2019 desired that a meeting of the GoM on
Real Estate be held to address the pending issues. Accordingly, a GoM meeting headed by Shri
Nitinbhai Patel, the Hon’ble Deputy Chief Minister of Gujarat, was convened on 21.11.2019 to discuss
and examine the following four issues: -
(i) Request from the State of Punjab to exempt from GST on long term lease of lands by
private/ semi private bodies for setting up industrial parks.
(ii) Request from the State of West Bengal for examining the proposal to exempt the
supply of construction services provided by the Co-operative Housing Society to its
members.
(iii) Request from the State of Maharashtra on need to provide preferential tax treatment to
free houses provided to slum dwellers in a slum rehabilitation/ redevelopment project
and mechanism of taxing TDR handed over to builder by Government thereof.
(iv) Request from industry associations on need to review the value limit of Rs. 45 lakh in
the definition of affordable residential apartment for a metropolitan region, if
necessary.
10.1. The JS, TRU-II stated that of the four pending issues, one of the issues forwarded by the State
of Punjab at 10(i) was decided. The three other issues listed at paragraph 10 had been deferred by the
GoM for the reasons as listed in the Report of the GoM on boosting real estate sector, appended as
Annexure 1 to this agenda item. He thereafter, elaborated the summary of the decisions of the GoM on
the four issues as follows:
10.2. Proposal 1 - To exempt GST on long term lease of lands by private/ semi private bodies for
setting up industrial parks.
i. Service by way of grant of long term lease of land (thirty years, or more) of industrial
plots or plots for development of infrastructure for financial business, provided by the
State Government Industrial Development Corporations/ Undertakings or any other
entity having 20% or more ownership of Central Government, State Government, Union
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Territory to (a) industrial units or (b) developers in any industrial or financial business
area, might be exempted from GST.
ii. In case of breach of land use subsequently, (i.e. from industrial use to any other use),
the exemption might be withdrawn and GST with interest and penalty might be recovered
jointly and severally from the entity that had availed the exemption originally and all
lessees who had subsequently purchased or entered into agreement with original supplier
and subsequent buyers / owners.
iii. The condition above (sl. no. ii) should be monitored and enforced by the State
Government.
iv. GST @ 5% might be levied on long term lease of land (thirty years, or more) of industrial
plots or plots for development of infrastructure for financial business, provided by a
*private person or entity, or an entity having less than 20% ownership of the Government.
Similar safeguards as at sl. no. (ii) and (iii) above shall apply to this clause as well.
* The term ‘private person’ shall be clarified by way of a Circular.
The existing Explanation appended in the present notification would also apply and the number ‘50%”
therein should be suitably substituted by ‘20%’.
10.3. Proposal 2 -To exempt the supply of construction services provided by the Co-operative
Housing Society to its members.
10.3.1. It was requested from State of West Bengal to provide more data and examples to explain that
‘no value addition is involved’ and that there would be no loss of revenue in the proposal. West Bengal
might also suggest safeguards in such a way that the exemption if granted, it would be available only
to a very select kind of housing society, who deserve this relief and couldn’t be misused by other
cooperative societies.
10.4. Proposal 3 -To provide preferential tax treatment to free houses provided to slum dwellers in
a slum rehabilitation/ redevelopment project and mechanism of taxing TDR handed over to builder by
Government thereof; and
10.5. Proposal 4 -To review the value limits of Rs. 45 lakhs in the definition of affordable residential
apartment for a metropolitan region, if necessary.
10.6. The GoM during its second Meeting felt that the proposal 3 and proposal 4might be deferred
till President’s Rule was in operation in Maharashtra and to take them up for examination after new
Government was formed in the State.
10.7. The JS, TRU-II then invited the Hon’ble Deputy Chief Minister of Gujarat, Convenor of the
GoM, to brief the Council about the recommendation of the GoM for consideration of the Council.
10.8. The Hon’ble Convenor of the GoM on Real Estate thereafter briefed the Council and stated that
the Meeting of the GoM was convened by video conferencing due to the urgency expressed by the State
of Punjab on account of the planned initiative similar to ‘Vibrant Gujarat’. He apprised the Council that
the state of Punjab had highlighted before the GoM that in Punjab, land was scarcely available for
industrial development and there could be instance where, the State Government entity directly did not
allot the land to the industry for development. Further, it was also suggested by some States including
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Punjab that even in the case of private person or entity offering land for development of infrastructure
for financial business on lease, then even in such cases, the benefits of GST @ 5% might be passed on
at par with Government entities. He added that, the Hon’ble Minister from Uttar Pradesh was of the
view that even the GST rate of 5% even in case private person or entity should be recommended.
However, all the Members of the GoM, after due consideration, decided to recommend that service by
way long term lease of land for industrial plots or plots for development of infrastructure for financial
business, provided by the entity having 20% or more ownership of Central/ State/ UT Government,
might be levied GST rate of 5% and the Council could decide on the applicable rate. He also requested
Hon’ble Minister from Punjab to present his views.
10.9. The Hon’ble Minister from Punjab stated that the rationale behind the proposal and Punjab’s
request was long term leasing of land from the point of view of Punjab’s New Industrial Policy and the
role this exemption could play in promoting the Make-in-India campaign. He further stated that
presently there was double taxation on lease of land (i.e. stamp duty of around 5-7% in various States
and GST of 18% on the same transaction) which was a major hurdle in promoting industry in Punjab.
He added that it would also lead to creation of employment and generation of revenue. He therefore,
requested the Council to agree with the suggestion of the GoM.
10.10. The Additional Chief Secretary, Commercial Tax Department, Uttar Pradesh stated that the
suggestion from Uttar Pradesh regarding exempting GST in the case of private person or entity offering
land on lease for development of infrastructure for financial business, the associated condition should
be that it should have been approved by the Government because in their industrial policy they had
scheme of private industrial parks which are 100% owned by the private person or entity but those are
approved by the State Government through a rigorous process and adequate safeguards and therefore,
instead of granting exemption only to entities with 20% ownership of Government, same could also be
allowed to lease of land by private entities which did not have any Government ownership otherwise
they might not be able to compete with the Government.
10.11. In view of the foregoing discussion, the Secretary suggested that for the time being, the Council
might accept the first part of the recommendation of proposal 1 to exempt the transactions along with
the two associated conditions i.e.
i. Upfront amount payable in respect of service by way of granting of long term lease of
land (thirty years, or more) of industrial plots or plots for development of infrastructure
for financial business, provided by the State Government Industrial Development
Corporations/ Undertakings or any other entity having 20% or more ownership of
Central Government, State Government, Union Territory to (a) industrial units or (b)
developers in any industrial or financial business area, might be exempted from GST.
ii. In case of breach of land use subsequently, (i.e. from industrial use to any other use),
the exemption might be withdrawn and GST with interest and penalty might be recovered
jointly and severally from the entity that had availed the exemption originally and all
lessees who had subsequently purchased or entered into (sub-lease) agreement with
original supplier (lessor) and subsequent buyers/owners.
iii. The condition above (sl. no. ii) should be monitored and enforced by the State
Government by issuing necessary order in this regard.
10.12. The Secretary further suggested that all the second portion of the first proposal relating to rate
levy of GST on long term lease of land of industrial plots or plots for development of infrastructure for
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financial business, provided by a private person or entity, might be referred to the Fitment Committee
and then their recommendations might be discussed in the GST Council Meeting for the reason that it
required little more examination on account of its cross-implications. The Council agreed to the above-
mentioned suggestions of the Secretary.
10.13. The Secretary also suggested that effective date for implementation of the recommendation of
the Council above could be from 1st January 2020.The issues discussed in proposal 2, proposal 3 and
proposal 4 as per the report of the GoM were still pending before the GoM on Real Estate. The Council
agreed to the same.

11. For Agenda item 4, the Council recommended the following: -
a. to exempt the transactions along with the two associated conditions i.e.
i. Upfront amount payable in respect of service by way of granting of long term lease of land
(thirty years, or more) of industrial plots or plots for development of infrastructure for financial
business, provided by the State Government Industrial Development Corporations/
Undertakings or any other entity having 20% or more ownership of Central Government, State
Government, Union Territory to (a) industrial units or (b) developers in any industrial or
financial business area, might be exempted from GST.
ii. In case of breach of land use subsequently, (i.e. from industrial use to any other use), the
exemption might be withdrawn and GST with interest and penalty might be recovered jointly
and severally from the entity that had availed the exemption originally and all lessees who had
subsequently purchased or entered into (sub-lease) agreement with original supplier (lessor)
and subsequent buyers / owners.
iii. The condition above (sl. no. ii) should be monitored and enforced by the respective State
Governments by issuing necessary order in this regard.
b. This exemption shall be effective from 1st January, 2020.
c. Further, the Council also decided to refer the issue with respect to the second portion of the first
proposal relating to rate levy of GST on long term lease of land (thirty years, or more) of industrial plots
or plots for development of infrastructure for financial business, provided by a private person or entity,
or an entity having less than 20% ownership of the Government for further examination to the Fitment
Committee before any decision by the GST Council.
d. The Council also took note about issues discussed in proposal 2, proposal 3 and proposal 4(as
per the report of the GoM) which were pending before the GoM on Real Estate.
Agenda Item 5: Issues recommended by the Fitment Committee for the consideration of the GST
Council
Agenda Item 15 (iv): Proposal for change in GST rate on woven/nonwoven bags and sacks of
polypropylene/polyethylene, whether or not laminated and Flexible Intermediate Bulk
Containers (FIBC) from 12% to 18%
12. The Secretary asked JS TRU-I to present the fitment issue before the Council. He also informed
that there were no fitment issues as such, but a Table Agenda (Agenda item 15 (iv)) concerning the
GST rate rationalisation effected in the 37th Meeting of the GST Council on 20th September, 2019.
Thereafter, JS, TRU-I stated that the Council in its 37th Meeting on 20th September, 2019 had
recommended to rationalise the GST rates on woven/non-woven bags and sacks of
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polypropylene/polyethylene (whether or not laminated) at a uniform rate of 12% to obviate
classification disputes. He stated that earlier, the sacks and bags made up of man-made textile material,
falling under heading 6305 attracted GST at the rate of 5% (their value being less than Rs.1000/-), while
polypropylene, polyethylene and other plastic bags falling under heading 3923 attracted 18% GST.
These differential rates gave rise to disputes regarding classification. To resolve the issue, a clarification
was issued vide Circular No.80/54/2018-GST dated 31st December 2018. However, disputes continued
and were aggravated due to multiple divergent Advance Rulings passed. To resolve the issue, the
Council recommended a uniform rate of 12%. However, subsequent requests had been received from
the trade associations stating that the major basic constituent ingredient for these bags was HDPE/PP
granule which attracted 18% GST. They had further stated that 12% GST rate on woven and non-woven
bags and sacks of polypropylene and polyethylene was leading to inverted duty structure and increasing
the compliance burden and efforts for seeking refund on small manufacturers of these bags. This would
make investment in the sector unviable. These woven and non-woven bags and sacks of polypropylene
and polyethylene (whether or not laminated) were used in a number of applications such as packaging
of cement, fertilizer, sugar, sponge iron/mineral packing etc. Increase of GST rate to 18% might not
increase the cost of the bags to the end-consumer as this was a B2B product and full ITC of the GST
paid on bags was available to the user industry. In fact, it would remove the inverted duty structure and
accumulation of ITCs with the manufacturers of these bags. Moreover, FIBC classified under HS
63053200 were intermediate goods used in a number of industries for bulk packing and transportation
of goods. ITC on GST paid on these goods was available to these users. The JS, TRU-I proposed, that
to have uniform tax rate on all types of such bags, the GST rates on woven and non-woven bags and
sacks of polypropylene and polyethylene, whether or not laminated (classified under 3923 or 6305)
including Flexible Intermediate Bulk Containers (FIBC) may be considered for a raise from 12% to
18%. The Secretary proposed to the Council that the rate change may be effective from 1st January
2020.
12.1. The Hon’ble Minister from Tamil Nadu stated that the issue of rationalization of GST on
matches was discussed in the 37th GST Council Meeting in Goa. He stated that even the Hon’ble Chief
Minister of Puducherry agreed for GST rate at 12% and the same might be considered favourably.
Further, he stated that his State received several representations on the very high rate of GST of 18%
on insurance premium. The Secretary stated that these issues could be discussed in the Fitment
Committee.

12.2. The Hon’ble Minister from Odisha stated that in his State 8 lakh poor people were working as
pluckers of tendu leaves. Due to the high rate of 18% GST on tendu leaves, the poor were suffering. He
added that the State of Odisha had declared tendu leaves as forest produce and pointed out that even in
BJP’s manifesto it had been promised to return the GST collected to the workers. The Hon’ble Minister
added that he would move a proposal in this regard and requested the Fitment Committee to look into
this issue. The Chairperson agreed and assured the matter would be looked into by the Fitment
Committee.
13. For Agenda item 5, read with Table Agenda item 15 (iv), the Council approved the proposal
for change in GST rate on woven/nonwoven bags and sacks of polypropylene/polyethylene, whether or
not laminated and Flexible Intermediate Bulk Containers (FIBC) from 12% to 18% with effect from 1st
January 2020.
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Agenda Item 6: Issues recommended by the Law Committee for the consideration of the GST
Council
Agenda Item 6(i): Standard Operating Procedure to be followed in case of non-filers of returns
14. The Secretary asked Shri Yogendra Garg, Principal Commissioner, GST Policy Wing, CBIC
to initiate the discussion on the issues recommended by the Law Committee for the consideration of the
GST Council. The Principal Commissioner, GST Policy Wing, CBIC initiated the discussion by stating
that the recommendations of the Law Committee were discussed in detail in the Officers’ Meeting on
17th December 2019. The presentation made in this regard is annexed as Annexure 8. He stated that the
rationale of recommendations was to improve compliance and simplify processes. He also stated that
non-filers and late filers of returns had been a major issue in the GST regime, though some States such
as Uttar Pradesh had dealt with the issue well, there had been no uniformity pan India in dealing with
the same. He stated that the Law Committee recommended to issue a Circular for dealing with non-
filers of returns under Sections 39, 44 & 45 of the GST Act. He further stated that some of the States
were already issuing notices and the objective of the proposed draft circular was to make the process
uniform and to improve due date filing of returns which has a direct correlation with the revenue. The
draft circular delineated various steps vis-à-vis the return defaulters from issuing of a system generated
message to notice in FORM GSTR-3A followed by best judgement assessment and ultimately, if the
return was not filed for 6 months then initiation of action under Section 29 of the GST Act for
cancellation of registration was proposed. He further added that the period of 30 days for reapplying for
GST registration upon cancellation had been extended to 60 days on the suggestion of State of Odisha
in the Officers’ Meeting held on 17th December 2019. He also clarified that as for Composition tax
payers, the return was filed annually, the same means that this could only be resorted to after the due
date for such return.
15. For Agenda item 6(i), the Council approved the issuance of Circular outlining a Standard
Operating Procedure in case of non-filers of returns as proposed.
Agenda Item 6(ii): Proposed amendments in the CGST Act, 2017
16. The Principal Commissioner, GST Policy Wing, CBIC introduced the Agenda relating to
amendments to the CGST /SGST Acts in the Budget 2020-21. He stated that the proposed amendments
were discussed in detail in the Officers’ Meeting on 17th December 2019. He informed that there were
altogether 12 amendments proposed, some of which were in the nature of aligning with the earlier
amendments. The first amendment sought to align certain entries in Schedule II of the GST Act with
the amendments carried out vide the CGST (Amendment) Act, 2018 with effect from 1st February 2019.
Likewise, the second amendment had been proposed to align the Composition Scheme under Section
10(1) and (2) of the CGST Act with Section 10(2A) of the said Act. The third amendment proposed
was to allow ITC on Debit Notes by linking it to the date of issuance of the Debit Note by amending
Section 16(4) of the GST Act. The fourth amendment was to allow a taxpayer who had taken voluntary
registration to cancel it by amending Section 29 of the GST Act. The next amendment proposed was
for amending Section 31 so as to align section 31(2) with 31(1) regarding manner of issue of invoices
for services as well. With respect to the sixth amendment proposed, the Principal Commissioner, GST
Policy Wing, CBIC stated that in Officers’ Meeting on 17th December 2019, it was viewed that there
was no requirement of amending Section 49(4) of the GST Act, and that it would be prudent that a new
rule may be drafted using the existing powers under law and accordingly, it was proposed that Rule
86A might be inserted so as to block ineligible input tax credits and control the menace of fake invoices
immediately. The seventh amendment recommended was for providing a system generated Tax
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Deduction at Source (TDS) certificate by amendment in Section 51(3) and doing away with the late
fees requirement by omission of Sub-Section 4 of Section 51 of the GST Act. The eighth amendment
proposed was to carry out certain amendments in Sections 122 and 132, so as to insert necessary
provisions to make the person receiving the benefit of a fraudulent transaction liable for penalty and
arrest. The Principal Commissioner, GST Policy Wing, CBIC stated that presently, the person who
availed the fake ITC only was liable for penal provisions. The objective of the proposed amendment
was to align the liability of the mastermind with the person who was taking the fake ITC. The ninth
amendment proposed was to insert in Section 140 of the GST Act enabling provisions to prescribe the
time-limit and the manner of availing transitional credit. This was proposed to be done retrospectively
with effect from 01.07.2017. The tenth amendment proposed was for vesting functions relating to job-
work extension and remuneration of chartered accountants/ cost accountants with the jurisdictional
Commissioners of CGST. The next amendment proposed was for extending the existing time-period of
3 year to 5 years from the date of commencement of the GST Act in Section 172 to enable the
Government to issue orders for removal of difficulties in implementing the provisions of the Act. The
last amendment proposed in respect of Section 17(5) was for making input tax credit eligible in respect
of commercial vessels like drilling rigs, dredgers etc. Principal Commissioner, GST Policy Wing, CBIC
explained that credit was available on such ‘vessels’ prior to the first amendment of CGST Act in
August, 2018 and that while no recommendation of the Council was made to restrict the same,
inadvertently due to a drafting error, this credit had come to be denied which is the likely cause of
hardship to dredging companies, oil exploration companies etc. and that it was proposed to make
suitable amendments to restore the original position. However, the Hon’ble Member from Chhattisgarh
wanted that the tax cost/implication of the proposal in respect to vessels and aircraft be brought to the
Council before any decision. Therefore, this proposal was deferred.
17. For Agenda item 6(ii), the Council approved the amendments in the GST Act, as proposed and
discussed above.
Agenda Item 7: Creation of Public Grievance Redressal Committee as per the Hon’ble High
Court of Delhi’s order in the case of Sales Tax Bar Association
18. The Secretary asked Principal Commissioner, GST Policy Wing, CBIC to introduce the agenda
item. The Principal Commissioner, GST Policy Wing, CBIC, while introducing the agenda item also
made a presentation (attached as Annexure 8). He stated that in view of the Writ petition W.P.(C)
9575/2017 & C.M. no. 38987/2017-Sales Tax Bar Association (regd.) & ANR in Hon’ble High Court
of Delhi on non-availability of many functionalities on GST Portal, a proposal for suitable mechanism
for grievance redressal at ground level was felt necessary. Therefore, a proposal for creating Grievance
Redressal Committee had been placed for approval of the Council. The background details were
mentioned in the agenda circulated.
18.1. He further stated that while in the Central Excise/Service Tax regime such an arrangement
existed in the form of Regional Advisory Committee at the Zonal level, no such formal arrangement
existed, under the GST regime to tackle grievances of specific/ general nature at the Zonal/
Commissionerate/ State level. Accordingly, it was proposed to operationalize a Grievance Redressal
Committee (GRC) at Zonal/State level with membership of both CGST and SGST officers,
representatives of trade and industry and other relevant officers of GSTN.
18.2. The constitution of the said Grievance Redressal Committee, its functions and mandate were
proposed in the agenda as follows:
A. Constitution of the Committee:
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i. Zonal Principal Chief Commissioner/ Chief Commissioner of Central Tax (Co-chair)
ii. Chief Commissioner/ Commissioner of State Tax (Co-chair)
iii. Representatives of various Trade Associations – 12 in number
iv. Representatives of prominent Associations of Tax Professionals like Chartered
Accountants, Tax Advocates, Tax Practitioners etc. – 4 in number
v. Nodal officer of ITGRC of the Central Tax and Nodal officer of ITGRC of the State Tax.
vi. Representative of GSTN handling the concerned Zone/ State
vii. Any other member with the permission of the Co-chairs.
viii. Additional/Joint Commissioner of office of Zonal Principal Chief Commissioner/ Chief
Commissioner of Central Tax and an officer nominated by the Chief Commissioner/
Commissioner of State Tax - Secretaries of the GRC.
B. Term of the Committee - The GRC would be constituted for a period of two (2) years and the
term of each member so nominated also would be for a period of 2 years. Any member of the Committee
absent for 3 consecutive meetings, without adequate reasons, would be deemed to have been withdrawn
from the Committee and his place would be filled by fresh nomination by the Principal Chief
Commissioner/Chief Commissioner of Central Tax and the Chief Commissioner/ Commissioner of
State Tax.
C. Functions and mandate of the Committee:
(i) Examining and resolving all the grievances and issues being faced by the taxpayers, including
procedural difficulties and IT related issues pertaining to GST, both of specific and general
nature.
(ii) Referring any issue requiring a change in Act/Rules/Notification/ Form/Circular/ Instruction,
etc., to the GST Council Secretariat and the relevant Policy Wing of the CBIC.
(iii) Referring any matter related to IT related issue pertaining to GST Portal, to GSTN.
Whenever an issue would be referred by the GRC, the concerned Policy Wing of CBIC would
examine the said policy issue and if required, would make suitable recommendation on the same for
consideration/ approval of the GST Council. Likewise, if the matter would be an IT related issue
pertaining to GST portal, the same would be resolved by GSTN in a time bound manner, preferably
within one month.
D. Periodicity of Meeting of the Committee – The Committee would meet once every quarter or
more often as the Co-chairs may decide.
E. Mechanism of Working of the Committee: The stakeholders would send their
grievances/suggestions to the Secretary of the Committee, who would place the same before the
Committee. Further, the Secretary of the Committee should also submit a quarterly progress report to
the GST Council Secretariat as well as to the GST Policy Wing, CBIC.
18.3. Further, GSTN had also proposed (Annexure B to the Agenda 7) that,
a) to ensure transparency and time bound handling of grievances and accountability, they would
develop a portal for recording all such grievances (including their scanned images) and their
disposal. It would be the responsibility of the Co-chairs to ensure timely entry of the
grievances and updating the status of their disposal on the portal.
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b) the nodal officers of GSTN, Policy Wing of CBIC and GST Council Secretariat would also be
able to update status of action taken at their end. The details of action taken on all issues would
be displayed on the portal, which would be available for viewing by all stakeholders to check
the status of the resolution.
18.4. The above proposal was placed before the GST Council for consideration and approval. The
Council after deliberations approved the proposal.
19. For Agenda item 7, the Council considered and approved the constitution along with the
functions and mandate of the Grievance Redressal Committee as contained in the agenda.
Agenda Item 8: Status of Group of Ministers (GoMs) constituted for various agenda items
20. The Secretary asked Dr. Rajeev Ranjan, Special Secretary, GST Council Secretariat to present
the status of various GoMs constituted on the recommendations of the Council for different agenda
items. The Special Secretary thereafter stated that altogether 12 GoMs had been constituted on the
recommendations of the Council. Of these, 6 GoMs, namely, GoM on Composition and tax structure
on Restaurants, GoM on Reverse Charge Mechanism, GoM on Digital Payments, GoM on Sugar Cess,
GoM for MSME and GoM on Revenue Mobilisation in case of Natural Calamities and Disasters had
given their reports and recommendations before the Council and the Council had taken requisite action
in respect of the same. It had, therefore, been proposed to not continue these GoMs. Further, it was
proposed that 3 GoMs as mentioned in para 15 (ii) may continue. Of these, the GoM on IT challenges
in GST implementation was the most active and met frequently on account of its mandate to monitor
and resolve the IT challenges faced in the implementation of GST. Likewise, the GoM on boosting real
estate under GST regime and GoM on Analysis of Revenue from GST were also proposed to be
continued. During discussion under Agenda Item 2 for the issues concerning GST on Lottery, in view
of the submission of the report of the GoM on Lottery which was annexed to the said agenda item, a
decision had been taken to refer the matter relating to casinos, horse racing and online gaming to Law
Committee. Therefore, it was decided to discontinue the GoM on issues relating to lottery. Finally, the
Special Secretary stated that the two GoMs, namely GoM on IGST Settlement and GoM on movement
of Gold and precisions Stones had been constituted recently and their reports were yet to be placed
before the Council.
21. For Agenda item 8, the Council decided to continue with the 5 GoMs namely: GoM on IT
challenges in GST implementation, GoM for boosting Real Estate Sector under GST regime, GoM on
Analysis of Revenue from GST, GoM on movement of Gold and Precious Stones and GoM on IGST
settlement.
21.1. The Council also decided to refer the pending matter relating to casinos, horse racing and online
gaming to Law/Fitment Committee.
Agenda Item 9: Deemed ratification by the GST Council of Notifications, Circulars and Orders
issued by the Central Government
22. The Secretary asked Principal Commissioner, GST Policy Wing, CBIC to place the agenda
before the Council. The Principal Commissioner, GST Policy Wing, CBIC stated that in the 37th
Meeting held on 20.9.2019, the Council had ratified all the notifications, circulars and orders issued
before 11.9.2019. He thereafter made a presentation (attached as Annexure 8) listing out all the
notifications, rate and non-rate, of CGST, UTGST, IGST and Compensation Cess, Circulars and
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removal of difficulty orders issued after 11.09.2019 till 13.12.2019, under the GST Laws by the Central
Government as available on www.cbic.gov.in.
23. For Agenda Item 9, the Council granted deemed ratifications to the notifications, circulars and
Orders as in agenda item and the presentation (attached as Annexure 8) made during the Council
Meeting, which are available on www.cbic.gov.in.
Act/Rules Type Notification/Circular/Order
Nos
CGST Act/CGST Rules Central Tax 42 to 72 of 2019
Central Tax (Rate) 14 to 26 of 2019
UTGST Act Union Territory Tax (Rate) 14 to 26 of 2019
ITGST Act Integrated Tax
Integrated Tax (Rate)
04 of 2019
14 to 25 of 2019
GST (Compensation to States)
Act
Compensation cess (Rate) 02 and 03 of 2019
Circulars Under CGST Act, 2017 110 to 127 of 2019
ROD Orders Under CGST Act 8 and 9 of 2019
23.1. The notifications, Circulars and Orders issued by the States which are pari materia with above
notifications, Circulars and Orders were also deemed to have been ratified.
Agenda Item 10: Decisions of the GST Implementation Committee (GIC) for information of the
Council
24. The Secretary asked Principal Commissioner, GST Policy Wing, CBIC to present the Agenda
before the Council. Thereafter, Principal Commissioner, GST Policy Wing, CBIC stated that the GST
Implementation Committee (GIC) took decisions between 21.9.2019 and 17.12.2019. Further, due to
the urgency involved, certain decisions were taken by GIC after obtaining approval amongst GST
Members by circulation. Thereafter, he made a presentation (attached as Annexure 8) on the decisions
taken by Members of the GIC post 37th GST Council Meeting. Thereafter, he also submitted that an
Agenda Item 15(iii), which was addendum to Agenda Item No. 10 regarding decisions of the GIC in
its Meeting held on 02.12.2019 was also placed before the Council for information.
25. For Agenda item 10, the Council took note of the decisions of the GST Implementation
Committee between 21.09.2019 and 17.12.2019.

Agenda for 39th GSTCM Volume 1
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Agenda 11: Decisions/Recommendations of the IT Grievance Redressal Committee for
information of the Council
Decisions/recommendations of the 8th IT Grievance Redressal Committee
26. Introducing this Agenda item, the Secretary stated that the 8th Meeting of the IT Grievance
Redressal Committee (ITGRC) was held on 13th August 2019 to resolve grievance of the taxpayers arising
out of technical and non-technical issues. (Minutes of the Meeting attached as Annexure A of this agenda
Item).
26.1. As per the agenda note, a total 491 cases of TRAN-1/TRAN-2 had been examined by GSTN
(Agenda 1) and presented before the Committee. Out of these, 442 cases were sent by Nodal officers and
49 were court cases. All above cases had been categorized broadly reason-wise in two major categories
as ‘A’ and ‘B’ by GSTN team. Category ‘A’ included cases in which the taxpayer could not apparently
file TRAN 1/TRAN 2 because of technical glitches while Category ‘B’ included cases where no technical
issues were found from the system logs in filing TRAN 1/TRAN 2.
26.2. In pursuance of decision in 32nd GST Council Meeting, regarding extended scope of ITGRC,
GST Council Secretariat had received another 22 cases vis-a-vis extended scope of ITGRC and analysis
of these cases was also presented before the committee (Agenda 3).
26.3. It was also observed by GSTN that 04 cases of TRAN 1 had been brought twice before the ITGRC
in 6th and 7th Meeting with wrong description and recommendations based on incomplete facts, which
needed reconsideration. GSTN had again examined the system logs of 04 cases and presented them before
the Committee for appropriate decision (Agenda 4),
26.4. After detailed discussion, the 8th ITGRC decided and had recommended as under: -
Recommendation for Agenda 1, Agenda 3 and Agenda 4 for
(A) 491 Cases presented through GSTN (Agenda 1):
i) To allow filing of TRAN-1 in total 137 cases of TRAN-1 & TRAN-2 belonging to
Category ‘A’ as per Annexures indicated in column No. 3 and 4 of Table-2 (136 cases of
TRAN-1) & Table 4 (01 case of TRAN-2 in Category ‘A’) on account of technical/system
issues as explained at paragraph 5 and paragraph 7 of Minutes, in accordance with the Law
Committee recommendations regarding consequential benefits related to filing of TRAN
1.
ii) Allowed GSTN to withdraw two (02) cases (one of each TRAN-1 and TRAN-2) as
mentioned in Table 5 of Minutes without any decision and directed GSTN to present these
cases after proper analysis before the next ITGRC Meeting.
iii) Not to allow remaining 352 cases of Category ‘B’ as per Annexures indicated in column
No. 3 & 4 of Table-3 (351 cases of TRAN-1) and Table 4 (01 case of TRAN-2 in Category
‘B’) in absence of any evidence of technical/system errors in these cases as explained at
paragraph 6 & 7 of Minutes, as was decided in similar cases in past seven ITGRC meetings.
(B) 22 Cases presented through GST Council Secretariat as per extended scope of ITGRC
(Agenda 3):
Decision on these cases was deferred in view of discussion on the emerging issues as
discussed with reference to Agenda 2. This matter would be discussed again in ITGRC in
light of decision of Agenda 2, which inter alia included the issue of re-examining the limited
Agenda for 39th GSTCM Volume 1
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number of non-technical glitch/error cases. The details of discussion on Agenda 2 might be
referred for details.
(C) Cases which had been brought twice in 6th and 7th ITGRC (Agenda 4):
i) ITGRC allowed 03 cases of TRAN-1 which were earlier not allowed in 6th ITGRC but
they were allowed in 7th ITGRC.
ii) Committee also accepted the proposal of fourth case to recall the decision of 7th
ITGRC on this case, on account of error reported by GSTN and effectively restoring the
decision of 6th ITGRC of allowing the filing/revision of TRAN-1.
Discussion on emerging issues before ITGRC (Agenda 2)
26.5. During the earlier ITGRC proceedings, it was observed that Nodal officers as well as GSTN had
received various references and Writ Petitions where non-technical issues were also involved. The
ITGRC could not handle those cases, as it was not empowered to take any decision on these issues.
Further, on account of no appeal mechanism in respect of Forms TRAN-1/TRAN-2 under GST law,
taxpayers were approaching various Hon’ble High Courts for grievance redressal. In 32nd GST Council
Meeting, it was decided to enhance/expand the scope of the ITGRC to include those cases where no
technical glitch/problem was evident, and the Commissioners would after examination recommend such
cases but GSTN and GST Council Secretariat were receiving cases without proper scrutiny. Till 31st
January, 2019, 62 cases (with incomplete details and not in conformity with the spirit of the decision of
the 32nd GST Council Meeting) were received and placed before 4th ITGRC on 12.02.2019. Hence, it
was recommended by the Committee that GST Council Secretariat might send another reminder to all
States and Centre reiterating that the case details be checked; certified and it should also be clearly stated
that the case was covered by the decision of 32nd GST Council Meeting along with clear
recommendations from the State/Centre before sending by the concerned Jurisdictional Commissioner.
Accordingly, 179 cases received till 31st March 2019 were placed before 6th ITGRC on 27.05.2019 while
22 cases were placed before 8th ITGRC which contained many of the cases that were found incomplete
in 6th ITGRC. Till then, as no case has been allowed to file TRAN-1/TRAN-2 in accordance with the
extended scope of ITGRC, therefore, such emerging issues before ITGRC were also discussed in the
Committee as per Agenda 2.
26.5.1. In respect of Agenda 2 i.e. emerging issues in respect of cases involving non-technical glitches,
it was discussed and recommended by ITGRC that for cases involving non-technical glitches, the process
of examination by ITGRC might be redesigned and a pragmatic approach was required on the issue of
allowing GST TRAN- 1/GST TRAN 2 for those taxpayers who were covered under the 32nd GST Council
decision; having High Court decision and had filed the TRAN-1 before due date i.e. 27.12.2017 but not
received the transitional credit due to non-technical error. The mechanism would include following
aspects:
a. The process would be applicable to the taxpayers who had satisfied the criteria and represented
before the nodal officer/Jurisdictional Commissioner for non-technical glitches as per 32nd GST
Council Meeting’s decision.
b. Definition of the non-technical error might include cases where TRAN-1/TRAN-2 had been
filed before due date i.e. 27.12.2017 but credit not received to taxpayer including the scenario
where the credit was entered in wrong column.
c. The jurisdictional Commissioners of the State/Centre should get the claim of the taxpayer
checked including the verification of credit and ascertain the amount of credit (CGST/SGST)
that was claimed in the various tables of GST TRAN 1/GST TRAN 2. Wherever required a
Agenda for 39th GSTCM Volume 1
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certificate from counterpart tax authorities may also be obtained regarding genuineness of
claimed credit.
d. After being satisfied about the genuineness of the claim, the details should be sent to GSTN
with proper recommendation and specific High Court order copy as per 32nd GST Council
Meeting’s decision to enable filing of TRAN-1/TRAN-2. The mode as well as format for such
directions and the requisite certificate be finalised by GSTN in order to maintain the audit trail
and generate report, if required.
e. If deemed necessary, post audit of the taxpayers could be carried out by tax authorities in a time-
bound manner, who would claim transitional credit above a particular threshold.
f. In light of above, ITGRC could revisit the ‘Category A’ cases identified as non-technical cases
placed in Annexure 3 of 6th ITGRC and Agenda 3 of the 8th ITGRC, taking inputs as required
from GSTN.
26.6. The decisions/recommendations as per attached Minutes of the 8th ITGRC were placed for
information of the Council.
27. For Agenda item 11, the Council took note of the decisions/recommendations of the 8th
Meeting of the IT Grievance Redressal Committee.
Agenda Item 12: Quarterly Report of the NAA for the quarter July to September 2019 for the
information of the GST Council
28. The Secretary introduced the Agenda item pertaining to various issues related to the National
Anti-profiteering Authority (NAA) and stated that this agenda was discussed in the Officer’s Meeting
held on 17th December 2019. The quarterly performance report of National Anti-profiteering Authority
along with performance reports of DGAP, Screening Committee and State Level Screening Committee
for the quarter (July, 2019 to September, 2019) of the financial year 2019-20 was placed before the
Council for information.
28.1. Performance of National Anti-Profiteering Authority:
Opening
Balance
No. of
Investigation
Reports
received from
DGAP during
the quarter
Disposal of Cases (during Quarter) Closing
Balance
Total Disposal
during quarter
No. of cases
Where
Profiteering
established
No. of cases
Where
Profiteering not
established
No. of
cases
referred
back to
DGAP
50 39 2 1 1 3 84





Agenda for 39th GSTCM Volume 1
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28.2. The final disposal of 2 cases by the NAA was as under:
Sr. No. Order No. and Date of
Order
Respondent Amount of
Profiteering (Rs.)
1 46/2019 dt. 04.07.2019 HP India Sales Nil
2 47/2019 dt. 26.09.2019 Paramount Propbuild Pvt. Ltd. 3,69,26,963
28.3. In addition, NAA had been conducting outreach program across the country to sensitize the
jurisdictional Officers about their role and responsibility towards check of profiteering. During the
tenure of this report, the outreach programs and zonal review meetings on Anti-Profiteering efforts was
held at Indore on 16th September, 2019.
28.4. Further, the NAA had sent 516 profiteering complaints received by them till 31st July, 2019 via
its web portal to 21 State Level Screening Committees
29. For Agenda item 12, the GST Council took note of the performance of the National Anti-
profiteering Authority for the quarter July to September 2019...
Agenda Item 13: Presentation on developments regarding implementation of
i. GST EWB System – FASTag Integration
ii. New Return System
iii. Integrated refund system with disbursal by single authority
iv. Generation of electronic Invoice Reference Number
v. Linking GST registration with Aadhaar and proposed changes in the GST Law and
GSTN System
30. The Secretary stated that a detailed presentation was given by Shri Prakash Kumar, CEO,
GSTN in the Officer’s Meeting held on 17.12.2019 regarding the GST EWB System – FASTag
Integration, status of implementation of New Return System, Integrated Refund System with disbursal
by Single Authority, Generation of Electronic Invoice Reference Number and Linking GST registration
with Aadhaar. The presentation made so is attached as Annexure 9 to the Minutes. Following were the
salient features of the presentation of CEO, GSTN.
A. GST EWB System – FASTag Integration
30.1. The MoU withIndian Highways Management Company Limited (IHMPCL) & GSTN had been
signed on 14.10.2019.
a. The MoU was for collaboration and working together for implementation track and trace
mechanism to track the goods carrying vehicles through FASTag at the toll plazas across the
country.
b. NPCI was extending its NPCINet to E-Way Bill system.
Agenda for 39th GSTCM Volume 1
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i. Routers at Primary Data Centre (at Delhi) & DR Centre (at Hyderabad) of NIC had
been delivered.
ii. Lease line (link) had also been delivered. Installation process was in progress.
c. NPCI had already extended its network to the EWBS data center. Network testing and
integration was completed.
d. APIs were ready and available on sandbox. Testing on simulators was complete. Sandbox
would be made available by NIC by 15thJanuary 2020. Sample data from NETC would be used
for testing.
e. Integration was expected to be completed by mid-February, 2020.
B. New Return System
30.2. He updated on the extent of trial use of ANX-1 and ANX-2 in Centre and States till 15.12.2019
and also shared the status of development and deployment of ANX1 and ANX2 in his presentation on
17.12.2019. The New Return was proposed to be effective from 1.04.2019. He further informed that
workshops were conducted on New Return in association with FICCI, PHD Chamber of
Commerce, ASSOCHAM, CII and in coordination with Centre & State Tax Administrations.
C. Integrated refund system with disbursal by single authority
30.3. As regards updates on disbursement of refund through PFMS, CEO, GSTN, presented on
17.12.2019 that till 16.12.2019, total number of RFD-05 issued were 16,515 & out of which PFMS had
accepted 7699 cases, rejected 61 cases, disbursed 5912 cases while 2400 cases were under processing.
He had also presented the data as on 15.12.19 regarding refund applications which were not
acknowledged and pending for more than 60 days (both State-wise and CBIC).
D. Generation of Electronic Invoice Reference Number
30.4. The CEO, GSTN presented the advantages of e-invoice Reference Number and that there was
a need for standards to ensure complete inter-operability and elimination of manual data entry by
businesses leading to transcription errors. He also presented the timeline for implementation of e-
invoice and informed that NIC was developing the same for its roll out by 1st January, 2020 for taxpayers
with turnover of Rs 500 crore on voluntary basis. In February, 2020, the taxpayers with turnover of Rs
100 crore would be required to use it on voluntary basis and thereafter, it will be made mandatory from
1st April, 2020 for tax payers with turnover above Rs 100 crore. He also informed about the
stakeholder interaction plan for-invoicing which included Industry partners, Accounting
Software Provider/GST Suvidha Provider & Accounting Software companies.
E. Linking GST registration with Aadhaar and proposed changes in the GST Law and
GSTN System
30.5. As regards linking of GST registration with Aadhar and proposed changes in the GST Law and
GST System, CEO, GSTN stated that this project was expected to be rolled out by 1st February 2020
and mentioned Infosys had completed Proof of Concept (POC) and had also completed the prototypes
for the purpose.
31. For Agenda item 13, the Council took note of the latest updates as per the presentation made
by CEO, GSTN.
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Agenda Item 14: Clarification on GST rate on fabrics and articles of textiles falling in Chapters
56 to 59 of the tariff pursuant to the order of the Hon’ble High Court of Delhi in Writ Petition
(Civil) No.597 of 2019
32. The Secretary asked JS, TRU-I to introduce the agenda item to the Council. The JS TRU-I,
thereafter, submitted that the Hon’ble High Court of Delhi has directed vide its order dated 11.10.2019
to place before the Council the issue agitated before them and also to place a copy of the said order of
the Hon’ble Delhi High Court. The issue brought before the Hon’ble High Court was that the Council
in its 15th Meeting had prescribed that all fabrics were to be taxed at the rate of 5% and not 12%
irrespective of whether they were used for making apparels or for specialised and industrial fabrics. The
Department of Revenue filed affidavit and submitted before the Hon’ble High Court that the GST
Council had made a specific recommendation to prescribe 12% GST rate on specialized and industrial
fabrics of Chapters 56 to 59 which were notified by the Central and the State Governments and thus
there was no variance from the recommendations of the GST Council on the GST rate on specialized
and industrial fabrics of Chapters 56 to 59 and the notifications was issued by the Central and State
Governments in pursuance of these recommendations. He further stated that the GST rates on fabrics
was discussed in detail in the 15th GST Council Meeting held on 3rd June, 2017 and the GST rates were
prescribed on the recommendations of the Council. The rate of 5% was prescribed on fabrics used for
making apparels. The GST Council had recommended 12% GST rates on specialized and industrial
fabrics. The Council had discussed the request for reduction in tax rates on fabrics of Chapters 56 to 59
from 12% to 5% in various meetings after the rollout of GST. The Council did not recommend any
change in the tax structure on these goods i.e. technical textiles and specialized fabrics of Chapters56
to 59. He submitted that as per the directions of the Hon’ble High Court, the copy of order dated
11.11.2018 of the Hon’ble Delhi High Court was also placed before the Council along with his
submissions.
33. For Agenda item 14, the Council took note of the order dated 11.10.2019 of the Hon’ble Delhi
High Court. The decision of the Council to levy 12% GST on specialized and industrial fabrics and
technical textiles of Chapters 56 to 59 was confirmed.
Agenda Item 15: Any other agenda item with the permission of the Chairperson
Agenda Item 15 (i): Creation of the State and Area Benches of the Goods and Services Tax
Appellate Tribunal (GSTAT)
34. The Secretary introduced the agenda and stated that in terms of Section 109 of the CGST Act,
2017, Goods and Services Tax Appellate Tribunal (GSTAT) were being constituted by the Government
on the recommendation of the GST Council. The Appellate Tribunal having National / Regional
Benches at National level and the State / Area Benches at State level, to hear appeals against orders
passed by the Appellate Authority or by the Revisional Authority. He further directed Special Secretary
GST Council to brief the Council.
34.1. In order to recapitulate, Special Secretary GST Council stated that the recommendations of the
GST Council in respect of creation of the GSTAT and further developments in chronological order
were as under:
• In the 28
th
Meeting of the GST Council on 21.07.2018 the Council recommended:
o Constitution of Goods and Services Tax Appellate Tribunal (GSTAT); and
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o Creation of National Bench of GST Appellate Tribunal at New Delhi and three
Regional Benches at Mumbai, Chennai and Kolkata.
• Union Cabinet approved creation of National Bench of the GST Appellate Tribunal at New
Delhi.
• National Bench at New Delhi had also been notified vide Notification No. S.O. 1359(E)—
[No.1/2019,[F.No.A.50050/99/2018-Ad.1C(CESTAT)] dated 13-03-2019 issued by
Department of Revenue.
• Till the 37th Meeting , the Council had recommended setting up of State Benches and Area
Benches in 29 States and 5 UTs as per request received from States. It had also recommended
to separately consider constitution of benches in Uttar Pradesh due to court cases. It also took
note of constitution of Jammu & Kashmir GST Appellate Tribunal in terms of proviso to
Section 109(6) of the CGST Act, 2017.
• The Rules for the GSTAT called the Goods and Services Tax Appellate Tribunal (Appointment
and Conditions of Service of President and Members) Rules, 2019 were notified by Central
Government as per the recommendations of the GST Council in 28th meeting, vide notification
No. G.S.R. 584(E)- [F.No.A.50050/99/2018-Ad.1C(CESTAT)] dated 21.08.2019.
• State and Area bench as recommended by the GST Council till 36th GST Council Meeting had
also been notified by Department of Revenue.
34.2. Further, in the 37
th
Meeting of the GST Council on 20.09.2019 had recommended location of
State Bench and Area Bench in respect of following 4 States as under:
Sl.
No.
Name of States/Union
Territory
Location for State Bench Location for Area Bench
1. Meghalaya Shillong No bench
2. Mizoram Aizawl -do-
3. Rajasthan Jaipur Jodhpur
4. Karnataka* Bengaluru Two Area benches at
Bengaluru
*State bench of Karnataka at Bengaluru is already created.
34.3. Now, request from Madhya Pradesh had been received to create a State Bench at Indore, while
two more requests had been received from Meghalaya and Punjab seeking amendments in the earlier
recommendations of GST Council for creating bench at Shillong and Chandigarh respectively.
Meghalaya had also requested to club their State bench with the State bench of Assam at Guwahati,
which was notified as a common bench for Arunachal Pradesh, Manipur, Nagaland & Sikkim. Punjab
had requested to change their State bench from Chandigarh to Ludhiana.
Agenda for 39th GSTCM Volume 1
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34.4. Accordingly, the above stated requests for creation of State benches, as detailed below, were
placed before GST Council for consideration:
Sl.
No.
Name of States/Union
Territory
Location for State Bench
1. Madhya Pradesh Indore
2. Meghalaya
Guwahati* (request from Govt. of Meghalaya requested to
club State Bench of Assam at Guwahati instead of earlier
proposed at Shillong)
3. Punjab
Ludhiana* (the Govt. of Punjab requested to change the State
Bench of Punjab to Ludhiana instead of Chandigarh)
Agenda Item 15 (ii): Measures for Revenue Augmentation
1. GSTR-1 Amnesty scheme along with E-Way Bill Blocking for non-filers of GSTR-1
35. Pr. Commissioner GST Policy Wing, CBIC introduced this agenda by stating that the FORM
GSTR-1 filing had been low and had crossed 60% only once in the last six months. This was despite
the introduction of sub-rule (4) of Rule 36 which restricted availment of input tax credit in respect of
those invoices, the details of which have not been uploaded by the supplier under Section 37 of the
CGST Act (in FORM GSTR-1) to 20% of the eligible credit available in FORM GSTR-2A for a
taxpayer. Presently late fees for delay in furnishing of FORM GSTR-1 by the due date was Rs.20 per
day for NIL filers and Rs.50 per day for others. The maximum late fee was Rs.10,000 per month
(Rs.5,000 under the CGST/SGST Act).
1) Many taxpayers, had represented that they were willing to file their FORM GSTR-1 but they
were not willing to pay Rs.10,000 per month of late fee. This was one of the key reasons for
low or no filing of FORM GSTR-1.
2) It might be noted that in the current GST system, there was no procedure for part
payment/invalid return. Therefore, the only way taxpayers could declare admitted liability was
through FORM GSTR-1. This could be later recovered with interest by the Government.
Therefore, in order to improve filing of FORM GSTR-1 the following were proposed:
a. A one-time amnesty scheme to file all FORM GSTR-1 from July 2017 to November,
2019 might be given to taxpayers. There would be no late fees for filing such return if
the same was filed till 10th January 2020.
b. E-way bill generation might be blocked for non-filing of any two FORM GSTR-1
(similar to FORM GSTR-3B)
2. Credit availment to 10% of GSTR-2A in Rule 36(4)
35.1. This rule was inserted to ensure discipline among the taxpayers for filing GST returns. On
analysis it was found that in FY 2018-19, the total gap in FORM GSTR-2A and FORM GSTR-3B
was 13%. Therefore, approximately 13% of the total credit was lying unmatched in the system currently.
He, therefore, proposed that the Law Committee had recommended that in the interest of revenue and
to increase the proportion of matched credit in the system, Rule 36(4) be amended to restrict input tax
Agenda for 39th GSTCM Volume 1
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credit on missing invoices for any recipient to 10% of the total supplies received in his FORM GSTR-
2A from his suppliers.
3. Credit blocking in specific instances
35.2. Principal Commissioner, GST Policy Wing, CBIC initiated the discussion stating that during
investigations it had been accepted by the persons/registered persons that the input tax credit that had
been passed on was fake credit as the underlying invoices that had been passed on were fake invoices.
In course of investigation, the recipients who had availed the said input tax credit had also been
identified (Rs.9028 crore by Centre and Rs.2740 crore by the States). Section 16 required ineligible
credit was to be reversed in the return which was not happening as the return FORM GSTR-3B were
self-assessed and were on a summary basis so it was not possible to determine the exact reason for
reversal. There was a facility in the portal which allowed the tax authorities to block utilization of ITC
which was being used by State Officers in as many as 25 States/UTs. It was further stated by the
Principal Commissioner, GST Policy Wing that this issue was discussed in great depth in the Officers’
Committee meeting on 17th December 2019. To ensure uniformity and in the interest of revenue, it was
proposed that the GST Council, as a measure of revenue augmentation, may approve insertion of a new
rule 86A to block the utilization of such credit.
4. Extension of due date for filing of FORM GSTR-9 / 9C for FY 2017-18
35.3. Principal Commissioner, GST Policy Wing, CBIC stated that notification No. 56/2019 dated
14.11.2019 was issued to simplify filing of Annual Return (FORM GSTR-9) and Reconciliation
Statement (FORM GSTR-9C) for FY 2017-18 and FY 2018-19. Certain changes were required in the
offline utility for filing of FORM GSTR-9C. It had been informed that the offline utility for filing of
FORM GSTR-9C had not been deployed yet (till 16.12.2019). Taxpayers were expressing concern
that they would get very little time for compliance. Accordingly, it was proposed to extend the due date
for filing the FORM GSTR-9 and FORM GSTR-9C for FY 2017-18 from 31.12.2019 to 31.1.2020.
5. Return extension for North-Eastern States
35.4. The Principal Commissioner, GST Policy Wing, CBIC stated that internet had been suspended
in many of the North-Eastern Areas with curfew also imposed in many of the territories. In light of this,
many trade bodies had expressed their inability to file their return FORM GSTR-1, GSTR-7, GSTR-8,
GSTR-9 and GSTR-9C.Therefore, Assam had requested for extension in due dates of filing FORM
GSTR-1, GSTR-7, GSTR-8, GSTR-3B, GSTR-9 and GSTR-9C. Likewise, Manipur and Tripura had
also requested for extension in due dates of filing in certain forms. The Principal Commissioner, GST
Policy Wing requested the other North-Eastern States to inform if there was need to extend due dates
in their regions. It was further stated by him that Section 39(6) of SGST Act empowered State
Commissioners to extend the due date of filing their respective returns. Further, if such return was
extended by the State Commissioner, the due date under the CGST Act was automatically extended.
Therefore, all forms except GSTR-8, GSTR-9 and GSTR-9C might be extended by the State
Commissioners on recommendation of the Council.
36. Further, the Agenda Item 15(iii) and Agenda Item 15(iv) were discussed in the Agenda Item
5 and 10 respectively.


Agenda for 39th GSTCM Volume 1
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37. For Agenda Item 15, the Council approved the following:
i. Creation of the State and Area benches of the Goods and Services Tax Appellate Tribunal
(GSTAT) as below:
Sl.
No.
Name of States/Union
Territory
Location for State Bench
1. Madhya Pradesh Indore
2. Meghalaya
Guwahati* (request from Govt. of Meghalaya requested to
club State Bench of Assam at Guwahati instead of earlier
proposed at Shillong)
3. Punjab
Ludhiana* (the Govt. of Punjab requested to change the
State Bench of Punjab to Ludhiana instead of Chandigarh)

ii. (a) Late fees to be waived for the registered persons who failed to furnish the details of
outward supplies in FORM GSTR-1 for the months/quarters from July, 2017 to November,
2019 by the due date if the same were filed till 10th January, 2020 and to block E-way Bill
generation for non-filing of any two FORM GSTR-1.
(b) To amend the Rule 36(4) of GST Rules to restrict availment of input tax credit in respect
of those invoices, the details of which have not been uploaded in the return filed under
Section 37 (FORM GSTR-1) to the extent of 10% of the total eligible ITC, the details of
which have been uploaded in FORM GSTR-1.
(c) To insert a new Rule 86A to block input tax credits under certain circumstances.
(d) To extend due date for filing of FORM GSTR-9 / 9C for FY 2017-18 to 31.1.2020.
(e) To extend the last date for filing returns in specified forms in case of Assam and certain
other North-Eastern States on account of suspension of internet in these regions.
iii. As recorded under Agenda Item No.10, the Council took note of the decisions of the 34th GIC
Meeting held on 02.12.2019.
iv. The proposal in agenda item 15(iv) to increase the GST rates from 12% to 18% on woven and
non-woven bags and sacks of polypropylene and polyethylene (whether or not laminated)
(classified under 3923 or 6305) including Flexible Intermediate Bulk Containers (FIBC), with
effect from 1st January 2020.
Other issues
38. Finally, The Secretary stated that he was putting forth a proposal which may be considered by
the Council that changes in GST rates normally should be carried out only once in a year because
otherwise frequent rate changes create a lot of uncertainty. He requested the Council that they might
consider it for acceptance later. It was further suggested by the Hon’ble Member from Uttar Pradesh
that the revenue implication of every rate change should also be placed before the Council, along with
whether the said good or service was a final consumption or an intermediate consumption.
Agenda for 39th GSTCM Volume 1
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Agenda Item 16: Date of the next Meeting of the GST Council
39. This agenda item was not taken up for discussion.
40. The Meeting ended with a vote of thanks to the Chair.

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Annexure 1
List of Hon'ble Ministers who attended the 38thGST Council Meeting on 18thDecember 2019
Sl No State/Centre Name of Hon'ble Minister Charge
1 Govt of India Ms. Nirmala Sitharaman Union Finance Minister
2 Govt of India Shri Anurag Singh Thakur Minister of State (Finance)
3 Andhra Pradesh
Shri Mekapati Gautam
Reddy
Minister for Industries & Commerce
and Information Technology
4 Arunachal Pradesh Shri Chowna Mein Deputy Chief Minister
5 Assam Dr. Himanta Biswa Sarma Finance Minister
6 Bihar Shri Sushil Kumar Modi Deputy Chief Minister
7 Chattisgarh Shri T.S. Singh Deo Minister for Commercial Taxes
8 Delhi Shri Manish Sisodia Deputy Chief Minister
9 Goa Shri Mauvin Godinho Minister for Transport and Panchayat
10 Gujarat Shri Nitinbhai Patel Deputy Chief Minister
11 Haryana Shri Dushyant Chautala Deputy Chief Minister
12 Himachal Pradesh Shri Vikram Singh Minister for Industries
13 Jammu &Kashmir Shri K K Sharma Advisor to Lt. Governor
14 Jharkhand Shri C.P. Singh
Minister - Department of Urban
Development,Housing and Transport
15 Karnataka Shri Basavaraj Bommai
Minister for Home Affairs and Co-
operation
16 Kerala Dr. T. M. Thomas Isaac Minister for Finance & Coir
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Sl No State/Centre Name of Hon'ble Minister Charge
17 Madhya Pradesh
Shri Brajendra Singh
Rathore
Commercial Tax Minister
18 Maharashtra Shri Jayant Rajaram Patil Finance Minister
19 Manipur Shri V Hangkhanlian
Minister of Agriculture, Veterinary &
Animal Husbandry
20 Meghalaya Shri KyrmenShylla
Minister for Printing & Stationary
Deptt, Revenue & Disaster
Management and Social Welfare
21 Mizoram Shri Lalchamliana Minister, Taxation
22 Nagaland Shri Metsubo Jamir
Minister, Urban, Municipal
Administration
23 Odisha Shri Niranjan Pujari Finance & Excise Minister
24 Puducherry Shri V. Narayansamy Chief Minister
25 Punjab Shri Manpreet Singh Badal Finance Minister
26 Rajasthan
Shri Shanti Kumar
Dhariwal
Minister for Local Self Government,
Urban Development and Housing,
Law and Legal affairs, Parliamentary
affairs
27 Sikkim Shri. B.S. Panth
Minister for Tourism, Civil Aviation,
Commerce and Industries
28 Tamil Nadu Shri D. Jayakumar
Minister for Fisheries and Personnel
& Administrative Reforms
29 Telangana Shri T. Harish Rao Finance Minister
30 Tripura Shri Jishnu Dev Varma Deputy Chief Minister
31 Uttarakhand Dr. Harak Singh Rawat
Minister for Forests & Wild Life,
Environment & Solid Waste Disposal
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Sl No State/Centre Name of Hon'ble Minister Charge
32 Uttar Pradesh Shri Suresh Kumar Khanna Finance Minister
33 West Bengal Dr. Amit Mitra Finance Minister


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Annexure 2
List of Officials who attended the 38thGST Council Meeting on 18thDecember 2019
Sl. No State/Centre Name of the Officer Charge
1 Govt. of India Dr. A B Pandey Revenue Secretary
2 Govt. of India Dr. Krishnamurthy Subramanian Chief Economic Advisor
3 Govt. of India Shri Pranab Kumar Das Chairman, CBIC
4 Govt. of India Dr. John Joseph Member (Tax Policy), CBIC
5 Govt. of India Shri Sandeep M Bhatnagar
Member (GST &Investigation),
CBIC
6 Govt. of India Dr. Rajeev Ranjan Special Secretary, GST Council
7 Govt. of India Ms Archana Pandey Tiwari Pr. Director General (Audit)
8 Govt. of India Ms N Sumati Pr. CCA
9 Govt of India Shri Manoj Sethi CCA
10 Govt. of India Shri Anil Kumar Jha Additional Secretary, DoR
11 Govt of India Shri Ritvik Pandey Joint Secretary, DoR
12 Govt. of India Shri Yogendra Garg
Pr. Commissioner, GST Policy
Wing, CBIC
13 Govt. of India Shri Sanjay Mangal
Commissioner, GST Policy
Wing, CBIC
14 Govt. of India Shri G.D. Lohani Joint Secretary, TRU I, DoR
15 Govt. of India Shri Manish Kumar Sinha Joint Secretary, TRU II, DoR
16 Govt. of India Ms V. Usha Pr. Commissioner, Ce.Ex, CBIC
17 Govt. of India Shri A K Goel Secretary, NAA
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Sl. No State/Centre Name of the Officer Charge
18 Govt. of India Shri Rajesh Malhotra DG (M&C), PIB
19 Govt. of India Shri K M Nahar MECO (M&C), PIB
20 Govt of India Shri Gaurav Singh Deputy Secretary, TRU-I
21 Govt of India Shri Jainendra Singh Kandhari OSD, TRU-I
22 Govt of India Shri Praveen Kumar Bali Dy. Comm., TRU-I
23 Govt of India Shri S W Haider Dy. Comm., TRU-I
24 Govt of India Shri Abhishek Verma Dy. Comm., TRU-I
25 Govt. of India Shri Parmod Kumar Commissioner (OCD) TRU-II
26 Govt. of India Shri Pramod Kumar Director, TRU-II
27 Govt. of India Shri Harish Y. N OSD, TRU-II
28 Govt. of India Shri N Gandhi Kumar Director, DoR
29 Govt. of India Shri Amaresh Kumar
Joint Commissioner, GST Policy
Wing, CBIC
30 Govt. of India Shri Nimba Ram
Joint Commissioner, GST Policy
Wing, CBIC
31 Govt. of India Shri Vikash Kumar
Dy. Comm., GST Policy Wing,
CBIC
32 Govt. of India Shri Siddharth Jain
Dy. Comm., GST Policy Wing,
CBIC
33 Govt. of India Ms. Rajni Sharma
Dy. Comm., GST Policy Wing,
CBIC
34 Govt. of India Ms. Deepika Singh
Dy. Comm., GST Policy Wing,
CBIC
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Sl. No State/Centre Name of the Officer Charge
35 Govt. of India Ms. Megha Gupta
Asst Comm, GST Policy Wing,
CBIC
36 Govt. of India Shri Sumit Garg Dy. Commr., TPRU
37 Govt. of India Shri Shekhar Kumar Dy. Commr., TPRU
38 Govt. of India Shri Vipul Bansal PS to Union Finance Minister
39 Govt. of India Shri Binod Kumar PS to MoS (Finance)
40 Govt. of India Shri Debashis Chakraborty OSD to Revenue Secretary
41 Govt. of India Dr. Abhishek Chandra Gupta OSD to Chairman, CBIC
42 Govt. of India Shri Dev Kumar Rajwani OSD to Chairman, NAA
43 GST Council Shri Amitabh Kumar Joint Secretary
44 GST Council Shri S.K. Rahman Joint Secretary
45 GST Council Shri Dheeraj Rastogi Joint Secretary
46 GST Council Smt Ashima Bansal Joint Secretary
47 GST Council Shri Rajesh Agarwal Director
48 GST Council Shri G.S. Sinha Director
49 GST Council Shri Jagmohan Director
50 GST Council Ms. Ujjaini Datta Director
51 GST Council Shri Arjun Meena Dy. Commissioner
52 GST Council Shri Rakesh Agarwal Dy. Commissioner
53 GST Council Shri Rahul Raja Under Secretary
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Sl. No State/Centre Name of the Officer Charge
54 GST Council Shri Nitin Deepak Agarwal Under Secretary
55 GST Council Shri Mahesh Singarapu Under Secretary
56 GST Council Shri Krishna Koundinya Under Secretary
57 GST Council Shri SaribSahran Superintendent
58 GST Council Shri Adesh Nayak Superintendent
59 GST Council Shri Krishan Kumar Verma Superintendent
60 GST Council Ms Chanchal Soni Superintendent
61 GST Council Shri Maneesh Nemiwal Superintendent
62 GST Council Shri Om Veer Singh Superintendent
63 GST Council Shri Sumit Kumar Superintendent
64 GST Council Shri Vijay Kumar Superintendent
65 GST Council Shri Vipin Sethi Superintendent
66 GST Council Shri Sanjay Bansal Superintendent
67 GST Council Shri Rakesh Joshi Inspector
68 GST Council Shri Pankaj Bharadwaj Inspector
69 GSTN Shri Prakash Kumar CEO
70 GSTN Ms Kajal Singh EVP, Services
71 GSTN Shri Sarthak Saxena OSD to CEO
72 Govt. of India Dr Balbir Singh
Commissioner, CGST,
Ahmedabad
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Sl. No State/Centre Name of the Officer Charge
73 Govt. of India Shri MahendraRanga
Pr. Commissioner, CGST,
Lucknow
74 Govt. of India Shri V M Jain Commissioner, CGST, Haryana
75 Govt. of India Shri Satish Kumar Agarwal
Pr. Commissioner, CGST,
Bengaluru
76 Govt. of India Shri Pramod Kr Agarwal
Pr. Commissioner, CGST,
Nagpur
77 Govt. of India Ms. Hemambika R Priya Pr. Commissioner, CGST, Delhi
78 Govt. of India Shri B.K. Kar
Pr. Commissioner, CGST,
Bhubaneswar
79 Govt. of India Shri Krishna A Mishra Pr Commissioner, CGST, Pune
80 Govt. of India Shri Pramod Kumar Singh Pr Commissioner, CGST, Jaipur
81 Govt. of India Shri B. B. Mohapatra Pr Commissioner, CGST, Raipur
82 Govt. of India Shri Manas Ranjan Mohanty Commissioner, CGST, Mumbai
83 Govt. of India Shri Anuj Gogia
Commissioner, CGST,
Uttarakhand
84 Govt. of India Shri H. B. Negi Commissioner, CGST, Shimla
85 Govt. of India Shri Ashutosh Kr Baranwal
Pr. Commissioner, CGST,
Chandigarh
86 Govt. of India Shri M Srihari Rao
Commissioner, CGST,
Vishakhapatnam
87 Govt. of India Shri M. R. R. Reddy
Commissioner, CGST,
Secunderabad
88 Andhra Pradesh Dr D.Sambasiva Rao Special Chief Secretary, Revenue
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Sl. No State/Centre Name of the Officer Charge
89 Andhra Pradesh Shri Peeyush Kumar
Chief Commissioner (State Tax)
(GST)
90 Andhra Pradesh Shri J. V. M. Sarma Joint Commissioner (ST)(GST)
91 Arunachal Pradesh Shri Kanki Darang
Commissioner (Tax, Excise
&Narcotics)
92 Assam Shri Anurag Goel Commissioner, State Tax
93 Assam Md. Shakeel Saadullah Joint Commissioner (State Tax)
94 Bihar Shri Arun Kumar Mishra Additional Secretary, CTD
95 Bihar Shri Binod Kumar Jha Joint Commissioner, CTD
96 Chandigarh Shri Mandip Singh Brar E&TC
97 Chandigarh Shri Ramesh Kumar Chaudhary Asst. E&TC
98 Chhattisgarh Ms Reena Babasaheb Kangale
Secretary and Commissioner,
State Tax
99 Chhattisgarh Shri S L Agrawal Special Commissioner, State Tax
100 Chhattisgarh Shri Manish Mishra Dy Commissioner, State Tax
101 Delhi Shri Rajeev Verma Principal Secretary, Finance
102 Delhi Ms Padmini Singla Secretary, Finance
103 Delhi Shri H. Rajesh Prasad Commissioner, State Tax
104 Delhi Shri Anand Kumar Tiwari
Additional Commissioner, State
Tax
105 Goa Shri Dipak Bandekar Commissioner, CT
106 Gujarat Shri Pankaj Joshi Additional Chief Secretary
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Sl. No State/Centre Name of the Officer Charge
107 Gujarat Shri J. P. Gupta Chief Commissioner, State Tax
108 Gujarat Shri Ridhidesh Rawal Dy, Comm, State Tax
109 Haryana Shri Anurag Rastogi
Principal Secretary, Excise &
Taxation
110 Haryana Shri Amit Agarwal Commissioner, E & T Dept
111 Haryana Shri Vijay Kumar Singh
Addl. Excise & Taxation
Commissioner
112 Haryana Shri Rajeev Chaudhary
Jt. Excise&Taxation
Commissioner
113 Himachal Pradesh Shri Sanjay Kundu
Pr. Secretary, State Taxes and
Excise
114 Himachal Pradesh Dr. Ajay Sharma
Commissioner of State Tax and
Excise
115 Himachal Pradesh Shri Rakesh Sharma
Addl. Commissioner., State Tax
& Excise
116 Jammu & Kashmir Shri P K Bhatt Commissioner, State Tax
117 Jharkhand Shri Prashant Kumar
Secretary cum Commissioner,
State Tax
118 Jharkhand Shri Santosh Kumar Vatsa Special Secretary, State Tax
119 Jharkhand Shri Brajesh Kumar State Tax officer
120 Karnataka Shri SrikarM.S Commissioner, State Tax
121 Karnataka Shri Nitesh Patil
Additional Commissioner
(Intelligence), State Tax
122 Karnataka Dr Avinash Menon
Additional Commissioner, State
Tax
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Sl. No State/Centre Name of the Officer Charge
123 Kerala Shri Manoj Joshi
Additional Chief Secretary
(Finance & Taxes)
124 Kerala Shri Anand Singh Commissioner, State Tax
125 Madhya Pradesh Shri Raghwendra Singh Commissioner, State Tax
126 Madhya Pradesh Shri Sudip Gupta Joint Commr, State Tax
127 Madhya Pradesh Shri Narendra Singh Chauhan Dy. Comm, State Tax
128 Maharashtra Shri Rajiv Jalota Commissioner, State Tax
129 Maharashtra Shri Kiran Shinde Dy Commissioner, State Tax
130 Manipur Ms. Jaspreet Kaur Commissioner, State Tax
131 Meghalaya Shri L Khongsit Joint Commissioner, State Tax
132 Mizoram Shri Vanlal Chhuanga
Commissioner & Secretary,
Taxation Deptt
133 Mizoram Shri R. Zosiamliana Addl. Commissioner, State Tax
134 Nagaland Shri Y Mhathung Murry Addl Commissioner, State Tax
135 Odisha Shri Ashok K K Meena Principal Secretary, Finance
136 Odisha Shri Sushil Kumar Lohani Commissioner, CT & GST
137 Odisha Shri Ananda Satpathy
Special Commissioner, CT &
GST
138 Puducherry Shri L Kumar Commissioner, State Tax
139 Puducherry Shri K Sridhar Dy. Comm, State Tax
140 Punjab Shri M. P. Singh
ACS cum Financial
Commissioner, Taxation Deptt
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Sl. No State/Centre Name of the Officer Charge
141 Punjab Shri V. K. Garg
Advisor, Financial Resources to
Chief Minister
142 Punjab Shri Vivek Pratap Singh
Excise and Taxation
Commissioner
143 Punjab Shri Pawan Garg
Deputy Excise and Taxation
Commissioner
144 Rajasthan Dr. Prithvi Raj Secretary Finance (Revenue)
145 Rajasthan Dr. Preetam B Yashvant Commissioner, State Tax
146 Rajasthan Shri Ketan Sharma
Addl. Commissioner, GST, State
Tax Dept
147 Sikkim Shri. J D Bhutia Commissioner, State Tax
148 Tamil Nadu Shri K. Gnanasekaran
Addl. Commissioner (Policy &
Planning)
149 Tamil Nadu Shri C Palani Joint Commissioner, State Tax
150 Telangana Shri Somesh Kumar Special Chief Secretary
151 Telangana Smt Neetu Prasad Commissioner, State Tax
152 Telangana Shri Laxminarayan Jannu Addl. Commissioner, State Tax
153 Telangana Shri N. Sai Kishore Joint Commissioner, State Tax
154 Tripura Shri Sudip Bhowmik Deputy Commissioner, State Tax
155 Tripura Shri Badal Baidya
Assistant Commissioner, State
Tax
156 Uttarakhand Dr Sunita Pandey Deputy Commissioner, State Tax
157 Uttarakhand Shri S.S. Tiruwa Deputy Commissioner, State Tax
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Sl. No State/Centre Name of the Officer Charge
158 Uttar Pradesh Shri Alok Sinha Additional Chief Secretary, CTD
159 Uttar Pradesh Ms. Amrita Soni Commissioner, CTD
160 Uttar Pradesh Shri Sanjay Kumar Pathak Joint Commissioner, CTD
161 Uttar Pradesh Shri Gaurav Rajput Asst. Comm., State Tax
162 Uttar Pradesh Shri K Mrityunjay Asst. Comm., State Tax
163 West Bengal Shri H.K. Dwivedi Addl Chief Secretary, Finance
164 West Bengal Ms Smaraki Mahapatra Secretary, Finance
165 West Bengal Shri Devi Prasad Karanam Commissioner, CT
166 West Bengal Shri Khalid Aizaz Anwar In charge GST-PPU


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Annexure 3


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Agenda Item 2: Update by Infosys (through GSTN)
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Agenda Item 3: Review of Revenue position under Goods and Services Tax
1. The Table 1 below gives the details of revenue collected as Central Goods and Services Tax
(CGST), State Goods and Services Tax (SGST), Integrated Goods and Services Tax (IGST) and Cess
for the FYs 2017-18, 2018-19 and 2019-2020.
Table 1*: GST revenue during 2017-18, 2018-19 and 2019-20
(In ₹ Crore) 2017-18 2018-19 2019-20
(Apr-Feb)
CGST 1,18,876 2,02,444 2,08,261
SGST 1,71,803 2,78,817 2,83,632
IGST 3,87,356 5,98,739 5,42,193
Domestic 1,93,093 3,08,243 2,92,972
Imports 1,94,263 2,90,495 2,49,221
Comp Cess 62,614 97,369 90,440
Domestic 56,319 87,290 80,839
Imports 6,295 10,080 9,601
Total 7,40,650 11,77,369 11,24,526
*Figures rounded to nearest whole number
2. The Table 2 below shows the IGST collected, refunded and settled/apportioned during the
period

Table 2: IGST Collection/Settlement/Apportionment/Refund from April’19-Feb’20
(Figures in Rs. Crore)
IGST Collection/Settlement/Apportionment/Refund from April’19-Feb'20
Amount
1 Collections(+) 542193
2
Recovery from IGST Ad-hoc
apportionment(+) 29000
3 Refunds (-) 88138
4 Settlement (-) 455830
(i) CGST 261,773
(ii) SGST 194,057
5 CGST ad hoc 13,500
6 SGST ad hoc 13,500
7 Net (1+2-3-4-5-6) 225

Figures rounded to nearest whole number
Agenda for 39th GSTCM Volume 1
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Compensation Fund
3. As per provision of GST (Compensation to States) Act, 2017 the Compensation Cess collected
since implementation of GST w.e.f. 01.07.2017 till 29th February, 2020 and the compensation released
are shown in the table below:
Table 3: Compensation Cess collected and compensation released
(Figures in Rs. Crore)
2017-18 2018-19 2019-20 Total
Compensation Cess collected 62,612 95,081 79,000
(till Jan’20)
2,36,693
Compensation released 41,146 69,275 1,20,498
(till Nov’19)
2,30,919
Balance 21,466 25,806 -41,498* 5,774
* Taking into account un-utilized cess of FY 2017-18 & FY 2018-19, despite the collection of
Rs. 79,000 cr in current FY, excess amount of compensation has been released to States/ UTs.
4. In the current financial year, the GST compensation has been provisionally calculated and
released fully for April to September, 2019 and partly for Oct-Nov, 2019. Resultantly, the GST
compensation balance of Rs. 14,036 crore for Oct-Nov, 2019 is still to be released. Further, it is
submitted that GST compensation for Dec, 2019-January, 2020 cycle has also become due in the month
of February, 2020 as per GST (Compensation to States) Act, 2017. Therefore, the total amount required
in current FY to meet the compensation for Dec, 2019-Jan, 2020 & the balance for Oct-Nov, 2019 is
approximately Rs. 48,000 crore.





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Trends in Monthly Revenue
5. Figure 1 shows the trends in the gross GST revenues since introduction of GST. Figure 2 shows
the month-on-month growth rate for each month since March, 2019 till February, 2020.


Figure 1: Trends in gross GST Revenues (₹ crore)


Figure 2: Month-on-Month growth in gross GST Revenues






113866
100289 99939
102083
98202
91916
95379
103491 103184
110818
105361
80000
85000
90000
95000
100000
105000
110000
115000
120000
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar
2017-18 2018-19 2019-20
1
6
%
1
0
%
7
%
5
% 6
%
5
%
-3
%
-5
%
6
%
9
%
8
% 8
%
-10%
-5%
0%
5%
10%
15%
20%
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Gap with respect to base Revenue
6. The State-wise details of gap between the protected revenue and the post settlement gross SGST
revenue (including ad-hoc settlement) for the period April-Feb in the current year as compared to the
same period in the previous year may be seen in the Table 4. This information is also depicted in the
graph placed at Figure 3.
Table 4: Revenue Gap during the period April-Feb
State/UT 2018-19 2019-20
Arunachal Pradesh -48 -81
Mizoram -54 -66
Manipur -30 -47
Nagaland -16 -40
Sikkim -10 -17
Telangana 1 12
Andhra Pradesh -2 13
Assam 8 14
Meghalaya 16 14
Uttar Pradesh 7 15
Maharashtra 6 16
Tamil Nadu 7 18
West Bengal 10 18
Jharkhand 15 22
Rajasthan 10 23
Haryana 17 24
Tripura 19 24
Madhya Pradesh 16 25
Bihar 20 26
Gujarat 15 26
Odisha 27 29
Karnataka 21 29
Kerala 16 29
Delhi 23 30
Goa 23 32
Chhattisgarh 26 36
Uttarakhand 35 40
Jammu and Kashmir 29 41
Himachal Pradesh 37 41
Punjab 38 46
Puducherry 44 58
Average 14 23
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Figure 3: Revenue Gap during the period April-Feb

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Trends in Return filing
7. The table below shows the trend in return filing in FORM GSTR-3B till due date and till date
for return periods upto Jan, 2020.

Table 5: Return filing (GSTR-3B) till due date and till date
Return Period Till due date Till 31st Jan, 2020
Filed % Filed %
Apr'19 6017388 61% 8627066 87%
May'19 6481965 65% 8676361 86%
Jun'19 6655120 66% 8702655 86%
Jul'19 7047881 69% 8741093 86%
Aug'19 6540650 64% 8763292 85%
Sep'19 5967642 58% 8776265 85%
Oct'19 6463266 62% 8763520 84%
Nov’19 7091985 68% 8694417 83%
Dec’19 6550743 63% 8307922 80%

Figure 4: GSTR-3B Filling


61%
65% 66% 69%
64%
58%
62%
68%
63%
87% 86% 86% 86% 85% 85% 84% 83% 80%
0%
20%
40%
60%
80%
100%
Apr'19 May'19 Jun'19 Jul'19 Aug'19 Sep'19 Oct'19 Nov’19 Dec’19
Till due date Till 31st Jan, 2020
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Table 6: State-wise Return filing (GSTR-3B) till due date (2019)

STATE April May June July Aug Sept Oct Nov Dec
Jammu and Kashmir 60% 62% 64% 26% 24% 22% 24% 46% 45%
Himachal Pradesh 64% 67% 67% 71% 66% 59% 65% 72% 65%
Punjab 74% 78% 78% 81% 76% 67% 72% 80% 72%
Chandigarh 73% 76% 76% 80% 75% 69% 74% 79% 74%
Uttarakhand 59% 61% 63% 66% 61% 56% 61% 68% 62%
Haryana 65% 69% 70% 74% 69% 61% 66% 72% 65%
Delhi 59% 62% 63% 66% 61% 54% 59% 64% 61%
Rajasthan 65% 68% 69% 73% 68% 61% 65% 73% 66%
Uttar Pradesh 65% 68% 69% 73% 68% 62% 66% 65% 64%
Bihar 50% 53% 55% 60% 54% 50% 53% 60% 55%
Sikkim 50% 52% 53% 58% 52% 47% 51% 56% 49%
Arunachal Pradesh 27% 30% 33% 37% 35% 32% 36% 36% 35%
Nagaland 36% 39% 42% 46% 42% 38% 42% 45% 42%
Manipur 34% 34% 37% 43% 38% 34% 37% 42% 40%
Mizoram 45% 46% 46% 52% 47% 45% 46% 52% 44%
Tripura 55% 59% 61% 65% 58% 55% 61% 63% 57%
Meghalaya 52% 55% 55% 59% 56% 52% 55% 47% 49%
Assam 39% 43% 44% 48% 43% 38% 43% 36% 48%
West Bengal 61% 65% 66% 69% 63% 59% 64% 66% 63%
Jharkhand 53% 57% 58% 63% 56% 52% 57% 66% 61%
Odisha 29% 57% 60% 66% 59% 57% 62% 69% 61%
Chhattisgarh 48% 54% 56% 62% 55% 49% 54% 63% 58%
Madhya Pradesh 58% 63% 65% 69% 63% 55% 61% 70% 65%
Gujrat 71% 75% 76% 79% 74% 69% 71% 78% 72%
Daman and Diu 59% 64% 65% 69% 64% 58% 61% 67% 62%
Dadra and Nagar Haveli 58% 61% 63% 66% 61% 56% 58% 67% 61%
Maharashtra 61% 64% 66% 68% 63% 57% 61% 68% 62%
Karnataka 62% 66% 67% 71% 67% 61% 65% 72% 65%
Goa 52% 55% 56% 59% 54% 49% 53% 56% 53%
Lakshadweep 37% 36% 40% 41% 39% 36% 35% 42% 36%
Kerala 56% 60% 62% 65% 55% 51% 58% 65% 57%
Tamil Nadu 60% 63% 64% 69% 63% 57% 63% 70% 62%
Puducherry 59% 62% 63% 67% 61% 56% 60% 68% 59%
Andaman and Nicobar Island 32% 32% 33% 35% 32% 30% 30% 39% 35%
Telangana 52% 56% 58% 61% 56% 49% 53% 60% 53%
Andhra Pradesh 58% 62% 64% 69% 62% 53% 60% 67% 60%
Other Territory 72% 74% 71% 70% 67% 68% 66% 72% 53%
61% 65% 66% 69% 64% 58% 62% 68% 63%

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Table 7: State-wise Return filing (GSTR-3B) till 31st Jan, 2020

STATE April May June July Aug Sept Oct Nov Dec
Jammu and Kashmir 84% 83% 82% 76% 75% 75% 74% 73% 66%
Himachal Pradesh 86% 85% 85% 85% 84% 84% 84% 83% 81%
Punjab 92% 92% 92% 92% 91% 91% 91% 91% 88%
Chandigarh 94% 94% 94% 94% 93% 93% 93% 93% 89%
Uttarakhand 83% 83% 84% 83% 83% 83% 83% 83% 79%
Haryana 89% 89% 89% 89% 89% 88% 88% 87% 83%
Delhi 84% 83% 83% 82% 81% 81% 81% 80% 77%
Rajasthan 88% 87% 87% 86% 86% 86% 86% 85% 84%
Uttar Pradesh 87% 87% 87% 86% 86% 86% 86% 85% 82%
Bihar 78% 78% 77% 77% 76% 76% 75% 74% 70%
Sikkim 80% 78% 77% 76% 76% 76% 75% 72% 64%
Arunachal Pradesh 64% 63% 62% 61% 60% 58% 57% 54% 47%
Nagaland 71% 70% 70% 70% 69% 68% 67% 65% 57%
Manipur 64% 63% 63% 64% 63% 63% 63% 60% 56%
Mizoram 76% 75% 74% 74% 72% 71% 69% 67% 59%
Tripura 80% 79% 79% 78% 77% 77% 77% 75% 72%
Meghalaya 74% 74% 73% 73% 72% 71% 70% 67% 62%
Assam 70% 69% 69% 68% 67% 67% 65% 64% 65%
West Bengal 85% 84% 84% 83% 83% 82% 81% 80% 76%
Jharkhand 83% 82% 82% 82% 81% 81% 81% 82% 78%
Odisha 83% 83% 83% 84% 84% 84% 84% 83% 78%
Chhattisgarh 87% 87% 87% 86% 86% 85% 84% 83% 78%
Madhya Pradesh 89% 89% 89% 88% 88% 88% 87% 86% 84%
Gujrat 93% 93% 93% 92% 92% 91% 91% 90% 87%
Daman and Diu 88% 90% 90% 89% 89% 88% 87% 85% 80%
Dadra and Nagar Haveli 87% 87% 86% 86% 85% 85% 84% 84% 79%
Maharashtra 90% 90% 89% 88% 88% 87% 85% 83% 79%
Karnataka 87% 86% 86% 86% 87% 87% 86% 85% 81%
Goa 80% 80% 79% 78% 77% 76% 75% 73% 67%
Lakshadweep 61% 61% 60% 60% 58% 57% 56% 53% 47%
Kerala 90% 90% 89% 89% 88% 88% 87% 85% 79%
Tamil Nadu 86% 85% 85% 85% 85% 84% 84% 84% 80%
Puducherry 88% 87% 87% 87% 86% 85% 85% 83% 79%
Andaman and Nicobar Island 74% 73% 72% 70% 69% 67% 65% 61% 52%
Telangana 82% 81% 81% 80% 79% 78% 77% 76% 71%
Andhra Pradesh 87% 87% 87% 86% 85% 85% 84% 82% 78%
Other Territory 83% 83% 84% 83% 83% 82% 81% 80% 72%
87% 86% 86% 86% 85% 85% 84% 83% 80%

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Agenda Item 5A: Issues recommended by Law committee for the consideration of the Council.
Agenda Item 5A(i): Taxability of ‘economic surplus’ earned by brand owners of alcoholic liquor
for human consumption – reg.
Various representations have been received from entities engaged in the manufacture of
alcoholic liquor for human consumption on the captioned subject. In this regard, a brief description of
the various business models being followed in the industry for manufacturing of alcoholic beverage
(AlcoBev) for human consumption is presented below.
2. Companies which are holder of registered brands in relation to IMFL (Indian Made Foreign
Liquor) are commonly known in the industry as “Brand Owners (BO)”. BOs, who have the technical
know-how for manufacture of alcoholic beverages (AlcoBev), have exclusive right to exploit the
brands, including by way of sale of IMFL under those brands. The whole process of procurement,
manufacture and sale of AlcoBev is governed by each State’s Excise laws which vary across States.
Certain State Excise laws mandate that manufacture and sale of IMFL, as well as the procurement of
Extra Neutral Alcohol (“ENA”) required for the manufacture of IMFL can only be undertaken by the
parties, who have been duly licensed by the State Excise authorities. In order to meet the requirements
under State Excise laws, BOs approach various Contract Bottling Units (CBUs) or Third Party
Manufacturing Units (TMUs) who hold the requisite licence under the State Excise laws to source the
ENA and carry out the manufacture and bottling of IMFL. Broadly, there are two types of arrangements
between the BO and CBU for manufacture and sale of AlcoBev, as follows:
a) Transfer of right to manufacturer for commercially exploiting brand of the BO in exchange for
a consideration (‘franchise fee’ or any other name).
b) Contract manufacturing by CBUs without any transfer of right to CBUs to commercially exploit
the brand of BO.
3. In respect of the arrangement discussed at para 2(a) above, the BO is clearly engaged in the
supply of a taxable service to the CBU which is in the nature of transfer of intellectual property rights
(IPR) to the CBU in lieu of an agreed consideration. Thus, GST is payable on such supplies by the BO
as supplier of service in the nature of “permitting the use or enjoyment of any intellectual property
right” (S. No. 5(c) of Schedule II under section 7 of the CGST Act). This arrangement is not being
discussed in this Agenda as the law is already settled in this regard and clarification has not been sought.
4. In context of the arrangement discussed at para 2(b), doubts have been raised regarding its
taxability under GST. Therefore, the present discussion is regarding cases where the BO does not
transfer right of commercial exploitation of the brand to CBU and the risks and rewards relating to such
supplies remain vested with the BO. Given the variation in Excise law provisions across States, different
business models are being followed in different States. An illustrative list of the prevalent business
models is as follows:
a) Lease/rent of licensed premises by CBU/TMU to BO: The entity (CBU/TMU) has the licence
from the State Government to manufacture AlcoBev. It leases/rents out the licensed premises
as well as the license for manufacture to the BO. The owner of the licensed premises, besides
renting out the licensed manufacturing facility, also manufactures AlcoBev for the BO. Raw
material is purchased and supplied by the BO. The BO directly sells AlcoBev so manufactured.
TMU/CBU charges the BO ‘rent’ for renting of factory with licence and ‘conversion charge’
for converting raw material (ENA, flavors etc.) to liquor. The current practice is that CBU
charges GST on both rent and conversion charges. In this model, the BO has beneficial
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ownership of all raw materials and the manufactured liquor. The property in and the risk and
reward associated with the liquor manufactured by CBU vests with the BO. Essentially, the
CBU manufactures AlcoBev on behalf of the BO.
b) CBU/TMU manufactures and sells liquor on behalf of the BO: This is the most prevalent
model. In many States, there is a State Beverages Corporation, which alone is authorized to
sell AlcoBev. The State Corporation buys liquor from the licensed manufacturers. Then there
are States where State Beverage Corporation does not exist but law requires liquor to be sold
only by licensed manufacturers. In such States, the BO cannot sell liquor. As per this
arrangement, BO enters into contractual agreement with the CBUs on a non-exclusive basis
(BO can enter into multiple contracts with other CBUs as well) under which CBUs receive
payment for bottling charges and certain other agreed upon reimbursements from the BO, such
as taxes and expenses borne by the CBU. The CBU procures all raw materials and packing
materials from a list of approved/identified vendors at a price fixed by the BO. CBU is required
to follow the process parameters and specifications provided by BO for manufacture of
AlcoBev under the supervision and control of BO. CBU sells and delivers the manufactured
products as per the direction of the BO at the price informed by the BO. Sale proceeds go into
a bank account of TMU/CBU, which is controlled by the BO, through authorized signatories
solely and exclusively nominated by the BO. The BO funds purchase of raw materials and
other expenses for manufacture, packaging, sale and distribution of AlcoBev from the sale
proceeds deposited in this bank account. In this model too, the property in and the risk and
reward associated with the liquor manufactured by the CBU vests with the BO. Upon
termination of the contract, CBU is obligated to cease and desist from using the trademark of
the BO and dispose of the unsold stock at ex-brewery price. Further, CBU is also required to
sell at cost the raw materials, labels, packing material etc. to the BO. In some cases, the BO
also arranges working capital for the operations of the CBU, either directly or through
institutional finance. The revenue sharing agreement stipulates that after deducting the cost of
the raw material, bottling charges and other reimbursements (including taxes borne by CBU)
paid to the CBU from the total sale proceeds of AlcoBev, the remaining amount is retained by
the BO, commonly known as ‘economic surplus’ or profit of the BO.
Economic Surplus of the BO = (Total Sale proceeds of the AlcoBev) – (Bottling
charges + cost of raw materials + cost of packing materials + Taxes borne by the CBU
+ Other reimbursements paid to the CBU by BO)
5. The main issue in contention is whether the ‘economic surplus’ retained by the BO is taxable
under GST or not. It is noteworthy that under service tax regime, this issue was clarified vide Letter F.
No. 332/17/2009-TRU dated 30.10.2009 (Annexure - A) wherein it was stated that service Tax would
be payable on the bottling/job charges, distribution costs and other reimbursements and that the
surplus/profit earned by the BO being in the nature of business profit (which falls within the purview
of direct taxes), will not be chargeable to service tax. In light of the above clarification, the Delhi
CESTAT in the case of BDA Limited ruled that the surplus earned under contract manufacturing
arrangement by the BO represents business profit and are accordingly not exigible to Service Tax. The
stand was upheld by the Hon’ble Supreme Court (Annexure - B). Furthermore, a similar decision was
delivered in the case of M/s Skol Breweries and M/s Skol Breweries and M/s Diageo India Pvt. Ltd. In
the latter case, it was observed that the CBU has no right to use the IPR of the BO and there is no
transfer of the same to the CBU. It was also held that there is no representational right provided to the
CBU and the brand name is being used by the brand owner in their own account. For the said reason, it
was observed that the surplus amount is in the nature of profits and not liable to service tax under
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IPR or Franchise services. It can be said that the economic surplus was not taxable under the Service
tax regime since there was no service being provided by the BO to the CBU.
6. The BOs have in their representations that the treatment of ‘economic surplus’ should be the
same under GST as was during the Service Tax regime, on the following grounds:
a) There is no significant departure in the legal provisions under GST regime from the legal
position as existed during service tax regime. Therefore, the treatment of ‘economic surplus’
should be the same in both regimes.
b) The nature of contractual arrangement between the BO and CBU remains the same under GST.
c) BO cannot be considered to be a supplier to CBU in the same transaction where CBU is
supplying service to the BO by way of manufacture or bottling of alcoholic beverage for human
consumption.
d) The ‘economic surplus’ has already suffered State Excise and VAT (as applicable) as part of
the overall sale price of AlcoBev.
7. However, it has been informed that the divergent Advance ruling has been given on the issue
by the Karnataka and Maharashtra and accordingly, divergent practices are being followed in the field
formations. It is a fact that the advance rulings are private rulings and thus are not universally applicable
and are limited to the specific case in the concerned jurisdiction only. It doesn’t provide a rule. However,
given the divergence of views in these rulings and the confusion it might create in field
formations/investigating agencies, it is imperative that the issue is analyzed in detail in light of the legal
provisions under GST. Further, the issue was settled in the pre-GST regime and the divergent ruling
has created confusion in the trade and industry. Therefore, it is imperative to clarify the issue in totality.
Accordingly, an examination of the issue is presented below.
8. Whether CBU is providing taxable service to the BO: It may be noted that the supply chain
arrangement in AlcoBev sector is different from other consumer durable companies due to restriction
under State Excise legislations. The contractual arrangement between the BO and CBU has evolved as
a result of the intersection of the commercial requirements of the BO (to exploit the brands under its
ownership through manufacture and sale of IMFL) and the licensing requirements under the State
Excise laws (viz. only a licence holder can source ENA for such manufacture, carry out manufacture of
IMFL and sell the alcoholic beverages). In order to comply with the State excise provisions, it is the
CBU which raises invoice for the goods and receives the sale proceeds. However, the amount that CBU
actually receives (as per his agreement with the BO) is much lower. In essence, the true commercial
nature of the arrangement between the CBU and BO is one in which the CBU provides services to the
BO as per the agreement entered into, and is remunerated in the form of bottling charges. Some of the
features of the contract agreement clearly indicate that the CBU is supplying service to the BO and not
vice versa. For example – the price of AlcoBev sold by CBU is determined by the BO, the list of vendors
from which the CBU can procure inputs is also decided by the CBU, working capital is financed by the
BO in some cases. Further, the contract clearly stipulates that the BO shall pay bottling charges to the
CBU. Thus, it can be said that the CBU is engaged in supply of service to the BO and the entire ‘risk
and reward’ is that of the BO as in any other contract manufacturing where such manufacturing is not
regulated or even in the pharmaceutical industry where the regulator allows ‘loan licencing’ where the
entire licences facility is officially shown on loan to the brand owner.
9. The ruling of Karnataka AAR, stating that CBU is not supplying any service to the BO appears
to be misplaced. As per the ruling, since the activity of CBU cannot be classified under Heading 9988
and 9989 of notification No. 11/2017-Central Tax (Rate), it has been concluded that there is no
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provision of service from CBU to BO. Whereas the agreement between BO and CBU clearly states that
the CBU is supplying service to the BO. Mere inability to classify the supply under a particular category
cannot take it outside the ambit of ‘supply’. According to section 7 of the CGST Act, there are two
essential parameters for an activity to qualify as ‘supply’ – (i) consideration, and (ii) course or
furtherance of business. In the instant case, CBU undertakes manufacturing in the course of his business
in lieu of a consideration (bottling charges) from the BO. Thus, CBU is clearly engaged in supply of
service to the BO.
10. Whether ‘economic surplus’ retained by the BO is taxable under GST: The BO is not engaged
in the supply of any service to the CBU. The arrangement between CBU and BO does not envisage any
transfer of right to use the IPR of BO. As per the terms of the agreement, it is the CBU which supplies
service to the BO and not vice versa. The ruling of Karnataka AAR treats the ‘economic surplus’
retained by the BO as a consideration for supply of service from the BO to the CBU. The amount
transferred as ‘economic surplus’ to the BO is not for providing any service but a surplus inasmuch as
the contract envisages consideration for the bottling done by CBU. Therefore, when the contract does
not envisage any other transaction in the nature of service to be provided by the BO to CBU, assuming
that the surplus is because of service provided by BO to CBU is without any basis. As there is no supply
of service from the BO to the CBU, the ‘economic surplus’ cannot be treated as consideration. Further,
there is no difference in the legal position on this issue under service tax regime and GST. Even the
terms of agreement between the BO and CBU have not changed under GST. Therefore, there should be
similarity of treatment between the two regimes. Accordingly, it can be construed that ‘economic
surplus’ is in the nature of business profit for the BO, therefore, not taxable under GST.
11. Based on the discussion in the above paras, a draft Circular was placed before the Law
Committee in its meeting held on 28.01.2020. The Law Committee approved the said Circular and
recommended it to be placed before the GST Council during its next meeting. The draft Circular
clarifies the following:
a. Brief description of the salient features of the various models of manufacture of AlcoBev on
job work basis.
b. The activity undertaken by CBU is in the nature of supply of service from the CBU to the BO,
therefore, taxable under GST.
c. ‘Economic surplus’ retained by the BO, being in the nature of profit of the BO, is not taxable
under GST.
12. Accordingly, the draft Circular (Annexure-C) is placed before the GST Council for discussion
and decision.

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Annexure A

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ANNEXURE-C
Draft Circular
CBEC-20/06/23/2019-GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
(GST Policy Wing)
*****

New Delhi, the March, 2020
To
The Pr. Chief Commissioners / Chief Commissioners / Principal Commissioners / Commissioners of
Central Tax (All)
The Principal Director Generals / Director Generals (All)
Madam / Sir,
Subject: Taxability of ‘economic surplus’ earned by brand owners of alcoholic liquor for human
consumption and services provided by contract manufacturers to the brand owners – reg.
Various representations have been received from entities engaged in the manufacture of
alcoholic liquor for human consumption on the captioned subject. The various activities/transactions in
relation to manufacture of alcoholic liquor have been analyzed in light of the provisions of Central
Goods and Services Tax Act, 2017 (hereinafter referred to as “the CGST Act”). In order to ensure
uniformity in the implementation of the provisions of the law, the Board, in exercise of its powers
conferred by sub-section (1) of section 168 of the CGST Act clarifies the issues involved in following
paragraphs: -
2. Companies which are holder of registered brands in relation to IMFL (Indian Made Foreign
Liquor) or alcoholic liquor for human consumption are commonly known in the industry as “Brand
Owners (BO)”. BOs, who have the technical know-how for manufacture of alcoholic liquor, have
exclusive right to exploit the brands, including by way of sale of alcoholic liquor under those brands.
The whole process of procurement, manufacture and sale of alcoholic liquor is governed by each State’s
Excise laws which vary across States. Certain State Excise laws mandate that manufacture and sale of
alcoholic liquor, as well as the procurement of Extra Neutral Alcohol (“ENA”) required for the
manufacture of alcoholic liquor can only be undertaken by the parties, who have been duly licensed by
the State Excise authorities. In order to meet the requirements under State Excise laws, BOs approach
various Contract Bottling Units (CBUs) or Third Party Manufacturing Units (TMUs) who hold the
requisite licence under the State Excise laws to carry out the manufacture and bottling of IMFL and
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procure ENA for the purpose. Broadly, there are two types of arrangements between the BO and CBU
for manufacture and sale of alcoholic liquor, as follows:
c) Transfer of right to TMUs for commercially exploiting brand of the BO in exchange for a
consideration (‘franchise fee’ or any other name).
d) Contract manufacturing by CBUs without any transfer of right to CBUs to commercially exploit
the brand of BO.
3. In respect of the arrangement discussed at para 2(a) above, the BO is clearly engaged in the
supply of a taxable service to the CBU which is in the nature of transfer of intellectual property rights
(IPR) to the CBU in lieu of an agreed consideration. Thus, GST is payable on such supplies by the BO
as supplier of service in the nature of “permitting the use or enjoyment of any intellectual property
right” (S. No. 5(c) of Schedule II under section 7 of the CGST Act). This arrangement is not being
discussed in this circular as the law is already settled in this regard and clarification has not been sought.
4. In context of the arrangement discussed at para 2(b), doubts have been raised regarding its
taxability under GST. Therefore, this Circular concerns only such cases where the BO does not
transfer right of commercial exploitation of the brand to CBU and the risks and rewards relating
to supply of alcoholic liquor under the brand name of BO remain vested with the BO. Given the
variation in Excise law provisions across States, different business models are being followed in
different States. An ‘illustrative list’ (not exhaustive list) of the prevalent business models is as follows:
c) Lease/rent of licensed premises by CBU/TMU to BO:

The entity (CBU/TMU) has the licence from the State Government to manufacture alcoholic
liquor. It leases/rents out the licensed premises as well as the license for manufacture to the
BO. The owner of the licensed premises, besides renting out the licensed manufacturing
facility, also manufactures alcoholic liquor for the BO. Raw material is purchased and supplied
by the BO. The BO directly sells alcoholic liquor so manufactured. The prevalent practice is
that TMU/CBU charges the BO ‘rent’ for renting of factory with licence and ‘conversion
charge’ for converting raw material (ENA, flavors etc.) to liquor. The current practice is that
CBU charges GST on both rent and conversion charges. In this model, the BO has beneficial
ownership of all raw materials and the manufactured liquor. The property in and the risk and
reward associated with the liquor manufactured by CBU vest with the BO. Essentially, the
CBU manufactures alcoholic liquor on behalf of the BO.
It is clarified that in this model, GST is payable on both the rent and conversion charges
paid by the BO to the CBU/ TMU.
d) CBU/TMU manufactures and sells liquor on behalf of the BO:
i. This is the most prevalent model. In many States, there is a State Beverages Corporation, which
alone is authorized to sell alcoholic liquor. The State Corporation buys liquor from the licensed
manufacturers. Then there are States where State Beverage Corporation does not exist but law
requires liquor to be sold only by licensed manufacturers. In such States, the BO cannot sell
liquor. As per this arrangement, BO enters into contractual agreement with the CBUs on a non-
exclusive basis (BO can enter into multiple contracts with other CBUs as well). In this model,
the brand owner enters into a contract with TMU under which TMU buys raw material from
venders at prices specified by the brand owner. Purchase of raw material is financed/funded
by brand owner. TMU sells liquor to customers specified by the brand owner. The sale price
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is also decided by the BO. Sale proceeds go into a bank account of TMU, which is controlled
by the BO, through authorized signatories solely and exclusively nominated by the brand
owner. The BO funds the purchase of raw material and other expenses for manufacture,
packaging, sale and distribution of liquor from the sale proceeds deposited in this bank account.
In this model too, the property in and the risk and reward associated with the liquor
manufactured by the CBU vests with the BO. Upon termination of the contract, CBU is
obligated to cease and desist from using the trademark of the BO and dispose of the unsold
stock at ex-brewery price as directed by BO. Further, CBU is also required to sell at cost the
raw materials, labels, packing material etc. to the BO. The amount that remains after meeting
the cost of the raw material, bottling charges and other reimbursements (including taxes borne
by CBU) paid to the CBU from the total sale proceeds of alcoholic liquor, is retained by the
BO, and the same is commonly known as ‘economic surplus’ or profit of the BO.
Economic Surplus of the BO = (Total Sale proceeds of the alcoholic liquor) –
(Bottling charges + cost of raw materials + cost of packing materials + Taxes borne by
the CBU + Other reimbursements paid to the CBU by BO)
ii. Another variant of this model has been discussed in the Hon’ble Supreme Court order dated
30.11.2015 and in the case of M/s BDA Private Limited where the essential features of the
contract are as discussed above but the TMU pays a certain amount of royalty to the brand
owner. However, the most interesting and crucial point is that this payment of royalty by TMU
to the brand owner is also financed/funded by the brand owner to the TMU from the sale
proceeds of liquor sold by TMU on behalf of the brand owner and deposited in the bank account
controlled exclusively by the nominees of the brand owner. Therefore, effectively there is no
payment of royalty by TMU to the brand owner.
Hon’ble Supreme Court in the case of BDA Private Limited has held that in such cases
BO does not give any right to the TMU to use his brand. TMU manufactures for BO. Hon’ble
Supreme Court has upheld the following observations of CESTAT in this case,-

4 …“Profit earned by brand owner of Indian Made foreign Liquor (IMFL) for getting
its products manufactured on job work and sale by such worker cannot be taxed as
royalty under Intellectual property service as job worker has not been given right to
use assessee’s brand name. As per agreement, cost of raw material and other expenses
either paid or reimbursed by assesse. Further State levies such as Excise or VAT
reimbursed to job workers as IMFL sold by or as per direction of assesse. Profit/ loss
on account of manufacturing and sale of IMFL entirely on assessee’s account holding
property risk and reward of product. Job worker receiving consideration for
undertaking manufacture on jobwork done basis.”
iii. In this model, including its variants discussed above, raw material though purchased by and
invoiced to the TMU is paid for or reimbursed by the brand owner. A person working on the
raw material purchased at the direction of and paid for or reimbursed by another, cannot be said
to be working on raw material belong to himself. The beneficial ownership of the raw material
in such cases though purchased by the TMU lies with the brand owner. The brand owner has
the lien on the raw material so purchased by the TMU. Therefore, it would be incorrect to say
that the raw material belongs to TMU and not the brand owner or that the TMU processes the
raw material belonging to himself and not to the brand owner.
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iv. The surplus that remains with the brand owner after meeting all expenses towards raw material,
marketing, distribution costs and the royalty paid by CBU/TMU to brand owner is not a
consideration that the brand owner receives from the . The fact is that sells liquor on behalf of
the brand owner, the sale proceeds of the liquor belong to the brand owner and are deposited in
bank account which is controlled by the brand owner. The amount that remains with the brand
owner after meeting all the expenses involved in manufacture and sale of liquor by on his behalf
belongs to him and is his profit.
v. In view of the above, it is clarified that in this model, where the CBU/TMU undertakes
manufacture of liquor for the brand owner, including the variants discussed above; the BO holds
the property in and risks and rewards associated with the product manufactured by the
TMU/CBU. TMU/CBU receives consideration for the service of undertaking manufacture for
the brand owner. Therefore, surplus retained by BO is not taxable. Even in the service tax
regime, it was clarified vide Letter F. No. 332/17/2009- TRU dated 30.10.2009 that ‘economic
surplus’ is not taxable. However, the consideration received by TMU/CBU for undertaking
manufacture of liquor for and on behalf of BO, in the form of bottling charges, conversion
charges or in any other name or form is taxable.
vi. It is further clarified that the said service supplied by CBU/ TMU to BO shall be classified as
‘manufacturing services on physical inputs (goods) owned by others’ under heading 9988 of
scheme of classification of services annexed to the notification No. 11/ 2017- Central Tax
(Rate) dated 28.06.2017 which currently attracts GST rate of 18% under Sl. No. 26(iv) of the
said notification
5. It is reiterated that the business models discussed at para 4 are not exhaustive. For other business
models, the taxability under GST may be decided on a case-to-case basis.
6. It is requested that suitable trade notices may be issued to publicize the contents of this Circular.
Hindi version will follow.


(Yogendra Garg)
Principal Commissioner (GST)
Agenda for 39th GSTCM Volume 1
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Agenda Item 5A(ii): Challenges faced in apportionment of ITC in cases of business
‘reorganization under section 18(3) of CGST Act read with rule 41(1) of CGST Rules:
Representations have been received from certain companies highlighting the challenges faced
in the implementation of provisions under section 18(3) of CGST Act, 2017 read with rule 41(1) of
CGST Rules which provides for apportionment of ITC on account of change in constitution of a
registered person on account of sale, merger, demerger, amalgamation, lease or transfer of the business
with the specific provisions for transfer of liabilities.
2. Sub-section (3) of section 18 provides as under:
“Where there is a change in the constitution of a registered person on account of sale, merger,
demerger, amalgamation, lease or transfer of the business with the specific provisions for
transfer of liabilities, the said registered person shall be allowed to transfer the input tax credit
which remains unutilised in his electronic credit ledger to such sold, merged, demerged,
amalgamated, leased or transferred business in such manner as may be prescribed.”
Further, proviso to rule 41(1) provides that the value of assets transferred to the transferee needs to be
considered to calculate the value of transferable ITC. Sub-rule (1) of rule 41 provides as under:
“(1) A registered person shall, in the event of sale, merger, de-merger, amalgamation, lease or
transfer or change in the ownership of business for any reason, furnish the details of sale, merger,
de-merger, amalgamation, lease or transfer of business, in FORM GST ITC-02, electronically
on the common portal along with a request for transfer of unutilized input tax credit lying in his
electronic credit ledger to the transferee:
Provided that in the case of demerger, the input tax credit shall be apportioned in the ratio of
the value of assets of the new units as specified in the demerger scheme.
Explanation:- For the purpose of this sub-rule, it is hereby clarified that the “value of assets”
means the value of the entire assets of the business, whether or not input tax credit has been
availed thereon.”
3. Sub-rule (1) of rule 41 does not clarify the manner of computation of value of assets for the
purposes of apportioning input tax credit. Accordingly, clarification has been sought in respect of the
following issues concerning business reorganization under GST:
a) There is confusion whether the value of assets under rule 41(1) of CGST Rules should
be considered at State level or at an entity level (all-India level).
b) The apportionment formula based on the value of assets has been provided only for the
scheme of demerger. It is not clear as to whether the allocation needs to be adopted for
other forms of business reorganization that results in partial transfer of business assets
along with liabilities.
c) Whether the ratio of value of assets, as prescribed under proviso to rule 41 (1) of CGST
Rules, shall be applied in respect of each of the heads of input tax credit viz. CGST/
SGST/ IGST/ Cess.
d) Calculation of the amount of ITC that is to be transferred to the transferee under each tax
head (IGST/CGST/SGST) while filing of FORM GST ITC–02 by the transferor.
e) In order to calculate the amount of transferable ITC under proviso to rule 41(1) of CGST,
which date shall be relevant to determine the unutilized ITC balance of transferor?
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f) Which date shall be relevant to calculate the ratio of value of assets, as prescribed in the
proviso to rule 41 (1) of the CGST Rules, 2017?
4. In order to clarify the above mentioned issues, an Agenda was placed before the Law
Committee in its meeting held on 07.11.2019. The Law Committee recommended issuance of a Circular
on this issue. Accordingly, a draft Circular was prepared and placed before the Law Committee in its
meeting held on 27.12.2019 wherein certain changes were recommended. Subsequently, the draft
Circular was amended and placed before the Law Committee in its next meeting held on 20.01.2020.
The draft Circular was approved by the Law Committee with certain modifications.
5. Accordingly, the said Circular has been amended (Annexure-A) and is placed before the GST
Council for discussion and decision.





















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Annexure-A
Draft Circular
F.No. CBEC-20/06/13/2019-GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes & Customs
GST Policy Wing
***
New Delhi, dated the March, 2020
To,
The Principal Chief Commissioners/Chief Commissioners/Principal Commissioners/ Commissioners
of Central Tax (All) / The Principal Director Generals/ Director Generals (All)
Madam/Sir,
Sub: Clarification in respect of apportionment of input tax credit (ITC) in cases of business
reorganization under section 18 (3) of CGST Act read with rule 41(1) of CGST Rules - reg.
Representations have been received from various taxpayers seeking clarification in respect of
apportionment and transfer of ITC in the event of merger, demerger, amalgamation or change in the
constitution/ownership of business. Certain doubts have been raised regarding the interpretation of sub-
section (3) of section 18 of the Central Goods and Services Tax Act, 2017 (hereinafter referred to as the
CGST Act) and sub-rule (1) of rule 41of the Central Goods and Services Tax Rules, 2017 (hereinafter
referred to as the CGST Rules) in the context of business reorganization.
2. According to sub-section (3) of section 18 of the CGST Act,
“Where there is a change in the constitution of a registered person on account of sale, merger,
demerger, amalgamation, lease or transfer of the business with the specific provisions for transfer of
liabilities, the said registered person shall be allowed to transfer the input tax credit which remains
unutilized in his electronic credit ledger to such sold, merged, demerged, amalgamated, leased or
transferred business in such manner as may be prescribed.”
Further, according to sub-rule (1) of rule 41 of the CGST Rules:
“A registered person shall, in the event of sale, merger, de-merger, amalgamation, lease or
transfer or change in the ownership of business for any reason, furnish the details of sale, merger, de-
merger, amalgamation, lease or transfer of business, in FORM GST ITC-02, electronically on the
common portal along with a request for transfer of unutilized input tax credit lying in his electronic
credit ledger to the transferee:
Provided that in the case of demerger, the input tax credit shall be apportioned in the ratio of
the value of assets of the new units as specified in the demerger scheme.

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Explanation:- For the purpose of this sub-rule, it is hereby clarified that the “value of assets” means
the value of the entire assets of the business, whether or not input tax credit has been availed thereon.

3. The issues raised in various representations have been analyzed in the light of various legal
provisions under GST. In order to ensure uniformity in the implementation of the provisions of the law,
the Board, in exercise of its powers conferred by sub-section (1) of section 168 of the CGST Act clarifies
the issues involved in the Table below.
S.
No.
Issue / Question Clarification
a. (i) In case of demerger,
proviso to rule 41 (1) of the
CGST Rules provides that
the input tax credit shall be
apportioned in the ratio of
the value of assets of the
new units as specified in
the demerger scheme.
However, it is not clear as
to whether the value of
assets is to be considered at
State level or at an entity
level (across India).
Proviso to sub-rule (1) of rule 41 of the CGST Rules provides for
apportionment of the input tax credit in the ratio of the value of
assets of the new units as specified in the demerger scheme.
Further, the explanation to sub-rule (1) of rule 41 of the CGST
Rules states that “value of assets” means the value of the entire
assets of the business, whether or not input tax credit has been
availed thereon. Under the provisions of the CGST Act, a person/
company (having same PAN) is required to obtain separate
registration in different States and each such registration is
considered a distinct person for the purpose of the Act.
Accordingly, for the purpose of apportionment of ITC pursuant to
a demerger under sub-rule (1) of rule 41 of the CGST Rules, the
value of assets is to be taken at the State level (at the level of
distinct person) and not at the entity (all-India) level.

(ii) Is the transferor
required to file FORM
GST ITC – 02 in all States
where it is registered?
No. The transferor is required to file FORM GST ITC-02 only in
those States where both transferor and transferee are registered.
b. The proviso to rule 41 (1)
of the CGST Rules
explicitly mentions
‘demerger’. Other forms of
business reorganization
where part of business is
hived off or business in
transferred as a going
concern etc. have not been
covered in the said rule.
Wherever business
reorganization results in
partial transfer of business
assets along with
liabilities, whether the
Yes, the formula for apportionment of ITC, as prescribed under
proviso to sub-rule (1) of rule 41 of the CGST Rules, shall be
applicable for all forms of business re-organization that results in
partial transfer of business assets along with liabilities.

Agenda for 39th GSTCM Volume 1
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proviso to rule 41(1) of the
CGST Rules, 2017 shall be
applicable to calculate the
amount of transferable
ITC?
c. (i) Whether the ratio of
value of assets, as
prescribed under proviso to
rule 41 (1) of the CGST
Rules, shall be applied in
respect of each of the heads
of input tax credit viz.
CGST/ SGST/ IGST/
Cess?

No, the ratio of value of assets, as prescribed under proviso to sub-
rule (1) of rule 41 of the CGST Rules, shall be applied to the total
amount of unutilized input tax credit (ITC) of the transferor i.e.
sum of CGST, SGST/UTGST and IGST credit. The said formula
need not be applied separately in respect of each heads of ITC
(CGST/SGST/IGST). Further, the said formula shall also be
applicable for apportionment of Cess between the transferor and
transferee.
Illustration A: The ITC balances of transferor X in the State of
Maharashtra under CGST, SGST and IGST heads are 5 lakh, 5 lakh
and 10 lakh respectively. Pursuant to a scheme of demerger, X
transfers 60% of its assets to transferee B. Accordingly, the amount
of ITC to be transferred from A to B shall be 60% of 20 lakh (total
sum of CGST, SGST and IGST credit) i.e. 12 lakh.
(ii) How to determine the
amount of ITC that is to be
transferred to the transferee
under each tax head
(IGST/CGST/SGST) while
filing of FORM GST
ITC–02 by the transferor?
The total amount of ITC to be transferred to the transferee (i.e. sum
of CGST, SGST/UTGST and IGST credit) should not exceed the
amount of ITC to be transferred, as determined under sub-rule (1)
of rule 41 of the CGST Rules [refer 3 (c) (i) above]. However, the
transferor shall be at liberty to determine the amount to be
transferred under each tax head (IGST, CGST, SGST/UTGST)
within this total amount, subject to the ITC balance available with
the transferor under the concerned tax head. This is shown in the
illustration below:
(1) (2) (3) (4) (5) (6)
State

Asset
Ratio
of
Transf
eree

Tax
Heads

ITC balance
of
Transferor
(pre-
apportionm
ent) as on
the date of
filing
FORM GST
ITC–02)
Total
amount
of ITC
transferr
ed to the
Transfer
ee under
FORM
GST
ITC-02
ITC
balance of
Transferor
(post-
apportionm
ent) after
filing of
FORM
GST ITC–
02)
Agenda for 39th GSTCM Volume 1
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[Col (4) –
Col (5)]

Delhi

70%
CGST 10,00,000 10,00,00
0
0
SGST 10,00,000 10,00,00
0
0
IGST 30,00,000 15,00,00
0
15,00,000
Total 50,00,000 35,00,00
0
15,00,000

Harya
na

40%
CGST 25,00,000 3,00,000 22,00,000
SGST 25,00,000 5,00,000 20,00,000
IGST 20,00,000 20,00,00
0
0
Total 70,00,000 28,00,00
0
42,00,000
d. (i) In order to calculate the
amount of transferable
ITC, the apportionment
formula under proviso to
rule 41(1) of the CGST
Rules has to be applied to
the unutilized ITC balance
of the transferor. However,
it is not clear as to which
date shall be relevant to
calculate the amount of
unutilized ITC balance of
transferor.
According to sub-section (3) of section 18 of the CGST Act,
“Where there is a change in the constitution of a registered person
on account of sale, merger, demerger, amalgamation, lease or
transfer of the business with the specific provisions for transfer of
liabilities, the said registered person shall be allowed to transfer
the input tax credit which remains unutilized in his electronic
credit ledger to such sold, merged, demerged, amalgamated,
leased or transferred business in such manner as may be
prescribed.” Further, sub-rule (1) of rule 41 of the CGST Rules
prescribes that the registered person shall file the details in FORM
GST ITC-02 for transfer of unutilized input tax credit lying in his
electronic credit ledger to the transferee.
A conjoint reading of sub-section (3) of section 18 of the CGST
Act along with sub-rule (1) of rule 41 of the CGST Rules would
imply that the apportionment formula shall be applied on the ITC
balance of the transferor as available in electronic credit ledger on
the date of filing of FORM GST ITC – 02 by the transferor.
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(ii) Which date shall be
relevant to calculate the
ratio of value of assets, as
prescribed in the proviso
to rule 41 (1) of the CGST
Rules, 2017?


According to section 232 (6) of the Companies Act, 2013,
“The scheme under this section shall clearly indicate an
appointed date from which it shall be effective and the scheme
shall be deemed to be effective from such date and not at a date
subsequent to the appointed date”. The said legal provision
appears to indicate that the “appointed date of demerger” is the
date from which the scheme for demerger comes into force and it
is specified in the respective scheme of demerger. Therefore, for
the purpose of apportionment of ITC under rule sub-rule (1) of
rule 41 of the CGST Rules, the ratio of the value of assets should
be taken as on the “appointed date of demerger”.
In other words, for the purpose of apportionment of ITC under sub-
rule (1) of rule 41 of the CGST Rules, while the ratio of the value
of assets should be taken as on the “appointed date of demerger”,
the said ratio is to be applied on the ITC balance of the transferor
on the date of filing FORM GST ITC - 02 to calculate the amount
to transferable ITC.

4. Difficulty, if any, in implementation of the Circular may be brought to the notice of the Board.
Hindi version would follow.
(Yogendra Garg)
Principal Commissioner



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Agenda Item 5A(iii): Issue regarding waiver of penalty and interest on previous period due to
removal of pre-import condition under Advance Authorisation scheme
During the meeting of Committee on exports (CoE) held on 18.07.2019, issue regarding giving
retrospective effect to the concerned notification by deletion of pre-import condition to cover the period
13.10.2017 to 09.10.2019 was discussed. In view of the same a request has been made to exempt interest
and penalty for the period 13.10.2017 to 09.10.2019.
2. Although CoE decided that the proposal giving retrospective effect to removal of pre-import
condition for Advance Authorisation (AA) cannot be considered.
3. Further, Drawback division had submitted that since Hon’ble Supreme Court vide order dated
23.09.2019 had stayed the operation and implementation of judgement dated 04.02.2019 of the Hon’ble
High Court of Gujrat at Ahmedabad for removing pre-import condition with retrospective effect. In view
of the same, Drawback division had suggested that action regarding proposal to consider waiver of penalty
and interest may not be appropriate at this stage and may be kept in abeyance.
4. The issue was deliberated by the Law Committee in its meeting held on 02.03.2020, wherein the
Committee has recommended that the law does not provide for any waiver of interest. The only way is to
waive the condition retrospectively. Further, since the issue is sub-judice and the period during which this
condition is to apply is long (13.10.2017 to 09.10.2019), it would prudent to maintain status quo.
5. Furthermore, during a meeting held between Hon’ble Finance Minister and Hon’ble Commerce
and Industry Minister, on the captioned issue, FM has directed that the above matter may be examined
and placed before the GST Council. Thus, the same is placed before the GST Council for further
deliberation and discussion.


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Agenda Item 5A(iv): Levy of interest under the provisions of section 50 of the CGST Act, 2017
for delay in payment of tax
It has been observed that the issue of whether the interest on delayed payment of tax under GST
is to be paid on the gross tax liability or the net tax liability, is getting widely litigated in various High
Courts.
2. Conflicting decisions have been given by the various High courts on this issue. E.g. in the
Telangana High Court in the case of case of M/s. Megha Engineering & Infrastructures Ltd. Vs the
Commissioner of Central Tax, vide a detailed final order in Writ Petition No.44517 of 2018 holding
that interest was payable on the gross amount of the goods and services tax (GST) liability.
However, in a contrary judgement in the Hon’ble Delhi High Court interim order in the case of M/s.
Landmark Lifestyle Vs. Union of India & Ors. wherein Hon’ble Court has granted stay from recovery
of interest demanded on gross GST liability. Similarly, the High Court of Madras in the case of M/s.
Refex Industries Limited held that interest should be levied in net liability.
3. In this regard reference is invited to section 100 of the Finance (No. 2) Act, 2019. The said
section intends to amend the section 50 of the CGST Act, 2017 by insertion of a proviso to sub-section
(1) of section 50 of the said act. The revised section reads as below:
“(1) Every person who is liable to pay tax in accordance with the provisions of this Act or
the rules made thereunder, but fails to pay the tax or any part thereof to the Government within
the period prescribed, shall for the period for which the tax or any part thereof remains unpaid,
pay, on his own, interest at such rate, not exceeding eighteen per cent., as may be notified by
the Government on the recommendations of the Council:
Provided that the interest on tax payable in respect of supplies made during a tax period and
declared in the return for the said period furnished after the due date in accordance with the
provisions of section 39, except where such return is furnished after commencement of any
proceedings under section 73 or section 74 in respect of the said period, shall be levied on
that portion of the tax that is paid by debiting the electronic cash ledger.”
4. Accordingly, in cases of delayed payment of taxes, interest may be charged only on the net cash
liability (i.e. that portion of the tax that is paid by debiting the electronic cash ledger) except in cases
where proceedings under section 73 or 74 have been initiated in respect of the said period. However, it
may be noted that the said provision has not been notified till date. Prior to the said amendment,
interest was to be paid by the taxpayers on the tax payable, irrespective of whether it was to be paid in
cash or by utilization of input tax credit.
5. Moreover, the GST Council, in its 35th meeting held on 21st June, 2019, had not recommended
to amend the provision of section 50 retrospectively and accordingly, the provisions of section 100 of
the Finance (No. 2) Act, 2019, amending section 50 of the CGST Act, provide for amendment from a
prospective date. It may also be noted that such interest is directly recoverable under sub-section (12)
of Section 75 of the CGST Act. Further, a standard procedure for calculation of interest is required to
be formulated as the amount of cash to be paid is decided only upon the filing of return, as the interest
to be calculated is dependent on the amount of input tax credit that is being claimed in the return.
6. The matter was deliberated in the Law Committee in its meeting on 2nd March, 2020, and it was
recommended that the amendment should be done prospectively only. Further, it was also
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recommended to notify the said amendment only when all the States have passed their corresponding
SGST Amendment Act.
7. Accordingly, the issue is placed before the GST Council for further decision on the following
aspects:
(a) Whether interest is to be recovered on the gross tax payable or on the net cash tax liability;
(b) If the interest is to be recovered on the net cash tax liability,–
(i) whether it is to be from a prospective or retrospective date;
(ii) and if from a prospective date, whether the credit available as closing balance of the
tax period will be taken or subsequent credit will also be allowed to be utilised.

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Agenda Item 5A(v): Agenda note for GST Council regarding waiver of filing of FORM GSTR-1
by taxpayers who have availed the special composition scheme under notification No. 2/2019-
Central Tax (Rate) dated 07.03.2019
The GST Council in its 32nd meeting held on 10th January, 2019 had recommended that a
composition scheme shall be made available w.e.f. 01.04.2019, for suppliers of services (or mixed
suppliers) with a tax rate of 6% (3% CGST + 3% SGST) having an annual turnover in preceding
financial year upto Rs 50 lakhs. Accordingly, the same was implemented vide notification No. 2/2019-
Central Tax (Rate) dated 07.03.2019 (hereinafter referred to as the said notification), as amended vide
notification No. 9/2019-Central Tax (Rate) dated 29.03.2019. The amending notification dated
29.03.2019 specified, by way of Explanation, that all the provisions of the Central Goods and Services
Tax Rules, 2017, as applicable to a person paying tax under section 10 of the said Act shall, mutatis
mutandis, apply to a person paying tax under this notification; meaning thereby the registered person
may not shift from a normal taxpayer to a person opting to pay tax under the said notification if not
opted for from the beginning of the financial year.
2. Subsequently, Circular No. 97/16/2019-GST issued on 05.04.2019 was issued for clarification
regarding exercise of option to pay tax under notification No. 2/2019-Central Tax (Rate) dated
07.03.2019. It was clarified, inter-alia that the registered person who wants to opt to pay tax by availing
the benefit of the said notification shall file an intimation in FORM GST CMP-02 latest by 30.04.2019.
The date for filing the intimation was later extended to 31.07.2019 and then up to 30.09.2019.
Thereafter, FORM GST CMP-02 was made available on the common portal only w.e.f. 11.09.2019.
3. Thereafter, representations have been received from taxpayers regarding the difficulties being
faced for opting to pay tax under the said notification. These taxpayers have availed the benefit of the
notification No. 2/2019-Central Tax (Rate) dated 07.03.2019. Accordingly, they have not charged any
tax from their recipients. Further, as the FORM GST CMP-02 was not available on the common portal
during the period 01.04.2019-11.09.2019, the said registered person has paid 6% GST on his outward
supplies by filing returns in FORM GSTR-3B and has not filed the intimation in FORM GST CMP-
02. Thereafter, validations build into the common portal are not allowing these taxpayers to now opt to
pay tax under the said notification. The benefit can now only be claimed from the beginning of the next
Financial Year.
4. Such taxpayers, who have opted to avail the benefit of the said notification and have not been
able to opt for the same in the common portal, and who have also deposited the amount as per the
requirement of the said notification by furnishing FORM GSTR-3B are facing hurdles related to filing
of FORM GSTR-1 in the common portal. The said rate slab of 6% (3% CGST + 3% SGST) is not
available in the common portal while furnishing FORM GSTR-1. Moreover, it may be noted that the
FORM GSTR-2A of the taxpayers is an indicator of the amount of the amount of ITC that may be
availed by the taxpayers. Therefore, there is a concern that the details of the said invoices for such
supplies under the special composition scheme, uploaded by the said taxpayers in the common portal
in FORM GSTR-1, may be availed by the recipients as input tax credit, even if the recipients are not
eligible to avail input tax credit in respect of such invoices.
5. In order to address the issue, it is proposed to create a special procedure for such taxpayers to
continue payments in the FORM GSTR-3B for the financial year 2019-20 along with a waiver of the
requirement of furnishing details of outward supplies in FORM GSTR-1 for such taxpayers. This will
ensure the appropriate payments are made and no ineligible input tax credit gets reflected in the FORM
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GSR-2A of the recipients of such supplies. This would require issuance of notification under section
148 of the CGST Act, 2017 and corresponding notification under the respective SGST Acts of the
States.
6. The matter was deliberated in the Law Committee in its meeting on 17th February, 2020, and
recommended that such class of taxpayers may be exempted from filing of the FORM GSTR-1 for the
tax periods in the financial year 2019-20. The same would be implemented through a notification under
section 148 of the CGST Act, 2017 (special procedure).
7. Accordingly, the issue is placed before the GST Council for approval.

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Agenda Item 5A(vi): Filing of GSTR-9 (Annual Return) and GSTR-9C (Reconciliation
Statement)
Various representations have been received by taxpayers regarding the IT challenges faced by
them in filing their GSTR-9 (Annual Return) and GSTR-9C (Reconciliation Statement). Many
taxpayers have reported that their GSTR-9 / 9C has not been generated or Table 8A etc. are being
generated as blank. Considering these representations, the law committee reviewed the purpose and
cost-benefit of the annual return & reconciliation statement (GSTR-9 and GSTR-9C) in its current form.
2. The GST Council in its 37th meeting had recommended for relaxation in filing of annual returns
for MSMEs for FY 2017-18 and FY 2018-19 as under:
2.2 waiver of the requirement of filing FORM GSTR-9A for Composition Taxpayers for the said
tax periods; and
2.3 filing of FORM GSTR-9 for those taxpayers who (are required to file the said return but) have
aggregate turnover up to Rs. 2 crores made optional for the said tax periods.
2.4 These changes were made effective by 47/2019-Central Tax dt. 09-10-2019
3. Further, the GST council recommended that a Committee of Officers to be constituted to
examine the simplification of Forms for Annual Return and reconciliation statement. On the
recommendation of this committee, Annual Return / Reconciliation Statement were simplified and
Notified vide 56/2019-Central Tax dt. 14-11-2019.
4. Current, filing of Annual Return / Reconciliation Statement:
Sl. No. Category Cumulative Figure as on 12th
Feb 2020
1. Taxpayers required to file GSTR-9 (Aggregate Turnover > Rs.
2 Crore
12.42 lakhs
2. Out of 1, taxpayers who have filed both GSTR-1 and 3B and
thus eligible to file GSTR-9
9.98 lakhs (80.3%)
3. Out of 2, who actually filed GSTR-9 9.11 lakhs (91.3%)
4. Out of 3, taxpayers who filed GSTR-9C 8.42 lakhs (92.3%)
5. Number of extensions given to Annual Return / Reconciliation Statement: It is noteworthy that
the due date for Annual Return and Reconciliation statement for FY 2017-18 has been extended 7 times.
6. Total Revenue collected from Annual Return and Reconciliation Statement for 2017-18:
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6.2 It is seen that revenue of about Rs. 3176 Crores (Rs. 2079 Cr. in cash) additional tax and Rs.
575.76 Cr interest thereon got collected from Annual Return. Further, additional revenue from
GSTR-9C, based on the Auditor’s recommendations has been relatively low at Rs. 392 Cr. (Rs.
261 Cr. in cash) and Rs. 81.16 Cr as interest.
6.3 It may be noted that the cost of compliance for filing of Annual Return and Reconciliation has
been high especially for smaller taxpayers. It is relevant that this process requires engagement of
a tax professional (Chartered Accountant or Cost Accountant) who reportedly insist that they
should be engaged for the entire compliance management process throughout the year thus pushing
the cost of compliance, which has been one of the major complaints of the taxpayers in GST
regime.
FOR GSTR-9 (FY 2017-18)
Exemption upto
DRC-
03
Exempted
(Upto 2 Cr) Net
% of total
contribution
After
exemption
(%)
Number of
taxpayers
% of total
taxpayer
base
At 5 Cr 1140 580 560 15% 85% 6.87 7%
At 10 Cr 1552 580 972 26% 74% 3.78 3.85%
Total Revenue
(All taxpayers) 4324 580 3744
FOR GSTR-9-C (FY 2017-18)
Exemption upto
DRC-
03
Exempted
(Upto 2 Cr) Net
% of total
contribution
After
exemption
(%)
Number of
taxpayers
% of total
taxpayer
base
At 5 Cr 113 47 66 13% 87% 6.87 7%
At 10 Cr 164 47 117 23% 77% 3.78 3.85%
Total Revenue
(All taxpayers) 553 47 506
Agenda for 39th GSTCM Volume 1
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6.4 It may be noted that since GST has incrementally stabilized in FY 2018-19, the expectation of
additional revenue from Annual Return and Reconciliation Statement for 2018-19 will be
relatively low.
6.5 The law committee observed that even if the turnover exemption is increased to Rs. 5 Cr for filing
GSTR-9 and GSTR-9C for 2018-19, 85% of the tax paid by such taxpayers through DRC-03 will
still be collected. Further, the compliance of filing these returns will reduce from 12,42,000
taxpayers to 6,87,000 taxpayers. Lower numbers will ensure that ease of filing improves on the
common portal and extra compliance (and related costs) are not levied on smaller taxpayers.
6.6 The law committee also observed that after the relaxation in filing of the return vide Notification
No. 56/2019-Central Tax dt. 14-11-2019, the requirement of most of the important data that was
being collected through GSTR-9 and GSTR-9C has been waived. The basic purpose of the return
is limited to payment of extra liability through FORM DRC-03. Therefore, FORM GSTR-9 and
GSTR-9C in its current form is additional compliance for the taxpayer with little benefit.
6.7 In view of the hardship faced by the taxpayer and the above, the law committee recommended that
for the year 2018-19, the requirement of filing GSTR-9 and GSTR-9C may be enhanced to
taxpayers having aggregate turnover exceeding Rs. 5 Cr. However, certain States expressed their
reservation with the decision.
7. As the utility for GSTR-9 and 9C has not been made available on the common portal till
29.02.2020 and even those taxpayers to whom the utility has been made available, many of the fields
such as Table 8A are blank or not visible, the law committee recommended that the date of filing Annual
Return (GSTR-9) / Reconciliation Statement (GSTR-9C) may be extended to 30.06.2020.

8. Notification No. 47/2019 dated 09.10.2019 has been issued exempting small taxpayers with
turnover less than Rs. 2 Cr to file Annual Return / Reconciliation Statement. However, the same has
not been blocked online. Therefore, even after 09.10.2019, many taxpayers with turnover less than Rs.
2 Cr have been filing their returns. Since, all such returns are deemed furnished on the due date (5th or
7th Jan 2020), the law committee recommended that GSTN may be requested to not apply late fee in
cases for annual return / reconciliation return filed for 2017-18 and 2018-19.

9. The agenda note is placed before the GST Council for deliberation and approval of the
recommendations of the Law Committee.


Agenda for 39th GSTCM Volume 1
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Agenda Item 5A(vii): Proposal for amendment in CGST Rules, 2017
Law Committee, in its various meetings had deliberated upon several issues and recommended
changes in various provisions of the Central Goods and Services Tax Rules, 2017 (hereinafter referred
to as “the CGST Rules”). In addition to the changes in the CGST Rules, changes in the FORMS have
also been recommended by the Law Committee. In view of recommendations of the Law Committee,
the changes are discussed below:

I. Amendment to rule 43:
Various doubts have been raised by the field formations regarding determination of reversal of
input tax credit in respect of capital goods partly used for affecting taxable supplies and partly for
exempt supplies under rule 43 (1)(c). The issue was deliberated by the Law Committee and the Law
Committee has recommended amendment in rule 43 and has proposed that these changes be
implemented prospectively w.e.f. 01.04.2020. Accordingly rule 43 of CGST Rules may be amended
as follows (shown in red):

Rule 43
43. Manner of determination of input tax credit in respect of capital goods and
reversal thereof in certain cases.
(1) …
(a) …
(b) …
(c) the amount of input tax in respect of capital goods not covered under
clauses (a) and (b), denoted as ‘A’, shall be credited to the electronic
credit ledger and the useful life of such goods shall be taken as five years
from the date of the invoice for such goods:
Provided that where any capital goods earlier covered under clause
(a) is subsequently covered under this clause, input tax in respect of such
capital good denoted as the value of ‘A’ shall be arrived at by reducing
the input tax at the rate of five percentage points for every quarter or part
thereof and the amount ‘A’ shall be credited to the electronic credit ledger
subject to the condition that the ineligible credit attributable to the period
during which such capital good was covered by clause (a),denoted as
‘Tie’, shall be calculated at the rate of five percentage points for every
quarter or part thereof and added to the output tax liability of the tax
period in which such credit is claimed ;
Provided further that the amount ‘Tie’ shall be computed separately for
input tax credit of central tax, State tax, Union territory tax and integrated
tax and declared in FORM GSTR-3B.
Explanation.- An item of capital goods declared under clause (a) on its
receipt shall not attract the provisions of sub-section (4) of section 18, if
it is subsequently covered under this clause.

(d) the aggregate of the amounts of ‘A’ credited to the electronic credit ledger
under clause (c) in respect of common capital goods whose useful life
remains during the tax period, to be denoted as ‘Tc’, shall be the common
credit in respect of such capital goods for a tax period:
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Provided that where any capital goods earlier covered under clause (b) is
subsequently covered under clause (c), the input tax credit claimed in
respect of such capital good(s) the value of ‘A’ arrived at by reducing the
input tax at the rate of five percentage points for every quarter or part
thereof shall be added to arrive at the aggregate value ‘Tc’;
(e) the amount of common input tax credit attributable to a tax period on
common capital goods during their useful life, be denoted as ‘Tm’ and
calculated as-
Tm= Tc÷60

Explanation:
For the removal of doubt, it is clarified that useful life of any capital
goods shall be considered as five years from the date of invoice and the
said formula shall be applicable during the useful life of the said capital
goods.
(f) the amount of input tax credit, at the beginning of a tax period, on all
common capital goods whose useful life remains during the tax period, be denoted as
‘Tr’ and shall be the aggregate of ‘Tm’ for all such capital goods;

(g) …
(2) ..................

II. Amendment to rule 86:

2.1. Various representations have been received highlighting the difficulty in re-credit of
ITC in the electronic credit ledger of the taxpayer on account other than those where the debit
has been made from the credit ledger for claiming refund on account of zero-rated
supplies/deemed export wherein the rejection of refund entails auto re-credit of rejected refund
in credit ledger. One such example is excess payment of tax or tax wrongly paid. In these
scenarios, the taxpayer discharges the liability through ITC or Cash or both. However, under
the present refund system the whole excess paid tax is refunded to the taxpayer in cash as there
is no provision under rules which allows tax authorities to re-credit the ITC in the electronic
credit ledger of the taxpayer. This has resulted in easy monetisation of ITC by certain taxpayers
by making excess payment of tax through ITC and then availing the refund in cash. Further, in
certain cases the refund filed by the taxpayer on this account was rejected by the tax payers
stating as the amount has been paid by ITC, it cannot be sanctioned in cash and as no option
was available for re-credit of the said amount, resulting in lapsing of said ITC.

2.2. Therefore, to curb the misuse of the said provision, it is proposed to provide for a
provision in CGST Rules to allow for re-credit of wrongly paid/excess tax paid through ITC in
the electronic credit ledger. Further, it is proposed that the FORM GST PMT-03 may be used
for the purpose of re-credit of the amount debited from the credit ledger.
2.3 Accordingly it is proposed to amend rule 86 in the CGST Rules as follows (shown in
red):
Agenda for 39th GSTCM Volume 1
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Rule 86
86A. Conditions of use of amount available in electronic credit ledger.-
…
(4A) Where a registered person has claimed refund of any amount paid as tax wrongly paid
or paid in excess for which debit has been made from the electronic credit ledger, the said
amount, if found admissible, shall be re-credited to the electronic credit ledger by the proper
officer by an order made in FORM GST PMT-03.

III. Amendment to rule 89:
3.1 It is observed that there is possibility for taking undue benefit by inflating the value of
the zero-rated supply of goods. As the intent of the refund is to offset the tax paid on the inward
supplies, it is proposed that a ceiling may be fixed for the value of the export supply only for
the purpose of calculation of refund.

3.2 In this regard, it is further submitted that this ceiling limit is only for the purpose of
calculating the refund payable and in no way, it would alter the taxable value /FOB value
declared by the exporter in any manner.
3.3 Accordingly it is proposed to amend rule 89 in the CGST Rules as follows (shown in
red):








Agenda for 39th GSTCM Volume 1
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Rule 89
89. Application for refund of tax, interest, penalty, fees or any other amount.-
…
(4) In the case of zero-rated supply of goods or services or both without payment of tax
under bond or letter of undertaking in accordance with the provisions of sub-section (3) of
section 16 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017), refund of input
tax credit shall be granted as per the following formula –
Refund Amount = (Turnover of zero-rated supply of goods + Turnover of zero-rated
supply of services) x Net ITC ÷Adjusted Total Turnover
Where, -
(A) "Refund amount" means the maximum refund that is admissible;
(B) "Net ITC" means input tax credit availed on inputs and input services during the
relevant period other than the input tax credit availed for which refund is claimed
under sub-rules (4A) or (4B) or both;
(C) Turnover of zero-rated supply of goods" means the value of zero-rated supply of
goods made during the relevant period without payment of tax under bond or letter
of undertaking or the value which is 1.5 times the value of like goods domestically
supplied by the same or, similarly placed, supplier, as declared by the supplier,
whichever is less, other than the turnover of supplies in respect of which refund is
claimed under sub-rules (4A) or (4B) or both;
…




IV. Amendment to rule 92:

4.1 In view of the amendments proposed to be made to rule 86, it is proposed that the
amount of refund sanctioned is proportionate to the amount debited in cash against the total
amount paid for discharging tax liability for the relevant period.

4.2 Accordingly it is proposed to amend rule 92 in the CGST Rules as follows (shown in
red):
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Rule 92
92. Order sanctioning refund.-
(1)…
(1A)Where, upon examination of the application of refund of any amount paid as tax other
than the refund of tax paid on zero-rated supplies/deemed export, the proper officer is
satisfied that a refund under sub-section (5) of section 54 is due and payable to the applicant,
he shall make an order in FORM RFD-06 sanctioning the amount of refund to be paid, in
cash, proportionate to the amount debited in cash against the total amount paid for
discharging tax liability for the relevant period, mentioning therein the amount adjusted
against any outstanding demand under the Act or under any existing law and the balance
amount refundable and for the remaining amount which have been debited from the
electronic credit ledger for making payment of such tax, the proper officer shall issue FORM
GST PMT-03 re-crediting the said amount as Input Tax Credit in electronic credit ledger.
(2) …
(3) …
(4) Where the proper officer is satisfied that the amount refundable under sub-rule (1) or sub-
rule (1A) or sub-rule (2) is payable to the applicant under sub-section (8) of section 54, he
shall make an order in FORM GST RFD-06 and issue a payment order in FORM GST RFD-
05 for the amount of refund and the same shall be electronically credited to any of the bank
accounts of the applicant mentioned in his registration particulars and as specified in the
application for refund [on the basis of a consolidated payment advice:
(5) Where the proper officer is satisfied that the amount refundable under sub-rule (1) or
sub-rule (1A) or sub-rule (2) is not payable to the applicant under sub-section (8) of section
54, he shall make an order in FORM GST RFD-06 and issue a payment order in FORM GST
RFD-05, for the amount of refund to be credited to the Consumer Welfare Fund.

V. Amendment to rule 96(10):

5.1. On perusal of sub-rule (10) of the Rule 96 of the CGST Rules 2017, it is observed that
the registered person receiving imported/domestic capital goods under EPCG authorisation is
allowed to export goods on payment of IGST and then claim refund of such tax paid. However,
the registered person availing similar benefits on the imported / domestic inputs under EOU
and Advance Authorization scheme are restricted from availing the refund under IGST route.
The reason behind the said differentiation is that in case of imports of Capital Goods, it is not
possible to have one to one correlation with the outward supplies whereas in case of import of
inputs it is possible to have one to one correlation and it was felt that if the registered taxpayer
availing benefit of exemption of IGST and compensation cess is allowed to claim refund of
IGST paid on exports, it would result in monetisation of ITC not attributable to the export
supplies as all the inputs utilised in manufacturing of export supplies have been procured
without payment of IGST and Compensation Cess. Further, various references have been
received from the field formations and trade/industry wherein clarification has been sought
whether the exporter under Advance Authorization and EOU scheme can claim refund of IGST
paid on exports when he has paid IGST and Compensation Cess while importing the inputs
under Notification No. 78/2017-Customs dated 13.10.2017 and Notification No. 79/2017-
Customs dated 13.10.2017.
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5.2 Therefore, in view of the above, it is proposed that rule 96(10) of the CGST Rules may
be amended by way of insertion of an explanation clarifying that where the registered person
has paid IGST and compensation cess on the inputs, the said restriction would not be applicable
on them.
5.3 Accordingly, sub-rule (10) of Rule 96 of CGST rules 2017 may be amended
retrospectively w.e.f. 23.10.2017 by inserting an explanation (shown in red):
Rule 96
96. Refund of integrated tax paid on goods or services exported out of India.-
(1) …
…
(10) The persons claiming refund of integrated tax paid on exports of goods or services
should not have -
(a) received supplies on which the benefit of the Government of India, Ministry of Finance
notification No. 48/2017-Central Tax, dated the 18th October, 2017, published in the Gazette
of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R 1305 (E), dated
the 18th October, 2017 except so far it relates to receipt of capital goods by such person
against Export Promotion Capital Goods Scheme or notification No. 40/2017-Central Tax
(Rate), dated the 23rd October, 2017, published in the Gazette of India, Extraordinary, Part
II, Section 3, Sub-section (i), vide number G.S.R 1320 (E), dated the 23rd October, 2017 or
notification No. 41/2017-Integrated Tax (Rate), dated the 23rd October, 2017, published in
the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R
1321 (E), dated the 23rd October, 2017 has been availed; or
(b) availed the benefit under notification No. 78/2017-Customs, dated the 13th October,
2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i),
vide number G.S.R 1272(E), dated the 13th October, 2017 or notification No. 79/2017-
Customs, dated the 13th October, 2017, published in the Gazette of India, Extraordinary, Part
II, Section 3, Sub-section (i), vide number G.S.R 1299 (E), dated the 13th October, 2017
except so far it relates to receipt of capital goods by such person against Export Promotion
Capital Goods Scheme.
Explanation: For the purpose of said sub-rule, the benefit of the notifications mentioned
therein would not be considered to have been availed only where the registered person has
paid IGST and Compensation Cess on inputs and has availed exemption of only Basic
Customs Duty (BCD) under the said notifications.

VI. Insertion of rule 96B:
6.1. Committee of Officers on Risk Based Management of Taxpayers under GST Regime
(CoO) has been constituted by the GST Council Secretariat vide OM dated 15.07.2019. The
term of reference of the CoO, inter-alia, includes to study, examine and suggest reasonable
restrictions/interventions to be imposed on taxpayers based on risk parameters to regulate
refunds. The 4th Meeting of the CoO was held on 16.01.2019 and has suggested various
measures for the same.

6.2 The relevant extract of the record of discussion relating to the policy intervention for
refund is as below:
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“5.1. Subsequent to the discussions pertaining to refunds on account of inverted duty
structure, the Committee deliberated upon two major issues related to exports i.e., (a).
value of exports and (b). linkage of foreign remittance with eligibility for a refund. Pr.
Commissioner, GST, in this regard, informed that if the value of exported products is
inflated this would also lead to easy monetization and there is need for linkage to normal
value (market value) of the such exported products. He further added that refund is to
neutralise the input taxes which are linked to cost of manufacture/procurement and not the
export transaction value or quantum of foreign remittance received. He proposed that
therefore there is a need to fix a ceiling limit on the value of export, say a multiplier of a
market value (or any other base value which may be finalized), for exported goods in order
to check fraudulent refund claims. He further added that the issue may be deliberated upon
at length in the Law Committee.”
6.3 In central excise regime, an advisory was issued to the field formation for verifying the
BRCs post sanction of rebate on export of goods. Further, similar provision exists under Rule
18 of the Customs and Central Excise Duties Drawback Rules, 2017 which provides for the
recovery for amount of drawback where foreign remittances are not realised under the said
rules. Therefore, it is proposed to insert provision for submission of foreign exchange
remittances in case of export of goods, post refund of unutilized Input Tax Credit or IGST.
Accordingly, it is proposed to insert rule 96B in the CGST Rules as follows (shown in red):
Rule 96B
96B. Recovery of refund of unutilized input tax credit or integrated tax paid on export
of goods where export proceeds not realised. –
(1) Where any refund of unutilized input tax credit on account of export of goods or of
integrated tax paid on export of goods has been paid to an applicant but the sale proceeds in
respect of such export goods have not been realized, in full or in part, in India within the
period allowed under the Foreign Exchange Management Act, 1999 (42 of 1999), including
any extension of such period, the person to whom the refund has been made shall deposit the
amount so refunded, to the extent of non-realisation of sale proceeds, along with applicable
interest within 30 days of the expiry of the said period or, as the case may be, the extended
period, failing which the amount refunded shall be recovered in accordance with the
provisions of section 73 or 74 of the Act, as the case may be, as is applicable for recovery of
erroneous refund, along with interest under section 50.
Provided that where sale proceeds, or any part thereof, in respect of such export goods
are not realised by the applicant within the period allowed under the Foreign Exchange
Management Act, 1999 (42 of 1999), but the Reserve Bank of India writes off the
requirement of realisation of sale proceeds on merits, the refund paid to the applicant shall
not be recovered.
(2) Where the sale proceeds are realized by the applicant, in full or part, after the amount
of refund has been recovered from him under sub-section (1) and the applicant produces
evidence about such realization within a period of three months from the date of realization
of sale proceeds, the amount so recovered shall be refunded by the proper officer, to the
applicant to the extent of realization of sale proceeds, provided the sale proceeds have been
realized within such extended period as permitted by the Reserve Bank of India.

VII. Amendment to rule 141:
Agenda for 39th GSTCM Volume 1
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Section 67(8) as well as proviso of rule 147(7) empowers the proper officer for the
disposal of goods of perishable or hazardous nature; while Rule 141(2) empowers the
Commissioner for the disposal of seized goods or things perishable or hazardous in nature. This
creates inconsistency between sec 67(8) and Rule 141(2) as the proper officer is generally
subordinate to the Commissioner. Accordingly rule 141(2) of CGST Rules may be amended as
follows (shown in red):

Rule 141
141. Procedure in respect of seized goods.-(1) Where the goods or things seized are of
perishable or hazardous nature, and if the taxable person pays an amount equivalent to the
market price of such goods or things or the amount of tax, interest and penalty that is or may
become payable by the taxable person, whichever is lower, such goods or, as the case may
be, things shall be released forthwith, by an order in FORM GST INS-05, on proof of
payment.
(2) Where the taxable person fails to pay the amount referred to in sub-rule (1) in respect
of the said goods or things, the Commissioner proper officer may dispose of such goods or
things and the amount realized thereby shall be adjusted against the tax, interest, penalty, or
any other amount payable in respect of such goods or things.

VIII. Amendment to FORM GST-RFD-01:

8.1. In view of the proposed insertion of rule 96B above, which provides for recovery of
refund of unutilized input tax credit or integrated tax paid on export of goods where export
proceeds not realized, it is proposed to insert an undertaking in FORM GST RFD-01.
8.2. The proposed undertaking to be inserted in FORM GST RFD-01 is as follows
(shown in red):

FORM GST RFD-01
UNDERTAKING
I hereby undertake to deposit to the Government the amount of refund sanctioned along
with interest in case of non-receipt of foreign exchange remittances as per the proviso to
Section 16 of the IGST Act 2017 read with Rule 96B of the CGST Rules 2017
Signature-
Name –
Designation / Status

2. The above proposal for amendments is placed before the GST Council for consideration and
approval. The notification will be issued after consultation with Union Ministry of Law and Justice.
States would also be required to made similar changes in rules or forms, as case may be.

Agenda for 39th GSTCM Volume 1
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Agenda Item 5A(viii): Proposed amendments in the CGST Act, 2017 and IGST Act, 2017
Various representations, suggestions received and other feedbacks brought to notice through
social, electronic and print media regarding issues / difficulties in the GST regime faced by trade and
industry. On examination and analysis of the above, it was felt that certain amendments in the GST laws
may be carried out.
2. The Law Committee in its various meetings held on 02.03.2020, 17-18.02.2020 and 28.01.2020
and 20-21.01.2020 has recommended some of the amendments in the GST law. The rationale and the
proposed amendment is annexed to this Agenda Note. The proposed amendments can broadly be
classified under Revenue Augmentation measures, Trade facilitation and Simplification measures; and
Enforcement measures.
3. Following sections are proposed to be amended.
Sl. No. Sections to be
amended
Purpose
1. CGST - 16 (2) Revenue Augmentation and Enforcement measures
2. CGST - 35 / 44 Revenue Augmentation and Enforcement measures
3. CGST - 75(12) Revenue Augmentation and Enforcement measures
4. CGST – 109 /
110
Trade facilitation measures
5. CGST - 151 Revenue Augmentation and Enforcement measures
6. CGST - 152 Revenue Augmentation and Enforcement measures
7. CGST - 168 Consequential to amendment in section 151
8. IGST - 16 Revenue Augmentation and Enforcement measures

4. The above proposals for amendment in the CGST Act, 2017, as recommended by the Law
Committee is placed before the GST Council for approval. The exact wordings of the amendments shall
be finalised in consultation with the Union Law Ministry. Similar amendments in law would have to be
made in the respective SGST Acts as well.
Enclosed: Annexure A

Agenda for 39th GSTCM Volume 1
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Annexure A
LAW AMENDMENT PROPOSALS – CGST Act, 2017
Sl.
No
.
Sectio
n
Gist of issue Proposal Suggested formulation Consequential
changes
1. 16 One of the key
objectives of the
GSTR-1/2/3 system
was to provide for
matching of invoices
between the supplier
and the recipient i.e.
there shall be no credit
existing in the system
which has not been
declared in the
respective returns of
the supplier and
recipient as per section
16 (2) c and 16(2) d of
the CGST Act 2017.
2. Available data
suggests that the
percentage of filing of
return in FORM
GSTR-1 (details of
outward supplies) is
far lesser as compared
to filing of return in
FORM GSTR-3B,
through which input
tax credit is availed.
Further, due to poor
filing of FORM
GSTR-1, there are
large gaps between
credit available under
FORM GSTR-2A
and self-assessed
credit under FORM
GSTR-3B.
3. A number of cases
have been booked by
the Central / State
authorities where high
amount of input tax
credit is pumped into
the system through
fake invoices and the
same being availed by
many taxpayers.
The Law
Committee
examined the
matter and
felt that
credit may be
allowed that
reasonable
restriction
may be
imposed on
self-assessed
input tax
credit availed
in FORM
GSTR-3B
on the basis
of credit
reflected in
FORM
GSTR-2A.
Accordingly,
the Law
Committee
recommende
d to amend
the
provisions
of section
16(2)(a) to
mandate
that ITC on
invoices or
debit notes
may be
availed only
when the
details of
such
invoices are
specified in
the details of
outward
supplies by
the supplier.
16.
.
“(2) Notwithstanding
anything contained in
this section, no
registered person shall
be entitled to the credit
of any input tax in
respect of any supply of
goods or services or both
to him unless,––
(a) he is in possession of
a tax invoice or debit
note issued by a supplier
registered under this Act,
or such other tax paying
documents as may be
prescribed and the
details of such invoices
or debit note in respect of
such supplies have been
furnished by the supplier
in the statement of
outward supplies as
specified under section
37; ”

Agenda for 39th GSTCM Volume 1
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4. It may be noted that
in the 38th GSTC
meeting, a one-time
amnesty for filing of
FORM GSTR-1 was
given in order to
encourage taxpayers
to file their missing
FORM GSTR-1s.
5. It is proposed that
reasonable restriction
may be imposed on
self-assessed input tax
credit availed in
FORM GSTR-3B on
the basis of credit
reflected in FORM
GSTR-2A. Further,
Rule 36(4) was
notified which stated
that credit availed in
GSTR3B cannot
exceed the credit
reflected in GSTR-2A
by 20%, from the
months of October
onwards; and which
was further reduced to
10% from December
2019 onwards.
6. Section 16 of the
CGST Act provides
for conditions and
restrictions subject to
which the input tax
credit shall be credited
to the electronic credit
ledger. It would be
logical to complete
this linkage of outward
supplies declared by
the supplier with the
tax liability, by also
limiting the credit
availed in FORM
GSTR-3B to that
reflected in the
GSTR2A of the
recipient, subject to
the additional amount
available under rule
36(4).
Agenda for 39th GSTCM Volume 1
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2. 35 / 44 Currently, there is a
requirement (under
section 35 of the
CGST Act), for
taxpayers beyond a
turnover limit to get
his accounts audited
and submit a
reconciliation
certificate by a
chartered accountant
or a cost accountant.
It is felt that the said
requirement may not
be imposed on all
taxpayers above a
prescribed turnover
limit, but may be
imposed selectively,
based on risk
parameters.
Moreover, under
provisions of section
66 of the CGST Act,
the Commissioner is
empowered to get a
special audit
conducted for a
particular assesse.
Therefore, it is felt that
the said provision may
not be necessary in
future.
Accordingly,
the Law
Committee
has
recommende
d
1. Omission
of sub-
section (5) of
section 35
2. Omission
of sub-
section (2) of
section 44
3. Insertion
of section
44A to
empower the
Commission
er to seek
reconciliatio
n statement
in specific
cases as
prescribed.
35.
.
.
(5) Every registered
person whose turnover
during a financial year
exceeds the prescribed
limit shall get his
accounts audited by a
chartered accountant or a
cost accountant and shall
submit a copy of the
audited annual accounts,
the reconciliation
statement under sub-
section (2) of section 44
and such other
documents in such form
and manner as may be
prescribed.

44. (1) Every
registered
person, other
than an Input
Service
Distributor, a
person paying
tax under
section 51 or
section 52, a
casual taxable
person and a
non-resident
taxable person,
shall furnish an
annual return
for every
financial year
electronically in
such form and
manner as may
be prescribed on
or before the
thirty-first day
of December
following the
end of such
financial year.
Provided that
the
Commissioner
may, on the
recommendatio
ns of the
Council, by
notification,
exempt any
class of
registered
persons from
filing the
returns under
this sub-section;

(2) Every
registered
person who is
required to get
his accounts
audited in
accordance with
the provisions
of sub-section
(5) of section 35
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shall furnish,
electronically,
the annual
return under
sub-section (1)
along with a
copy of the
audited annual
accounts and a
reconciliation
statement,
reconciling the
value of
supplies
declared in the
return furnished
for the financial
year with the
audited annual
financial
statement, and
such other
particulars as
may be
prescribed.
44A. The
Commissioner
or any officer
authorised by
him, by way of a
general or a
specific order,
may for reasons
to be recorded
in writing,
direct a
registered
person, in
writing to
furnish a
reconciliation
statement
reconciling the
value of
supplies
declared in the
return furnished
for the financial
year with the
audited annual
financial
statement, and
such other
particulars as
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may be
specified in that
order.
Provided that
nothing
contained in this
sub-section
shall apply to
any department
of the Central
Government or
a State
Government or
a local
authority,
whose books of
account are
subject to audit
by the
Comptroller and
Auditor-
General of India
or an auditor
appointed for
auditing the
accounts of
local authorities
under any law
for the time
being in force.
3. 75(12) It has been observed
that the red flag
reports suggest that for
a number of GSTINs,
the GSTR-1 details are
considerably larger
than GSTR-3B.
Furthermore, a lot of
cases have been
noticed where GSTR-
1 has been filed
without filing the
corresponding GSTR-
3B.
2. A perusal of
the present sub-section
(12) of section 75
appears to restrict
recovery under section
79 to only those cases
where the returns are
filed under section 39
in FORM GSTR-3B.
However, it is felt that
Accordingly,
the Law
Committee
has
recommende
d making an
explanatory
amendment
in sub-
section (12)
of section 75
of the CGST
Act, 2017.
75.
.
.
(12)
Notwithstandin
g anything contained in
section 73 or section 74,
where any amount of
self-assessed tax in
accordance with a return
furnished under section
39 remains unpaid,
either wholly or partly,
or any amount of interest
payable on such tax
remains unpaid, the
same shall be recovered
under the provisions of
section 79.
Explanation.- For the
purpose of this sub-
section, the expression
"self-assessed tax" shall
include the tax payable

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the statement of the
outward supplies is the
building block on
which outward
liability of a taxpayer
is based, and is
therefore most
certainly his outward
liability. Being a self-
declared outward
liability, tax appears to
be collectible on the
supplies declared in
the statement of
outward supplies
under section 37.
3. In this regard,
reference is also
invited to the
judgement of the
Madhya Pradesh High
Court at Indore Bench
in Kabeer Reality
Private Limited vs
Union of India (Writ
no 15645/2019),
wherein it has been
held that FORM
GSTR-1 liability can
be recovered under
section 79.
4. It is felt that
the above judgement
captures the intent of
law, which is also
evident from the
provisions of sub-
section (5) of section
43A, which are
proposed to be notified
along with the new
return system. Section
43A reads as under:
Section 43A:
Procedure for
furnishing
return and
availing input
tax credit
(1)
Notwithstandi
ng anything
contained in
sub-section
in respect of the details
of such outward supplies
furnished under section
37, the tax on which has
not been paid, and the
same shall be recovered
under the provisions of
section 79.
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(2) of section
16, section 37
or section 38,
every
registered
person shall
in the returns
furnished
under sub-
section (1) of
section 39
verify,
validate,
modify or
delete the
details of
supplies
furnished by
the suppliers.
(2)
Notwithstandi
ng anything
contained in
section 41,
section 42 or
section 43, the
procedure for
availing of
input tax
credit by the
recipient and
verification
thereof shall
be such as
may be
prescribed.
(3) The
procedure for
furnishing the
details of
outward
supplies by
the supplier
on the
common
portal, for the
purposes of
availing input
tax credit by
the recipient
shall be such
as may be
prescribed.
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(4) The
procedure for
availing input
tax credit in
respect of
outward
supplies not
furnished
under sub-
section (3)
shall be such
as may be
prescribed
and such
procedure
may include
the maximum
amount of the
input tax
credit which
can be so
availed, not
exceeding
twenty per
cent. of the
input tax
credit
available, on
the basis of
details
furnished by
the suppliers
under the said
sub-section.
(5) The
amount of tax
specified in
the outward
supplies for
which the
details have
been
furnished by
the supplier
under sub-
section (3)
shall be
deemed to be
the tax
payable by
him under the
provisions of
the Act.
.
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.
5. However, there is
still a confusion
regarding the current
provisions of the
CGST Act, as to
whether the applicable
tax amount as per the
self-declared
statement of outward
supplies under section
37 is recoverable, if
tax on the same has not
been paid in the return
under section 39.
4. 109 /
110
The Madras High
Court in its judgement
in Revenue Bar
Association Vs Union
of India has ruled that
the constitution of
GST Appellate
Tribunal (GSTAT) is
unconstitutional.
2. The issues that were
deliberated are as
below: (i) whether the
exclusion of advocates
from being considered
for appointment as a
Judicial Member in
GST Appellate
Tribunal, is violative
of Article 14 of the
Constitution of India.
(ii) Whether Section
110 (b)(iii) which
makes a member of
the Indian Legal
Service, eligible to be
appointed as a Judicial
Member of the
appellate tribunal,
contrary to the law laid
down by the Hon’ble
Supreme Court in
Union of India Vs.
R.Gandhi reported in
2010(11) SCC 1.
(iii) whether the
composition of the
National Bench,
Regional Benches,
State Bench and Area
Accordingly,
the Law
Committee
has
deliberated
on the matter
and
recommende
d making
necessary
amendments
in section
109 and 110
of the CGST
Act, 2017.
109. Constitution of
Appellate Tribunal and
Benches thereof
(1) The
Government shall, on the
recommendations of the
Council, by notification,
constitute with effect
from such date as may be
specified therein, an
Appellate Tribunal
known as the Goods and
Services Tax Appellate
Tribunal for hearing
appeals against the
orders passed by the
Appellate Authority or
the Revisional
Authority. /
(2) The powers of
the Appellate Tribunal
shall be exercisable by
the National Bench and
Benches thereof
(hereafter in this Chapter
referred to as “Regional
Benches”), State Bench
and Benches thereof
(hereafter in this Chapter
referred to as “Area
Benches”).
(3) The National
Bench of the Appellate
Tribunal shall be
situated at New Delhi
which shall be presided

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Benches of the GST
Appellate Tribunal,
which consists of one
Judicial Member, one
Technical Member
(Centre) and one
Technical Member
(State), by which the
administrative
members outnumber
the judicial member is
violative of Articles 14
and 50 of the
Constitution of India
and the judgments of
the Hon’ble Supreme
Court of India.
3. The judgement was
examined in detail by
the Department of
Revenue and
accordingly
amendments in the
provisions of Sections
109 and 110 of the
Central Goods and
Services Tax (CGST)
Act 2017 have been
suggested.
over by the President and
shall consist of one a
Technical Member
(Centre) or and one
Technical Member
(State).
(4) The
Government shall, on the
recommendations of the
Council, by notification,
constitute such number
of Regional Benches as
may be required and
such Regional Benches
shall consist of a Judicial
Member and a one
Technical Member
(Centre) or and one
Technical Member
(State).
(5) The National
Bench or Regional
Benches of the Appellate
Tribunal shall have
jurisdiction to hear
appeals against the
orders passed by the
Appellate Authority or
the Revisional Authority
in the cases where one of
the issues involved
relates to the place of
supply.
(6) The
Government shall, by
notification, specify for
each State or Union
territory a Bench of the
Appellate Tribunal
(hereafter in this
Chapter, referred to as
“State Bench”) for
exercising the powers of
the Appellate Tribunal
within the concerned
State or Union territory:
Provided that
the Government shall, on
receipt of a request from
any State Government,
constitute such number
of Area Benches in that
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State, as may be
recommended by the
Council:
Provided
further that the
Government may, on
receipt of a request from
any State, or on its own
motion for a Union
territory, notify the
Appellate Tribunal in a
State to act as the
Appellate Tribunal for
any other State or Union
territory, as may be
recommended by the
Council, subject to such
terms and conditions as
may be prescribed.
(7) The State Bench
or Area Benches shall
have jurisdiction to hear
appeals against the
orders passed by the
Appellate Authority or
the Revisional Authority
in the cases involving
matters other than those
referred to in sub-section
(5).
(8) The President
and the State President
shall, by general or
special order, distribute
the business or transfer
cases among Regional
Benches or, as the case
may be, Area Benches in
a State.
(9) Each State
Bench and Area Benches
of the Appellate
Tribunal shall consist of
a Judicial Member and a
one Technical Member
(Centre) or and one
Technical Member
(State) and the State
Government may
designate the senior
most Judicial Member in
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a State as the State
President.
(10) In the absence of
a Member in any Bench
due to vacancy or
otherwise, any appeal
may, with the approval
of the President or, as the
case may be, the State
President, be heard by a
Bench of two Members:
Provided that
any appeal wWhere the
tax or input tax credit
involved or the
difference in tax or input
tax credit involved or the
amount of fine, fee or
penalty determined in
any order appealed
against, does not exceed
five lakh rupees and
which does not involve
any question of law may,
with the approval of the
President and subject to
such conditions as may
be prescribed on the
recommendations of the
Council, be heard by a
bench consisting of a
single member.
(11) If the Members
of the National Bench,
Regional Benches, State
Bench or Area Benches a
bench differ in opinion
on any point or points, it
shall be decided
according to the opinion
of the majority, if there is
a majority, but if the
Members are equally
divided, they shall state
the point or points on
which they differ, and
the case shall be referred
by the President or as the
case may be, State
President for hearing on
such point or points to
one or more of the other
Members of the National
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Bench, Regional
Benches, State Bench or
Area Benches and such
point or points shall be
decided according to the
opinion of the majority
of Members who have
heard the case, including
those who first heard it.
(12) The
Government, in
consultation with the
President may, for the
administrative
convenience, transfer
Members from one
bench to the other. —
(a) any
Judicial
Member or a
Member
Technical
(State) from one
Bench to
another Bench,
whether
National or
Regional; or
(b) any
Member
Technical
(Centre) from
one Bench to
another Bench,
whether
National,
Regional, State
or Area.
(13) The State
Government, in
consultation with the
State President may, for
the administrative
convenience, transfer a
Judicial Member or a
Member Technical
(State) from one Bench
to another Bench within
the State.
(14) No act or
proceedings of the
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Appellate Tribunal shall
be questioned or shall be
invalid merely on the
ground of the existence
of any vacancy or defect
in the constitution of the
Appellate Tribunal.
110. President and
Members of Appellate
Tribunal, their
qualification,
appointment,
conditions of service,
etc
(1) A person shall
not be qualified for
appointment as—
(a) the
President, unless
he has been a
Judge of the
Supreme Court
or is or has been
the Chief Justice
of a High Court,
or is or has been
a Judge of a
High Court for a
period not less
than five years;
(b) a
Judicial
Member, unless
he –
(i)

has
been a
Judge of
the
High
Court;
or
(ii)

is or has
been a
District
Judge
qualifie
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d to be
appoint
ed as a
Judge of
a High
Court;
or
(iii)

is or has
been a
Member
of
Indian
Legal
Service
and has
held a
post not
less
than
Additio
nal
Secretar
y for
three
years;
(c) a
Technical
Member
(Centre) unless
he is or has been
a member of
Indian Revenue
(Customs and
Central Excise)
Service, Group
A, and has
completed at
least fifteen
twenty years of
service in Group
A;
(d) a
Technical
Member (State)
unless he is or
has been an
officer of the
State
Government not
below the rank
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of Additional
Commissioner
of Value Added
Tax or the State
goods and
services tax or
such rank as
may be notified
by the
concerned State
Government on
the
recommendatio
ns of the
Council and has
completed
twenty-five
years of service
with at least
three years of
experience in
the
administration
of an existing
law or the State
Goods and
Services Tax
Act or in the
field of finance
and taxation.
(2) The President
and the Judicial
Members of the National
Bench and the Regional
Benches shall be
appointed by the
Government after
consultation with the
Chief Justice of India or
his nominee:
(2) The President,
Judicial Members, the
Technical Member
(Centre) and Technical
Member (State) shall be
appointed by the
Government on the
recommendations of a
Selection Committee
consisting of such
persons and in such
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manner as may be
prescribed:
Provided that in
the event of the
occurrence of any
vacancy in the office of
the President by reason
of his death, resignation
or otherwise, the senior
most Member of the
National Bench shall act
as the President until the
date on which a new
President, appointed in
accordance with the
provisions of this Act to
fill such vacancy, enters
upon his office:
Provided
further that where the
President is unable to
discharge his functions
owing to absence, illness
or any other cause, the
senior most Member of
the National Bench shall
discharge the functions
of the President until the
date on which the
President resumes his
duties.
(3) The Technical
Member (Centre) and
Technical Member
(State) of the National
Bench and Regional
Benches shall be
appointed by the
Government on the
recommendations of a
Selection Committee
consisting of such
persons and in such
manner as may be
prescribed.
(4) The Judicial
Member of the State
Bench or Area Benches
shall be appointed by the
State Government after
consultation with the
Chief Justice of the High
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Court of the State or his
nominee.
(5) The Technical
Member (Centre) of the
State Bench or Area
Benches shall be
appointed by the Central
Government and
Technical Member
(State) of the State
Bench or Area Benches
shall be appointed by the
State Government in
such manner as may be
prescribed.
(6) No appointment
of the Members of the
Appellate Tribunal shall
be invalid merely by the
reason of any vacancy or
defect in the constitution
of the Selection
Committee.
(7) Before
appointing any person as
the President or
Members of the
Appellate Tribunal, the
Central Government or,
as the case may be, the
State Government, shall
satisfy itself that such
person does not have any
financial or other
interests which are likely
to prejudicially affect his
functions as such
President or Member.
(8) The salary,
allowances and other
terms and conditions of
service of the President,
State President and the
Members of the
Appellate Tribunal shall
be such as may be
prescribed:
Provided that
neither salary and
allowances nor other
terms and conditions of
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service of the President,
State President or
Members of the
Appellate Tribunal shall
be varied to their
disadvantage after their
appointment.
(9) The President of
the Appellate Tribunal
shall hold office for a
term of three years from
the date on which he
enters upon his office, or
until he attains the age of
seventy years,
whichever is earlier and
shall be eligible for re-
appointment
(10) The Judicial
Member of the Appellate
Tribunal and the State
President shall hold
office for a term of three
years from the date on
which he enters upon his
office, or until he attains
the age of sixty-five
years, whichever is
earlier and shall be
eligible for re-
appointment.
(11) The Technical
Member (Centre) or
Technical Member
(State) of the Appellate
Tribunal shall hold
office for a term of five
years from the date on
which he enters upon his
office, or until he attains
the age of sixty-five
years, whichever is
earlier and shall be
eligible for re-
appointment.
(12) The President,
State President or any
Member may, by notice
in writing under his hand
addressed to the Central
Government or, as the
case may be, the State
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Government resign from
his office:
Provided that
the President, State
President or Member
shall continue to hold
office until the expiry of
three months from the
date of receipt of such
notice by the Central
Government, or, as the
case may be, the State
Government or until a
person duly appointed as
his successor enters
upon his office or until
the expiry of his term of
office, whichever is the
earliest.
(13) The Central
Government may, on the
recommendation of the
Selection Committee,
after consultation with
the Chief Justice of
India, in case of the
President, Judicial
Members and Technical
Members of the National
Bench, Regional
Benches or Technical
Members (Centre) of the
State Bench or Area
Benches, and the State
Government may, after
consultation with the
Chief Justice of High
Court, in case of the
State President, Judicial
Members, Technical
Members (State) of the
State Bench or Area
Benches, may remove
from the office such the
President or a Member,
who—
(a) has
been adjudged
an insolvent; or
(b) has
been convicted
of an offence
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which, in the
opinion of the
such
Government
involves moral
turpitude; or
(c) has
become
physically or
mentally
incapable of
acting as such
President, State
President or
Member; or
(d) has
acquired such
financial or
other interest as
is likely to affect
prejudicially his
functions as
such President,
State President
or Member; or
(e) has so
abused his
position as to
render his
continuance in
office
prejudicial to the
public interest:
Provided that
the President, State
President or the Member
shall not be removed on
any of the grounds
specified in clauses (d)
and (e), unless he has
been informed of the
charges against him and
has been given an
opportunity of being
heard.
(14) Without
prejudice to the
provisions of sub-section
(13),-
(a) the
President or a
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Judicial and
Technical
Member of the
National Bench
or Regional
Benches,
Technical
Member
(Centre) of the
State Bench or
Area Benches
shall not be
removed from
their office
except by an
order made by
the Central
Government on
the ground of
proved
misbehaviour or
incapacity after
an inquiry made
by a Judge of the
Supreme Court
nominated by
the Chief Justice
of India on a
reference made
to him by the
Central
Government and
of which the
President or the
said Member
had been given
an opportunity
of being heard;
(b) the
Judicial
Member or
Technical
Member (State)
of the State
Bench or Area
Benches shall
not be removed
from their office
except by an
order made by
the State
Government on
the ground of
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proved
misbehaviour or
incapacity after
an inquiry made
by a Judge of the
concerned High
Court
nominated by
the Chief Justice
of the concerned
High Court on a
reference made
to him by the
State
Government and
of which the
said Member
had been given
an opportunity
of being heard.
(15) The Central
Government, on the
recommendations of the
Selection Committee
with the concurrence of
the Chief Justice of
India, may suspend from
office, the President or a
Judicial or Technical
Members in respect of
whom proceedings have
been initiated under sub-
section (13) of the
National Bench or the
Regional Benches or the
Technical Member
(Centre) of the State
Bench or Area Benches
reference has been made
to the Judge of the
Supreme Court under
sub-section (14).
(16) The State
Government, with the
concurrence of the Chief
Justice of the High
Court, may suspend
from office, a Judicial
Member or Technical
Member (State) of the
State Bench or Area
Benches in respect of
whom a reference has
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been made to the Judge
of the High Court under
sub-section (14).
(17) Subject to the
provisions of article 220
of the Constitution, the
President, State
President or other
Members, on ceasing to
hold their office, shall
not be eligible to appear,
act or plead before the
National Bench and the
Regional Benches or the
State Bench and the Area
Benches thereof where
he was the President or,
as the case may be, a
Member.
5. 151 Section 151 empowers
the Commissioner to
collect statistics.
This would be used on
a case to case basis and
accordingly, FORM
/return may not be
prescribed for the
same.
For the efficacy of the
collection of statistics,
it may be ensured that
information may be
sought as per
requirements on a case
to case basis.
1. Sub-
section (2) of
section 151
may be
amended.
151. Power to collect
statistics call for
information
(1) The
Commissioner, or an
officer authorised by
him, may, by order if he
considers that it is
necessary so to do, by
notification, direct that
statistics may be
collected direct any
person to furnish to him
any information relating
to any matter dealt with
by or in connection with
this Act, within such
time, in such form and
manner as may be
specified in the said
order.
(2) Upon such
notification being
issued, the
Commissioner, or any
person authorised by
him in this behalf, may
call upon the concerned
persons to furnish such
information or returns, in
such form and manner as
may be prescribed,
relating to any matter in
respect of which
Consequential
amendment in
section 168
required (in
red colour):
168. Power to
issue
instructions or
directions.-
(1)…
(2) The
Commissioner
specified in
clause (91) of
section 2, sub-
section (3) of
section 5, clause
(b) of sub-
section (9) of
section 25, sub-
sections (3) and
(4) of section
35, sub-section
(1) of section
37, sub-section
(2) of section
38, sub-section
(6) of section
39, sub-section
(5) of section
66, sub-section
(1) of section
143, except the
second proviso
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statistics is to be
collected.
to sub-section
(1) of section
143, sub-section
(1) of section
151, clause (l)
of sub-section
(3) of section
158 and section
167 shall mean
a Commissioner
or Joint
Secretary
posted in the
Board and such
Commissioner
or Joint
Secretary shall
exercise the
powers
specified in the
said sections
with the
approval of the
Board.
6. 152 It is felt that the tax
authorities may seek
information under
section 150 and 151
for various purposes,
including for
investigation, audit or
preventive purposes.
It may be noted that in
some cases, some
action may get
initiated after
processing of this
information. Presently
there is a restriction
under sub-section (1)
of section 151 that
such information may
not be used for any
proceedings under this
Act.
Accordingly, this
restriction may be
removed from law.
Further, such
information may also
be allowed to be seen
by the tax authorities
1. Omitting
of the
condition
that “no such
information
shall be used
for the
purpose of
any
proceedings
under this
Act” from
sub-section
(1) of section
152
2.
Amendment
in sub-
section (2) to
allow tax
authority
involved in
the
proceedings
to have
access to
such
information.
152. Bar on
disclosure of
information
(1) No information
of any individual return
or part thereof with
respect to any matter
given for the purposes of
section 150 or section
151 shall, without the
previous consent in
writing of the concerned
person or his authorised
representative, be
published in such
manner so as to enable
such particulars to be
identified as referring to
a particular person and
no such information
shall be used for the
purpose of any
proceedings under this
Act without giving an
opportunity of being
heard to the person
concerned.
(2) Except for the
purposes of prosecution

Agenda for 39th GSTCM Volume 1
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engaged in the said
proceedings
under this Act or any
other law for the time
being in force, and for
the purpose of any
proceedings under this
Act, no person who is
not engaged in the
collection of statistics
under this Act or
compilation or
computerisation thereof
for the purposes of this
Act, shall be permitted to
see or have access to any
information or any
individual return
referred to in section
151.


Agenda for 39th GSTCM Volume 1
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LAW AMENDMENT PROPOSALS – IGST Act, 2017
Sl.
No.
Section
Gist of issue Proposal Suggested
formulation
Consequential
changes
1. 16 Various instances,
especially in export
of few specific
commodities of
frauds have come
to notice, wherein
refunds on payment
of IGST have been
availed using
fraudulent credit. It
may be noted that
section 16 of the
IGST Act, 2017
provides that a
person making
zero-rated supplies
can avail two
modes of refund
(LUT / IGST), and
this appears to be
the real reason
creating
distortions.
2. Further, it
has been observed
that internationally,
zero-rated supplies
are taxed at zero-
rate and credit of
inputs in respect of
such supplies are
refunded. The
refund of IGST
paid on export is
not available
internationally, and
it is felt that the
process can also be
implemented under
the GST laws in
India. This is
expected to remove
distortions and
bring uniformity.
3. Further, in
erstwhile indirect
taxation laws the
practise was to
zero-rate the
supplies made to
The Law
Committee
examined the
matter and felt that
the government
should be
empowered to
certain classes of
supplies as export
on payment of
IGST and refund of
input taxes thereon.
Accordingly, the
Law Committee
recommended to
amend the
provisions of the
IGST Act to make
the export of
goods and services
the default route
for exports and to
take an enabling
power under
section 16 to
empower the
Commissioner to
notify the specific
supplies of goods
or services or
both, subject to
such conditions,
safeguards and
procedure as may
be prescribed,
that may be made
eligible for supply
on payment of
integrated tax.
Moreover, the
Law Committee
proposed to
amend the clause
(b) of sub-section
(1) of section 16 of
IGST Act 2017 by
inserting the
words “for
authorized
operations”
16. (1) “zero rated
supply” means any of
the following
supplies of goods or
services or both,
namely:––
(a) export of goods or
services or both; or
(b) supply of goods or
services or both for
authorized operations
to a Special
Economic Zone
developer or a
Special Economic
Zone unit.
(2) Subject to the
provisions of sub-
section (5) of section
17 of the Central
Goods and Services
Tax Act, credit of
input tax may be
availed for making
zero-rated supplies,
notwithstanding that
such supply may be
an exempt supply.
(3) A registered
person making zero
rated supply shall be
eligible to claim
refund under either of
the following options,
namely:––
(a) he may on supply
of goods or services
or both under bond or
Letter of
Undertaking, subject
to such conditions,
safeguards and
procedure as may be
prescribed, without
payment of integrated
tax and, claim refund
of unutilised input tax
credit; or
(b) he may supply
goods or services or

Agenda for 39th GSTCM Volume 1
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SEZ
Unit/Developer
meant for
authorized
operations and all
other supplies to
SEZ
Unit/Developer
were taxed at
normal rate.
However, it is
observed that the
under sub-section
(1) of Section 16 of
IGST, all the
supplies made to
SEZ
Unit/Developer
have been
classified as zero-
rated supplies.
Thus, the said
provision is not in
consonance with
the intent of the
law.
4. In addition
to the above,
linking of foreign
exchange
remittance with
refund is being
envisaged, in lines
with the earlier
central excise
regime. In the
central excise
regime, an advisory
was issued to the
field formation for
verifying the BRCs
post sanction of
rebate on export of
goods. Further,
similar provision
exists under Rule
18 of the Customs
and Central Excise
Duties Drawback
Rules, 2017 which
provides for the
recovery for
amount of
drawback in cases
The Law
Committee
further
recommended
insertion of
provision for
submission of
foreign exchange
remittances in
case of export of
goods, post refund
of unutilized
Input Tax Credit
or IGST with the
time period
prescribed under
Foreign Exchange
Management Act
(FEMA), 1999.
both, subject to such
conditions,
safeguards and
procedure as may be
prescribed, on
payment of integrated
tax and claim refund
of such tax paid on
goods or services or
both supplied,
in accordance with
the provisions of
section 54 of the
Central Goods and
Services Tax Actor
the rules made
thereunder.
Provided that
the registered person
making zero rated
supply of goods, in
case of non-
realisation of sale
proceeds, shall be
liable to deposit the
refund paid under the
provisions of sub-
section (3) along with
the applicable interest
under Section 50
within 30 days after
expiry of time limit
prescribed under
Foreign Exchange
Management Act
1999 for receipt of
foreign exchange
remittances.

(3A) The
Government may, on
the recommendations
of the Council, and
subject to such
conditions,
safeguards and
procedures as may be
prescribed, notify a
class of suppliers or
class of supplies of
goods, or services, or
both where the
supplies in the course
of export may be
Agenda for 39th GSTCM Volume 1
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where foreign
remittances are not
realised under the
said rules.
made on payment of
integrated tax and the
supplier shall, subject
to such conditions
and restrictions as
may be specified in
the said notification,
be eligible to claim
refund of the
integrated tax paid on
such supplies of
goods or services or
both.


Agenda for 39th GSTCM Volume 1
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Agenda Item 5A(ix): Scheme of ‘Know Your Supplier’
Reference is invited to rule 36(4) of the CGST Rules, 2017 wherein restriction in availment of
input tax credit (ITC) has been imposed on the recipient. As per the rule, a registered person can avail
ITC not exceeding 110% of the supply reflected in his FORM GSTR-2A. In other words, the suppliers
of the registered person must furnish their FORM GSTR-1 on time in order for availment of ITC by
this registered person subject to ten percent flexibility provided by the rule. In this context, there is a
felt need to enable every registered person to have some basic information about the suppliers with
whom they propose to conduct business. This would help them to identify the probable non-compliant
suppliers and take business decision accordingly. The relevant provisions which provides for a
compliance rating for registered persons as contained in Section 149 of the CGST Act, 2017 read as
follows: -

149. (1) Every registered person may be assigned a goods and services tax compliance rating score
by the Government based on his record of compliance with the provisions of this Act.
(2) The goods and services tax compliance rating score may be determined on the basis of such
parameters as may be prescribed.
(3) The goods and services tax compliance rating score may be updated at periodic intervals
and intimated to the registered person and also placed in the public domain in such manner as may
be prescribed.

2. In this context, it is for consideration that instead of giving a ‘number’ as compliance rating
score, merely the performance of the supplier on chosen relevant parameters is displayed to any
registered person. Law Committee in its meeting held on 02.03.2020 proposed that in order to enable
‘Know your Supplier’ scheme a new rule may be inserted in the CGST Rules, 2017 providing for
display of following parameters in respect of a given GSTIN: -
(a) Month and Year of registration Under GST
(b) Whether a Composition dealer or normal dealer
(c) Aggregate Turnover (Slab) (0 to 40 lakhs, 40 lakhs to 1.5 crores, 1.5 crores to 5 crores, 5
Cr to 25, 25 and above)
(d) Percentage of tax payment in cash (Slab) (% cash set-off i.e. percentage of liability
discharged through cash, in totality; 0 to 2%, 2 to 5%, 5 to 10%, 10 to 20%, 20% and
above)
(e) Details of last twenty returns furnished (AS AVAILABLE ON PORTAL- to be
increased from ten to twenty)
(f) e-way bill blocking history
(g) Gross Total Incomes (slab same as point no. (c) above)
Further, based on the feasibility as per GSTN analysis, following parameters may be included: -
(h) Number of months or quarters, as the case may be, for which FORM GSTR-1 not
submitted
(i) Number of months in which FORM GSTR-3B not submitted on time
(j) Any default in furnishing FORM GSTR-3B for more than three months
(k) Any default in furnishing FORM GSTR-1 for more than three months or two quarters, as
the case may be.
3. Accordingly, the agenda is placed before the Council for approval.
Agenda for 39th GSTCM Volume 1
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Agenda item 5A(x): Notifying NPCI, Transunion CIBIL Ltd. and Association of Mutual fund of
India under section 150(1)(p) and Banking Information return under Section 150(1)(e)
Reference is invited to the Section 150(1)(p) of the CGST Act, 2017 wherein power is provided
to seek information from any specified person. The said sub-section reads as follows: -

“150. (1) Any person, being—
(a)….
(b)….
…….
(p) any other person as may be specified, on the recommendations of the Council, by
the Government,

who is responsible for maintaining record of registration or statement of accounts or any
periodic return or document containing details of payment of tax and other details of
transaction of goods or services or both or transactions related to a bank account or
consumption of electricity or transaction of purchase, sale or exchange of goods or
property or right or interest in a property under any law for the time being in force, shall
furnish an information return of the same in respect of such periods, within such time, in
such form and manner and to such authority or agency as may be prescribed.”

Law Committee in its meeting held on 20.01.2020 recommended that information using power provided
in the said sub-section may be sought from the following three agencies: -
(i) National payment corporation of India (NPCI)
(ii) TRANSUNION CIBIL LTD and
(iii) Association of Mutual Funds of India (AMFI);

Accordingly, it is requested that GST Council may approve the proposal of notifying above mentioned
three agencies under section 150(1) (p) of the CGST Act, 2017.

2. Reference is also invited to deliberation in the 2nd National Conference held on 07.01.2020 on
seeking information return from Banks under Section 150(1) (e). It was deliberated that the data may
be helpful in identifying risky taxpayers as well as in recovery under existing tax laws or GST Acts. A
format for seeking such information was deliberated by the members present in the conference. The
same is enclosed as Annexure I. Accordingly, it is requested that GST Council may approve the
proposal of seeking Information Return from Bank in the said enclosed format.

3. Accordingly, the issues mentioned above viz. ‘notifying of agencies under Section 150(1)(p)’
and ‘seeking Bank Information Return under Section 150(1)(e)’ are placed before the GST Council for
approval please.
Agenda for 39th GSTCM Volume 1
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Information Return for Bank
(Section 150(1)(e)of CGST Act,2017)
Name of the Bank:
Month:
PAN :
*Details of all accounts linked to PAN to be provided
1. Details of Accounts held linked to PAN concerned:
Sr.
No
.
Accoun
t
Number
IFS
C
Cod
e
Name of
the
Account
Holder
(company
/ firm/
person):
Addres
s
Aadhar
Number
(if
availabl
e on
records)
Name of
authorized
signatory(ies
)
Mobile
number
(linked
to the
Account
)
Email
id
linked
to the
accoun
t
Phone
numbe
r if any
(1) (2) (3) (3) (4) (5) (6) (7) (8) (9)
1.
2.
3.

Type of
Account
(Saving/
Current)
(10)
Date of
opening
the
account
(11)
IFSC
Code
(12)
Details of KYC
documents*

Docu
ment
Type
(13)
Document
No.
(14)

• Copy of the KYC documents to be provided/ uploaded with the return
Agenda for 39th GSTCM Volume 1
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2.Details of transactions in the Primary account(s)-as provided by GSTN during the
month (details of the month to be provided)**
S
.
N
o
.
(
1
)
Ban
k
Acc
ount
Nu
mbe
r
(2)
Cash transactions more
than Rs. 50,000/- from the
account during the month
Transactions to and from other
accounts from the account more
than Rs. 10,00,000/-during the
month
Details
of top 10
recipient
bank
accounts
from the
account
during
the
month
(13)
Details
of top
10
payer
bank
accoun
ts to
the
accoun
t
during
the
month
(14)
Nu
mbe
r of
Cas
h
Wit
hdra
wls
(5)
Am
ount
of
Cas
h
Wit
hdra
wls
(6)
Nu
mbe
r of
cash
depo
sits
(7)
Amo
unt
of
cash
depo
sits
(8)
Numb
er of
transa
ctions
of
transf
er to
other
accou
nts
(9)
Total
Amou
nt in
transa
ctions
of
transf
er to
other
accou
nts
(10)
Numbe
r of
transact
ions of
transfer
from
other
account
s
(11)
Total
Amoun
t in
transact
ions of
transfer
from
other
account
s
(12)




Agenda for 39th GSTCM Volume 1
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3. Details of transactions in the account during the month (details of the month to be
provided)**
S.
N
o.
(1
)
Bank
Acco
unt
Numb
er
(2)
Total transactions
during the month
Cash transactions more than Rs.
50,000/- from the account during
the month
Detail
s of
top 10
recipi
ent
bank
accou
nts
from
the
accou
nt
durin
g the
month
(13)
Detail
s of
top 10
payer
bank
accou
nts to
the
accou
nt
durin
g the
month
(14)
Number
of
transacti
ons
(3)
Amount
in
transacti
ons
(4)
Number
of Cash
Withdra
wls
(5)
Amount
of Cash
Withdra
wls
(6)
Num
ber of
cash
depos
its
(7)
Amo
unt of
cash
depos
its
(8)


**The bank statements for all the bank accounts of the company/ firm/ person for the
month to be provided/ uploaded with the return
It is certified that all the information provided above is correct as per the records of
the Bank.
( )
Signature of the Authorized person of the Bank
Name:…….
Designation: ……
Phone Number………
e-mail id:………..




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Agenda Item 5A(xi): Proposal for Notification / Rule change for enabling AADHAAR
based authentication in GST
In the Finance Bill, 2019, the section 25 was of the CGST Act,2017 was amended to insert
AADHAAR based authentication for existing taxpayers and new registrations in the GST Law.
Section 25 (6A) Every registered person shall undergo authentication, or furnish proof of
possession of Aadhaar number, in such form and manner and within such time as may be
prescribed:
Provided that if an Aadhaar number is not assigned to the registered person, such person shall
be offered alternate and viable means of identification in such manner as Government may, on
the recommendations of the Council, prescribe:
Provided further that in case of failure to undergo authentication or furnish proof of possession
of Aadhaar number or furnish alternate and viable means of identification, registration allotted
to such person shall be deemed to be invalid and the other provisions of this Act shall apply as
if such person does not have a registration.
(6B) On and from the date of notification, every individual shall, in order to be eligible for
grant of registration, undergo authentication, or furnish proof of possession of Aadhaar
number, in such manner as the Government may, on the recommendations of the Council,
specify in the said notification:
Provided that if an Aadhaar number is not assigned to an individual, such individual shall be
offered alternate and viable means of identification in such manner as the Government may, on
the recommendations of the Council, specify in the said notification.
(6C) On and from the date of notification, every person, other than an individual, shall, in
order to be eligible for grant of registration, undergo authentication, or furnish proof of
possession of Aadhaar number of the Karta, Managing Director, whole time Director, such
number of partners, Members of Managing Committee of Association, Board of Trustees,
authorised representative, authorised signatory and such other class of persons, in such
manner, as the Government may, on the recommendations of the Council, specify in the said
notification:
Provided that where such person or class of persons have not been assigned the Aadhaar
Number, such person or class of persons shall be offered alternate and viable means of
identification in such manner as the Government may, on the recommendations of the Council,
specify in the said notification.
(6D) The provisions of sub-section (6A) or sub-section (6B) or sub-section (6C) shall not
apply to such person or class of persons or any State or Union territory or part thereof, as the
Government may, on the recommendations of the Council, specify by notification.
Explanation.—For the purposes of this section, the expression “Aadhaar number” shall have
the same meaning as assigned to it in clause (a) of section 2 of the Aadhaar (Targeted Delivery
of Financial and Other Subsidies, Benefits and Services) Act, 2016 (18 of 2016)
2. This section was made effective from 1st January 2020. Further, the GST Council in its 37th
meeting held in Goa, approved the following presentation made by GSTN, for operationalizing
AADHAAR authentication in GST.
Agenda for 39th GSTCM Volume 1
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3. The law committee in its meeting held between 20th and 21st January 2020, approved the
amendment of the CGST Rules, 2017 for operationalizing AADHAAR based authentication. The Law
Committee noted that that refund to existing registered persons may be granted only after
authentication as specified above. The draft approved by the Law Committee was vetted by the
Ministry of Law and Justice and is placed as Annexure A.
4. The Law Committee further opined that notification under Section 6B and 6C of the CGST
Act,2017 shall be issued specifying the date from which AADHAAR authentication for these
categories shall be made applicable. Further, since AADHAAR authentication has not been made
applicable to all taxpayers, a notification under Section 6D shall also be issued exempting categories
of persons registered under section 51, 52, OIDAR, non-resident taxable person, Company,
Association of persons, anybody of Individuals or a Society, or a Trust from the provisions of Aadhar
authentication. The draft approved by the Law Committee was vetted by the Ministry of Law and
Justice and is placed as Annexure B.

Agenda for 39th GSTCM Volume 1
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Annexure A
Draft Rules for AADHAAR authentication in GST
Insertion of sub-rule 4A to rule 8
(4) Using the reference number generated under sub-rule (3), the applicant shall electronically
submit an application in Part B of FORM GST REG-01, duly signed or verified through electronic
verification code, along with the documents specified in the said Form at the common portal, either
directly or through a Facilitation Centre notified by the Commissioner.
(4A) The applicant shall, while submitting an application under sub-rule (4), undergo
authentication of Aadhaar number for grant of registration.
Insertion of proviso to Rule 9(1)
9. Verification of the application and approval.-(1)The application shall be forwarded to the proper
officer who shall examine the application and the accompanying documents and if the same are found
to be in order, approve the grant of registration to the applicant within a period of three working days
from the date of submission of the application.
“Provided that where a person, other than those notified under sub-section (6D) of section 25,
fails to undergo authentication of Aadhaar number as specified in sub-rule (4A) of rule 8, then
the registration shall be granted only after physical verification of the principle place of business
in the presence of the said person, not later than sixty days from the date of application, in the
manner provided under rule 25 and the provisions of sub-rule (5) shall not be applicable in such
cases.”.
Amendment of Rules 25
Physical verification of business premises in certain cases.-Where the proper officer is satisfied
that the physical verification of the place of business of a registeredperson is required before or after
the grant of registration, he may get such verification of the premises, in the presence of the said
person,done and the verification report along with the other documents, including photographs, shall
be uploaded in FORM GST REG-30 on the common portal within a period of fifteen working days
following the date of such verification.
Insertion of new Rule 25A :
25A. Aadhaar authentication for registered person:- Every registered person who has been
issued a certificate of registration under rule 10 shall, before filing of any refund application or
within thirty days of the order issued by the Commissioner in the Board, on the
recommendations of the Council, undergo authentication of the Aadhaar number of the
proprietor, in the case of proprietorship firm, or of the partner or managing partner, in the case
of a partnership firm, or of the karta, in the case of a Hindu Undivided Family, or of the
Managing Director or whole time Director, in the case of a company, or of any of the Members
of the Managing Committee of any Association of persons or any body of Individuals or a
Society, or of the Trustee in the Board of Trustees, in the case of a Trust and of the authorised
signatory:
Provided that till the time Aadhaar number is assigned to the person required to furnish
Aadhaar number, such person shall continue as a registered person, subject to the production
of the following identification documents, namely: –
Agenda for 39th GSTCM Volume 1
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(a) if he has enrolled, his Aadhaar Enrolment ID slip or a copy of his request made for Aadhaar
enrolment; and
(b) any of the following documents, namely:
(i) Voter identity card issued by the Election Commission of India; or
(ii) Ration Card; or
(iii) Passport; or
(iv) Driving license issued by the Licensing Authority under the Motor Vehicles Act, 1988 (59 of
1988):
Provided further that where the document referred to in clause(a) of the first proviso has been
furnished, the Aadhaar number shall be furnished within ninety days of the date of furnishing
of the said document, failing which proceedings under rule 22 may be initiated.”

Agenda for 39th GSTCM Volume 1
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Annexure B
Draft Notification for AADHAAR authentication in GST
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
Notification No. __ /2020 – Central Tax
New Delhi, the __ February, 2020
G.S.R….(E).- In exercise of the powers conferred by sub-section (6B) of section 25 of the Central
Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of
the Council, hereby notifies the date of coming into force of this notification as the date, from which an
individual shall undergo authentication, of Aadhaar number, as specified in rule 8 of the Central Goods
and Services Tax Rules, 2017 (hereinafter referred to as the said rules), in order to be eligible for
registration:
Provided that if Aadhaar number is not assigned to the said individual, he shall be offered
alternate and viable means of identification in the manner specified in rule 9 of the said rules.
2. This notification shall come into effect from the __th day of February, 2020.

[F. No. __]

(__)
Under Secretary to the Government of India

Agenda for 39th GSTCM Volume 1
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[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
Notification No. __ /2020 – Central Tax
New Delhi, the __ February, 2020
G.S.R….(E).- In exercise of the powers conferred by sub-section (6C) of section 25 of the Central
Goods and Services Tax Act, 2017 (12 of 2017) , the Central Government, on the recommendations of
the Council, hereby notifies the date of coming into force of this notification as the date, from which
the -
(a) authorised signatory of all types;
(b) Managing and Authorised partners of a partnership firm; and
(c) Karta of an Hindu undivided family,
shall undergo authentication of possession of Aadhaar number, as specified in rule 8 of the Central
Goods and Services Tax Rules, 2017(hereinafter referred to as the said rules), in order to be eligible for
registration under GST:
Provided that if Aadhaar number is not assigned to the said persons, they shall be offered
alternate and viable means of identification in the manner specified in rule 9 of the said rules.
2. This notification shall come into effect from the __th day of February, 2020.
[F. No. __]

(__)
Under Secretary to the Government of India



Agenda for 39th GSTCM Volume 1
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[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
Notification No. __ /2020 – Central Tax
New Delhi, the __ February, 2020
G.S.R….(E).- In exercise of the powers conferred by sub-section (6D) of section 25 of the Central
Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of
the Council, hereby notifies the persons other than the following class of persons, namely:–
(a) Individual;
(b) authorised signatory of all types;
(c) Managing and Authorised partner;
(d) Karta of an Hindu undivided family; and
(e) not a citizen of India,
to whom the provisions of sub-section (6B) or sub-section (6C) shall not apply.
2. This notification shall come into effect from the __th day of February, 2020.
[F. No. __]

(__)
Under Secretary to the Government of India

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Agenda Item 5A(xii): Clarification in respect of appeal in regard to non-constitution of Appeallate
Tribunal
Various representations have been received wherein the issue has been decided against the
registered person by the adjudicating authority or refund application has been rejected by the
appropriate authority and appeal against the said order is pending before the appellate authority. It has
been gathered that the appellate process is being kept pending by several appellate authorities on the
grounds that the appellate tribunal has been not constituted and that till such time no remedy is available
against their Order-in-Appeal, such appeals cannot be disposed. Doubts have been raised across the
field formations in respect of the appropriate procedure to be followed in absence of appellate tribunal
for appeal to be made under section 112 of the Central Goods and Services Tax Act, 2017 (hereinafter
referred to as the “CGST Act”).
2. In this regard, rule 109A of Central Goods and Services Tax Rules, 2017 may kindly be referred
as per which if the order has been passed by Deputy or Assistant Commissioner or Superintendent,
appeal has to be made to the appellate authority appointed who would not be an officer below the rank
of Joint Commissioner. Further, if the order has been passed by Additional or Joint Commissioner,
appeal has to be made to the Commissioner (Appeal) appointed for the said function. Further appeal
against the order passed by appellate authority under Section 107 of the CGST Act lies with appellate
tribunal and any person aggrieved by an order passed against him under section 107 or section 108
(order of the revisionary authority) of CGST Act can appeal to the Appellate Tribunal against such
order within three months from the date on which the order sought to be appealed against is
communicated to the person referring the appeal.
3. Since the appellate tribunals have not been constituted yet in view of the order by Madras High
Court in case of Revenue Bar Assn. v. Union of India. As such the appeal against the order of the first
appellate authority cannot be filed within three months (six months for the appeal by the Government)
from the date on which the order sought to be appealed against is communicated.
4. In order to remove difficulty arising in giving effect to the above provision of the Act, the
Government, on the recommendations of the Council has issued the Central Goods and Services Tax
(Ninth Removal of Difficulties) Order, 2019 dated 03.12.2019. It has been clarified that appeal to
tribunal can be made within three months from the date of communication of order or date on which
the President or the State President, as the case may be, of the Appellate Tribunal enters office,
whichever is later. Hence, there will be no difficulty faced by the aggrieved registered person or the
Government as appeal to the tribunal in terms of section 112 of the CGST Act would not get time barred
and will be valid if filed within three months (six months in case of appeal by the Government) from
the date on which President or the State President enters office. The appellate authority while passing
order may mention in the preamble that appeal may be made to the appellate tribunal within three
months from the President or the State President enters office.
5. In order to ensure uniformity across field formations and to avoid confusion in this respect Law
Committee in its meeting held on 02.03.2020 recommended that a Circular may be issued for all
appellate authorities. Accordingly, a draft Circular in this respect (Annexure A) is placed before the
GST Council for approval.
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Annexure A
Circular No. xx/xx/2020 - GST

CBEC-20/16/15/2018-GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
GST Policy Wing
****
New Delhi, Dated the February, 2020
To,
The Pr. Chief Commissioners / Chief Commissioners / Principal Commissioners / Commissioners of
Central Tax (All)
The Principal Director Generals / Director Generals (All)

Madam/Sir,
Subject: Clarification in respect of appeal in regard to non-constitution of Appellate Tribunal –
reg.
Various representations have been received wherein the issue has been decided against the
registered person by the adjudicating authority or refund application has been rejected by the
appropriate authority and appeal against the said order is pending before the appellate authority. It has
been gathered that the appellate process is being kept pending by several appellate authorities on the
grounds that the appellate tribunal has been not constituted and that till such time no remedy is available
against their Order-in-Appeal, such appeals cannot be disposed. Doubts have been raised across the
field formations in respect of the appropriate procedure to be followed in absence of appellate tribunal
for appeal to be made under section 112 of the Central Goods and Services Tax Act, 2017 (hereinafter
referred to as the “CGST Act”).

2. The matter has been examined in detail. In order to clarify the issue and to ensure uniformity
in the implementation of the provisions of the law across field formations, the Board, in exercise of its
powers conferred by section 168 (1) of the CGST Act, hereby issues the following clarifications and
guidelines.
3.1 Appeal against an adjudicating authority is to be made as per the provisions of Section 107 of
the CGST Act. The sub-section (1) of the section reads as follows: -
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“107. (1) Any person aggrieved by any decision or order passed under this Act or the
State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act by
an adjudicating authority may appeal to such Appellate Authority as may be prescribed
within three months from the date on which the said decision or order is communicated
to such person.”

3.2 Relevant rules have been prescribed for implementation of the above Section. The relevant
rule for the same is rule 109A of Central Goods and Services Tax Rules, 2017 which reads as follows

“109A. Appointment of Appellate Authority.- (1) Any person aggrieved by any decision
or order passed under this Act or the State Goods and Services Tax Act or the Union
Territory Goods and Services Tax Act may appeal to –
(a) the Commissioner (Appeals) where such decision or order is passed by the
Additional or Joint Commissioner;
(b) any officer not below the rank of Joint Commissioner (Appeals) where such
decision or order is passed by the Deputy or Assistant Commissioner or
Superintendent,
within three months from the date on which the said decision or order is communicated to such
person.”
3.3 Hence, if the order has been passed by Deputy or Assistant Commissioner or Superintendent,
appeal has to be made to the appellate authority appointed who would not be an officer below the rank
of Joint Commissioner. Further, if the order has been passed by Additional or Joint Commissioner,
appeal has to be made to the Commissioner (Appeal) appointed for the same.

4. 1 The appeal against the order passed by appellate authority under Section 107 of the CGST Act
lies with appellate tribunal. Relevant provisions for the same is mentioned in the Section 112 of the
CGST Act which reads as follows: -

“112 (1) Any person aggrieved by an order passed against him under section 107 or
section 108 of this Act or the State Goods and Services Tax Act or the Union Territory
Goods and Services Tax Act may appeal to the Appellate Tribunal against such order
within three months from the date on which the order sought to be appealed against is
communicated to the person preferring the appeal.”

4.2 The appellate tribunal has not been constituted in view of the order by Madras High Court in
case of Revenue Bar Assn. v. Union of India and therefore the appeal cannot be filed within three
months from the date on which the order sought to be appealed against is communicated. In order to
remove difficulty arising in giving effect to the above provision of the Act, the Government, on the
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recommendations of the Council, has issued the Central Goods and Services Tax (Ninth Removal
of Difficulties) Order, 2019 dated 03.12.2019. It has been provided through the said Order that the
appeal to tribunal can be made within three months (six months in case of appeals by the Government)
from the date of communication of order or date on which the President or the State President, as the
case may be, of the Appellate Tribunal enters office, whichever is later.

4.3 Hence, as of now, the prescribed time limit to make application to appellate tribunal will be
counted from the date on which President or the State President enters office. The appellate authority
while passing order may mention in the preamble that appeal may be made to the appellate tribunal
whenever it is constituted and within three months from the President or the State President enters
office. Accordingly, it is advised that the appellate authorities may dispose all pending appeals
expeditiously without waiting for the constitution of the appellate tribunal.

5. It is requested that suitable trade notices may be issued to publicize the contents of this Circular.
6. Difficulty, if any, in implementation of the above instructions may please be brought to the
notice of the Board. Hindi version would follow.

(Yogendra Garg)
Principal Commissioner (GST)


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Agenda Item 5A(xiii): Exemption for certain class of registered persons from having e-invoicing
along with extension of dates for implementation of e-invoicing
Vide Notification No.70/2019-Central Tax dated 13th December, 2019 a class of registered
person whose aggregate turnover in a financial year exceeds one hundred crore rupees, has been
notified as a class of taxpayers who shall prepare invoice in terms of sub-rule (4) of rule 48 of the
CGST Rules, 2017 in respect of B2B supply of goods or services or both from 01st April, 2020.
2. The implementation of the said notification has incurred few hiccups. They are listed below
along with the proposal for solution to the said issues:
2.1. The e-invoice schema provided by GSTN was notified vide Notification no. 02/2020-Central
Tax dated 01st January, 2020. However, during the Law Committee meeting held on 17th and 18th
February, 2020, GSTN has informed there are certain issues regarding that schema, therefore, scheme
need to be amended. Hence the new schema for e-invoicing is also need to be notified. Law
Committee has recommended the new schema of e-invoices.
2.2. Certain class of taxpayers like an insurance or a banking company, a financial institutions,
non-banking financial institution, GTA, passenger transportation service providers as IRCTC
referred in sub rule (2), (3), (4) and (4A) of rule 54 of CGST Rules, 2017 may find it very unfeasible
and difficult to generate an Invoice Reference Number, as mandated under sub-rule(4) of rule 48 of
CGST Rules 2017 due to the nature and the frequency of the invoice or a document issued in lieu of
the invoice.
2.3. Sub-rule (4) of rule 48 of CGST rules provides that invoice shall be issued only after
obtaining Invoice Reference Number. However, this rule doesn’t cover debit note, credit note, export
invoice, self-invoice in case of RCM supplies under section 31(3)(f) of CGST Act, 2017, invoice
issued by an ISD and other documents. During the Law Committee meeting this issue was discussed
and committee has recommended the amendment of rule 48 of CGST rules, 2017 to this effect.
2.4. Further During the discussion in Core group meeting, held on 10th February, 2020 GSTN
has expressed inability to launch the e-invoice scheme for all taxpayers having aggregate turnover
exceeding 100 Cr. from 01st April, 2020 on account of hardware capacity constraints. GSTN has
proposed to roll out e-invoicing in a staggered manner for the taxpayers based on their aggregate
turnover. This plausible solution may have less constraint on the hardware. GSTN proposed that
initially e-invoicing may be introduced for the taxpayers whose aggregate turnover in preceding
financial year exceeds five hundred crore rupees only. Subsequently, after the successful roll out of
first phase, this e-invoicing may be made mandatory for taxpayers whose aggregate turnover in a
financial year exceeds one hundred crore rupees.
2.5. The above issues were discussed in Law Committee in its meeting held on 2nd March, 2020,
in view of the above Committee has recommended for deferring the date of implementation of e-
invoice along with exemptions to aforesaid suppliers and invoices. Further, as the new rule
provisions are proposed for the deferment for 6 month, it is proposed that e-invoicing also may be
deferred by 6 months, and hence date of implementation of e-invoicing may be extended till 01st
October, 2020 for the taxpayers whose aggregate turnover in a financial year exceeds one hundred
crore rupees only.


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3. In view of the above, on account of e-invoicing following proposals are proposed:
a. Certain class of taxpayers like an insurance company or a banking company, a financial
institution, non-banking financial institution, GTA, passenger transportation service
providers as IRCTC referred in sub rule (2), (3), (4) and (4A) of rule 54 of CGST Rules,
2017 may be exempted from e-invoicing;
b. Amendment of rule 48 to include credit note, debit note, export invoice, ISD, self-invoice
under section 31(3)(f) of CGST Act, 2017 in case of RCM supplies etc for the purpose
of IRN;
c. Date of implementation of e-invoicing may be extended to 1st October, 2020 for the
taxpayers whose aggregate turnover in a financial year exceeds one hundred crore rupees
only.

4. Therefore, Notification No.70/2019 dated 13th December, 2019 may be amended. Accordingly,
amended draft notification (Annexure-A) is placed before GST Council for its approval.


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Annexure-A
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section(i)]
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
Notification No. XX/2020– Central Tax
New Delhi, the …March, 2020

G.S.R. …..(E).— In exercise of the powers conferred by sub-rule (4) of rule 48 of the Central Goods
and Services Tax Rules, 2017(hereinafter referred as said rules), the Government on the
recommendations of the Council, and in supersession of the notification of the Government of India in
the Ministry of Finance, Department of Revenue No. 70/2019 – Central Tax, dated the 13th December,
2019 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number
G.S.R. 926 (E), dated the 13th December, 2019, except as respects things done or omitted to be done
before such supersession, hereby notifies registered person, other than those referred to in sub-rules (2),
(3), (4) and (4A) of rule 54 of said rules, whose aggregate turnover in a financial year exceeds one
hundred crore rupees, as a class of registered person who shall prepare invoice and other prescribed
documents, in terms of sub-rule (4) of rule 48 of the said rules in respect of supply of goods or services
or both to a registered person.

2. This notification shall come into force from the 01st October, 2020.

[F. No. -GST]


(XXXXXXXXXXX)
Under Secretary to the Government of India

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Agenda Item 5A(xiv): Exemption for certain class of registered persons from capturing dynamic
QR code along with deferment of implementation of QR Code
Vide Notification No. 72/2019-Central Tax dated 13.12.2019 every registered person whose
aggregate turnover exceeds ₹500 Crores in a financial year, is mandatorily required to capture a
Quick Response (‘QR’) code on every tax invoice issued to unregistered customers i.e. for B2C
supplies, along with other mandatory fields required on such tax invoices with effect from 1st April,
2020.
2. The implementation of the said notification has incurred few hiccups. They are listed below
along with the proposal for solution to the said issues:
2.1. Certain class of taxpayers like an insurance or a banking company, a financial institutions,
non-banking financial institution, GTA, passenger transportation service providers and various other
taxpayers referred in sub rule (2), (3), (4) and (4A) of rule 54 of CGST Rules, 2017 who have been
authorized to issue a document in lieu of invoice, may find it very unfeasible and difficult to capture
dynamic QR code on their B2C invoices or on other document issued in lieu of invoice.
2.2. Further, National Payment Corporation of India (NPCI) was required to come up with detailed
guidelines for QR code generation. NPCI was also mandated to create awareness among the trade
about the implementation of QR code in B2C invoices. It has been bought to the notice that NPCI
hasn’t conducted any workshops/ awareness program in the trade on the said issue. In view of the
above, it is also proposed that an invitation to NPCI for the upcoming meeting of GST Council may
be sent to attend the meeting on the issue, so that they can present their roadmap for introducing the
QR code for B2C invoices.
2.3. The above issues were placed before Law Committee in its meeting held on 2nd March, 2020,
wherein committee has recommended for deferring the date of implementation of QR code along
with exemptions to aforesaid taxpayers from the requirement of having QR Code. Law Committee
also recommended for exemption of OIDAR from capturing dynamic QR code on their invoices.
3. In view of the above discussion, the following are proposed:
a) Exemption from the requirement of QR Code referred in sub rule (2), (3), (4) and
(4A) of rule 54 of CGST Rules, 2017
b) An invitation to NPCI for the upcoming meeting of GST Council, so that they can
present their roadmap for introducing the QR code for B2C invoices.
c) Exemption of OIDAR from capturing dynamic QR code on their invoices.
d) Deferring the date of implementation of QR code on B2C invoices to 1st October,
2020 now instead of 1st April,2020
4. Therefore, the agenda for requisite amendment of Notification No.70/2019 dated 13th
December, 2019 (Annexure A) in order to implement the proposals at para 3 above is placed before
GST Council for its approval.

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Annexure-A
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section(i)]
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
Notification No. XX/2020– Central Tax
New Delhi, the …March, 2020

G.S.R. …..(E).— In exercise of the powers conferred under sixth proviso to rule 46 of the Central Goods
and Services Tax Rules, 2017 (hereinafter referred to as the said rules), the Government, on the
recommendations of the Council, and in supersession of the notification of the Government of India in
the Ministry of Finance, Department of Revenue No. 72/2019 – Central Tax, dated the 13th December,
2019 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number
G.S.R…..(E), dated the 13th December, 2019, except as respects things done or omitted to be done
before such supersession, hereby notifies that an invoice issued by a registered person, whose aggregate
turnover in a financial year exceeds five hundred crore rupees, other than registered person referred to
in sub-rules (2), (3), (4) and (4A) of rule 54 of said rules, and registered person referred under section
14 of the Integrated Goods and Services Tax Act, 2017, to an unregistered person (hereinafter referred
to as B2C invoice), shall have Dynamic Quick Response code (QR):
(i)
(ii) Provided further that where such registered person makes a Dynamic Quick Response
(QR) code available to the recipient through a digital display, such B2C invoice issued by such
registered person containing cross-reference of the payment using a Dynamic Quick Response (QR)
code, shall be deemed to be having Quick Response (QR) code.
2. This notification shall come into force from the 1st day of October, 2020.

[F. No. -GST]

( )
Under Secretary to the Government of India




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Agenda Item 5A(xv): Agenda note for GST Council regarding extension of date of GSTR 3B filing
for the month of Jan, 2020 till 31st March 2020
It may be recalled that the Union Territory of Ladakh has been created under Jammu and
Kashmir Reorganisation Act, 2019 and a separate State Code “38” has been assigned to it in the
common portal. Accordingly, existing GSTINs in the erstwhile State of J&K having State Code “01”
located in Ladakh have been assigned new GSTINs having State Code “38” with effect from 1st Jan,
2020.
2. It was informed by GSTN that the data migration activity took time and first batch was
processed successfully on 7th Feb, 2020 and 14th Feb, 2020. In these two phases, only 1768 GSTINs
were processed. Remaining 1305 GSTINs of normal taxpayers and GSTINs of deductors could not be
processed due to failure of Batch. These GSTINs could be processed successfully on 28th Feb, 2020.
Subsequent to processing of all GSTINs, return filing functionality for GSTR- 3B has been enabled on
29th Feb, 2020.
3. As the due date for return filing for the tax period of Jan, 2020 is already over, the extension of
the due dates for the filing of returns is required to be given for the taxpayers of Ladakh to avoid levy
of late fee. The date may be extended to 20th March, 2020. Similar extension will be required for
FORM GSTR-1 and FORM GSTR-7.
4. The matter was deliberated in the Law Committee in its meeting on 2nd March, 2020, and it was
recommended that the due dates may be extended, as requested by GSTN. Implementation of the
decision would require issuance of notifications for extension of due dates for FORM GSTR-1, FORM
GSTR-3B and FORM GSTR-7 for the month of January, 2020.
5. Accordingly, the issue is placed before the GST Council for approval.
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Agenda Item 5A(xvi): Agenda note for GST Council regarding continuation of the existing system
of furnishing FORM GSTR-1 and FORM GSTR-3B till the month of September, 2020
Reference is invited to notification Nos. 44-46/2019-Central Tax, all dated 09.10.2019, vide
which the due dates for furnishing of details of outwards supplies under section 37 in FORM GSTR-1
has been extended and the return in FORM GSTR-3B has been prescribed for the period October, 2019
to March, 2020. Subsequently, notification Nos. 07/2020-Central Tax, dated 03.02.2020 was issued to
stagger the date of filing of return in FORM GSTR-3B for taxpayers having an aggregate turnover of
up to rupees five Crore in the previous financial year to the 22nd and the 24th of the succeeding month
for the months of January to March, 2020. The Law Committee, in its meeting held on 2nd March, 2020,
has deliberated on the issues arising out of the perceived delay in the implementation of the new return
system and accordingly, has recommended that the present return system of GSTR-1 / 3B may be
extended for 6 more months.
2. It is pertinent to mention here that, as per the provisions of sub-rule (5) of rule 61 of the CGST
Rules, 2017, the due date of FORM GSTR-1 is required to be extended for prescribing the furnishing
of FORM GSTR-3B. Accordingly, in order to prescribe the return under section 39 in FORM GSTR-
3B, the following notifications are required to be issued under the CGST Act:
• FORM GSTR-3B may continue to be filed monthly by all tax payers for the months April,
2020 onwards on or before the 20th of the month succeeding such month or in such
staggered manner as notified. Draft notification is enclosed as Annexure A.
• The due date for furnishing of details of outwards supplies in FORM GSTR-1 under
section 37 may be extended to 11th of succeeding month or such other date as may be
recommended for all the taxpayers or for specific class of taxpayers.
3. Accordingly, the issue is placed before the GST Council for further deliberation.

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Annexure A
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs

Notification No. __/2019 – Central Tax

New Delhi, the __ March, 2020
G.S.R...(E).- In exercise of the powers conferred by section 168 of the Central Goods and Services Tax
Act, 2017 (12 of 2017) (hereafter in this notification referred to as the said Act) read with sub-rule (5)
of rule 61 of the Central Goods and Services Tax Rules, 2017 (hereafter in this notification referred to
as the said rules), the Commissioner, on the recommendations of the Council, hereby specifies that the
return in FORM GSTR-3B of the said rules for each of the months from April, 2020 to September,
2020 shall be furnished electronically through the common portal, on or before the twentieth day of the
month succeeding such month:
Provided that, for taxpayers having an aggregate turnover of up to rupees five Crore in the
previous financial year, whose principal place of business is in the States of Chhattisgarh, Madhya
Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana or Andhra Pradesh or
the Union territories of Daman and Diu and Dadra and Nagar Haveli, Puducherry, Andaman and
Nicobar Islands and Lakshadweep, the return in FORM GSTR-3B of the said rules for the months of
April, 2020 to September, 2020 shall be furnished electronically through the common portal, on or
before the twenty-second day of the month succeeding such month:
Provided further that, for taxpayers having an aggregate turnover of up to rupees five Crore in
the previous financial year, whose principal place of business is in the States of Himachal Pradesh,
Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland,
Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand or Odisha or the Union
territories of Jammu and Kashmir, Ladakh, Chandigarh and Delhi, the return in FORM GSTR-3B of
the said rules for the months of April, 2020 to September, 2020 shall be furnished electronically through
the common portal, on or before the twenty-fourth day of the month succeeding such month.

2. Payment of taxes for discharge of tax liability as per FORM GSTR-3B. – Every registered person
furnishing the return in FORM GSTR-3B of the said rules shall, subject to the provisions of section 49
of the said Act, discharge his liability towards tax, interest, penalty, fees or any other amount payable
under the said Act by debiting the electronic cash ledger or electronic credit ledger, as the case may be,
not later than the last date, as specified in the first paragraph, on which he is required to furnish the said
return.
[F. No. 20/06__/__/2020-GST]
(_____ ______)
Under Secretary to the Government of India

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Agenda Item 5A(xvii): Transition Plan in view of merger of Union Territories of Dadra & Nagar
Haveli and Daman & Diu
The Ministry of Home Affairs (MHA), Government of India (GoI) proposed merger of the
existing UTs of Daman & Diu (hereinafter referred to as DD) and Dadra & Nagar Haveli (hereinafter
referred to as DNH) into a single Union Territory. Accordingly, the Dadra and Nagar Haveli and Daman
and Diu (Merger of Union Territories) Act, 2019, was passed by both houses of Parliament of India and
assented to by the President of India on 09.12.2019 and was notified as Act No. 44 of 2019. Further,
vide Notification No. 01/2020 dated 24th January, 2020, Govt. of India notified the appointed date for
merger of the UT of DNH and UT of DD as 26th January, 2020.
2. Following are the changes that are required in view of the merger of UTs:
(a) Migration of old GSTINs which are getting merged with new UT code 26,
(b) Payment, Cash Ledger, Settlement Ledger, Return Dashboard and other changes,
(c) Back Office related changes under Scrutiny, Assessment, Refund, Appeal, Adjudication,
Enforcement, Recovery, BO login etc.
(d) Offline Templates/ Utilities related changes,
(e) Changes on account of other Stakeholders like Accounting Authorities, Banks, Pr. CCA etc.

3. In view of the above, it is proposed that a special procedure is required to be formulated and
the same has to be notified under section 148 of the Act to address the aforesaid difficulties faced by
the taxpayers of merged UT of DNH & DD. A proposed special procedure has been drawn up in lines
with the special procedure formulated earlier for the reorganization of Jammu and Kashmir, and the
same is placed below:
• There shall be a transition date to be decided in consultation with GSTN - tentatively
01.04.2020. The state code of DNH shall continue to remain the state code for the combined
UT of DDDNH. The period between 26.01.2020 to the transition date shall be called the
intervening period.
• Tax period for January will be 01.01.2020 to 26.01.2020
• Tax period for February will be 27.01.2020 to 29.02.2020
• On the transition date, all the registrations in the erstwhile UT of Daman and Diu be functionally
limited to undertake compliance only till the month of March, 2020.
• Taxpayers who want to get registered separately in DD (i.e. those who want to have multiple
registrations in the new UT or those who did not have registration in the erstwhile UT of DNH)
are required to take a registration under the new code (which shall be the code of erstwhile
DNH). Those having registration in both the UTs before the transition date may choose not to
take a registration under DDDNH
• All new registrations in the intervening period to be given in the UT code of DDDNH
• In the intervening period, all transactions from erstwhile UT of DD to DNH, and vice-versa
shall be leviable to CGST/UTGST. However, such transactions were earlier leviable to IGST,
and in the absence of GSTIN under a separate code, the system would not allow showing of
CGST/UTGST. Therefore, irrespective of what is charged on the invoices, while filing the
returns, tax is to be paid in the correct head.
• For those in erstwhile choosing to take a new registration in DDDNH, after filing of the return
for Jan, 2020, the ITC balance shall be passed on to the new registration (automatically in the
backend system).
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• For those having separate registrations in both the erstwhile UTs of DD and DNH, upon
intimation to the jurisdictional officers of both the erstwhile UTs, and upon filing of the return
for the period of January, 2020 for the erstwhile UT of DD, the balance in the electronic credit
ledger shall be allowed to be moved to the registration in erstwhile DNH.
5. In order to address the issue, it is proposed to create a special procedure for such taxpayers in
consultation with all the various stakeholders. The matter was deliberated in the Law Committee in its
meeting on 02.03.2020, and the Law Committee recommended that the system may be devised by
GSTN in consultation with all the stake holders. Implementation of the special procedure would require
issuance of notification under section 148 of the CGST Act, 2017 and corresponding notification under
the respective SGST Acts of the States.
6. Accordingly, the Agenda Note has been prepared along with a draft notification to implement
the special procedure (Annexure - A).
7. Accordingly, the issue is placed before the GST Council for approval.

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Annexure A
To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
Notification No. xx/2019 – Central Tax
New Delhi, the xxth February, 2020
G.S.R......(E). - In exercise of the powers conferred by section 148 of the Central Goods and Services
Tax Act, 2017 (12 of 2017), read with sub-section (2) of section 23 of the said Act, the Government,
on the recommendations of the Council, hereby notifies those persons whose principal place of business
or place of business lies in the erstwhile Union territory of Daman and Diu or in the erstwhile Union
territory of Dadra and Nagar Haveli till the 26th day of January, 2020; and lies in merged Union territory
of Daman and Diu and Dadra and Nagar Haveli from the 27th day of January, 2020 onwards, as the
class of persons who shall follow the following special procedure till the 31st day of March, 2020
(hereinafter referred to as the transition date), as mentioned below.
2. The said registered person shall,:–
(i) ascertain the tax period as per sub-clause (106) of section 2 of the said Act for the
purposes of any of the provisions of the said Act for the month of January, 2020 and
February, 2020 as below:
(a) January, 2020: 1st January, 2020 to 26th January, 2020;
(b) February, 2020: 27th January, 2020 to 29th February, 2020;
(ii) irrespective of the particulars of tax charged in the invoices, or in other like documents, raised
from 27th January, 2020 till the transition date, pay the appropriate applicable tax in the return
under section 39 of the said Act;
(iii) taxpayers who have registered Goods and Services Tax Identification Number (GSTIN) in
the erstwhile Union territory of Daman and Diu and the erstwhile Union territory of Dadra and
Nagar Haveli till the 26th day of January, 2019 shall have an option to transfer the balance
of input tax credit (ITC) after the filing of the return for January, 2020, from the registered
Goods and Services Tax Identification Number (GSTIN) in the erstwhile Union territory of
Daman and Diu to the registered GSTIN in the new Union territory of Daman and Diu and
Dadra and Nagar Haveli by following the procedure as below:
(a) the said class of persons shall intimate the jurisdictional tax officer of the
transferor and the transferee regarding the transfer of ITC, within one month of
obtaining new registration;
(b) the ITC shall be transferred on the basis of the balance in the electronic credit
ledger upon filing of the return in the erstwhile Union territory of Daman and Diu, for
the tax period immediately before the transition date;
(c) the transfer of ITC shall be carried out through the return under section 39 of the
said Act for the tax period immediately before the transition date and the transferor
GSTIN would be debiting the said ITC from its electronic credit ledger in Table
4(B)(2) of FORM GSTR-3B and the transferee GSTIN would be crediting the equal
amount of ITC in its electronic credit ledger in Table 4(A)(5) of FORM GSTR-3B.
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3. The balance of Union territory taxes in electronic credit ledger of the said class of persons,
whose principal place of business lies in the Union territory of Daman and Diu from the 26th
day of January, 2020, shall be transferred as balance of Union territory tax in the electronic credit ledger.
4. The provisions of clause (i) of section 24 of the said Act shall not apply on the said class of persons
making inter-State supplies between the erstwhile Union territories of Daman and Diu and the
erstwhile Union territories of Daman and Diu from the 27th day of January, 2020, till the transition
date.
[F. No. 20/06__/__/2020-GST]

(_____ ______)
Under Secretary to the Government of India


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Agenda Item 5A(xviii) Deferring e-Wallet scheme and extending duty exemption for exporters.
GST Council in its 22nd Meeting held on 06.10.2017 had approved proposals to prevent cash
blockage of exporters due to upfront payment of GST on inputs, raw materials etc. One component of
the solution was to exempt upto 31.03.2018 the IGST and Compensation Cess payable on the imports
made by the holders of Advance Authorization holders (AA)/ Export Promotion Capital Goods (EPCG)
licenses and EOUs. It was also decided that the long term permanent solution was to implement an ‘e-
Wallet’ scheme so that exporters could pay the GST by using the ‘amounts’ in their e-Wallets. An ‘e-
Wallet Group’ chaired by Chairman, GSTN and including officers of the Central and State
Governments was constituted on 16.12.2017 to recommend an e-Wallet scheme. While work was going
on the proposed e-Wallet scheme, the aforementioned exemptions were extended from time to time and
are presently available upto 31.03.2020.

2. The e-Wallet group has identified various inter-dependencies between the e-wallet scheme and
new return system which is to be introduced w.e.f. 01.04.2020. Once implemented, the Returns will
take time to stabilize. An additional system burden by way of superimposition of e-wallet architecture
on the same may lead to further destabilization of the new return implementation. Thus, the proposed
e-Wallet scheme would need to be deferred till then. At the same time, tax exemptions on imports under
AA/EPCG and EOU scheme are expiring on 31.03.2020, which is causing uncertainty to exporters. In
this background the present agenda note is placed before the GST Council for deliberation and approval
of following proposals:
(a) Extension of the time to finalize the e-Wallet scheme upto 31.03.2021, and
(b) Extension of the present exemptions from IGST and Cess on the imports made under the
AA/EPCG/EOU schemes upto 31.03.2021.

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Agenda Item 5B: Deliberations of the Law Committee in the matter of the representation by
Construction Federation of India on the orders of the Hon’ble High Court of Delhi
On the basis of the Order dated 31.5.19 of the Hon’ble High Court of Delhi (enclosed as
Annexure A) in Writ Petition No. 6536 of 2019 by M/s Hindustan Construction Company Limited, the
Law Committee in its meeting held on 20th – 21st January 2020 has deliberated on the contents of the
representation dated 06.11.18 of Construction Federation of India. The recommendations of the Law
Committee are placed before the Council (enclosed as Annexure B).
2. The Hon’ble High Court of Delhi has directed that representation dated 06.11.18 made by
Construction Federation of India may be considered by the GST Council and a decision be taken
thereon. The Hon’ble High Court of Delhi has directed that a copy of the decision of the GST Council
be placed before the Court on the next date of the Court.
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Annexure A

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Annexure B
1. Issue: - Restricting reversal of Input Tax Credit with interest in case of non-payment within
180 days only for MSME Vendors (Section 16(2) of CGST Act)
Decision of the Law Committee: - The matter was reconsidered in detail and it was felt that
this restriction should be maintained in its present form and should not be relaxed for any
particular class of taxpayers.
2. Issue: - Inter-state movement of construction equipment other than on the wheels from one
branch to another to be treated as non-supply in lines with Circular no. 21/21/2017- GST dated
22.11.2017. CFI has represented that equipment like concrete mix plant, cable cranes, crawler
cranes, generators, transformers, tunnel-boring machines, piling rigs, etc. are also construction
equipments but have been overlooked as they are not equipments on wheels. It has been
represented that these equipments are required to be moved from one state to another for
executing projects and that these equipments need to be treated at par with rigs, tools and spares
and all goods on wheels (like cranes). They have also enclosed a detailed list of such equipments
along with their representation.
Decision of the Law Committee: - Law Committee was of the view that the previous decision
was taken in the context of “goods” which are largely in the nature of mode of conveyances
and all capital equipments are not of this nature. It was further felt that it is difficult to
distinguish capital equipments from other goods that may be moved by such construction
companies and trying to create an artificial distinction may lead to disputes as also misuse
potential. Therefore, this proposal may not be agreed to.
3. Issue: - CFI has requested to allow refund of input tax credit of input services also in case of
inverted duty structure by making amendments in section 54(3)(ii) of CGST Act, 2017 and rule
89(5) of CGST Rules, 2017.
Decision of the Law Committee: - The matter was reconsidered in detail and it was felt that
this restriction should be maintained in its present form since the refund concept and its details
built in the GST Law was the outcome of a conscious decision taken after due deliberations in
the Council.
4. Issue: - Request has been made to notify effective date for applicability to sub-contractors
retrospectively from 22.08.2017 instead of 25.01.2018 for the notification no. 20/2012-
Integrated Tax (Rate) dated 22.01.2018 wherein rate was reduced to 12% for composite supply
of works contract.
Decision of the Law Committee: - It has been the consistent stand of the Council that no
retrospective amendments in rates may be made, except in the rarest of rare circumstances.
5. Issue: - Request has been made that GST may not to be payable on Advance received for supply
of Services. Request has been made that the provisions should be made similar to that applicable
for Goods (notification no. 66/2017-Central Tax dated 15.11.2017) in order to maintain equity,
avoid financial burden and unwarranted disputes. Alternatively, request has been that the
recipient may be allowed to take ITC against receipt voucher.
Decision of the Law Committee: - The matter was deliberated in all its aspects and it was felt
that the concept of tax on advance payment is among the best practices in GST internationally
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and it should not be abandoned. It was further observed that payment was an important
landmark at least in the case of services which testifies to the actual supply of the service.
6. Issue: - To allow JVs formed by construction companies to treat advances received from project
authorities as ‘transaction in money’ and not liable to GST.
Decision of the Law Committee: - From the facts available to the Committee it was felt that
in the instant case there is a supply of services by the different members of the JV to the JV and
vice versa since the members and the JV are distinct legal entities. Therefore, the impugned
further distribution of advance is not a transaction in money but is to be treated at par with
receipt of advance in the normal case of business of supply of services.
7. Issue: - To include adequate provisions in the IGST Act so that the benefit of zero rated supply
be extended to sub-contractors providing supply of goods/services to SEZ Units/ Developers,
and to enable sub-contractor to supply goods/services without payment of GST, the LUT issued
in favour of the principal contractor be allowed to be utilized by sub-contractor for the
exemption goods/services.
Decision of the Law Committee: - In terms of the proviso to the section 16 of the IGST Act,
only supplies to SEZ units and developers are zero rated and such zero rating does not extend
to their contractors/sub-contractors.

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Agenda Item 6: Creation of the State and Area Benches of the Goods and Services Tax
Appellate Tribunal (GSTAT) for the State of Uttar Pradesh
The Chapter XVIII of the CGST Act,2017 provides for the Appeal and Review Mechanism for
dispute resolution under the GST Regime. Section 109 of this Chapter under CGST Act empowers the
Central Government to constitute, on the recommendation of Council, by notification, with effect from
such date as may be specified therein, an Appellate Tribunal known as the Goods and Services Tax
Appellate Tribunal for hearing appeals against orders passed by the Appellate Authority or by the
Revisional Authority. The law envisages constitution of National Bench/Regional Benches and the State
Bench/Area Benches.
2. Sub section (6) of section 109 of the CGST Act reads as under:
(6) The Government shall, by notification, specify for each State or Union territory except for the
State of Jammu and Kashmir, a Bench of the appellate Tribunal (hereafter in this Chapter, referred to
as “State Bench”) for exercising the powers of the Appellate Tribunal within the concerned State or
Union territory:
Provided that for the State of Jammu and Kashmir, the State Bench of the Goods and Services Tax
Appellate Tribunal constituted under this Act shall be the State Appellate Tribunal constituted under the
Jammu and Kashmir Goods and Services Tax Act, 2017:
Provided further that the Government shall on receipt of a request from any State Government,
constitute such number of Area Bunches in that State, as may be recommended by the Council:
Provided also that the Government shall, on receipt of a request from any State, or on its own motion
for a Union territory, notify the Appellate Tribunal in a State to act as the Appellate Tribunal for any
other State or Union territory, as may be recommended by the Council, subject to such terms and
conditions as may be prescribed.
3. While the proposal of states and UTs for creation of State and Area Benches of Goods and
Services Tax Appellate Tribunal was considered in the 35th and 37th meeting of the GST Council, the
proposal for the State of Uttar Pradesh could not be considered as the Hon’ble High Court of Allahabad,
Lucknow Bench had quashed the proposal of State Government for setting up of State Bench in
Allahabad and 4 Area benches in Ghaziabad, Lucknow, Varanasi and Agra. The Department of Revenue
has proposed to file SLP against the said judgment of the Allahabad high Court, Lucknow Bench.
4. Hon’ble High Court of Allahabad vide its judgement dated 16.01,2020 in Writ Tax No. 942 of
2018 has inter-alia directed that the issue of creation of GSTAT Benches for the state of Uttar Pradesh
be taken up by the Central Government as well as the GST Council, as expeditiously as possible.
5. Accordingly, proposal for creating State Bench of Good and Services Tax Appellate Tribunal
for the State of Uttar Pradesh in Allahabad and 4 Area Benches in Ghaziabad, Lucknow, Varanasi and
Agra is placed before GST Council for consideration.
Enclosed: Annexure A (for reference)
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Annexure A

The details of GSTAT benches at National/Regional and State/Area level
The GST Council has considered and recommended creation of GSTAT benches at
National/Regional and State/Area level in its different meetings, which are briefed as below:
I. 28th meeting of the GST Council on 21.07.2018:
(i) Constitution of Goods and Services Tax Appellate Tribunal (GSTAT); and
(ii) Creation of National Bench of GST Appellate Tribunal at New Delhi and three Regional
Benches at Mumbai, Chennai and Kolkata.
(iii) Union Cabinet approved creation of National Bench of the GST Appellate Tribunal at New
Delhi. Subsequently, National Bench at New Delhi was notified vide Notification No. S.O.
1359(E)—[No. 1/2019, [F.No. A.50050/99/2018-Ad.1C(CESTAT)] dated 13-03-2019 issued
by Department of Revenue.
(iv) The Rules for the GSTAT, namely, The Goods and Services Tax Appellate Tribunal
(Appointment and Conditions of Service of President and Members) Rules, 2019 were notified
by Central Government vide notification No. G.S.R. 584(E)- [F.No. A.50050/99/2018-
Ad.1C(CESTAT)] dated 21.08.2019.
II. 35th meeting of the GST Council on 21.06.2019:
(i) Creation of State/Area bench as per requests received from States.
(ii) Constitution of Jammu & Kashmir GST Appellate Tribunal in terms of proviso to Section
109(6) of the CGST Act, 2017.
The State and Area bench as per above recommendations, notified vide Notification No. S.O.
3009(E)— [F.No. A.50050/150/2018-Ad.1C(CESTAT)] dated 21-08-2019 issued by
Department of Revenue, as under:

Sl.
No.
Name of States/Union Territory Location for State Bench Location for Area Bench
1. Andhra Pradesh Vijayawada Vishakhapatnam and Tirupati
2. Assam Guwahati No bench
3. Bihar Patna -do-
4. Chhattisgarh Atal Nagar Raipur -do-
5. Delhi New Delhi -do-
6. Goa Panaji -do-
7. Gujarat Ahmedabad Surat and Rajkot
8. Haryana Hisar No bench
9. Himachal Pradesh Shimla -do-
10. Jharkhand Ranchi -do-
11. Karnataka Bengaluru -do-
12. Kerala Thiruvananthapuram -do-
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13. Maharashtra Mumbai Pune and Nagpur
14. Odisha Cuttack No bench
15. Puducherry Pondicherry -do-
16. Punjab Chandigarh -do-
17. Tamil Nadu Chennai -do-
18. Telangana Hyderabad -do-
19. Tripura Agartala -do-
20. Uttarakhand Dehradun No bench
21. West Bengal Kolkata Two Area Benches at Kolkata
22. Arunachal Pradesh
Common State Bench of GSTAT at Guwahati, Assam
23. Manipur
24. Nagaland
25. Sikkim
UTs (without legislature)
26. Andaman & Nicobar State Bench of West Bengal (Kolkata)
27. Dadra & Nagar Haveli State Bench of Maharashtra (Mumbai)
28. Daman & Diu State Bench of Maharashtra (Mumbai)
29. Lakshadweep State Bench of Kerala (Ernakulam)
30. Chandigarh State Bench of Punjab (Chandigarh)
III. 37th meeting of the GST Council on 20.09.2019:
Creation of State/Area bench for following States as per requests received from States:
Sl.
No.
Name of States/ Union
Territory
Location for State
Bench
Location for Area Bench
1. Meghalaya Shillong No bench
2. Mizoram Aizawl -do-
3. Rajasthan Jaipur Jodhpur
4. Karnataka Two Area benches at Bengaluru

IV. 38th meeting of the GST Council on 18.12.2019:
Creation of State/Area bench for following States as per requests received from States:
Sl.
No.
Name of States/ Union
Territory
Location for State Bench
1. Madhya Pradesh Indore
2. Meghalaya
Guwahati* (*request from the Govt. of Meghalaya to club State
Bench of Assam at Guwahati instead of earlier proposal at
Shillong)
3. Punjab
Ludhiana* (* the Govt. of Punjab has requested to change the
State Bench of Punjab to Ludhiana instead of Chandigarh)

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Agenda Item 7: Quarterly Report of the NAA (National Anti-profiteering Authority) for the
quarter October to December 2019 for the information of the Council
In terms of provisions of clause (iv) of Rule 127 of the CGST Rules 2017, National Anti-
Profiteering Authority (NAA) is required to furnish a performance report to the GST Council by 10th
of the closing of each quarter. Anti-profiteering provisions are contained under Section 171 of the CGST
Act, 2017 which empowers NAA to determine as to whether benefit of reduced rate of tax or the Input
Tax Credit (ITC) has been passed on to the recipient by way of commensurate reduction in the prices
and in case of failure, NAA may order reduction in prices, commensurate benefit to recipient, impose
penalty and cancel registration, in suitable cases.
2. Anti-profiteering mechanism under GST is a multi-tier mechanism. The methodology of
examination of the complaints to determine profiteering is as under:
i. State Level Screening Committee (SLSC) examines State level complaint and recommends to
the Standing Committee (SC);
ii. SC, in addition to complaints recommended by SLSC, also receives complaint directly in respect
of suppliers having pan India or presence in more than one State/UT;
iii. SC examines and sends recommendation to the DG, Anti-profiteering (DGAP).
iv. DGAP then completes investigation, within a period of 3 months, and furnishes a report of its
findings to NAA.
v. Based on the report from DGAP, NAA determines all aspects relating to profiteering, passes its
order regarding reduction in prices; return of amount to recipient; imposition of penalty; and
cancellation of registration.

3. Accordingly, the performance report of anti-profiteering at various levels for the 3rd quarter
ending December, 2019 of Financial Year 2019-20 at various levels, is as under:

3.1. Performance of National Anti-Profiteering Authority:

Opening
Balance
No. of Investigation
Reports received
from DGAP during
the quarter
Disposal of Cases (during Quarter) Closing
Balance Total Disposal
during quarter
No. of cases
Where
Profiteering
established
No. of cases
Where
Profiteering not
established
No. of cases
referred back
to DGAP
84
36 46 31 02 13

74
3.2. Performance of DG (Anti-profiteering):
Opening
Balance
(No.
of
cases)
Receipt Category of cases received Disposal Mode of disposal of cases Closing
Balance
(No. of
cases)
Construtio
n Services
FMC
G
Restauran
t
Services
Cinem
a
Others Report to
NAA
confirming
profiteerin
g
Report to
NAA for
closure
action
61 55 41 4 3 6 1 25 24 1 91

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3.2 Performance report of the Standing Committee on Anti-profiteering:
Opening Balance
(No. of cases)
Receipt Disposal Closing Balance (No. of
cases)

40

232

155

117

3.3 Performance report from the State Level Screening Committee:
Opening
Balance (No.
of cases)
Receipt Disposal Closing
Balance (No.
of cases)
Cases referred to
Standing Committee
Cases Rejected

81

226

177

67

63

Note: A detailed performance of each State Level Screening Committee is enclosed at Annexure
“A”.

4. During this quarter, Outreach Programmes and Zonal review meetings have been convened
by the Chairman and the Technical Members of NAA as follows:

I. Chandigarh on 1st November, 2019
II. Mumbai on 2nd November, 2019
III. Guwahati on 14th November, 2019
IV. Shillong on 16th & 17th November, 2019
V. Kolkata on 18th November, 2019

5. Accordingly, the 3rd quarterly report of the National Anti-profiteering Authority for the period
from October to December 2019 is placed before the GST Council.

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Annexure A
Performance Report from the State Level Screening Committee -Quarter October -
December 2019
October to December, 2019
S.No. States R/NR OB R Disposal CB
SC R
1 Andhra Pradesh ✓ 7 4 4 3 4
2 Arunachal Pradesh ✓ 0 0 0 0 0
3 Assam ✓ 0 0 0 0 0
4 Bihar ✓ 3 3 1 5 0
5 Chhattisgarh ✓ 0 0 0 0 0
6 Goa ✓ 0 0 0 0 0
7 Gujarat ✓ 6 2 2 0 6
8 Haryana ✓ 0 44 39 5 0
9 Himachal Pradesh X
10 Jammu and Kashmir ✓ 0 0 0 0 0
11 Jharkhand ✓ 4 1 2 3 0
12 Karnataka ✓ 7 28 28 5 2
13 Kerala X
14 Madhya Pradesh ✓ 18 8 0 22 4
15 Maharashtra ✓ 9 28 34 0 3
16 Manipur ✓ 0 0 0 0 0
17 Meghalaya ✓ 0 0 0 0 0
18 Mizoram ✓ 0 0 0 0 0
19 Nagaland ✓ 0 0 0 0 0
20 NCT of Delhi ✓ 10 33 17 19 7
21 Odisha X
22 Puducherry ✓ 0 0 0 0 0
23 Punjab X
24 Rajasthan ✓ 5 4 7 1 1
25 Sikkim ✓ 0 0 0 0 0
26 Tamil Nadu ✓ 4 0 0 0 4
27 Telangana ✓ 0 25 7 4 14
28 Tripura ✓ 0 0 0 0 0
29 Uttar Pradesh ✓ 4 45 36 0 13
30 Uttarakhand ✓ 4 1 0 0 5
31 West Bengal X
26 81 226 177 67 63







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Active SLSCs (where receipt & disposal being done timely)
Inactive SLSCs (where disposal not commensurate with receipts)
States giving NIL receipts & disposal
States from where reports are not received

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Agenda Item 8: Deemed ratification of notifications, Circulars and Orders by the GST Council
In the 22nd meeting of the GST Council held at New Delhi on 06th October, 2017, it was decided
that the notifications, Circulars and Orders which are being issued by the Central Government with the
approval of the competent authority shall be forwarded to the GST Council Secretariat, through email,
for information and deemed ratification by the GST Council. Accordingly, in the 38th meeting held on
18th December, 2019, the GST Council had ratified all the notifications, Circulars, and Orders issued
before the 14th December, 2019.
2. In this respect, the following notifications, Circulars and Orders issued after 14th December,
2019 till 8th March, 2020 under the GST laws by the Central Government, as available on
www.cbic.gov.in, are placed before the Council for information and ratification: -
Act/Rules Type
Notification/Circular/O
rder Nos.
Description/Remarks
CGST
Act/CGS
T Rules
Central
Tax
1. Notification No.
73/2019 - Central
Tax dated
23.12.2019
Seeks to extend the last date for filing of FORM
GSTR-3B for the month of November, 2019 by
three days from 20.12.2019 till 23.12.2019
2. Notification No.
74/2019 - Central
Tax dated
26.12.2019
Seeks to waive late fees for non- filing of FORM
GSTR-1 from July, 2017 to November, 2019
3. Notification No.
75/2019 - Central
Tax dated
26.12.2019
Seeks to carry out changes in the CGST Rules,
2017
4. Notification No.
76/2019-Central Tax
dated 26.12.2019
Seeks to extend the due date for furnishing of
return in FORM GSTR-1 for registered persons
in Assam, Manipur or Tripura having aggregate
turnover more than 1.5 crore rupees for the month
of November, 2019
5. Notification No.
77/2019 - Central
Tax dated
26.12.2019
Seeks to extend the due date for furnishing of
return in FORM GSTR-3B for registered persons
in Assam, Manipur, Meghalaya or Tripura for the
month of November, 2019
6. Notification No.
78/2019 - Central
Tax dated
26.12.2019
Seeks to extend the due date for furnishing of
return in FORM GSTR-7 for registered persons
in Assam, Manipur or Tripura for the month of
November, 2019
7. Notification No.
01/2020-Central Tax
dated 01.01.2020
Seeks to bring into force certain provisions of the
Finance (No. 2) Act, 2019 to amend the CGST
Act, 2017.
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8. Notification No.
02/2020-Central Tax
dated 01.01.2020
Seeks to carry out changes in the CGST Rules,
2017.
9. Notification No.
03/2020-Central Tax
dated 01.01.2020
Seeks to amend the notification No. 62/2019 –
Central Tax dated 26.11.2019 to amend the
transition plan for the Union Territories of Jammu
& Kashmir and Ladakh
10. Notification No.
04/2020 - Central
Tax dated
10.01.2020
Seeks to extend the one-time amnesty scheme to
file all FORM GSTR-1 from July 2017 to
November, 2019 till 17th January, 2020.
11. Notification No.
05/2020 - Central
Tax dated
13.01.2020
Seeks to appoint Revisional Authority under
CGST Act, 2017.
12. Notification No.
06/2020-Central Tax
dated 03.02.2020
Seeks to extend the last date for furnishing of
annual return/reconciliation statement in FORM
GSTR-9/FORM GSTR-9C for the period from
01.07.2017 to 31.03.2018.
13. Notification No.
07/2020-Central Tax
dated 03.02.2020
Notification issued to prescribe due dates for
filing of return in FORM GSTR-3B in a staggered
manner.
14. Notification No.
08/2020 - Central
Tax dated
02.03.2020
Seeks to amend the CGST Rules, 2017 to
prescribe the value of Lottery


Central
Tax
(Rate)
1. Notification No.
27/2019 - Central
Tax (Rate) dated
30.12.2019
Seeks to further amend notification No. 01/2017
-Central Tax (Rate) to change the rate of GST on
goods as per recommendations of the GST
Council in its 38th meeting.
2. Notification No.
28/2019 - Central
Tax (Rate) dated
31.12.2019
To amend notification No. 12/ 2017 - Central Tax
(Rate) so as to exempt certain services as
recommended by GST Council in its 38th meeting
held on 18.12.2019.
3. Notification No.
29/2019 - Central
Tax (Rate) dated
31.12.019
To amend notification No. 13/ 2017 - Central Tax
(Rate) so as to notify certain services under
reverse charge mechanism (RCM) as
recommended by GST Council in its 38th meeting
held on 18.12.2019.
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4. Notification No.
01/2020 - Central
Tax (Rate) dated
21.02.2020
Seeks to amend notification No. 1/2017- Central
Tax (Rate) dated 28.06.2017 so as to notify rate
of GST on supply of lottery.
UTGST
Act
Union
Territo
ry Tax
(Rate)
1. Notification No.
27/2019 - Union
Territory Tax (Rate),
dated 30.12.2019
Seeks to further amend notification No. 01/2017-
Union Territory Tax (Rate) to change the rate of
GST on goods as per recommendations of the
GST Council in its 38th meeting.
2. Notification No.
28/2019 - Union
Territory Tax (Rate),
dated 30.12.2019
To amend notification No. 12/2017- Union
Territory Tax (Rate) so as to exempt certain
services as recommended by GST Council in its
38th meeting held on 18.12.2019.
3. Notification No.
29/2019 - Union
Territory Tax (Rate),
dated 30.12.2019
To amend notification No. 13/2017-Union
Territory Tax (Rate) so as to notify certain
services under reverse charge mechanism (RCM)
as recommended by GST Council in its 38th
meeting held on 18.12.2019.
4. Notification No.
01/2020 - Union
Territory Tax (Rate)
dated 21.02.2020
Seeks to amend notification No. 1/2017-Union
Territory Tax (Rate) dated 28.06.2017 so as to
notify rate of GST on supply of lottery.
IGST Act
Integra
ted Tax
1. Notification No.
01/2020 - Integrated
Tax dated
01.01.2020
Seeks to bring into force certain provisions of the
Finance (No. 2) Act, 2019 to amend the IGST
Act, 2017
Integra
ted Tax
(Rate)
1. Notification No.
26/2019 - Integrated
Tax (Rate) dated
30.12.2019
Seeks to further amend notification No. 01/2017-
Integrated Tax (Rate) to change the rate of GST
on goods as per recommendations of the GST
Council in its 38th meeting.
2. Notification No.
27/2019 - Integrated
Tax (Rate) dated
31.12.2019
To amend notification No. 9/2017- Integrated
Tax (Rate) so as to exempt certain services as
recommended by GST Council in its 38th meeting
held on 18.12.2019.
3. Notification No.
28/2019 - Integrated
Tax (Rate) dated
31.12.2019
To amend notification No. 10/2017 - Integrated
Tax (Rate) so as to notify certain services under
reverse charge mechanism (RCM) as
recommended by GST Council in its 38th meeting
held on 18.12.2019.
4. Notification No.
01/2020 - Integrated
Seeks to amend notification No. 1/2017 -
Integrated Tax (Rate) dated 28.06.2017 so as to
notify rate of GST on supply of lottery.
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Tax (Rate) dated
21.02.2020
Circulars
Under
CGST
Act,
2017
1. Circular No.
128/47/2019 dated
23.12.2019
Generation and quoting of Document
Identification Number (DIN) on any
communication issued by the officers of the
CBIC to tax payers and other concerned persons.
2. Circular No.
129/48/2019 dated
24.12.2019
Standard Operating Procedure to be followed in
case of non-filers of returns
3. Circular No.
130/49/2019 dated
31.12.2019
Reverse Charge Mechanism (RCM) on renting of
motor vehicles.
4. Circular No.
131/1/2020 dated
23.01.2020
Standard Operating Procedure (SOP) to be
followed by exporters
Removal
of
Difficulty
Order
Under
CGST
Act,
2017
1. Order No. 10/2019 -
Central Tax dated
26.12.2019
Seeks to extend the last date for furnishing of
annual return/reconciliation statement in FORM
GSTR-9/FORM GSTR-9C for F.Y. 2017-18 till
31.01.2020
Order
Under
CGST
Act,
2017
1. Order No. 01/2020-
GST dated
07.02.2020
Extension of time limit for submitting the
declaration in FORM GST TRAN-1 under rule
117 (1A) of the Central Goods and Service Tax
Rules, 2017 in certain cases

3. The GST Council may grant deemed ratification to the notifications, Circulars and Orders as
detailed above.




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Agenda Item 9: Decisions of the GIC Implementation Committee (GIC) for information of the
GST Council
The GST Implementation Committee (GIC) took certain decisions between 19th December
2019 and 13th March 2020. Due to the urgency involved, decisions were taken after obtaining approval
by circulation amongst GIC members. The details of the decisions taken are given below:
Decision by Circulation – 23rd December 2019
2 The proposal before the GIC related to the extension of the last date for filing FORM GSTR-
3B for month of November, 2019 from 20th December, 2019 to 23rd December 2019.
2.1 It was noticed from media and news reports that the economic activity including FORM
GSTR-3B filing had got impacted in several States on account of blockage of internet services in view
of the prevailing law and order situation.
2.2. It was also informed by CEO GSTN, that several taxpayers from different States, where internet
services had been disrupted on 19th & 20th December, 2019 (primarily Rajasthan, Assam and Uttar
Pradesh), had been calling up GSTN Helpdesk and enquired about extension of due date for FORM
GSTR-3B for the month of November 2019.
2.3 In view of the above, it was felt that the due date for filing return in FORM GSTR-3B for the
month of November, 2019 for all taxpayers may be extended to 23rd December, 2019. Further, due to
the urgency of the situation, the due date was already extended on the common portal to 23.12.2019 on
21.12.2019 (Saturday).
2.4. Accordingly, the agenda note was placed before the GIC for post-facto approval of the above
proposal by the GIC. The GIC approved the proposal to extend the due date for filing of FORM GSTR-
3B for the month of November 2019. Accordingly, implementing Notification No. 73/2019–Central
Tax dated 23.12.19 was issued.
Decision by Circulation – 30th December 2019
Agenda Item 1 – Issuance of notification to implement the transition plan for J&K under GST:
Amendments in notification No. 62/2019– Central Tax dated 26th November, 2019
3. The proposal before the GIC was issuance of notification to implement the transition plan for
J&K under GST by amending notification No. 62/2019– Central Tax dated 26.11.19. It was mentioned
in the agenda that on the recommendation of the Council, notification No. 62/2019 – Central Tax dated
26th November, 2019 was issued. The said notification specified a special procedure to be followed by
taxpayers in the erstwhile State of J&K and UT of Ladakh till the transition date (i.e. 31.12.2019). In
the said transition plan notification, it was specified that the registration to be taken by the taxpayers
shall be completed by 31.12.2019 and the compliance for November, 2019 shall be under the new
registrations.
3.1. However, in a meeting held on 16.12.19, it was brought to notice by GSTN that the registrations
under the new State Code would be granted only from 01.01.2020; and meanwhile few of the taxpayers
with principal place of business in Ladakh (for whom a new State Code was to be generated) have
already filed returns for the month of November, 2019 under the earlier registration code.
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3.2. Therefore, a situation had occurred wherein few of the taxpayers who should ideally have filed
their returns for the months of November, 2019 under the new registration codes (GSTINs) had filed
under the old GSTINs, apparently in the absence of readiness of portal to allot new registration code.
3.3. Accordingly, necessary amendment in the notification No. 62/2019 – Central Tax dated the
26th November, 2019 would be required to ensure that effective date of registration for the class of
taxpayer under the said notification may be made as 01.01.2020. This would mean that the return for
the months of November, 2019 and December, 2019 would only be filed under the earlier GSTINs
under SGST J&K. Accordingly, certain amendments in the notification No. 62/2019 – Central Tax
dated the 26th November, 2019 were proposed.
3.4. The GIC approved the proposal to amend the notification No. 62/2019-Central Tax dated
26.11.19. Accordingly, implementing Notification No. 03/2020 – Central Tax dated 01.01.20 was
issued.
Agenda Item 2 – Proposal for amendment in CGST Rules, 2017
4. It was mentioned in the agenda that Law Committee in its meeting held on 11th and 12th
December, 2019, deliberated upon several issues and recommended changes in various provisions of
the Central Goods and Services Tax Rules, 2017. In addition to the changes in the CGST Rules, changes
in the FORMS were also recommended by the Law Committee. These are summarized as below:
a. Amendment to Rule 117
b. Amendment of FORM GST REG-01
c. Amendment of FORM GSTR-3A
d. Insertion of FORM GST INV-01
4.1. The GIC approved the proposal to amend the CGST Rules, 2017. It was also decided that the
States would also be required to make similar changes in rules or forms, as the case may be.
Accordingly, the implementing Notification No. 02/2020 – Central Tax dated 01.01.2020 was issued.
Decision by Circulation – 10 January 2020
5 The proposal before the GIC related to extension of amnesty from late fees on GSTR-1 for July
2017 to November 2019 from 10.01.2020 to 17.01.2020.

5.1 The Council in the 38th GST Council Meeting decided to provide an amnesty from late fee on
GSTR-1 for the period from July, 2017 to November, 2019, if filed by 10.01.2020. The response was
very encouraging and over 8 lakh GSTR-1s got filed on 09.01.2020 itself. Still over 3 Crore GSTR1s
were to be filed (down from 4.24 Crore as on 01.12.2020). Accordingly, with a view to encourage
taxpayers to file GSTR-1s and this reduce unmatched credit it was proposed to extend the date from
10.01.2020 to 17.01.2020.
5.2 Accordingly, the agenda note was placed before the GIC for approval. The GIC approved the
proposal regarding extension of amnesty from late fees on GSTR-1 for July 2017 to November 2019
from 10.01.2020 to 17.01.2020. Thus, implementing Notification No. 04/2020- Central Tax dated 10th
January 2020 was issued.


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Decision by Circulation – 14 January 2020
Agenda Item 1 - Amendment to IGST Act, UTGST Act and GST (Compensation to States) Act,
consequential to amendment in Section 172 of the CGST Act
6. It was mentioned that Agenda Note No. 6 (ii) placed before the GST Council in its 38th Meeting
held on 18.12.2019, inter-alia, amendment to section 172 of the CGST Act, 2017(Removal of
difficulties), as recommended by the Law Committee, was approved by the Council. In the said
amendment, it was proposed to substitute the word “three” by “five” in the proviso to sub-section (1)
of Section 172.
6.1. As a consequence, similar amendments were also required to be made in the corresponding
proviso of section 25 of IGST Act, 26 of UTGST Act and 14 of GST (Compensation to States) Act. It
was further brought to attention that the sections in each Act are independently applicable exclusively
to the provisions of respective Acts, but all the Acts are simultaneously applicable in the respective
jurisdictions of the centre and the States. Accordingly, the increase in time for issuance of removal of
difficulties order is required to be synchronised with Section 172 of CGST Act in the corresponding
sections in each of these allied Acts.
6.2. Accordingly, it was proposed that the word “three” may be substituted with “five” in Section
25(1) of IGST Act, Section 26(1) of UTGST Act and Section 14(1) of GST (Compensation to States)
Act.
6.3. The GIC approved the proposal to substitute the word ‘three’ with ‘five’ in section 25(1) of
IGST Act, Section 26(1) of UTGST Act and Section 14(1) of GST (Compensation to States) Act.
Agenda Item 2 - Amendment in the CGST Act and the UTGST Act, consequential to passing of
Dadra and Nagar Haveli and Daman and Diu (Merger of Union Territories) Act, 2019
7. It was mentioned in the agenda that Union Cabinet had approved the merger of the existing
UTs of Daman and Diu and Dadra and Nagar Haveli into a single Union Territory. Accordingly, the
Dadra and Nagar Haveli and Daman and Diu (Merger of Union Territories), Bill, 2019, was passed by
both Houses of Parliament of India and assented to by the President of India on 09.12.2019 and was
notified as Act No. 44 of 2019
7.1. The Government of India, Ministry of Home Affairs vide notification No. S.O. 4542 dated
19.12.2019, had appointed 26th January, 2020 as the date on which the provisions of the Dadra and
Nagar Haveli and Daman and Diu (Merger of Union Territories) Act, 2019 will come into force.
7.2. In view of the above, various amendments in the CGST Act, 2017 and the UTGST Act, 2017
were required to be carried out. The details of the amendments are as given below:

CGST Act, 2017:
Amendment of Section 2
(11 4) “Union territory” means the territory of—
(a) the Andaman and Nicobar Islands;
(b) Lakshadweep;
(c) Dadra and Nagar Haveli and Daman and Diu;
(d) Daman and Diu;
(e) Chandigarh; and
(f) other territory.
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Explanation.–For the purposes of this Act, each of the
territories specified in sub-clauses (a) to (f) shall be
considered to be a separate Union territory;
UTGST Act, 2017:
Amendment of Section 1
In sub-section (2) of Section 1 of the Union Territory
Goods and Services Tax Act, 2017 (No. 14 of 2017)
(hereinafter referred to as “the Principal Act” for the sake
of brevity), for the words “Dadra and Nagar Haveli,
Daman and Diu” the words “Dadra and Nagar Haveli and
Daman and Diu” shall be substituted.
UTGST Act, 2017:
Amendment of Section 2
(1) In sub-section (8) clause (iii) of the Principal Act, after
the words “Dadra and Nagar Haveli”, the words “and
Daman and Diu” shall be inserted;
(2) The sub-section (8) clause (iv) of the Principal Act, the
words “Daman and Diu” shall be omitted.

7.3. The GIC approved the proposals relating to amendments in the section 2(114) of the CGST
Act, 2017, and sections 1 and 2(8) of the UTGST Act, 2017
Decision by Circulation – 23 January 2020
The proposal before the GIC related to staggering of due dates for filing of returns in FORM
GSTR-3B.
8.1 There were reports in social media regarding difficulties faced by the taxpayers in filing their
returns during the period immediately before the due date. In the past also, such issues had cropped up
and to address the same, due date had been extended by 2-3 days on a few occasions. The issue was
discussed in detail with the GSTN Officials and considering the difficulties faced by trade and industry
in filing of returns, it was felt that the GST taxpayers be allowed to file their FORM GSTR-3B returns
in a staggered manner, to improve their filing experience.
8.2 In this regard, reference was invited to provisions of sub-section (5) of section 39 of the Central
Goods and Services Tax Act, 2017 (CGST Act, 2017), which are as under:
“Every registered non-resident taxable person shall, for every calendar month or part thereof, furnish,
in such form and manner as may be prescribed, a return, electronically, within twenty days after the
end of a calendar month or within seven days after the last day of the period of registration specified
under sub-section(1) of section 27, whichever is earlier.”.
As per the said provision, the due date for filing of returns in FORM GSTR-3B for every month is the
20th day of the next calendar month. However, it was noted that the taxpayers are free to file their
monthly returns anytime during the period 11th of the next month to the 20th of that month. Further, if
the taxpayers do not file their returns within the specified timelines, the provisions of late fees and
interest become applicable.
8.3 Further, sub-section (6) of section 39 provides that
“the Commissioner may, for reasons to be recorded in writing, by notification, extend the time limit for
furnishing the returns under this section for such class of registered persons as may be specified therein:
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Provided that any extension of time limit notified by the Commissioner of State tax or Union territory
tax shall be deemed to be notified by the Commissioner.”.
8.4 As such, different due dates could be provided for different classes of registered persons by
exercising powers under provisions of Section 39(6). As per the decision in the 37th Meeting of the GST
Council, the new return system was proposed to be implemented from the month of April, 2020 and
accordingly, the present GSTR-1/GSTR-3B system was expected to continue till the month of March,
2020. Accordingly, Notification No.44/2019 – Central Tax, dated the 09th October, 2019 had been
issued to specify the filing of returns in FORM GSTR-3B under the present GSTR-1/GSTR-3B.
8.5 In terms of discussions with GSTN and keeping the revenue concerns the proposal was detailed
as below:
(i) the due date for filing of GSTR-3B for the taxpayers having aggregate annual turnover
exceeding Rs. 5 crore in the previous financial year be maintained as 20th of the month
(ii) For the taxpayers having an aggregate turnover of up to Rs. 5 Crore in previous financial year,
having principal place of business in 15 States and Union Territories viz. Chhattisgarh, Madhya
Pradesh, Gujarat, Daman and Diu, Dadra and Nagar Haveli, Maharashtra, Karnataka, Goa,
Lakshadweep, Kerala, Tamil Nadu, Puducherry, Andaman and Nicobar Islands, Telangana and
Andhra Pradesh, the due date for filing GSTR-3B returns be extended by two days to 22nd of
the succeeding month. (This category would have around 49 lakh GSTR-3B filers)
(iii) For the taxpayers having an aggregate turnover of up to Rs. 5 Crore in previous financial year,
having principal place of business in the 22 States and Union Territories viz. Jammu and
Kashmir, Ladakh, Himachal Pradesh, Punjab, Chandigarh, Uttarakhand, Haryana, Delhi,
Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram,
Tripura, Meghalaya, Assam, West Bengal, Jharkhand and Odisha, the due date for filing GSTR-
3B returns be extended by four days to 24th of the succeeding month. (This category would
have around 46 lakh GSTR-3B filers).
8.6. Accordingly, the agenda note was placed before the GIC for approval. The GIC approved the
proposal to stagger due dates for filing of returns in FORM GSTR-3B. Accordingly, implementing
Notification No. 07/2020- Central Tax dated 3rd February 2020 was issued.
Decision by Circulation – 01 February 2020
The proposal before the GIC related to extension of due dates for filing of Annual returns /
Reconciliation Statement in FORM GSTR-9 / GSTR-9C for Financial Year 2017-18 in staggered
manner because of technical glitches.
9.1 There were reports in social media regarding difficulties faced by the taxpayers in filing their
annual returns during the period immediately before the due date of filing of Annual Return /
Reconciliation Statement for Financial Year 2017-18 in FORM GSTR-9 / GSTR-9C. In the past also,
issues regarding difficulties in filing of returns around the last date had been cropping up, and to address
the same, due date was extended on a few occasions. The due date for filing of Annual Return /
Reconciliation Statement in FORM GSTR-9 / GSTR-9C for Financial Year 2017-18 was last extended
to 31st January, 2020. The issue was discussed in detail with the GSTN Officials and considering the
difficulties faced by trade and industry in filing of returns, it was felt that if the GST taxpayers were
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allowed to file their Annual Return / Reconciliation Statement in FORM GSTR-9 / GSTR-9C for
Financial Year 2017-18 in a staggered manner for taxpayers located in a group of States/Union
Territories, their filing experience may improve.
9.2 As such, different due dates could be provided for different classes of registered persons by
exercising powers under provisions of sub-section (1) of section 44. In terms of discussions with GSTN
and keeping the revenue concerns the proposal for the extension of due dates and staggering was
detailed as below:
i. Group 1: Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Puducherry, Telangana, Andhra
Pradesh - 3rd February 2020;
ii. Group 2: Jammu and Kashmir, Ladakh, Himachal Pradesh, Punjab, Chandigarh, Uttarakhand,
Haryana, Delhi, Rajasthan, Gujarat - 5th February 2020;
iii. Group 3: Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura,
Meghalaya, Assam, West Bengal, Andaman & Nicobar Islands, Jharkhand, Odisha,
Chhattisgarh, Dadra and Nagar Haveli and Daman and Diu, Lakshadweep, Madhya Pradesh,
Uttar Pradesh - 7th February 2020.
9.3 Accordingly, the agenda note was placed before the GIC for approval. The GIC approved the
proposal to extend due dates for filing of Annual returns / Reconciliation Statement in FORM GSTR-9
/ GSTR-9C for Financial Year 2017-18 in staggered manner. Accordingly, implementing Notification
No. 06/2020- Central Tax dated 3rd February 2020 was issued.
Decision by Circulation – 12 February 2020
The proposal before the GIC related to issuance of notification to exempt requirement of
furnishing reconciliation Statement for some companies (foreign airlines) exempted under Companies
Act.
10.1 Law Committee in its meeting held on 20th & 21st January, 2020 deliberated on the
representation made by International Air Transport Association (IATA) to exempt the foreign airlines
from the requirement of furnishing reconciliation statement on lines similar to exemption given under
Companies Act, 2013.

10.2 Section 381 of the Companies Act, 2013 has provisions for the ‘Account of Foreign Company’
which reads as follows: -

“381. (1) Every foreign company shall, in every calendar year, —
(a) make out a balance sheet and profit and loss account in such form, containing such
particulars and including or having annexed or attached thereto such documents as
may be prescribed; and

(b) deliver a copy of those documents to the Registrar:
Provided that the Central Government may, by notification, direct that, in the
case of any foreign company or class of foreign companies, the requirements of clause
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(a)shall not apply, or shall apply subject to such exceptions and modifications as may
be specified in that notification.

(2) If any such document as is mentioned in sub-section (1) is not in the English language, there
shall be annexed to it a certified translation thereof in the English language.

(3) Every foreign company shall send to the Registrar along with the documents required to be
delivered to him under sub-section (1), a copy of a list in the prescribed form of all places of
business established by the company in India as at the date with reference to which the balance
sheet referred to in sub-section (1) is made out.”

10.3 It was seen from the above provision that the proviso of sub-section (1) empowered the Central
Government that, in the case of any foreign company or class of foreign companies, the requirement of
profit and loss account statement and balance sheet may be exempted or the requirement may apply
subject to such exceptions and modifications as may be notified.

10.4 Further, Government had provided some exemption vide S.O. 2463(E) dated 19.07.2016 to the
foreign airlines. As per the notification, requirement of profit and loss account statement and balance
sheet had been exempted, if a company submitted to the appropriate Registrar of Companies in India,
interalia -

(i) in respect of its Indian Business operations, a statement of receipts and payments for the financial
year, duly authenticated by a practicing Chartered Accountant in India or a firm or a Limited Liability
Partnership of practicing Chartered Accountants in India.

10.5 Law Committee deliberated on the agenda to provide exemption from requirement of furnishing
Reconciliation Statement in FORM GSTR-9C for all those companies which get exemption under
proviso of sub-section (1) of section 381 of the Companies Act, 2013 and instead submit documents laid
out in the exemption vide S.O. 2463(E) dated 19.07.2016 to the foreign airlines.

10.6 Law Committee in the said meeting made the following recommendations -

“Accepted the request made in the representation made by International Air Transport
Association (IATA) to exempt the foreign airlines from the requirement of furnishing reconciliation
statement subject to the condition that they have complied with the requirements of sub-rule (2) of rule
4 of the Companies (Registration of Foreign Companies) Rules, 2014 and the following document are
furnished by such entities: -
In respect of its Indian Business operations, a statement of receipts and payments for the
financial year, duly authenticated by a practicing Chartered Accountant in India or a firm or a Limited
Liability Partnership of practicing Chartered Accountants in India.”
10.7 Accordingly, recommendations of Law Committee were placed before the GIC for approval.
The GIC approved the proposal to exempt requirement of furnishing reconciliation Statement for some
companies (foreign airlines) exempted under Companies Act.

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Decision by Circulation – 21 February 2020
The proposal before the GIC related to amendment in Rule 31A of the CGST Rules to prescribe
the value of supply in case of lottery.
11.1 In the Agenda note reference was invited to the discussion in the 38th GST Council Meeting
held on 18.12.2019 wherein the issue of GST rate on lottery was decided. The Council decided to levy
a uniform rate of GST@28% on lottery. The existing dual rate of GST on lottery i.e. GST@12% on
lottery run by State Government and GST@28% on lottery authorized by State Government would be
replaced by a uniform rate of GST@28% on lottery. The Council also decided to notify uniform rate of
GST on lottery w.e.f 01.03.2020.

11.2 Consequent to the above decision, Rule 31A of CGST Rules needed amendment, so as to
remove the existing provisions relating to valuation of lottery on two types of lottery i.e. lottery run by
State Government and lottery authorized by State Government.

11.3 The Law Committee in its meeting on 17th and 18th February, 2020 deliberated and approved
the proposed amendments in Rule 31A. In order to implement the decisions of 38th GST Council on
GST rates of lottery by 01.03.2020, it was proposed to issue a notification for amendment in the CGST
Rules, 2017.
11.4 Accordingly, the agenda note was placed before the GIC for approval. The GIC approved the
proposal regarding amendment in Rule 31A of the CGST Rules to prescribe the value of supply in case
of lottery. Accordingly, implementing Notification No. 08/2020- Central Tax dated 3rd March 2020
was issued.
12. The decisions of the GIC are placed before the Council for infomration.
Agenda for 39th GSTCM Volume 1




Confidential





Agenda for
39th GST Council Meeting

14 March 2020


Volume – 2


Agenda for 39th GSTCM Volume 2
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Agenda for 39th GSTCM Volume 2
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File No: 119/39th GSTCM/GSTC/2020
GST Council Secretariat

Room No.275, North Block, New Delhi
Dated: 20th February 2020
Notice for the 39th Meeting of the GST Council scheduled on 14th March 2020
The undersigned is directed to refer to the subject cited above and to say that the 39th Meeting
of the GST Council will be held on 14th March 2020 at Hall No.2-3, Vigyan Bhawan, New Delhi. The
schedule of the meeting is as follows:
• Saturday, 14th March, 2020 : 11:00 AM onwards
2. In addition, an Officers’ Meeting will be held on 13th March, 2020 at Hall No.2-3, Vigyan
Bhawan, New Delhi as follows:
• Friday, 13th March, 2020 : 12:30 PM onwards
3. The agenda items for the 39th Meeting of the GST Council will be communicated in due course
of time.
4. Please convey the invitation to the Hon’ble Members of the GST Council to attend the Meeting.
(-Sd-)
(Dr. Ajay Bhushan Pandey)
Secretary to the Govt. of India and ex-officio Secretary to the GST Council
Tel: 011 23092653
Copy to:
1. PS to the Hon’ble Minister of Finance, Government of India, North Block, New Delhi with the
request to brief Hon’ble Minister about the above said meeting.
2. PS to Hon’ble Minister of State (Finance), Government of India, North Block, New Delhi with the
request to brief Hon’ble Minister about the above said meeting.
3. The Chief Secretaries of all the State Governments, Union Territories of Delhi, Puducherry and
Jammu and Kashmir with the request to intimate the Minister in charge of Finance/Taxation or any
other Minister nominated by the State Government as a Member of the GST Council about the above
said meeting.
4. Chairman, CBIC, North Block, New Delhi, as a permanent invitee to the proceedings of the Council.
5. Chairman, GST Network

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Agenda Items for the 39th Meeting of the GST Council on 14th March 2020
1. Confirmation of the Minutes of 38th GST Council Meeting held on 18th December 2019
2. Update by Infosys (through GSTN)
3. Review of Revenue Position
4. Issues recommended by the Fitment Committee for the consideration of the GST Council
(Recommendations by the Committee of Officers on Revenue Augmentation)
5. Issues recommended by the Law Committee for the consideration of the GST Council
A. Issues recommended by the Law Committee for the consideration of the GST Council
i. Taxability of ‘economic surplus’ earned by brand owners of alcoholic liquor for human
consumption
ii. Challenges faced in apportionment of ITC in cases of business reorganization under
section 18 (3) of CGST Act read with rule 41(1) of CGST Rules
iii. Issue regarding waiver of penalty and interest on previous period due to removal of pre-
import condition under Advance Authorization scheme
iv. Levy of interest under the provisions of section 50 of the CGST Act, 2017 for delay in
payment of tax
v. Proposal for waiver of filing of FORM GSTR-1 by taxpayers who have availed the
special composition scheme under notification No. 2/2019-Central Tax (Rate) dated
07.03.2019.
vi. Filing of GSTR-9 (Annual Return) and GSTR-9C (Reconciliation Statement)
vii. Proposals for amendment in the CGST Rules, 2017
viii. Proposals for amendment in the CGST Act, 2017 and the IGST Act, 2017
ix. Scheme of ‘Know Your Supplier’
x. Notifying NPCI, Transunion CIBIL Ltd. and Association of Mutual fund of India under
section 150(1)(p) and Banking Information return under Section 150(1)(e)
xi. Proposal for Notification / Rule change for enabling AADHAAR based authentication
in GST
xii. Clarification in respect of appeal in regard to non-constitution of Appellate Tribunal
xiii. Exemption for certain class of registered persons from having e-invoicing along with
extension of dates for implementation of e-invoicing
xiv. Exemption for certain class of registered persons from capturing dynamic QR code
along with deferment of implementation of QR Code
xv. Agenda note for GST Council regarding extension of date of GSTR 3B filing for the
month of Jan, 2020 till 31st March 2020
xvi. Agenda note for GST Council regarding continuation of the existing system of
furnishing FORM GSTR-1 and FORM GSTR-3B till the month of September, 2020
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xvii. Transition Plan in view of merger of Union Territories of Dadra & Nagar Haveli and
Daman & Diu
xviii. Deferring e-Wallet scheme and extending duty exemption for exporters
B. Deliberations of the Law Committee in the matter of the representation by Construction
Federation of India on the orders of the Hon’ble High Court of Delhi
6. Creation of State and Area Benches of the Goods and Services Tax Appellate Tribunal
(GSTAT) for the State of Uttar Pradesh
7. Quarterly Report of the NAA for the quarter October to December 2019 for the information of
the GST Council
8. Deemed ratification by the GST Council of Notifications, Circulars and Orders issued by the
Central Government
9. Decisions of the GST Implementation Committee (GIC) for information of the Council
10. Decisions/Recommendations of the IT Grievance Redressal Committee for information of the
Council
11. Any other agenda item with the permission of the Chairperson
12. Date of the next meeting of the GST Council
Agenda for 39th GSTCM Volume 2
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TABLE OF CONTENTS
Agenda
No.
Agenda Item Page
No.
10
Decisions/Recommendations of the IT Grievance Redressal Committee for
information of the Council
7


Agenda for 39th GSTCM Volume 2
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Discussion on Agenda Items
Agenda Item 10: Decisions/recommendations of the 9th and 10th IT Grievance Redressal
Committee for information of the Council
9th IT GRC Meeting – 02nd December 2019
Ninth meeting of the IT grievance Redressal Committee (IT-GRC) was held on 02nd December
2019 to resolve grievance of the taxpayers arising out of technical and non-technical issues. (Minutes of
the Meeting attached as Annexure X of this agenda Item).
1.2. Total 279 cases of TRAN-1/TRAN-2/TRAN-3 had been examined by GSTN (Agenda 1) and
presented before the committee. Out of these, 256 cases were sent by Nodal officers and 23 were court
cases. All above cases had been categorized broadly reason-wise in two major categories as ‘A’ and ‘B’
by GSTN team. Category ‘A’ included cases in which the taxpayer could not apparently file TRAN
1/TRAN 2/TRAN 3 because of technical glitches and Category ‘B’ included cases where no technical
issues were found from the system logs in filing TRAN 1/TRAN 2/TRAN 3.
1.3. In pursuance of decision in 32nd GST Council Meeting, regarding extended scope of ITGRC, GST
Council Secretariat had received another 28 cases in response to extended scope of ITGRC and analysis
of these cases was also presented before the committee (Agenda 2).
1.4. In accordance with the mechanism/process approved in 8th ITGRC that ITGRC would take up the
non-technical cases identified as ‘Category A cases’ in Annexure 3 of 6th ITGRC and Agenda 3 of the 8th
ITGRC. Out of these Category A cases of 6th and 8th ITGRC, three cases which appeared in subcategory
A1 of the Annexure 3 of 6th ITGRC were placed before the committee as table agenda. Additionally, the
case of M/s Shiv Vanijya was also received just before the scheduled time of the 9th ITGRC Meeting.
Hence, it was also included in the table agenda (Agenda 3).
1.5. As per Hon’ble High Court of Delhi order dated 28.11.2019 in WPC 9575/2017 and CM No
38987/2017 filed by Sales Tax Bar Association (STBA), Constitution of Public Grievance Committees
(PGC) at local and Commissionerate level had to be done. Hon’ble High Court had directed to file
affidavit in two weeks in this regard. Hence, CEO GSTN had placed the table agenda for the same
(Agenda 4).
1.6. After detailed discussion, the 9th ITGRC decided and recommended as under: -
1.7. Recommendation for Agenda 1:
In respect of TRAN-1 cases:
i. To Allow 25 cases of TRAN-1 pertaining to Subcategories A1 and A3 of technical
glitch as per Annexures indicated in column No. 3 and 4 of Table 2 of Minutes for
filing of TRAN 1/TRAN 2 in accordance with the Law Committee
recommendations regarding consequential benefits related to filing of TRAN 1 and
TRAN 2.
ii. To Allow GSTN to withdraw 07 cases of Subcategory A2 and A4 as mentioned in
Table 2 of Minutes without any decision and directed GSTN to present the same in
the next ITGRC Meeting.
Agenda for 39th GSTCM Volume 2
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iii. Not to Allow remaining 63 cases of TRAN-1 pertaining to Category ‘B’ as per
Annexures indicated in column No. 3 and 4 of Table-3 of Minutes in absence of any
evidence of technical/system errors in these cases, as was decided in similar cases
in past eight IT-GRC meetings.
In respect of TRAN-2 cases:
i. To allow 47 cases of TRAN-2 pertaining to Subcategories A1 and A3 of technical
glitch as per Annexures indicated in column No. 3 and 4 of Table 4 of Minutes; for
filing of TRAN 2 in accordance with the Law Committee recommendations
regarding consequential benefits related to filing of TRAN- 2.
ii. To allow GSTN to withdraw 02 cases of Subcategory A2 as mentioned in Table 4
of Minutes without any decision and directed GSTN to present the same in the next
ITGRC Meeting.
iii. Not to Allow remaining 113 cases of TRAN-2 pertaining to Category ‘B’ as per
Annexures indicated in column No. 3 and 4 of Table-5 of Minutes in absence of any
evidence of technical/system errors in these cases, as was decided in similar cases
in past eight IT-GRC meetings.
iv. To allow GSTN to withdraw 04 cases (which were approved earlier in 2nd ITGRC)
so as to re-examine in detail and present in next ITGRC with detailed comments.
In respect of TRAN-3 cases:
i. Not to allow 18 cases of TRAN-3 listed as per Annexure-4 of the Minutes to avoid
any unwanted tinkering with the GST portal.
Decision for Agenda 2
i. To Allow reopening of portal for 08 cases of Subcategory A1 (Annexure 5 to the
Minutes) as per Extended Scope of ITGRC decided in 32nd GST Council Meeting and
subsequently the mechanism/process approved in 8th ITGRC.
ii. Not to allow re-opening of portal for Category A2 (04 cases), A3 (01 case), A4 (05
case) (total 10 cases) as the criteria’s laid down by 32nd GST Council Meeting were
not fulfilled. However, jurisdictional Commissioners of States/CBIC could resubmit
appropriate cases to ITGRC after correcting the deficiencies as discussed or take any
other remedial steps as per law.
iii. Cases of Category B2 (03 cases) and D (01 cases) (total 04 cases), having reported
technical error or were not fulfilling parameters as recommended by 32nd GST Council
were recommended for forwarding to GSTN for further analysis in terms of circular
dated 03.04.2018 and placing before the next meeting of ITGRC, if found fit.
iv. Cases at Category B3 (04 cases) had been presented in the 1st to 8th ITGRC and
recommended by ITGRC, hence no action required.
v. Cases at Category C (02 cases) had been presented in the 1st to 8th ITGRC but not
recommended by ITGRC and now again forwarded by CGST/SGST tax authorities
without recommendation, hence Committee directed that State/CBIC tax
authorities be asked to re-examine these cases, if required, and forward, only if
they fulfil, the parameters/conditions as decided in 32nd GST Council Meeting.
Decision for Agenda 3:
i. Allowed reopening of portal for 04 cases of Agenda 3 also as per extended scope
of ITGRC decided in 32nd GST Council Meeting and subsequently the
mechanism/process approved in 8th ITGRC.
Agenda for 39th GSTCM Volume 2
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Decision for Agenda 4:
i. Recommend that GST Policy Wing and GSTN may jointly prepare a suitable
agenda and place before the ensuing GST Council to comply the order of Hon’ble
Court.
10th IT GRC Meeting – 22nd January 2020
Tenth meeting of the IT grievance Redressal Committee (IT-GRC) was held in Kalpvriksha,
North Block, New Delhi on 22nd January 2020 to resolve grievance of the taxpayers arising out of
technical and non-technical issues. (Minutes of the Meeting attached as Annexure Y of this agenda Item).
2.1. Total 63 cases of TRAN-1 (18 Cases) /TRAN-2 (45 Cases) had been examined by GSTN
(Agenda 1) and presented before the committee. Out of these, 50 cases were sent by Nodal officers and
13 were court cases. All above cases had been categorized broadly reason-wise in two major categories
as ‘A’ and ‘B’ by GSTN team. Category ‘A’ included cases in which the taxpayer could not apparently
file TRAN 1/TRAN 2 because of technical glitches and Category ‘B’ included cases where no technical
issues were found from the system logs in filing TRAN 1/TRAN 2.
2.2. In pursuance of decision in 32nd GST Council Meeting, regarding extended scope of ITGRC,
GST Council Secretariat had received another 04 cases in response to extended scope of ITGRC and
analysis of these cases was also presented before the committee (Agenda 2).
2.3. After detailed discussion, the 10th ITGRC decided and recommended as under: -
Recommendation for Agenda 1; Pertaining to technical glitches in filing TRAN-1 & TRAN-2
cases.
In respect of TRAN-1 (18 Cases); the ITGRC recommended
i. To allow 08 cases of TRAN-1 pertaining to Subcategories A1, A2 and A4 of technical glitch
as per Annexures indicated in column No. 3 and 4 of Table 2 of Minutes for filing of TRAN 1/TRAN
2 in accordance with the Law Committee recommendations regarding consequential benefits related to
filing of TRAN 1 and TRAN 2.
ii. Not to allow remaining 10 cases of TRAN-1 pertaining to Category ‘B’ (Subcategories B1,
B2 and B5) as per Annexures indicated in column No. 3 and 4 of Table-3 of Minutes in absence of any
evidence of technical/system errors in these cases, as was decided in similar cases in past nine IT-GRC
meetings.
In respect of TRAN-2 (45 Cases); the ITGRC recommended
i. To allow 03 cases of TRAN-2 pertaining to Subcategories A2 and A3 of technical glitch as per
Annexures indicated in column No. 3 and 4 of Table 4 of Minutes for filing of TRAN 2 in accordance
with the Law Committee recommendations regarding consequential benefits related to filing of TRAN
2.
ii. Not to allow remaining 42 cases of TRAN-2 pertaining to Category ‘B’ (Sub-categories B3,
B5, B7, B9, B10) as per Annexures indicated in column No. 3 and 4 of Table-5 of Minutes in absence
of any evidence of technical/system errors in these cases, as was decided in similar cases in past nine
IT-GRC meetings.


Agenda for 39th GSTCM Volume 2
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Decision for Agenda 2 (04 cases); ITGRC recommended
i. To allow reopening of portal for 02 cases of Subcategory A1 (Annexure 6) as per Extended Scope
of ITGRC decided in 32nd GST Council Meeting and subsequently the mechanism/process approved in
8th ITGRC.
ii. To defer the 01 case of Subcategory A2 (Annexure 6) and it was recommended to send back to
jurisdictional Commissionerate, CBIC and GSTN for resubmission with proper and full details along
with the views of CBIC. It was also suggested by the committee that other cases of similar nature may
also be sent back to jurisdictional Commissionerates/States for proper details and similar verifications
as discussed at para 17.2.2 of Minutes.
iii. To defer the 01 case of Subcategory A4 (Annexure 6) and it was recommended to send it back to
the jurisdictional Commissionerate/State for proper and full details of High Court order as required
under the extended scope of ITGRC or take any other remedial steps as per law.
Other Issues:
3. It was also informed by SVP, GSTN to the committee that the TRAN 1 and TRAN 2 cases
received up to 31st March 2019 by the GSTN Nodal Officer had been disposed of now. The court cases
however, continued to be received. Another 22 cases of TRAN-1 and 05 cases of TRAN-2 received
from the Nodal officer before 31st March, 2019 were not processed by GSTN due to certain issues
involved in them. These cases either had apparent non-technical issues and were therefore returned to
the concerned Nodal officers or were received with Invalid GSTIN / without following SOP etc.
Committee took note of above cases and expressed that these cases may be re-submitted before the
committee if received with proper details through Nodal officers.
4. Further, it was also appraised by the SVP, GSTN that GSTN had presented the technical
analysis of the Cases received from the Nodal officers up to 31st March 2019. Cases received after that
date have not been analysed and examined by GSTN. As regard the Court cases, after technical analysis
they are put up before the ITGRC as per the directions from the Courts. The list of approved and not
approved cases of the 9 ITGRC meetings have been shared with the tax administrations of Center and
State. On this issue committee discussed the relevant provisions and informed GSTN that legally, these
cases could not be returned back and may have to be examined by GSTN and suitably placed before
the next ITGRC meeting. It was also decided that for fresh cases, Nodal officers should compile the
details in the prescribed format and send the collated cases through mail to a dedicated email of GSTN
as soon as possible but not later than 15th February 2020 so that the same can be put up before the
ITGRC.
5. The decisions/recommendations as per attached Minutes of the 9th and 10th ITGRC are placed for
information of the Council.


Agenda for 39th GSTCM Volume 2
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Annexure X
Minutes of the 9th Meeting of IT Grievance Redressal Committee (ITGRC) held on 02nd December
2019 at GST Council Secretariat, Jeevan Bharti Building, New Delhi
----------------------------------------------------------------------------------------------------------------
The 9th Meeting of the IT Grievance Redressal Committee (ITGRC) was held in GST Council
Secretariat, Jeevan Bharti Building, New Delhi on 02nd December 2019. The list of officers who
attended the meeting is attached as Annexure-6.
Agenda Note 1: TRAN 1/TRAN 2/TRAN 3 Cases as per Circular No. 39/132018 dated 03.04.2018:
2. Shri Vashistha Chaudhary, SVP (Services), GSTN appraised the background that a total
number of around 2655 cases of TRAN-1 and 213 cases of TRAN-2 had been received from the Nodal
officers of Center and States till 31.03.2019 at GSTN, excluding court cases on this issue. Further, a
few cases, which were received from Nodal officer containing all the relevant information but were not
in the format prescribed in SOP (issued by GSTN in April 2018), had also been included in the agenda.
The details of cases discussed in previous meetings were as follows.
Table 1: Details of TRAN 1/TRAN 2/TRAN 3 cases presented before IT-GRC through GSTN
S.
No.
Meeting
Reference
No. of TRAN-1/TRAN 2 Cases
received
Cases
examined
and
approved
Cases
examined
and not
approved
Cases
Withdrawn
by GSTN Nodal
Officer
Court
Cases Total
1 2 3 4 5 (3+4) 6 7 8
1
1st IT-GRC on
22.06.2018
161 9 170 122 48
NIL
2
2nd IT-GRC on
21.08.2018 262
78 340 213 127
NIL
3
3rd IT-GRC on
26.10.2018
252 16 268 70 198
NIL
4
4th IT-GRC on
12.02.2019
408 53 461 165 296
NIL
5
5th IT-GRC on
05.03.2019
203 21 224 80 144
NIL
6
6th IT-GRC on
27.05.2019
594 88 682 172 510
NIL
7
7th IT-GRC on
11.06.2019
236 13 249 98 151
NIL
8
8th IT-GRC on
13.08.2019
442 49 491 137 352
02
9
9th IT-GRC on
02.12.2019
256 23 279 To be discussed
10 Sub Total 3164
Note: In 9th ITGRC, 95 cases presented were pertaining to TRAN-1, 166 cases pertained to TRAN-2
and 18 cases pertained to TRAN-3 (Total 279 Cases)
3. The SVP (Services) explained that in previous eight ITGRC Meetings total 2885 TRAN-
1/TRAN-2 cases including cases where Writ Petitions were filed in various High Courts, were presented
Agenda for 39th GSTCM Volume 2
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to ITGRC. Out of which, a total of 1057 cases had been considered and approved up to Eighth ITGRC.
Further, another 258 TRAN-2 cases had also been approved by ITGRC during these meetings. The
filing of TRAN 1/TRAN-2 in these approved cases had been enabled by GSTN at GST Common Portal.
The taxpayers who had been enabled for filing TRAN-1/TRAN-2 had been informed through e-mails
for filing their TRAN-1/TRAN-2 as the case may be. Further, reminders had been given to the taxpayers
who had either not attempted to file their TRAN-1/TRAN-2 or had merely submitted their applications
after receiving communication from GSTN. The taxpayers who had still not filed their TRAN-1/TRAN-
2 even after reminders, had been contacted telephonically by the officers of GSTN and guided
appropriately for filing the same.

4. Now, another 279 cases (95 cases of TRAN-1, 166 cases of TRAN-2 and 18 cases of TRAN-
3 had been examined and presented before 9th ITGRC. Out of these, 256 cases were sent by the Nodal
officers of Center/States while 23 cases arose out of writ petitions filed before various High
Courts/orders (interim or final). The list of TRAN-1 cases received from Nodal officers was at
Annexure 1 of the Agenda and the list of TRAN-1 Court Cases was at Annexure 3 of the Agenda. List
of TRAN-2 cases received from Nodal officers was at Annexure 2 of the Agenda and the list of TRAN-
3 cases received from Nodal officers was at Annexure 4 of the Agenda. GSTN had examined all above
cases and analyzed the system logs of all cases and categorized them into ‘Category A’ which had
technical issues and ‘Category B’ which did not have technical issues. It was also informed that total
379 Writ Petitions pertaining to TRAN-1/ TRAN-2 had been received by GSTN as on 05.11.2019. Few
cases were received from Nodal officers and also from the Counsels/Legal Department as Writ Petition.
Therefore, the present figures of court cases and the figures furnished in the proposal of different ITGRC
may vary. Further, court cases pertaining to TRAN-1 are still being received at GSTN and are being
investigated and referred to ITGRC. In 9th ITGRC, 23 Court cases pertaining to TRAN-1 were presented
in Annexure 3 of the Agenda while 21 more cases were under examination and would be presented in
subsequent ITGRC Meetings.

Analysis of TRAN 1 Cases (72 from Nodal Officer + 23 Writ Petition; Total 95 Cases):
5. The SVP, GSTN, thereafter elaborated the nature of technical issues experienced by the
taxpayers in filing TRAN-1 along with reasons, under Category ‘A’, which consisted of following 04
sub-categories out of the different sub-categories reported in earlier ITGRC and number of cases
pertaining to each subcategory were as per column 3 and 4 of Table 2 below:
➢ Sub Category A1: Cases where the taxpayer received the error as “Processed with
Error”: The taxpayer could not claim transitional credit as the line items requiring declarations
of earlier existing law registration numbers were processed with error since the taxpayer had
not added them in his registration details.
➢ Sub Category A2: Cases where, TRAN-1 not attempted as per logs - due to
Registration/Migration Issue and Registration got after TRAN1 due date: The taxpayers
were not able to migrate due to technical issues before 27.12.2017.
➢ Sub Category A3: Taxpayer had submitted TRAN-1, only filing needs to be enabled:
Taxpayer had submitted TRAN 1 but not filed with appropriate signature (DSC/EVC). Request
for enabling filing with signature as GSTR 3B was not getting filed. This includes cases which
are currently in composition or registration is cancelled.
➢ Sub Category A4: Migration User- because of technical error on account of validation,
the taxpayer completed migration and got registration after 27.12.2017 and hence
couldn’t file TRAN-1: As per GST Portal, the taxpayer could not migrate due to technical
Agenda for 39th GSTCM Volume 2
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glitches (validation error). The taxpayer activated his Part A and also completed part B but
could not migrate because of a validation error.

5.1 The details of cases covered under these sub-categories of Category A is reflected in the
Annexure 1 and Annexure 2 of the Minutes with details as in Table 2 below.
Table-2: TRAN-1 Cases reported as having Technical Glitch
Sub
Categ
ory
Sub Category Description Cases received
from Nodal
Officers
Court Cases
1 2 3 4
A-1

Processed with Error

10 (S. No 01 to 10
of Annexure 1)
05 Cases (S. No 01 to 05
of Annexure 2)
A-2 Cases where, TRAN-1 not attempted as per logs -
due to Registration/Migration Issue and
Registration got after TRAN1 due date
04 (S. No 11 to 14
of Annexure 1)
01 (S. No 06 of
Annexure 2)
A3 Taxpayer had submitted TRAN-1, only filing
needs to be enabled
10 (S. No 15 to 24
of Annexure 1)
NIL
A4 Migration User- because of technical error on
account of validation, the taxpayer completed
migration and got registration after 27.12.2017 and
hence couldn’t file TRAN-1
02 (S. No 25 to 26
of Annexure 1)
NIL
Sub Total 26 06

5.2 In above Subcategories, it was observed by the Committee that cases at Sub-category A1 and
A3 appeared to have faced technical glitch while filling the TRAN-1 and therefore could be considered
for reopening the Portal in these cases. Further, the description of subcategory A2 and A4 seemed
overlapping and it was not clear whether the Migration could not be done due to taxpayer’s mistake or
it was on account of having any technical difficulty. Moreover, if the taxpayer had faced the technical
difficulty then also, whether was it appropriate to allow TRAN-1. The issue needed some more
clarification from GSTN. Therefore, SVP GSTN proposed to withdraw 07 cases (06 forwarded by
Nodal officer and 01 pertained to Court Case) of Subcategory A2 and A4 as mentioned in above Table
2 so that he could come up with the detailed analysis in the next meeting, clarifying whether the error
were on account of the taxpayers or due to technical glitch at the Portal.
6. Category ‘B’ had cases where no technical issues had been observed in TRAN 1 filing. The
SVP, GSTN further elaborated the cases under the Category ‘B’, where no technical issues were found
on the basis of GST system logs, as explained below in 04 sub-categories and number of cases
pertaining to each sub-category, mentioned in column 3 & 4 of Table 3 below: -
➢ Sub-Category B-1: Cases in which as per GST system log, there was no evidences of error
or submission/filing of TRAN1. As per GST system log, there were no evidences of error or
submission/filing of TRAN1.
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➢ Sub-Category B-2: Cases in which TRAN 1 filing attempted for first time or revision was
attempted but no error/no valid error reported. As per GST System logs the taxpayer has
tried for saving/submitting for the first time or revision of TRAN 1 and there were no evidences
of system error in logs.
➢ Sub-Category B-3: Cases in which TRAN 1 was successfully filed as per logs with no valid
error reported. The taxpayer had successfully filed TRAN 1 and no technical errors had been
found in the examined technical logs.
➢ Sub-Category B-5: Cases in which TRAN-1 was filed once but credit was not received.
The taxpayer had filed TRAN-1 once successfully but no credit had been posted in ledger and
no errors had been observed in system logs.

6.1 The details of cases covered under these sub-categories of Category B is reflected in the
Annexure 1 and Annexure 2 of these Minutes with details as in Table 3 below.

Table-3: TRAN-1 Cases Reported as Not having Technical Glitch
Sub
Catego
ry
Sub Category Description Cases received from
Nodal Officers
Writ Petition Cases
1 2 3 4
B-1 As per GST system log, there are no
evidences of error or submission/filing of
TRAN 1.
20 (S. No 27 to 46
of Annexure 1)
13 (S. No 07 to 19 of
Annexure 2)
B-2 TRAN-1 filing attempted for first time or
revision and No error /No valid error
reported.
05 (S. No 47 to 51
of Annexure 1)
02 (S. No 20 to 21 of
Annexure 2)
B-3 Successfully Filed as Per Logs with No
Valid Error reported
16 (S. No 52 to 67
of Annexure 1)
01 (S. No 22 of
Annexure 2)
B-5 Cases in which TRAN-1 was filed once but
credit was not received.
05 (S. No 68 to 72 of
Annexure 1)
NIL
B-
Other
Other Specific Category for Vishvakarma
Paper and Boards Ltd. GSTIN
05AACCV8073F1ZA; Taxpayer says they
received error but as per GST System logs
no technical glitches in submission/filing of
TRAN-1 found.
NIL 01 (S. No 23 of
Annexure 2)
Sub Total 46 17

6.2. After going through the above cases, it was observed by the Committee that cases at Category
B were cases where no technical issues were found as reported by SVP, GSTN on the basis of GST
system logs. As, no technical issues had been observed in TRAN 1 filing in above Category B cases,
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Committee decided not to allow reopening of the Portal for these cases, as also decided in earlier eight
ITGRC Meetings.
6.3 Further, in view of the representation dated 28.03.2019 of the M/s Vishvakarma Papers and
Boards Ltd (Sl No 23 of Annexure 2 of the minutes) the analysis of system logs was placed by the SVP
GSTN before the ITGRC to decide on the fresh representation in view of Hon’ble Uttarakhand High
Court order and the representation of the taxpayer containing submissions of attempt to file TRAN-I on
specific dates. As per system logs the taxpayer had logged onto GST Portal on 20.09.2019. However,
he had not saved or even tried saving any data in Tran-1 on or before the due date of TRAN-1 i.e.
27.12.2017. As per logs user had not tried to open TRAN-1 and neither ‘submitted’ nor ‘filed’ the form.
No logs of ‘save’ were there and ITC ledger was also not updated. It was therefore concluded that as
per GST system logs, no technical issues was found in the case of M/s Vishvakarma Papers and Boards
Ltd. The detailed activity done by the taxpayer on the GST portal were also presented by SVP, GSTN
as under:
First GSTR-3B filing date was 24.08.2017 and first GSTR-1 filing date was 06/09/2017 (filed on
03/09/2017 and updated on 06/09/2017). GSTR-2 and GSTR-3B filing between 01/07/2017 to
27/12/2017 as per activity of this GSTIN of Vishvakarma Papers was as under:
a. GSTR-2 of July 2017 was filed on 26.10.2017
b. GSTR-3B of July 2017 was filed on 24.08.2017.
c. GSTR-3B of August 2017 was filed on 18.10.2017
d. GSTR-3B of September 2017 was filed on 20.10. 2017
e. GSTR-3B of October 2017 was filed on 17.11.2017 and
f. Finally, GSTR-3B of November 2017 was filed on 17.12.2017

The SVP, GSTN stated that as inferred from the system logs, no technical issues in saving / filing of
TRAN-1 had been identified. Hence, it was observed by the ITGRC that in the case of M/s Vishvakarma
Papers and Boards Ltd. (GSTIN 05AACCV8073F1ZA) no technical glitches in submission/filing of
TRAN-1 were found in System logs. In fact, they had not even tried to file the TRAN-1 before the due
date on GST common Portal, hence the submission that the taxpayer had been facing technical glitches
while filing TRAN-1 did not seem to be supported by the facts. Therefore, the Committee decided not
to allow the re-opening of Form TRAN-1 on Portal for the petitioner/applicant. Accordingly,
representation dated 28.03.2019 might be disposed of by the competent authority.

7. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 25 cases of TRAN-1 pertaining to
subcategories A1 and A3 of technical glitch as per Annexure, indicated in column No. 3 and 4 of Table
2 above were considered for allowing filing of TRAN 1/TRAN 2 in accordance with the Law
Committee recommendations regarding consequential benefits related to filing of TRAN 1 and TRAN
2. Committee also allowed GSTN to withdraw 07 cases of Subcategory A2 and A4 as mentioned in
Table 2 above without any decision and directed GSTN to present the same after review in the next
ITGRC Meeting.
7.1 The Committee also decided to recommend not to allow remaining 63 cases of TRAN-1
pertaining to Category ‘B’ as per Annexures indicated in column No. 3 and 4 of Table-3 above in
absence of any evidence of technical/system errors in these cases.

Agenda for 39th GSTCM Volume 2
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Analysis of TRAN 2 Cases (166 from Nodal Officer; Total 166 Cases):

8. In addition to above TRAN-1 cases, 166 cases of TRAN-2 were also presented before the
committee. The SVP, GSTN elaborated nature of technical issues experienced by the taxpayers in filing
TRAN-2 along with reasons, under Category ‘A’, which consisted of following 03 sub-category and
number of cases pertaining to each subcategory were as per column 3 and 4 of Table 4 below. The
details of cases covered under these sub-categories of Category A is reflected in the Annexure 3 of the
Minutes with details as in Table 4 below.
Table-4: TRAN-2 Cases reported as having Technical Glitch
Sub
Catego
ry
Sub Category Description From Nodal
Officers
Court
Cases
1 2 3 4
A1

TRAN-1 filed and error in TRAN-2. As per Logs TRAN-1
filed successfully. Error recorded in database but no
corresponding error reported in logs
38 (S. No 01 to
38 of Annexure
3)
NIL
A2 TRAN-1 filed and TRAN-2 in submitted with no errors - to
be enabled for filing. As per Logs TRAN-1 filed
successfully. As per logs user neither submitted nor filed
the form. No logs of save as well
02 (S. No 39 to
40 of Annexure
3)
NIL
A3 TRAN-1 approved cases and enabled for filing of TRAN-
2. TRAN-1 Approved cases and enabled for filing of
TRAN-2.
09 (S. No 41 to
49 of Annexure
3)
NIL
Sub Total 49 NIL

8.1 In above Sub-categories, it was observed by the Committee that cases at Subcategories A1 and
A3 appeared to be having clear technical glitch while filling the TRAN-2 and so they could be
considered for reopening the Portal. Further, it was observed by the Committee that description of
subcategory A2 was not clear as it stated that, TRAN-1 was filed and TRAN-2 was also submitted with
no errors. If so, then what was the error as it was not clear from description of the category in terms of
logs. The description seemed contradictory as it stated that TRAN-1 was filed successfully and user
neither submitted nor filed/saved the form as per logs. Thus, the description was not clear. Hence, SVP,
GSTN, proposed to withdraw 02 cases of subcategory A2 as mentioned in table 4 above for presenting
before next ITGRC with detailed analysis.
9. In Category ‘B’ cases, no technical issues had been observed in TRAN- 2 filing. The SVP,
GSTN further elaborated the cases under the Category ‘B’, no technical issues were found in the GST
system logs, as explained below in 12 sub-categories and number of cases pertaining to each sub-
category mentioned in column 3 & 4 of Table 5 below. He further stated that in the Agenda, 4 cases
have been erroneously brought by GSTN, which were actually considered in 2nd ITGRC already. Hence,
rest of the cases be approved for not opening the GSTN Portal while those 4 cases be allowed to be
withdrawn. The details of cases covered under these sub-categories of Category B is reflected in the
Agenda for 39th GSTCM Volume 2
Page 17 of 164

Annexure 3 of the Minutes with details as in Table 5, which were not recommended for opening of
Portal, were as below:
Table-5: TRAN-2 Cases reported as Not having Technical Glitch
Sub
Category
Sub Category Description From Nodal
Officers
Court
Cases
1 2 3 4
B1

TRAN-1 approved case, TRAN-2 filed successfully without any
error reported. TRAN-1 approved case. TRAN-1 filed, post filing
of TRAN-1, TRAN-2 for respective 6 months has also been filed
01 (S. No 50 of
Annexure 3)
NIL
B2 TRAN-1 disapprove case, not allowed for reopening for TRAN-
2. TRAN-1 disapproved case. As per Logs TRAN-1 filed
successfully Taxpayer was eligible for filing TRAN-2 but as per
logs user neither submitted nor filed the form. No logs of save as
well
01 (S. No
51 of
Annexure 3)
NIL
B3 TRAN-1 filed and TRAN-2 successfully filed with no errors. As
per Logs TRAN-1 filed successfully. As per logs taxpayer filed
TRAN-2 without any error
10 (S. No 52 to
61 of
Annexure 3)
NIL
B4 TRAN-1 filed and TRAN-2 successfully filed with no errors
(ITC ledger not updated). As per Logs, TRAN-1 filed
successfully and taxpayer filed TRAN-2 without any error. ITC
ledger not updated
02 (S. No 62 to
63 of
Annexure 3)
NIL
B5 TRAN-1 filed and TRAN-2 not attempted and no error in logs.
As per Logs TRAN-1 filed successfully. User neither submitted nor
filed the form. No logs of save as well. ITC ledger also not updated
42 (S. No 64 to
105 of
Annexure 3)
NIL
B6 TRAN-1 filed with declaration in table 7(a) or 7(d), TRAN-2
tried post end date. As per Logs TRAN-1 filed successfully along
with revision. Taxpayer has filed TRAN-2 for 3 months then for
subsequent period it was tried post last date of TRAN-2 i.e.
30/06/2018
02 (S. No 106
to 107 of
Annexure 3)
NIL
B7 TRAN-1 filed with no declaration in table 7(a) section 7b or 7(d)
hence not eligible for TRAN-2. As per Logs, TRAN-1 Filed with
No Declaration in Table 7(a) Section 7B or Table 7(d). Hence Not
Eligible For TRAN-2.
25 (S. No 108
to 132 of
Annexure 3)
NIL
B8 TRAN-1 filed, eligible for TRAN-2 but there are no evidences
of error or submission/filing of TRAN-2. As per log TRAN-1
Filed, Eligible For TRAN-2 But There are No Evidences of Error
or Submission/Filing Of TRAN-2. No logs of save as well
05 (S. No 133
to 137 of
Annexure 3)
NIL
B9 TRAN-1 filed, eligible for TRAN-2. TRAN-2 fresh/revision
attempted with no error or no valid error reported. As per Logs
TRAN-1 filed successfully. Eligible for TRAN-2. TRAN-2
01 (S. No 138
of Annexure 3)
NIL
Agenda for 39th GSTCM Volume 2
Page 18 of 164

fresh/revision attempted with no error or no valid error reported in
logs.
B10 TRAN-1 not filed hence not eligible for filing TRAN-2. As per
logs Tran-1 attempted, error reported related to invalid registration
gets corrected and save attempt got processed but filing not
attempted of TRAN-1. As taxpayer has not filed TRAN-1 hence,
not eligible for filing of TRAN-2
01 (S. No 139
of Annexure 3)
NIL
B11 TRAN-2 fresh/revision attempted with no error or no valid
error reported. As per Logs TRAN-1 filed successfully. TRAN-2
fresh/revision attempted with no error or no valid error reported.
NIL NIL
B12 Mistake committed by taxpayer. Cases where the Taxpayers have
admitted to have made mistake, inadvertently or due to
misunderstanding, in reporting correct values in TRAN 1/TRAN-2.
Since the admitted mistakes/errors are apparent from the perusal of
the details of reported cases no technical analysis has been done in
these cases as it is not required.
23(S. No 140
to 162 of
Annexure 3)
NIL
Sub Total 113 NIL

Following 04 cases were allowed to be withdrawn (which were approved earlier in 2nd ITGRC) to
re-examine in detail and present in next ITGRC with detailed comments:

01 06BDEPS2535J
1ZF
SATPAL
SONI
Harya
na
Proprieto
rship
Nodal Officer IT
Issues
Haryana
State gsttihry@gmail.c
om
02 09AAHCP4977
D1Z2
PLS
AUTOMO
BILES
SERVICE
S PVT
LTD
Uttar
Prades
h
Private
Limited
Company
Sh. Nidhish Singhal,
Deputy
Commissioner,
CGST & Central
Excise
Commissionerate,
Greater Noida
Centre nidhish.singhal@
icegate.gov.in
03 29AAFCS1764
F1Z8
SHIVAHA
RI
PAHRAM
ACEVTIC
ALS PVT
LTD
Karna
taka
Private
Limited
Company
K. S. Basavaraj,
Joint Commissioner
of Commercial
Taxes, Bengaluru
State basavaraj.sagar@
ka.gov.in
04 29AAJCA0072
C1Z1
WIPRO
ENTERPR
ISES
PRIVATE
LIMITED
Karna
taka
Private
Limited
Company
K. S. Basavaraj,
Joint Commissioner
of Commercial
Taxes, Bengaluru
State basavaraj.sagar@
ka.gov.in
Agenda for 39th GSTCM Volume 2
Page 19 of 164


9.1 After going through the above cases, it was observed by the Committee that cases at Category
B were those where no technical issues were found on the basis of GST system logs. As, no technical
issues had been observed in TRAN-2 filing in above Category B cases, Committee decided to not to
allow reopening of the Portal for these cases.
10. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 47 cases of TRAN-2 pertaining to Sub-
categories A1 and A3 of technical glitch as indicated in column No. 3 and 4 of Table 4 above were
considered for allowing filing of TRAN 2 in accordance with the Law Committee recommendations
regarding consequential benefits related to filing of TRAN 2.
10.1 Committee also allowed GSTN to withdraw 02 cases of Sub-category A2 as mentioned in Table
4 above without any decision and directed GSTN to present the same in the next ITGRC Meeting.
10.2 The Committee had also decided not to allow remaining 113 cases of TRAN-2 pertaining to
Category ‘B’ as per Annexures indicated in column No. 3 and 4 of Table-5 above in absence of any
evidence of technical/system errors in these cases.
10.3 Following 04 cases were allowed to be withdrawn (which were approved earlier in 2nd
ITGRC) to re-examine in detail and present in next ITGRC with detailed comments:

01 06BDEPS2535J
1ZF
SATPAL
SONI
Harya
na
Proprieto
rship
Nodal Officer IT
Issues
Haryana
State gsttihry@gmail.c
om
02 09AAHCP4977
D1Z2
PLS
AUTOMO
BILES
SERVICE
S PVT
LTD
Uttar
Prades
h
Private
Limited
Company
Sh. Nidhish Singhal,
Deputy
Commissioner,
CGST & Central
Excise
Commissionerate,
Greater Noida
Centre nidhish.singhal@
icegate.gov.in
03 29AAFCS1764
F1Z8
SHIVAHA
RI
PAHRAM
ACEVTIC
ALS PVT
LTD
Karna
taka
Private
Limited
Company
K. S. Basavaraj,
Joint Commissioner
of Commercial
Taxes, Bengaluru
State basavaraj.sagar@
ka.gov.in
04 29AAJCA0072
C1Z1
WIPRO
ENTERPR
ISES
PRIVATE
LIMITED
Karna
taka
Private
Limited
Company
K. S. Basavaraj,
Joint Commissioner
of Commercial
Taxes, Bengaluru
State basavaraj.sagar@
ka.gov.in



Agenda for 39th GSTCM Volume 2
Page 20 of 164

Analysis of TRAN 3 Cases (18 from Nodal Officer; Total 18 Cases):

11. In addition to above TRAN-1 and TRAN-2 cases, 18 cases of TRAN-3 were also presented
before the Committee. These cases of TRAN-3 to be filed on Portal in terms of Notification no.
21/2017–Central Excise (NT) dated 30.06.2017 had been received from Nodal Officers through
mails/letter upto 31.03.2019. Details of these cases are given in the Annexure-4 of the minutes. It was
informed by the SVP (Services), GSTN that the manufacturer issuing the Credit Transfer Documents
(CTD) and the dealer availing credit on CTD were required to file table 1 and table 2 of TRAN-3,
respectively. However, it was not clear whether taxpayer had declared the requisite credit while filing
TRAN-1 or not.
11.1 It was observed by the Committee that the GST TRAN-3 was a statement which contained the
details of credit transfer document which was issued by a manufacturer as a proof of his Excise Duty
payment on goods, which were manufactured and transacted before the date of GST implementation.
The issue was discussed and it was observed that from the record it was not clear whether taxpayer had
declared the requisite credit while filing TRAN-1 or not. As it was involved only upload of a record of
documents and not impacted any taxpayer adversely, as no credit was blocked due to this, the committee
was of the view that opening of the portal for enabling TRAN-3 filing, would not serve any purpose for
taxpayers as there is no ITC involved.
11.2 Therefore, the Committee decided not to allow these 18 cases of TRAN-3 listed as per
Annexure-4 to the instant Minutes to avoid any unwanted tinkering with the GST portal.
12. Decision on Agenda 1:

12.1 TRAN-1:
i. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 25 cases of TRAN-1 pertaining Subcategories
A1 and A3 of technical glitch as per Annexures indicated in column No. 3 and 4 of Table 2 above were
considered for allowing filing of TRAN 1/TRAN 2 in accordance with the Law Committee
recommendations regarding consequential benefits related to filing of TRAN 1 and TRAN 2.
ii. Committee had also allowed GSTN to withdraw 07 cases of Subcategory A2 and A4 as
mentioned in Table 2 above without any decision and directed GSTN to present the same in the next
ITGRC Meeting.
iii. The Committee also decided not to allow remaining 63 cases of TRAN-1 pertaining to Category
‘B’ as per Annexures indicated in column No. 3 and 4 of Table-3 above in absence of any evidence of
technical/system errors in these cases, as was decided in similar cases in past eight IT-GRC meetings.
12.2 TRAN-2
i. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 47 cases of TRAN-2 pertaining to
Subcategories A1 and A3 of technical glitch as per Annexures indicated in column No. 3 and 4 of Table
4 above were considered for allowing filing of TRAN 2 in accordance with the Law Committee
recommendations regarding consequential benefits related to filing of TRAN 2.
ii. Committee had also allowed GSTN to withdraw 02 cases of Subcategory A2 as mentioned in
Table 4 above without any decision and directed GSTN to present the same in the next ITGRC Meeting.
Agenda for 39th GSTCM Volume 2
Page 21 of 164

iii. The Committee also decided not to allow remaining 113 cases of TRAN-2 pertaining to
Category ‘B’ as per Annexures indicated in column No. 3 and 4 of Table-5 above in absence of any
evidence of technical/system errors in these cases, as was decided in similar cases in past eight IT-GRC
meetings.
iv. Following 04 cases were allowed to be withdrawn which were approved earlier in 2nd
ITGRC to re-examine in detail and present in next ITGRC with detailed comments:

01 06BDEPS25
35J1ZF
SATPAL
SONI
Haryana Proprieto
rship
Nodal Officer IT
Issues
Haryana
State gsttihry@gmail.c
om
02 09AAHCP49
77D1Z2
PLS
AUTOMO
BILES
SERVICES
PVT LTD
Uttar
Pradesh
Private
Limited
Company
Sh. Nidhish Singhal,
Deputy
Commissioner, CGST
& Central Excise
Commissionerate,
Greater Noida
Centre nidhish.singhal@
icegate.gov.in
03 29AAFCS17
64F1Z8
SHIVAHA
RI
PAHRAM
ACEVTIC
ALS PVT
LTD
Karnata
ka
Private
Limited
Company
K. S. Basavaraj, Joint
Commissioner of
Commercial Taxes,
Bengaluru
State basavaraj.sagar@
ka.gov.in
04 29AAJCA00
72C1Z1
WIPRO
ENTERPR
ISES
PRIVATE
LIMITED
Karnata
ka
Private
Limited
Company
K. S. Basavaraj, Joint
Commissioner of
Commercial Taxes,
Bengaluru
State basavaraj.sagar@
ka.gov.in

12.3 TRAN-3
i. The Committee decided not to allow 18 cases of TRAN-3 listed as per Annexure-4 to the instant
Minutes to avoid any unwanted tinkering with the GST portal.
Agenda 2: Cases Received as per Extended Scope of ITGRC in view of 32nd GST Council Decision.
13. Shri Dheeraj Rastogi, Joint Secretary, GST Council informed to the Committee that in 32nd
GST Council Meeting, agenda item 8 pertained to allowing IT-Grievance Redressal Committee
(ITGRC) to consider non-technical issues (errors apparent on the face of record). After discussion in
the GST Council, it was agreed to expand the mandate of the ITGRC and that “the ITGRC shall consider
on merits, the specific cases as covered under the orders of the Hon’ble High Court of Madras and by
any other Hon’ble High Court as sent by any State or Central authority, to the GST Council Secretariat
by 31st January, 2019. The ITGRC shall consider the listed cases (as informed by States / Centre before
31st January, 2019) where the following conditions were satisfied:
i. TRAN-1, including revision thereof, has been filed on or before 27th December, 2017 and there
is an error apparent on the face of the record (such cases of error apparent on the face of the
Agenda for 39th GSTCM Volume 2
Page 22 of 164

record will not cover instances where the there is a mistake like wrong entry of an amount e.g.
Rs.10,000/- entered for Rs.1,00,000/-); and
ii. The case has been recommended to the ITGRC through GSTN by the concerned jurisdictional
Commissioner or an officer authorised by him in this behalf (in case of credit of Central
taxes/duties, by the Central authorities and in the case of credit of State taxes, the State
authorities, notwithstanding the fact that the taxpayer is allotted to the Central or the State
authority).”
14. Accordingly, an OM dated 19.02.2019 was written to all States and CBIC to forward list of
eligible cases. Thereafter, GST Council Secretariat had received a total of 179 cases vis a vis extended
scope of ITGRC in 32nd GST Council Meeting and analysis of all these cases was presented in 6th
ITGRC and no case was allowed by the Committee. Further, another 22 cases received as per extended
scope of ITGRC were analysed and presented in 8th ITGRC wherein, Committee agreed to defer the
agenda item covering these cases. Thereafter, few more cases were received as per extended scope of
ITGRC and total 28 cases received as per extended scope of ITGRC (including the 22 cases of 8th
ITGRC deferred by ITGRC) were analysed and presented before the Committee. These cases were
placed before ITGRC as part of Agenda 2 before the Committee, which are now reproduced at
Annexure 5 to the instant Minutes.
15. In 8th ITGRC Meeting various emerging issues before IT Grievance Redressal Committee were
discussed and it emerged that for cases involving non-technical glitches, the process of examination by
ITGRC might be redesigned and a pragmatic approach was required on the issue of allowing GST
TRAN- 1/GST TRAN 2 for those taxpayers who were covered under the 32nd GST Council decision;
having High Court decision and had filed the TRAN-1 before due date i.e. 27.12.2017 but not received
the transitional credit due to non-technical issue. The mechanism specifying various aspects was
recommended by the 8th ITGRC Meeting and competent authority had approved the same. The
mechanism/process was having following aspects reproduced below:
a. The process would be applicable to the taxpayers who have satisfied the criteria and
represented before the nodal officer/Jurisdictional Commissioner for non-technical glitches
as per 32nd GST Council decision.
b. Definition of the non-technical error may include cases where TRAN-1/TRAN-2 has been
filed before due date i.e.27.12.2017 but credit not received to taxpayer including the scenario
where the credit was entered in wrong column.
c. The jurisdictional Commissioners of the State/Centre should get the claim of the taxpayer
checked including the verification of credit and ascertain the amount of credit (CGST/SGST)
that was claimed in the various tables of GST TRAN 1/GST TRAN 2. Wherever required a
certificate from counterpart tax authorities may also be obtained regarding genuineness of
claimed credit.
d. After being satisfied about the genuineness of the claim, the details should be sent to GSTN
with proper recommendation and specific High Court order copy as per 32nd GST Council
decision to enable filing of TRAN-1/TRAN-2. The mode as well as format for such directions
and the requisite certificate be finalised by GSTN in order to maintain the audit trail and
generate report, if required.
e. If deemed necessary, post audit of the taxpayers could be carried out by tax authorities in a
time-bound manner, who would claim transitional credit above a particular threshold.
f. In light of above, ITGRC could revisit the ‘Category A’ cases identified as non-technical cases
placed in Annexure 3 of 6th ITGRC and Agenda 3 of the 8th ITGRC, taking inputs as required
from GSTN.
Agenda for 39th GSTCM Volume 2
Page 23 of 164

16. From SGST, CGST and GSTN; GST Council Secretariat had received a total of 28 (as per
Annexure 5) cases vis a vis extended scope of ITGRC in 32nd GST Council Meeting and analysis of all
these cases as per above criteria was presented as under:
Table-6: Analysis of Cases Received as per Extended Scope of ITGRC
Category Description No of Cases
A
Sub
Category
Cases reported on account of Non-Technical error
A1 Recommended by jurisdictional tax authority with HC Order and having
scenario where the credit was entered in wrong column.
(i) In 06 cases, stock wrongly reported at 7(d) in place of 7(a),
(ii) In 01 case, uploaded details in column 5 of table 5a instead of column
6 of table 5a
(iii) In 01 case, uploaded details in Table 7(d) instead of 7(c) of TRAN-
1(also filed COCP in Hon’ble HC of Kerala),
08 (S. No 01 to
08 of
Annexure 5)
A2 Recommended by jurisdictional tax authority with HC Order but having
scenario other than wrong column entry
(i) In 01 case, taxpayer did not get the 50% credit of Capital goods
(ii) In 01 case, taxpayer had failed to indicate the amount of credit to be
transitioned. Hence, closing balance of Cenvat credit in their ER-1 and
ST-3
returns last filed were not transferred to their ledger.
(iii) In 01 case, TRAN 1 filed but the taxpayer did not file TRAN-2, by
oversight.
(iv) In 01 case, filed TRAN 1 on 09.11.2017 but CENVAT Credit of 7.51
Cr not reflecting in TRAN-1
04 (S. No 09 to
12 of
Annexure 5)
A3 Case of non-technical error [Mistakenly Transferred the balance service
tax credit available with them to the GST Number of their Input Service
Distributor (ISD) registration on the belief that this credit could be
distributed to their various GSTNs subsequently. HC has ordered to allow
filing of rectified TRAN-1 before 30.12.2019. Commissioner has
forwarded the case to ascertain whether the case is fit to be considered as
non-technical issue without any recommendations.
01 (S. No 13 of
Annexure 5)
A4 Cases of non-technical error recommended by jurisdictional tax
authority but Hon’ble High Court order details neither mentioned nor
attached/No final order yet.
05 (S. No 14 to
18 of
Annexure 5)
Sub Total 18
B
Sub
Category
Cases reported involving Technical error that should have been
referred to ITGRC through GSTN.

B2 Cases of Technical error which are not recommended by jurisdictional
tax authority, but Hon’ble Court has directed Nodal Officer to forward to
IT Redressal Committee to decide the same.
03 (S. No 19 to
21 of
Annexure 5)
B3 Cases of Technical error already presented before 1st to 7th ITGRC and
also recommended by ITGRC.
04 (S. No 22 to
25 of
Annexure 5)
Agenda for 39th GSTCM Volume 2
Page 24 of 164

Total 07
C
-- Cases already presented before 1st to 7th ITGRC but not recommended
by ITGRC and now as per 32nd GST Council decision also forwarded
without recommendation by jurisdictional tax authority.
02(S. No 26 to
27 of
Annexure 5)
D
-- Cases forwarded by jurisdictional tax authority without recommendation.
Parameters as recommended by 32nd GST Council decision not followed.
01 (S. No 28 of
Annexure 5)
Total (A+B+C+D) 28
17. In view of extended scope of ITGRC in 32nd GST Council Meeting and subsequently the
mechanism/process approved in 8th ITGRC above 28 Cases as per Annexure 5 of the instant Minutes
were discussed in the Committee. It was observed that ‘Category A’ involved cases of non-technical
error which were received from jurisdictional officers of States/Centre. In the above table based on the
availability of recommendation of jurisdictional tax authority, Hon’ble High Court Or1der and error
type, Category-A was also divided in four subcategories as A1, A2, A3 and A4.
18. Considering the above submissions, Committee had further discussed subcategory wise cases
in view of the mechanism/process approved in 8th ITGRC as under.
Category A1 (08 Cases)
18.1 In subcategory A1 cases were of non-technical error which were having error of entry of credit
in wrong column of TRAN-1. They had not only filed TRAN-1 by due date, but were having Hon’ble
High Court orders and recommendation from jurisdictional officers also. Therefore, they seemed to be
squarely covered by the criteria specified in 8th ITGRC. It was further, observed that out of four
subcategories of category A of table 6 only this subcategory i.e. subcategory A1 fulfilled the criteria as
approved in 32nd GST Council and subsequently the mechanism/process approved in 8th ITGRC as in
these cases the error was apparent from records. Hence, these cases were covered by extended scope of
ITGRC in 32nd GST Council decision and subsequent mechanism/process approved in 8th ITGRC.
Category A2 (04 Cases)
18.2 Subcategory A2 had 04 cases where the fact that the error was not related to wrong column
entry, which was not included in the mechanism specified in 8th ITGRC and case wise details were
as under.
i. M/s AT&S India Limited, GSTIN 29AAECA2930J1ZO, WP No 22368/2019: The issue was that
Taxpayer had filed the TRAN-1 on 11.12.2017 but they did not get the 50% of Capital goods credit for
the period April 2017 to June 2017 in their credit ledger as, the Taxpayer had mentioned Zero in column
11 of Table 6 of GST TRAN-1 form. The committee observed that they should have mentioned the
credit which was pending to the transitioned and it seemed to be a human error. Therefore, the
Committee observed that the case was not as per the mechanism/process approved in 8th ITGRC for
non-technical cases.
ii. M/s Yokogawa Inida Ltd. GSTIN 29AAACY0840P1ZV WP 15854/2019: The issue was that the
assessee had filed form GST TRAN-1 on 12.12.2017 i.e. before due date but the credit relating to the
closing balance of Cenvat credit of Rs. 4,31,32,066/- in their ER-1 and ST-3 returns last filed were not
transferred to their ledger. Under the column “Cenvat Credit admissible as ITC” they had failed to
indicate the amount of credit to be transitioned, due to which the credit pertaining to their closing
balance was not credited to their electronic credit ledger. Taxpayer had tried to rectify the error by
attempting to revise the TRAN-1 filed before 28.12.2017 but all their all attempts got unsuccessful.
Agenda for 39th GSTCM Volume 2
Page 25 of 164

Taxpayer was seeking opportunity to revise the TRAN-1 already filed. In this case also, the Committee
observed that there seemed to be human error in not claiming the credit and the case was not as per the
mechanism/process approved in 8th ITGRC for non-technical cases.
iii. M/s Horology Impex Co. GSTIN 33AAHFH2933G1ZN, W.P. No. 34089/2018: Taxpayer filed
TRAN-1 on 19.12.2017 availing credit of Rs. 81,93,837/- under 7A stock with documents head of
TRAN-1. Taxpayer has also shown stock of value of Rs 12,43,13,920/- under 7B Stock without
documents in TRAN-1. They had further, stated that they were entitled for a transitional credit of Rs.
62.29 Lakhs, which was not transferred to their Electronic Credit Ledger since they did not file TRAN-
2, by oversight. In view of the fact that there was an oversight of the taxpayer, the Committee observed
that the case was not as per the mechanism/process approved in 8th ITGRC for non-technical cases

iv. M/s Macleods Pharmaceuticals Ltd GSTIN- 02AAACM4100C1ZL, CWP 1551/2018: Filed
TRAN 1 on 09.11.2017 but as per taxpayer the CENVAT Credit of 7.51 Cr did not reflect in TRAN-
1. It was mentioned in the letter of jurisdictional tax authority letter that GSTN vide mail dated
06.08.2018 had communicated to the Commissionerate that TRAN-1 was successfully submitted on
26.10.2017 and 27.11.2017 but as per logs taxpayer had filed 0 (zero) in the disputed field instead of
7.51 Cr and no logs of error evidencing any technical glitch faced by taxpayer were found. Therefore,
the Committee observed that the case was not as per the mechanism/process approved in 8th ITGRC
for non-technical cases

After the discussion and deliberation committee found that these cases did not seem to be qualified
within the parameters recommended for considering reopening of the portal as per extended scope of
ITGRC in 32nd GST Council and subsequently the mechanism/process approved in 8th ITGRC.
Category A3 (01 Case)
18.3 Category A3 had 01 case which was forwarded with no recommendations by the jurisdictional
tax authority. The case in this subcategory was also having error which was not related to
mechanism/process approved in 8th ITGRC and also no recommendation was received from the
jurisdictional officer. Hence, the case did not seem to be qualified within the parameters recommended
for considering reopening of the portal as per extended scope of ITGRC in 32nd GST Council and
subsequently the mechanism/process approved in 8th ITGRC. Hence, it was directed that the case be
referred back to the jurisdictional officer to conduct a proper verification and come out with clear
recommendation so that the case could be further considered by ITGRC, if required.
Category A4 (05 Cases)
18.4 The cases mentioned at subcategory A4 were recommended by the jurisdictional tax authority
but Hon’ble High Court order details were neither mentioned nor attached with the
recommendation, hence they did not fulfil the criteria as approved in 32nd GST Council. Hence, these
cases did not seem to be qualified for the recommendation of considering reopening of the portal as per
extended scope of ITGRC in 32nd GST Council decision.
Category B, C and D (Cases reported as having other than non-technical issue)
18.5 Further, Committee discussed cases of category B, C and D in detail and observed that these
cases had error/issue other than non-technical ones which was not as per decision of 32nd GST Council.
Hence, cases at Category B (07 cases), C (02 cases), D (01 case) (Total 10 cases) did not appear to be
eligible for consideration as part of extended scope of ITGRC and could be considered within normal
Agenda for 39th GSTCM Volume 2
Page 26 of 164

scope of ITGRC following the route of Nodal Officer for consideration of ITGRC in view of
recommendations of GSTN. Further, many of them have been forwarded without recommendation or
not observing the criteria as recommended by 32nd GST Council. Therefore-
i. Cases of, B2 (03 cases) and D (01 cases) Total 04 cases, having technical error and/or not
fulfilling parameters as recommended by 32nd GST Council were considered for forwarding to
GSTN for further analysis and placing before the next meeting of ITGRC as per circular
03.04.2018.
ii. Cases at Category B3 (04 cases) had been presented in the 1st to 8th ITGRC and recommended
by ITGRC but forwarded with the recommendation of the commissioner. Since these were of
technical error nature, hence no further action required.
iii. Cases at Category C (02 cases) had been presented in the 1st to 8th ITGRC but not
recommended by ITGRC and now again forwarded by CGST/SGST tax authorities without
recommendation, hence Committee had directed State/CBIC tax authorities to re-examine these
cases and forward properly, only if they fulfil the parameters/conditions as laid down in 32nd
GST Council Meeting.
19. Decision for Agenda 2
vi. Allowed reopening of portal for 08 cases of Subcategory A1 (Annexure 5) as per Extended
Scope of ITGRC decided in 32nd GST Council Meeting and subsequently the
mechanism/process approved in 8th ITGRC.
vii. Not to allow re-opening of portal for Category A2 (04 cases), A3 (01 case), A4 (05 case) (total
10 cases) as the criteria’s laid down by 32nd GST Council Meeting were not fulfilled. However,
jurisdictional Commissioners of States/CBIC could resubmit appropriate cases to ITGRC after
correcting the deficiencies as discussed or take any other remedial steps as per law.
viii. Cases of Category B2 (03 cases) and D (01 cases) (total 04 cases), having reported technical
error or were not fulfilling parameters as recommended by 32nd GST Council were
recommended for forwarding to GSTN for further analysis in terms of circular dated
03.04.2018 and placing before the next meeting of ITGRC, if found fit.
ix. Cases at Category B3 (04 cases) had been presented in the 1st to 8th ITGRC and recommended
by ITGRC, hence no action required.
x. Cases at Category C (02 cases) had been presented in the 1st to 8th ITGRC but not
recommended by ITGRC and now again forwarded by CGST/SGST tax authorities without
recommendation, hence Committee had directed State/CBIC tax authorities to re-examine
these cases, if required, and forward, only if they fulfil, the parameters/conditions as decided
in 32nd GST Council Meeting.

Agenda 3: Cases Received as per Extended Scope of ITGRC in view of 32nd GST Council Decision
and subsequently the mechanism/process approved in 8th ITGRC.
20. The member from Tamil Nadu stated that no case had been considered by the ITGRC in the
expanded scope for Non-IT glitch issues in previous Meetings. The intention of the extension of the
scope to Non-IT glitches was to avoid unnecessary litigation before the Courts of Law where the
taxpayers were getting orders directing the GSTN to open TRAN-1. However, this had not been
achieved so far and therefore the following suggestion was made for consideration before the 9th
ITGRC:
i. The cases referred by Tamil Nadu which was the very basis for widening the scope of ITGRC
may be reconsidered and approved.
Agenda for 39th GSTCM Volume 2
Page 27 of 164

ii. Even after lapse of two years transitional credit issues had not settle down. The taxpayers were
filing representations regularly requesting that the clerical error in filing up the TRAN-1 may be
considered and they be granted transitional credit in such cases and also many High Courts had
ordered that the TRAN-1 portal may be opened up in many such transitional issues. Hence it was
suggested that the taxpayers who for any reason could not claim transitional credit, be allowed
to file the claim afresh in a new format may be called as TRAN-4 subject to condition that the
genuineness of the claim has to be pre-verified by the concerned jurisdictional officer, like if
Central Excise, the Central authorities and if VAT and Entry Tax, the State authorities and if it
was found to be in order only then such transitional claim be allowed to be available to the
Taxpayer.
21. Considering the above submissions and the mechanism/process approved in 8th ITGRC was
having the provision that ITGRC could revisit the ‘Category A’ cases identified as non-technical cases
placed in Annexure 3 of 6th ITGRC and Agenda 3 of the 8th ITGRC, taking inputs as required from
GSTN. Accordingly, three cases namely M/s. Balu Iron and Steel Company, Coimbatore, M/s. MSR
Iron and Steel India Pvt Ltd, Coimbatore and M/s. Ramesh Iron and Steel Company, Coimbatore
appeared in subcategory A1 of the Annexure 3 of 6th ITGRC were placed before the committee as table
agenda. Additionally, the case of M/s Shiv Vanijya was also received just before the scheduled time of
the 9th ITGRC Meeting and added in the table agenda i.e. Agenda 3 as per following details.
S.
No
State/ CGST GSTIN/ Title of the Case/
WP No. and Date
Brief Issue/ Directions
of Hon'ble High Court
Recommendations
of Officer of the
State /Centre
1 Chennai,CGST
Mail
31.03.2019
33AAMFB6860B1ZO
M/s. Balu Iron and Steel
Company, Coimbatore, 21321
to 21323 of 2018 dated
21.08.2018 of Madras High
Court
TRAN-1 filed on
28.08.2017. Data relating
to input held in stock was
wrongly declared in 7(d)
instead of 7(a) and hence
credit is not transitioned.
Nodal Officer in
consultation with the
GSTN shall take note of
the grievances expressed
by the petitioner and
Grievance Committee to
take appropriate decision
in the matter
expeditiously.
Recommended for
reopening of
TRAN-1.
2 Chennai,CGST
Mail
31.03.2019
33AAGCM0518C1Z4
M/s. MSR Iron and Steel India
Pvt Ltd, Coimbatore, 21321 of
2018 dated 21.08.2018 of
Madras High Court
TRAN-1 filed on
28.08.2017. Data relating
to input held in stock was
wrongly declared in 7(d)
instead of 7(a) and hence
credit is not transitioned.
Nodal Officer in
consultation with the
GSTN shall take note of
the grievances expressed
by the petitioner and
Recommended for
reopening of
TRAN-1.
Agenda for 39th GSTCM Volume 2
Page 28 of 164

Grievance Committee to
take appropriate decision
in the matter
expeditiously.
3 Chennai,CGST
Mail
31.03.2019
33AAECR3728H1ZH
M/s. Ramesh Iron and Steel
Company, Coimbatore.,
21321 to 21323 of 2018 dated
21.08.2018 of Madras High
Court
TRAN-1 filed on
28.08.2017. Data relating
to input held in stock was
wrongly declared in 7(d)
instead of 7(a) and hence
credit is not transitioned.,
Nodal Officer in
consultation with the
GSTN shall take note of
the grievances expressed
by the petitioner and
Grievance Committee to
take appropriate decision
in the matter
expeditiously.
Recommended for
reopening of
TRAN-1.
4 CGST Ranchi 20ABOPA7784J1ZH
M/s Shiv Vanijya WP
4540/2018
TRAN-1 filed and Data
relating to ITC wrongly
declared in 7(a) instead
of 7(d).
Order: ITGRC to decide
the claim of this
petitioner on the basis of
representation submitted
by petitioner.
Recommended for
reopening of
TRAN-1.


22. Committee had discussed these four cases in view of the discussion held on Agenda 2 above.
These four cases were also of non-technical glitch received as per the extended scope of ITGRC decided
in 32nd GST Council Meeting and subsequently the mechanism/process approved in 8th ITGRC. It was
observed that these cases involved similar nature of error same as discussed in subcategory A1 of
Agenda 2 above. These cases were of non-technical error which were having error of entry of credit in
wrong column of TRAN-1. They had filed TRAN-1 by due date, having Hon’ble High Court orders
and recommendation from jurisdictional tax authority. They were also fulfilled the criteria as approved
in 32nd GST Council and subsequently the mechanism/process approved in 8th ITGRC. Therefore, the
mechanism specified in 8th ITGRC was applicable to them. Hence, these cases seemed to be qualified
within the parameters recommended for considering reopening of the portal as per extended scope of
ITGRC in 32nd GST Council decision and subsequently the mechanism/process approved in 8th ITGRC.
23. Decision for Agenda 3:
Committee allowed reopening of portal for above 04 cases of Agenda 3 also as per Extended Scope of
ITGRC decided in 32nd GST Council Meeting and subsequently the mechanism/process approved in 8th
ITGRC.
Agenda for 39th GSTCM Volume 2
Page 29 of 164

Agenda 4: Constitution of Public Grievance Committees (PGC) at local and Commissionerate
level:
24. CEO, GSTN had placed this agenda with the approval of the Committee that as per Hon’ble
High Court of Delhi order dated 28.11.2019 in WPC 9575/2017 and CM No 38987/2017 filed by Sales
Tax Bar Association (STBA), Constitution of Public Grievance Committees (PGC) at local and
Commissionerate level has to be done. Hon’ble High Court had directed to file affidavit in two weeks
in this regard. Therefore, it was requested by him that Committee could recommend to forward an
Agenda regarding constitution of PGC’s before the GST Council.
25. Decision for Agenda 4:
Committee discussed the issue and agreed to recommend that GST Policy Wing and GSTN may jointly
prepare a suitable agenda and place before the ensuing GST Council to comply the order of Hon’ble
Court.


Agenda for 39th GSTCM Volume 2
Page 30 of 164

Annexure 1
TRAN 1 Cases sent by Nodal Officers of Centre/States


Category Detailed Description Count of
Taxpayer
A1 Processed with error. The taxpayer could not claim transitional credit as the
line items requiring declarations of earlier existing law
registration were processed with error since the
taxpayer had not added them in his registration details.
10
A2 TRAN-1 not attempted as
per logs - due to
Registration Issue and
Return filed after TRAN1
due date.
The taxpayers were not able to migrate due to technical
issues. These taxpayers have applied afresh after
27th Dec 2017 and were allotted the same GSTIN as
their Provisional ID later.
04
A3 Taxpayer has submitted
TRAN1, only Filing
needs to be enabled.
Taxpayer has submitted TRAN 1 but not filed with
appropriate signature (DSC/EVC). Request for
enabling filing with signature as GSTR 3B is not
getting filed. This includes cases which are currently in
composition or registration is cancelled.
10
A4 Migration User - Got
Registration post TRAN-
1 end date.
The taxpayer is a migrated taxpayer and has taken
registration on 29th September 2018 with effective date
of registration as 1st July 2017.
02
B1 As per GST system log,
there are no evidences of
error or submission/filing
of TRAN1.
As per GST System Logs there is no evidence that the
taxpayer has tried for Saving / Submitting / Filing
TRAN1
20
B2 TRAN-1 Fresh/Revision
Attempted with No error/
No valid error reported.
As per GST System Logs, the taxpayer has tried for
Saving / Submitting /Filing fresh or Revision and there
are no evidences of system errors in the log.
05
B3 TRAN-1Succesfully
Filed as Per Logs with No
Valid Error reported.
The taxpayer has successfully filed TRAN1 and no
technical error has been found.
16
B5 TRAN-1 filed once but
credit not received.
Cases where the taxpayer has filed TRAN1 once but no
credit has been posted. No technical issues has been
observed in the logs.
05
Total
72

Agenda for 39th GSTCM Volume 2
Page 31 of 164

Category A1: Cases where the taxpayer received the error ‘Processed with error. The taxpayer
could not claim transitional credit as the line items requiring declarations of earlier existing law
registration were processed with error since the taxpayer had not added them in his registration
details
S.
No
.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
1 04AAACV5
195J1Z4
VALCO
INDUSTRIE
S LIMITED
Chandig
arh
Public
Limited
Company
Kumar Gaurav
Dhawan,
Additonal
Commissioner,
CGST
Commissionerat
e, Chandigarh
Centr
e
Letter
2 06AADFF89
26D1ZJ
FIVE STAR
ENGINEERI
NG
SERVICE
Haryana Partnersh
ip
Nodal Officer IT
issues, Haryana
State gsttihry@gmai
l.com
3 29AAECM6
862D1ZA
MENZIES
AVIATION
BOBBA
(BANGALO
RE)
PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
Shri Suresh
Kumar,
Principal
Commissioner
of Central Tax,
Bengaluru North
Commissionerat
e, Bangalore
Centr
e
commr-
cexblr4@nic.in
4 27AAAFF84
95N1ZP
FIBER OPTI
INK
Maharas
htra
Partnersh
ip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
State
Government,Mu
mbai
State gstit.state@ma
hagst.gov.in
5 27AAACR50
43H1ZI
RAMPRA
STEEL
INDUSTRIE
S
Maharas
htra
Private
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
6 27AABCP87
50G1Z9
PREM
POWER
CONSTRUC
Maharas
htra
Private
Limited
Company
Sanjay Rathi,
Commissioner,
Centr
e
Letter
Agenda for 39th GSTCM Volume 2
Page 32 of 164

TION
PRIVATE
LIMITED.
7 27AAACL43
78F1ZG
LAMIFABS
& PAPERS
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
K. V. S. Singh,
Commissioner,
CGST
Commissionerat
e, Aurangabad
Centr
e
Letter
8 07AAACV9
890N1ZG
VANSH
ELECTROM
ECHANICA
L DEVICES
PRIVATE
LIMITED
New
Delhi
Private
Limited
Company
Ravindra Singh,
Assistant
Commissioner,
CGST
Commissionerat
e, New Delhi
Centr
e
ccu-
cexdel@nic.in
9 08AANCS65
00K1Z1
SIDDHI
VINAYAK
CHEMEX
INDIA
PRIVATE
LIMITED
Rajastha
n
Private
Limited
Company
Raj Kumar, Joint
Commissioner
(IT),
Commercial
Taxes
Department,
Jaipur
State dc-
it@rajasthan.g
ov.in
10 **09AAACI
4625C1ZX
ITI LTD
(ITI LTD-
RAEBARE
LI UNIT)
Uttar
Pradesh
Public
Limited
Compan
y
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State ctdgstit.grieva
nce@ka.gov.i
n

**Received from Nodal Officer (Comm. Taxes), Bengaluru but unit is located in Lucknow
Commissionerate.
Agenda for 39th GSTCM Volume 2
Page 33 of 164

Category A2: TRAN 1 not attempted as per logs - due to Registration Issue and Return filed after
TRAN1 due date :The taxpayers were not able to migrate due to technical issues. These taxpayers
have applied fresh after 27th Dec 2017 and were allotted the same migrated/Provisional GSTIN.
S.
No
.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
11 07AAICM78
66P2ZG
MIX INDIA
BULK
HANDLING
PRIVATE
LIMITED
Delhi Private
Limited
Company
Superintendent,
Tech
GST-Okhla,
Delhi-South
Centr
e
gstokhla@gma
il.com
12 07AABCI83
25A1ZZ
M/s IRVINE
TECHNOLO
GIES PVT
LTD
Delhi Private
Limited
Company
Sh. Nagendra
Yadav, Joint
Commissioner,
Central
Government,
New Delhi
Centr
e
ccu-
cexdel@nic.in
13 24AFIPM36
63A1ZS
INDRANIBE
N
PANIRBHAI
MUDALIAR
Gujarat Proprieto
rship
S. M. Saxena,
Joint
Commissioner,
State
Government,
Ahmedabad,
Gujarat
State jcegov-
ct@gujarat.gov
.in
14 33AADCR8
355H1Z9
EXXARO
TILES
PRIVATE
LIMITED
Tamil
Nadu
Private
Limited
Company
K. M.
Ravichandaran,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Chennai South
Centr
e
comp.chennain
orth@gov.in

Agenda for 39th GSTCM Volume 2
Page 34 of 164

Category A3: Cases where the Taxpayer has submitted TRAN1, only Filing needs to be enabled:
Taxpayer has submitted TRAN 1 but not filed with appropriate signature (DSC/EVC). Request
for enabling filing with signature as GSTR 3B is not getting filed. This includes cases which are
currently in composition or registration is cancelled.
S.
N
o.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
15 24ARVPD06
78F1ZO
PRITESH
KUMAR
MAHENDRA
BHAI DAVE
(SHAKTI
STUDIO)
Gujarat Proprieto
rship
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.gov
.in
16 24AAWFS96
86G1Z8
S. S.
TRADERS
Gujarat Partnersh
ip
M. S. Jani,
Deputy
Commissioner
of State Tax,
Rajkot
State dc22-
ct@gujarat.gov
.in
17 24AKAPM8
427H1Z7
VIJAYBHAI
KANHAIYAL
AL MISTRY
(MEENURAJ
SOFA
LINING)
Gujarat Proprieto
rship
Kamleshkumar
L. Hadula,
Deputy
Commissioner
Of State Tax,
Ahmedabad
State dc5-ahd2-
gstn@gujarat.g
ov.in
18 29BJMPA19
83Q1ZG
ASHOK
KUMAR
(HEERA
ELECTRICAL
S &
HARDWARE)
Karnatak
a
Proprieto
rship
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
19 23CMFPK15
94N1ZP
MANISH
KUMAR
KOTHARI
(PERFECT
PIPE EVAM
FITTING)
Madhya
Pradesh
Proprieto
rship
Neerav Kumar
Mallick,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Indore,
Madhya Pradesh
Centr
e
ashokbhandari
04@gmail.com
20 27AXIPS243
1E1ZJ
FOUZAN
MOHAMME
D SIDDIQUei
Maharas
htra
Self
Employe
d
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
State gstit.state@ma
hagst.gov.in
Agenda for 39th GSTCM Volume 2
Page 35 of 164

of State Tax,
Mumbai
21 33AAEFJ221
5L1ZM
JEGADEESA
N
COMPUTER
CENTR
Tamil
Nadu
Partnersh
ip
S. Ramaswamy,
Joint
Commissioner,
Centre
Government,
Tamilnadu
State jccs@ctd.tn.go
v.in
22 09AATFS93
68L1ZX
SHANTI
AGENCIES
Uttar
Pradesh
Partnersh
ip
Joint
Commissioner
(I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow, Uttar
Pradesh
State ctithqlu-
up@nic.in
23 09AICPV082
6D1ZD
HIMANI
TRADERS
(VINIT)
Uttar
Pradesh
Proprieto
rship
Joint
Commissioner
(I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow
State ctithqlu-
up@nic.in
24 19AADFH27
19J1ZA
HAIT
INDUSTRIES
West
Bengal
Partnersh
ip
Sima Sarkar,
Senior Joint
Commissioner,
Commercial
Taxes, West
Bengal
State sima.sarkar@
wbcomtax.gov.
in



Agenda for 39th GSTCM Volume 2
Page 36 of 164

Category A4 : Cases where the taxpayer received the error Migration User – ‘Got New
Registration post TRAN-1 end date’.
S.
N
o.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
25 13AAACI93
21H1ZV
INFINITY
INFOMATIC
PRIVATE
LIMITED
Nagalan
d
Private
Limited
Company
Wochamo
Odyuo, Addl.
Commissioner
of Taxes,
Dimapur,
Nagaland
State wochamo@red
iffmail.com
26 33AABCH50
55Q1ZB
Heurtey
Petrochem
India Private
Limited
Tamil
Nadu
Private
Limited
Company
S. Ramasamy,
Joint
Commissioner
of State Tax,
Tamilnadu
State jccs@ctd.tn.go
v.in

Agenda for 39th GSTCM Volume 2
Page 37 of 164

Category B1: Cases in which as per GST system log, there are no evidences of error or
submission/filing of TRAN1. As per GST System Logs, the taxpayer has neither tried for Saving
/ Submitting or Filing TRAN1.
S.
N
o.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
27 10CAGPS452
3Q1ZF
PRITI
SINGH
(SHIVANSH
ENTERPRIS
ES)
Bihar Proprietors
hip
Mukesh
Kumar,
Assistant
Commissioner
State-Tax,
Patna
State mukesh.kum
ar1982@go
v.in
28 10AALFG308
3A1Z1
GARDENIA
NEWTECH
DEVELOPE
RS LLP
Bihar Limited
Liability
Partnership
Nitin Anand,
Commissioner,
CGST &
Central Excise
Commissionera
te, Ranchi
Zone, Patna
Centr
e
nitinanand.ir
s@gov.in
29 10AABCI9694
J1ZB
IMPERIAL
AGRO
PRIVATE
LIMITED
Bihar Private
Limited
Company
Sh. Nitin
Anand,
Commissioner,
CGST &
Central Excise
Commissionera
te, Patna
Centr
e
nitinanand.ir
s@gov.in
30 04ADEPN740
9H1ZN
LAKSHMI
NARYAN
(SURYA
TYRES &
TRADERS)
Chandigar
h
Proprietors
hip
R. L. CHUGH,
Proper Officer,
Ward-2,
Chandigarh
State etosalestaxw
ard2@gmail
.com
31 07AAKFD679
5M1ZM
DEVRAJ
RANGWAL
A IMPEX
LLP
Delhi Limited
Liability
Partnership
Prashant
Kumar Prasad,
GSTO,
Government of
NCT of Delhi,
Department of
Trade & Taxes
Delhi
State pk.prasad70
@gov.in
32 24AASCS661
1A1ZJ
SHREE
CHANDRA
VATI
ALUMSTO
Gujarat Private
Limited
Company
Smt. Stela
Christian,
Deputy
Commissioner
State dc7-gnr-
gstn@gujara
t.gov.in
Agenda for 39th GSTCM Volume 2
Page 38 of 164

DOORS
PRIVATE
LIMITED
of State Tax,
Gandhinagar
33 24AADCG434
5E1ZZ
FREUDENB
ERG GALA
HOUSEHOL
D
PRODUCT
PRIVATE
LIMITED
Gujarat Private
Limited
Company
S. M. Saxena,
Joint
Commissioner
of State Tax,
Ahmedabad
State jcegov-
ct@gujarat.
gov.in
34 24ADIPK1749
D1ZT
VIJAYKUM
AR KANANI
Gujarat Proprietors
hip
S. M. Saxena,
Joint
Commissioner,
State Govt,
Gujarat
State
jcegov-
ct@gujarat.
gov.in
35 29AACCB535
1J1ZK
BASAI
STEELS
AND
POWER
PRIVATE
LIMITED
Karnataka Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
36 27AGWPK369
8Q1Z0
BALEWADI
TECHPARK
PVT.LTD
(NAVJEETS
INGH
MANMOHA
NSINGH
KOCHHAR)
(UTTAM
CATERERS)
Maharasht
ra
N/A Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
State
Government,M
umbai
State gstit.state@
mahagst.gov
.in
37 27AADCV235
6E1ZF
VINAYAKA
SEEDS
PRIVATE
LIMITED
Maharasht
ra
Private
Limited
Company
D. P. S.
Kushwah,
Additional
Commissioner,
CGST &
Central Excise
Commissionera
te, Nagpur
Centr
e
Letter
38 27BKTPS9058
Q1ZN
ADARSH
HARDWAR
E STORES
Maharasht
ra
Proprietors
hip
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
Agenda for 39th GSTCM Volume 2
Page 39 of 164

39 27AACCB595
7A1ZV
BURO SYS
FURNITUR
E PRIVATE
LIMITED
Maharasht
ra
Private
Limited
Company
Vipul Gupta,
Joint
Commissioner,
CGST &
Central Excise
Commissionera
te, Churchgate,
Mumbai
Centr
e
Letter
40 27AAGCP037
6D1ZK
PRL
INFRACON
STRUCTIO
NS AND
DEVELOPE
RS
PRIVATE
LIMITED
Maharasht
ra
Private
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
41 27AAACZ092
9J1Z4
ZAWARE
CREATIVE
ENTERPRIS
ES
PRIVATE
LIMITED
Maharasht
ra
Private
Limited
Company
Vandana K.
Jain,
Commissioner,
CGST
Commissionera
te, Pune
Centr
e
santosh.vats
a@nic.in
42 21AAAFV694
3P1ZS
VIJAYA
AUTO
SALES
Odisha Partnership Sri J. Sateesh
Chandar, Joint
Commissioner,
CGST &
Central Excise
Commissionera
te,
Bhubaneshwar
Centr
e
sateesh.chan
dar@gov.in
43 21AADFV220
1R1ZA
VIJAY
MOTORS
Odisha Partnership Sri J. Sateesh
Chandar, Joint
Commissioner,
CGST &
Central Excise
Commissionera
te,
Bhubaneshwar
Centr
e
sateesh.chan
dar@gov.in
44 33AWJPS2919
K1Z5
Sri amman
steel
(VELLAICH
AMY
SANGAIAH
)
Tamil
Nadu
Proprietors
hip
S.
Ramaswamy,
Joint
Commissioner,
Tamilnadu
State jccs@ctd.tn.
gov.in
45 09ACWPA011
5G1ZV
PAWAN
KUMAR
AGARWAL
Uttar
Pradesh
Proprietors
hip
Joint
Commissioner
(I.T.),
State ctithqlu-
up@nic.in
Agenda for 39th GSTCM Volume 2
Page 40 of 164

Commercial
Taxes, Head
Quarter,
Lucknow
46 05ABOPD315
3E1Z2
M/S
SIMPLEX
CONTROL
EQUIPMEN
TS
COMPANY
Uttarakha
nd
Proprietors
hip
Anurag Mishra,
Deputy
Commissioner
of State Taxes,
Uttarakhand
State anuragmishr
a75@gmail.
com

Agenda for 39th GSTCM Volume 2
Page 41 of 164

Category B2: Cases where TRAN 1 Fresh/Revision Attempted with No error or No valid error
reported: As per GST System Logs, the taxpayer has tried for Saving / Submitting/Filing Revision
and there are no evidences of system errors in the log.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
47 30AABCB83
94G1ZS
BAGH
BAHAR
APPLIANCE
S PRIVATE
LIMITED
Goa
Private
Limited
Company
Shri K.
Anpazhakan,
Commissioner,
CGST
Commissioner
ate, Goa
Centr
e
santosh.vats
a@nic.in
48 27AABCV57
73H1Z0
VISHWAKA
RMA
ALUMINIU
M HOUSE
PRIVATE
LIMITED
Maharash
tra
Private
Limited
Company
Shri P. H. Lal,
Assistant
Commissioner,
CGST
Commissioner
ate, Mumbai
West
Centr
e
div7tech.cgs
tmw@gmail
.com
49 27BLUPS12
83H1ZG
LOKESH
SHAH
(SHASHI
ENTERPRIS
E)
Maharash
tra
Proprietors
hip
Amit Kumar
Sharma,
Deputy
Commissioner,
Central
Government,
Mumbai
Centr
e
amit.irs@go
v.in
50 27AACFM21
48K1Z8
MOTICHAN
D RAOJI
GANDHI
Maharash
tra
Partnershi
p
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
51 09AAACS44
57Q1ZO
Vodafone
Idea Limited
(VODAFON
E MOBILE
SERVICES
LIMITED)
Uttar
Pradesh
Public
Limited
Company
Joint
Commissioner
(I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow, Uttar
Pradesh
State ctithqlu-
up@nic.in

Agenda for 39th GSTCM Volume 2
Page 42 of 164

Category B3: Cases where the taxpayer has Successfully Filed TRAN-1 as Per Logs with No Valid
Error reported: The taxpayer has successfully filed TRAN1 and no technical errors has been
found.
S.
No.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
52 07AABCM92
44N1Z0
CERA
SANITARY
WARE
LIMITED
Delhi
Public
Limited
Company
Assistant
Commissioner,
O/o the Principal
Chief
Commissioner,
CGST & CX,
Delhi Zone
Centr
e
ccu-
cexdel@nic.
in
53 07AABCT243
9G2ZG
M/s TOPSEL
PRIVATE
LIMITED
Delhi
Private
Limited
Company
Assistant
Commissioner,
O/o the Principal
Chief
Commissioner,
CGST & CX,
Delhi Zone
Centr
e
ccu-
cexdel@nic.
in
54 24AANFG105
6H1ZJ
GAYATRI
ELECTRONI
CS
Gujarat Partnershi
p
S. M. Saxena,
Joint
Commissioner,
State
Government,
Ahmedabad,
Gujarat
State jcegov-
ct@gujarat.g
ov.in
55 01AABCM92
44N1ZC
CERA
SANITARY
WARE
LIMITED
Jammu
&
Kashmir
Public
Limited
Company
Sandeep Kumar,
Programmer,
Coordinator
Jammu Division,
State Admin
GST, STC, J&K
GST, Nodal
Officer
GST/BAS
State sandeep.pro
g123@gmail
.com
56 29BBWPM48
35P1ZG
FAKRUDDI
N SAB
MAHABOO
B BASHA
(HINDUSTA
Karnatak
a
Proprietor
ship
K. S. Basavaraj,
Joint
Commissioner of
Commercial
State basavaraj.sa
gar@ka.gov.
in
Agenda for 39th GSTCM Volume 2
Page 43 of 164

N
PLYWOOD
AND
HARDWAR
ES)
Taxes,
Bengaluru
57 27CMYPS868
4J1ZL
SHABNAM
BANO
SHAMSHA
D ALI
SHAIKH
(ALI
TRADERS)
Maharas
htra
Proprietor
ship
Miss
Kalyaneshwari
Patil, Deputy
Commissioner of
State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
58 27AABCF253
3P1ZF
FRIZO
INDIA
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner of
State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
59 27AAHFK046
1E1ZM
KAMDHEN
U BUILDER
&
DEVELOPE
RS
Maharas
htra
Partnershi
p
Sanjay
Mahendru,
Commissioner,
CGST
Commissionerat
e, Belapur Navi
Mumbai
Centr
e
Mahendra.P
atil@icegate
.gov.in
60 27AADCS922
1P1ZT
M/s SSB
Alloys &
Steel Pvt.
Ltd.
Maharas
htra
Private
Limited
Company
Pritee
Chaudhary,
Additional
Commissioner,
CGST
Commissionerat
e, Mumbai
Centr
e
compcexm1
@gmail.com
61 21AABCJ283
5N1ZM
JAI
HANUMAN
UDYOG
LIMITED
Odisha Public
Limited
Company
J. Sateesh
Chandar, Joint
Commissioner,
CGST & Central
Excise
Commissionerat
e, Bhubaneswar
Zone
Centr
e
sateesh.chan
dar@gov.in
62 21AAFFM765
3N1ZZ
MANGILAL
L RUNGTA
Odisha Partnershi
p
S. S. Bisht,
Central
Government,
Assam
Centr
e
Letter
63 21AAEPL842
9N2ZF
VIJAY LAL
Odisha
Proprietor
ship
Sri J. Sateesh
Chandar, Joint
Commissioner,
Centr
e
sateesh.chan
dar@gov.in
Agenda for 39th GSTCM Volume 2
Page 44 of 164

CGST & Central
Excise
Commissionerat
e, Bhubaneshwar
64 33AAKPP187
4B1ZV
DEJUSHETT
Y
PADMANA
BHAN
(PADMANA
BHAN
DEJUSHETT
Y)
Tamil
Nadu
Proprietor
ship
K. M.
Ravichandaran,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Chennai South
Centr
e
comp.chenn
ainorth@gov
.in
65 33AAGCA311
8E1ZA
ARIHANT
BUILD
MART PVT.
LTD.
Tamil
Nadu
Private
Limited
Company
S. Ramaswamy,
Joint
Commissioner,
Tamilnadu
State jccs@ctd.tn.
gov.in
66 36AAFCK594
2D1ZL
KAVERI
INFRAPROJ
ECTS
PRIVATE
LIMITED
Telangan
a
Private
Limited
Company
Shri. Raghu
Kiran B, Joint
Commissioner,
CGST & Central
Excise
Commissionerat
e, Hydarabad
Centr
e
cgst.mdclco
mmtecomp
@gov.in
67 19ANKPP684
8C1ZK
MANINDRA
PARUI (M M
ENTERPRIS
E)
West
Bengal
Proprietor
ship
Sima Sarkar,
Senior Joint
Commissioner,
Commercial
Taxes, West
Bengal
State sima.sarkar
@wbcomtax
.gov.in

Agenda for 39th GSTCM Volume 2
Page 45 of 164

Category B5: Cases where TRAN-1 is filed once but credit not received. In these cases the
taxpayer has filed TRAN1 once but no credit has been posted. No technical issues has been
observed in the logs.
S.
No.
GSTIN/
Provisional
Id
Legal
Name
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name
Cent
re/St
ate
E-Mail ID
68 04AAACH55
98K1Z9
M/s HLL
LIFECAR
E
LIMITED
Chandig
arh
Public
Sector
Undertaki
ng
Kumar Gaurav
Dhawan,
Additional
Commissioner,
CGST
Commissionerate,
Chandigarh
Centr
e
Letter
69 30AABFP95
73C1ZH
PIONEER
ENTERPR
ISES
Goa Partnershi
p
Central
Government, Goa
Centr
e
stdiv2@gmail
.com
70 24AAACO23
13B1ZC
UNIFRAX
INDIA
PRIVATE
LIMITED
Gujarat Private
Limited
Company
Sunil Kumar
Singh,
Commissioner,
CGST & C.Ex,
Gandhinagar
Centr
e
commr-
cexamd3@nic
.in
71 27AAACO04
69J1ZC
Oky Paper
Products
Pvt Ltd
(OKAY
PAPER
PRODUC
TS
PRIVATE
LIMITED)
Maharas
htra
Private
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner of
State Tax,
Mumbai
State gstit.state@m
ahagst.gov.in
72 09AQVPS06
90P1ZM
M/s
Firozabad
Tent House
(GORY
SHANKE
R
SHARMA)
Uttar
Pradesh
Proprietor
ship
Vivek Kumar
Jain, Joint
Commissioner,
CGST & Central
Excise
Commissionerate,
Lucknow
Centr
e
ccu-
cexlko@nic.i
n

Agenda for 39th GSTCM Volume 2
Page 46 of 164

Annexure 2

TRAN-1 Writ Petition Cases
Category
No.
Category Detailed Description
Count of
Taxpayer
A-1
Processed with error
Cases where the taxpayer received the error
‘Processed with error.' As per GST system logs the
taxpayer has attempted to submit first time/fresh or
revise TRAN1 but could not file because of errors.
5
A-2 Cases where TRAN-1 not
attempted as per logs due to
Registration Issue and Return
filed after TRAN1 due date
The tax payer was not able to migrate due to technical
issues. These tax payers have applied afresh after 27th
December, 2017 and were allotted the same GSTIN
as their provisional ID later.
1
B-1 As per GST system log, there
are no evidences of error or
submission/filing of TRAN1.
As per GST system log, there are no evidences of
error or submission/filing of TRAN1.
13
B-2

TRAN-1 Fresh/Revision
Attempted with No error/ No
valid error reported.
TRAN-1 Fresh/Revision Attempted with No error or
No valid error reported

2
B-3
TRAN-1 Successfully Filed
as Per Logs with no valid
error reported
The taxpayer has successfully filed TRAN-1 and no
technical errors has been found. Also no issue were
found while posting of credit in the electronic credit
ledger
1
Other
Category
Vishvakarma Paper and
Boards Ltd. GSTIN
05AACCV8073F1ZA,
Contempt Petition No. 584 of 2019, in Uttarakhand
HC
1

Total 23


Agenda for 39th GSTCM Volume 2
Page 47 of 164

Category A1: Cases where the taxpayer received the error ‘Processed with error.' As per GST
system logs the taxpayer has attempted to submit first time/fresh or revise TRAN-1 but could not
file because of errors.

1. Writ Tax 401/2019-Vin Petro Chem Pvt. Ltd. v. UOI & Ors

GSTIN/ Provisional ID State Constitution of Business
09AABCV8382Q1ZC Uttar Pradesh Private Limited Company

Issue:- The Petitioner tried to upload TRAN-1 on last date i.e. 27.12.2017 but the same was not accepted
by the portal due to technical glitch.
Status:- GSTN is a party in this matter. GSTN had only received a copy of order dated 30.03.2019
from the Joint Commissioner (I.T.), Commercial Taxes Head Quarters, Lucknow vide their e-mail dated
04.04.2019. Copy of the Writ Petition was received by GSTN on 18.09.2019 from Joint Commissioner
(I.T.), Commercial Taxes, Head Quarters, Lucknow. The Hon’ble High Court vide order dated
30.03.2019 directed the Respondents to reopen the portal within two weeks from the date of order. The
matter is pending before the Hon’ble High Court of Uttar Pradesh at Allahabad. Next date of hearing
has not been updated on the Court’s website.
Note: This case was included in 8th ITGRC agenda, however, due to non-mention of specific
problem faced by the Petitioner in absence of writ petition, this case was withdrawn from the 8th
ITGRC meeting. Upon receipt of the copy of writ petition the issue was again examined and
investigated in view of averments made in the writ petition.

2. Writ Tax 15717 / 2019 M/s I. T. I. Limited V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
09AAACI4625C3ZV Uttar Pradesh Public Sector Undertaking

Issue: - The petitioner attempted to file TRAN-1 and claim credit several times in the month of
December 2017, but the petitioner failed every time he attempted to select the TRAN-1 tab, as an error
cropped up. The petitioner does not have any screenshot to demonstrate several attempts made by it.
Subsequently, the Petitioner tried again to submit GST TRAN-1 on the last date i.e. 27.12.2017.
However, it was not accepted by the portal due to technical glitch which continued throughout the day.
Status:- Copy of the Writ Petition was received by GSTN on 09.08.2019 from the counsel. GSTN is a
party in the matter. Vide email dated 13.08.2019, GSTN informed the status of the case to the Counsel
appearing for Respondents. No effective order in available on court’s website. The matter is pending
before the High Court of Uttar Pradesh at Lucknow. Next date of hearing has not been updated on the
Court’s website.
Agenda for 39th GSTCM Volume 2
Page 48 of 164

3. W.P. 6682/2019 M/s Fuso Glass India Private Limited V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
36AABCM9798H1ZT Telangana Private Limited Company

Issue: The petitioner filed TRAN-1 on 06.11.2017 for its three locations before the last date and claimed
an input tax credit of Rs.8,04,170 which was lying to its credit as on 30.06.2017. However, the GST
Portal did not accept the same and showed "Validation Error". It showed the causes of validation error
as date of birth does not match for authorised signatory, Aadhaar Details does not match and date of
birth does not match for promoter. By the time the validation errors were rectified, the due date for
filing of TRAN-1 was over.
Status:- GSTN is a party in the matter. Vide e-mail dated 01.10.2019 status of the case has been
apprised to the Commissioner of Commercial Taxes Telangana, Hyderabad. No effective order is
available on Court’s website. Next date of hearing has also not been updated on Court’s website

4. W.P. 9833 / 2019- Kottoor Mathew Jose Mathew v. UOI & Ors.
GSTIN/ Provisional ID State Constitution of Business
32AEHPM9073L1Z3 Kerala Proprietorship

Issue:- The Petitioner filed TRAN-1. Subsequently the Petitioner tried to revise the same but could not
do so on account of technical glitches.

Status:- The High Court vide order dated 29.03.2019 ordered respondent no. 6 (Nodal Officer, Office
of Commissioner CGST & CE, Thiruvananthapuram) to consider the request of the tax payer in
resolving the glitches in GST Portal and pass orders as may be correct both to adhere to time scheduled
and /or alternatively provide alternative method to the petitioner for filing return. GSTN is a party in
this matter.
Further investigation by GSTN:- An email dated 10.7.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 12.7.2019. The Petitioner vide email dated
12.07.2019 provided that they were unable to upload details while filing TRAN-1 due to technical
glitches. The Petitioner vide email dated 27.12.2017 has provided the details. On analysis of the details
provided, it was found that the taxpayer faced technical errors in saving records. Therefore, the taxpayer
should be considered as he has encountered errors while saving the records.

Agenda for 39th GSTCM Volume 2
Page 49 of 164

5. W.P. 9886/2019 M/S A. P. Trading Co. v/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
07ABBPS5633F1ZP Delhi Proprietorship

Issue: The Petitioner repeatedly tried to file TRAN-1 since the TRAN-1 Form was made available on
the portal. However, the petitioner could not furnish the details on account of failure of the system to
accept the information on the common portal. Every time an attempt was made to save the uploaded
data the Petitioner would get logged out from the common portal. The Petitioner made several efforts
to log in to the portal repeatedly but it was shown that there was a “Network Error” or the "Site Can’t”
be reached.
Status: GSTN is a party in this matter. GSTN received advance copy of the Writ Petition from the
Petitioners Counsel on 09.09.2019. GSTN has neither received court’s notice nor any intimation from
the concerned Commissionerate. There is no effective order passed by the High Court of Delhi. The
matter is pending and the next date of hearing is 21.11.2019.
Further Investigation by GSTN: An email dated 31.10.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 02.11.2019. The Petitioner replied vide email
dated 02.11.2019 providing the requested information. On analysis of the details provided by the
Taxpayer, it was found that as per the screen shot provided by the taxpayer, he was not able to connect
to the GST System to file TRAN-1 and thus the taxpayer was not able to login into GST System to file
TRAN-1. Therefore, it may be considered that the taxpayer faced technical issues while logging into
GST system.
Category A-2: Cases where, TRAN-1 not attempted as per logs - due to Registration/Migration
Issue and Registration got after TRAN1 due date

6. W.P. 7454 / 2019 M/S Anupam Motors V/s UOI and Others

GSTIN/ Provisional ID State Constitution of Business
08AAUFA1145N1Z1 Rajasthan Partnership

Issue:- The petitioner was unable to file TRAN-1 on GST Portal due to various technical glitches
within the stipulated time as envisaged under GST Law.
Status:- GSTN is a party in the matter. Vide e-mail 19.07.2019 status of the case has been apprised to
the Jodhpur Commissionerate in terms of CBIC’s Circular dated 03.04.2018. The Hon’ble Court vide
order dated 30.05.2019, directed the Respondents to provisionally entertain the GST TRAN-1 and other
Agenda for 39th GSTCM Volume 2
Page 50 of 164

returns of the petitioner either by way of opening the portal or manually. The matter is pending before
the Hon’ble Rajasthan High Court at Jodhpur. Next date of hearing has not been updated on website.

Category-B1:- As per GST system log, there are no evidences of error or submission/filing of
TRAN1.
7. W.P. 6460 / 2019 - M/S Kabel Tradelink Pvt Ltd V/s UOI and Other
GSTIN/ Provisional ID State Constitution of Business
08AADCK5530D1ZU Rajasthan Private Limited Company

Issue:-The Petitioner could not file TRAN-1 due to technical glitches. No screen shot was taken by the
Petitioner of the error.
Status:- The abovementioned details have been received from Petitioner’s nodal officer. The Writ
Petition has not been received by GSTN. Vide email dated 05.09.2019, status of the Case was informed
to the Jaipur Commissionerate. The Court vide order dated 14.05.2019 has directed the respondents to
provisionally entertain the GST TRAN-1 and other returns of the Petitioner either by way of opening
the portal electronically or manually.
Further investigation by GSTN:- An email dated 10.7.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 12.7.2019. The Petitioner responded to the said
email vide email dated 10.07.2019. The Petitioner has provided that the Petitioner would get logged out
automatically without saying data. They received the error “Looks like we are having Server Issues”,
“Oops! We are unable to process your request.”, “System Error occurred”. No screen shots were taken
by the Petitioner. The Petitioner has also sent letter dated 29.12.2017 to Superintendent, Rajasthan
Goods and Services Tax Department.
8. W.P. 4332/2019-Asian Polymers V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
07AAKPM6775A1ZL Delhi Proprietorship

Issue: That the petitioner was continuously trying to upload its claim of input tax form GST TRAN-1
in the month of December. However, the petitioner was not able to do so on account of failure of the
system to accept the information on the common portal.
Agenda for 39th GSTCM Volume 2
Page 51 of 164

Status: GSTN is a party in this matter. GSTN’s vide email dated 14.06.2019 apprised the status of case
to the GST Delhi North Commissionerate in terms of CBIC’s Circular dated 03.04.2018. No effective
order has been passed in this case. The matter is pending before the Hon’ble Delhi High court and
next date of hearing is 21.11.2019.
Further investigation by GSTN:- An email dated 27.09.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 01.10.2019. No response was received from the
Petitioner.
9. W.P. 6585 / 2019 - M/s Pawan Steel Tubes V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
08AABFP4554B1ZJ Rajasthan Partnership

Issue: The Petitioner has stated at the time of finalization of the audit of the books of accounts, he came
to know that the stock statement in form GST TRAN-1 for the un-availed CENVAT credit couldn't be
filed due to some technical inadvertent mistakes occurred with the clerical staff in the office of the
counsel while uploading the details on common portal. Petitioner further stated that as per provisions
contained in rule 117, the petitioner through their consultant tried to upload the information /details on
the common portal in form GST TRAN-1 but due to glitches of IT system of respondent no 3, the
clerical staff couldn't get uploaded the form on common portal of respondent no 3 within time limit up
to 27.12.2017. Thereafter, at the time of finalization of the audit of the books of account, this fact came
to the knowledge of the petitioner but by that time limitation has been expired.
Status: GSTN is a party in this matter. The Hon’ble court vide order dated 01.05.2019 directed the
Respondents to provisionally entertain TRAN-1 and other return of the Petitioner either by way of
opening the portal or manually. Vide letter dated 11.09.2019 status of the case has been apprised to the
Commissioner, Jaipur (Rajasthan).The matter is pending before the High Court of Rajasthan at Jaipur.
Further Investigation by GSTN: An email dated 22.08.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 24.08.2019. However, no response was received
from the Petitioner.


Agenda for 39th GSTCM Volume 2
Page 52 of 164

10. W.P. 12804 / 2018 - M/s Ajmer Diesels & Tractors V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
08AACFA0461B1Z7 Rajasthan Partnership

Issue: The petitioner stated that he was trying to carry forward the unavailed CENVAT credit since
25.12.2017 by submitting declaration form GST TRAN-1 but due to system error the required form
GST TRAN-1 could not be uploaded. Since, the TRAN-1 is not filed, petitioner is unable to file TRAN-
2.
Status: GSTN is not a party in this matter. Vide e-mail dated 28.06.2019 GSTN has issued comments
apprising the status of case in terms of CBIC’s circular dated 03.04.2018. The Hon’ble High Court vide
order dated 25.09.2019 directed the Respondents to provisionally entertain TRAN-1 and other return of
the Petitioner either by way of opening the portal or manually. The matter is pending before the Hon’ble
High Court of Rajasthan at Jodhpur and next date of hearing is 20.11.2019.
Further Investigation by GSTN: An email dated 22.08.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 24.08.2019. No response was received from the
Petitioner.
11. W.P. 6528 / 2019 - M/s R.R. MINERAL V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
08AEIPB4724N1ZC Rajasthan Proprietorship

Issue: The petitioner through their consultant tried to upload the information /details on the common
portal in form GST TRAN-1 but due to glitches of IT system, the clerical staff couldn't upload the form
on common portal within time limit up to 27.12.2017. Thereafter, at the time of finalization of the audit
of the books of account, this fact came to the knowledge of the petitioner but by that time limitation has
been expired.
Status: GSTN is a party in this matter. The Hon’ble Court vide order dated 30.04.2019 directed the
Respondents to provisionally entertain TRAN-1 and other return of the Petitioner either by way of
opening the portal or manually. GSTN vide e-mail dated 10.10.2019 issued comments apprising the
status of case to the Commissioner, Jaipur (Rajasthan).The matter is pending before the Hon’ble High
Court of Rajasthan at Jaipur and the next date of hearing is not updated on Court’s website.
Further Investigation by GSTN: An email dated 22.08.2019 was sent to the Petitioner requesting for
the following information:-
Agenda for 39th GSTCM Volume 2
Page 53 of 164

i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 24.08.2019. No response was received from the
Petitioner.
12. W.P. 13129 / 2019 - M/S Kalin Engineering Industries V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
33AAIFK0636N1Z8 Tamil Nadu Partnership

Issue: The petitioner made continuous efforts to upload the GST TRAN-1 for availing the ITC on the
closing stock held as on appointed date 30.06.2017. The petitioners filled in all the data offline which
was uploaded in GSTN portal. However, when petitioners were trying to submit GST TRAN-1
declaration, they were not able to complete their submission as the GST website was automatically
jumping, showing error message and sometime no response.
The petitioners were and have been making continuous efforts to submit the TRAN-1 declaration but
due to the technical snag in the system, the petitioners were not able to upload the details and submit
the TRAN-1 declaration.
Status: GSTN is a party in this matter. GSTN vide letter dated 08.07.2019 has issued comments
apprising the status of case to the Additional Commissioner, CGST, Tiruchallappalli. The Madurai
Bench of the Hon’ble High Court of Madras vide final order dated 03.09.2019 pleased to disposed of
the matter with direction to the Joint Commissioner, Trichy to consider the representation dated
01.04.2019 of the petitioner and pass order on its own merits by taking note of technical snags.
Further Investigation by GSTN: An email dated 22.08.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 24.08.2019. The petitioner responded vide e-mail
dated 30.08.2019 stating that the mistake has happened only due to poor internet connectivity & lack
of knowledge about GST roll out. Petitioner stated that he did not expect that this kind of problem would
occur, if he failed to file TRAN -1 within the stipulated time. He further stated that he failed to take any
screen shot of the Error also.
13. W.P. 4691 / 2018 M/S Ambika Industries V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
08ABFPG4795A1ZS Rajasthan Proprietorship

Agenda for 39th GSTCM Volume 2
Page 54 of 164

Issue: The petitioner tried to carry forward the unveiled CENVAT Credit by submitting declaration
FORM TRAN-1 but due to system error, the required FORM TRAN-1 could not be uploaded.
Status: GSTN is not a party in this matter. GSTN vide e-mail dated 16.07.2019 issued comments
apprising the status of case to the Joint Commissioner (I.T.), Commercial Taxes Department, Rajasthan
(Jaipur). The High Court of Rajasthan at Jodhpur vide order dated 09.04.2018 directed the Respondents
to provisionally entertain the GST TRAN-1 and other returns of the petitioner either by way of opening
the portal or manually. The matter is pending before the court, next date of hearing is 06.12.2019.
Further Investigation by GSTN: An email dated 12.09.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 14.09.2019. On 12.09.2019 GSTN has received
further request for the clarification from the e-mail ID "ds252320@yahoo.com" regarding name of the
case with GSTIN. GSTN has forwarded the requested details again vide e-mail dated 17.09.2019 with
request to respond by 19.09.2019. However, no response has been received in this matter.

14. W.P. 4315 / 2019 M/S Shree Motors V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
08ADYPC1492K2ZZ Rajasthan Proprietorship

Issue: The petitioner submitted that since GST law was new to the petitioner as well as to other
professional and due to various technical glitches/ system errors, petitioner failed to file GST TRAN-1
on the common portal within the time.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 05.09.2019 issued comments apprising
the status of case to the Jodhpur Commissionerate. The Hon’ble High Court of Rajasthan at Jodhpur
vide order dated 27.03.2019 directed the Respondents to provisionally entertain the GST TRAN-1 and
other returns of the petitioner either by way of opening the portal or manually. The matter is pending
and the next date of hearing is 06.12.2019
Further Investigation by GSTN: An email dated 12.09.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 14.09.2019. However, the said information has
not been received in this matter.


Agenda for 39th GSTCM Volume 2
Page 55 of 164

15. W.P. 6855 / 2019 PNR Industries Limited V/S UOI and Others
GSTIN/ Provisional ID State Constitution of Business
24AAHCP3258P1ZX Gujarat Public Limited Company

Issue: The petitioner attempted to file FORM GST TRAN-1 on multiple occasions on 27.12.2017.
However, there were system problem on the portal which prevented the petitioner form filing its FORM
GST TRAN-1 despite multiple attempts. At the same time GST council site was showing the message
of "Time limit for filing TRAN-1 extended up to 31st December, 2017". When the petitioner attempted
to file on 28.12.2017, the online portal no longer provided the option for filing of the FORM GST
TRAN-1. Despite the fact that the message was displayed on GST Council website.
Status: GSTN is not a party in this matter. GSTN vide e-mail dated 31.07.2019 issued comments
apprising the status of case to the Joint Commissioner, CGST Commissionerate, Surat. The matter is
pending before the Hon’ble High Court of Gujarat and the next date of hearing is 27.11.2019. There is
no effective order available on the Court’s website.
Further Investigation by GSTN: An email dated 30.10.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 01.11.2019. However, no response has been
received in this matter.
16. W.P. 6663 / 2019 M/s R. P. Info Systems Limited v/s UOI
GSTIN/ Provisional ID State Constitution of Business
19AADCR0949R1ZM West Bengal Public Limited Company

Issue: The petitioner tried to file GST TRAN-1, however, failed to do so due to a technical glitch
wherein upon trying to file GST TRAN-1 an error message was shown reading as "wrong division
code" and also mentioning that the jurisdictional office is at Bally-I division, Howrah Commissionerate
and not BBD Bag division, Kolkata North Commissionerate.
Status: GSTN is not a party in this matter. GSTN vide e-mail dated 14.08.2019 issued comments
apprising the status of case to the Legal Section of CGST Commissionerate, Kolkata North South.
There is no effective order available on the website of the Hon’ble High Court of Calcutta. The
next date of hearing is also not updated on Court’s website.
Further Investigation by GSTN: An email dated 25.09.2019 was sent to the Petitioner requesting for
the following information:-
Agenda for 39th GSTCM Volume 2
Page 56 of 164

i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 27.09.2019. The Petitioner replied vide email
dated 27.09.2019 stating that their counsel attending to petition was on leave and outside Kolkata and
on his return after 15th October 2019 they would provide the requested details immediately thereafter.
However, no further response has been received in this matter.
17. W.P. 8970/ 2019 The Tyre Plaza V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
07AERPG8790E1Z1 Delhi Proprietorship

Issue: The Petitioner on 26.12.2017 made various attempts to access the common portal in order to
submit GST TRAN-1. However, the petitioner could not submit the same due to non-responsive
common portal. On 27.12.2017, the petitioner again attempted to file TRAN-1 but due to non-
responsive common portal could not file the same and no log could have been created due to inability
of the petitioner to access the common portal.
Status: GSTN is a party in this matter. The Hon’ble High Court of Delhi disposed off the matter vide
Final Order dated 20.08.2019 directing the Responds to enable the Petitioner to refile GST TRAN-1 by
way of opening the portal failing which they would accept the GST TRAN-1 filed manually.
Further Investigation by GSTN: An email dated 25.09.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 27.09.2019. The Petitioner replied vide email
dated 27.09.2019 forwarding the copy of order dated 20.08.2019 stating that they have filed TRAN - 1
in terms of Writ Petition filed before Hon'ble High Court of Delhi allowed vide order dated 20.08.2019.
The details requested were not provided.
18. W.P. 11307 / 2019 M/s Vemulapally Bros V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
36AABFV3565C1ZB Telengana Partnership

Issue: The petitioner purchased spare parts in the usual course of its business from other states. The
petitioner has made a representation dated 21.02.2018 to the Commissioner, CGST stating that the
petitioner was unable to file the form TRAN-1 electronically due to technical issues encountered in the
GSTN website during the last day of filing.
Agenda for 39th GSTCM Volume 2
Page 57 of 164

Status: GSTN is a party in this matter. GSTN vide e-mail dated 22.08.2019 issued comments apprising
the status of case to the Commissioner, Medchal CGST & CE Commissionerate. The matter is pending
before the Hon’ble High Court of Telengana and the next date of hearing is not updated on the Court’s
website. There is no effective order available on the Court’s website as on date.
Further Investigation by GSTN: An email dated 28.10.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 30.10.2019. However, no response has been
received from the Petitioner in this matter.
19. W.P. 15780 / 2019 M/s Radical Bio Organics Ltd. V/s UOI and Others
GSTIN/ Provisional ID State Constitution of Business
36AAECR6026Q1ZV Telengana Limited Company

Issue: The petitioner had purchased raw extra neutral alcohol / ethyl alcohol and other sprits in the
usual course of business from the other states. The petitioner claimed the input of the accumulated credit
in GSTR-3B return filed in March 2018. That the Assistant Commissioner, Medhchal Commissionerate
had issued an email notice to the petitioner dated 26.08.2018 in which the he sought clarification
regarding the difference in the amount as per GSTR-3B and the GSTR-2A return. The petitioner vide
letter dated 04.09.2018 represented that the petitioner could not file the TRAN-1 return due to technical
glitches during filing TRAN-1. Therefore, petitioner had considered the CENVAT of excise duty and
input balance of VAT of Rs. 2,72,33,664/- and Rs. 11,45,759/- respectively and the same was
considered in GSTR-3B as ITC in CGST and SGST tax heads.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 23.08.2019 issued comments apprising
the status of case to the Commissioner, Medchal CGST & CE Commissionerate. The matter is pending
before the Hon’ble High Court of Telengana and the next date of hearing is not updated on the Court’s
website. There is no effective order available on the Court’s website as on date.
Further Investigation by GSTN: An email dated 28.10.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 30.10.2019. The Petitioner replied vide email
dated 30.10.2019 that due to busy work involved in Tax audits and Income Tax Returns for the FY
2018-19, they could not share the details. They requested an extension of 7 working days and stated
that they would share the relevant information after 31st October 2019. However, no further response
has been received from the Petitioner in this matter.
Agenda for 39th GSTCM Volume 2
Page 58 of 164

Category B2: Tran-1 Fresh/Revision Attempted with No error or No valid error reported .( Cases
in which filing of TRAN 1 were attempted for the first time or revision was attempted, but no
error/no valid error reported)
20. W.P. 6500/2019- M/s Novelty Gold v. UOI & Ors.
GSTIN/ Provisional ID State Constitution of Business
21AAMFN0741P1Z4 Orissa Partnership

Issues: The Petitioner could not file GST TRAN-1 after several attempts due to technical problems in
common portal. They have last tried on 27.12.2017 to file it but could not file due to technical problem.
However, an amount of ITC of VAT credit Rs.20,15,475.00 has been saved.
Status: GSTN is a party in this case. GSTN has received the representation of petitioner through the
office of the Commissioner of Commercial Taxes &GST, Cuttack along with copy of order dated
29.03.2019. The Hon’ble Court of Orissa vide order dated 29.03.2019 disposed off the matter with a
direction to opposite parties specifically Commissioner of Commercial taxes and GST Orissa to dispose
off the representation of petitioner on its own merit within a period of four weeks from the date of
receipt of certified copy of order.
Further Investigation by GSTN: An email dated 25.09.2019 was sent to the Petitioner requesting for
the following information:-
This is in reference to the writ petition filed by you for filing of TRAN-1.Please provide us with the
following details:
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 27.09.2019. Petitioner replied vide e-mail dated
27.09.2019 forwarding the requested information with screen shot of GST portal.
21. W.P. 4645 / 2019 M/S Amar Auto Agency V/s UOI and Others

GSTIN/ Provisional ID State Constitution of Business
08ABDFA5195N1ZY Rajasthan Partnership

Issue: The petitioner tried to carry forward the unavailed CENVAT credit and VAT by submitting
FORM TRAN-1. The petitioner entered the details as required for submitting TRAN-1 on the website
of GST by using login ID and password and save the same for submission but the same was not
submitted on the website. On the evening of 27.12.2017 GST council website showed the news that the
due date of filing the declaration under FORM TRAN-1 has been extended by 4 days till 31.12.2017.The
Agenda for 39th GSTCM Volume 2
Page 59 of 164

petitioner as per the assurance published on the official website of the Respondent, time and again tried
to submit GST TRAN-1 on 28.12.2017 as well as 29.12.2017 but to the utter surprised and sock of the
petitioner, the TRAN-1 of the petitioner was neither uploaded nor filed on the official website of the
Respondents.
Status: GSTN is a party. GSTN vide e-mail dated 24.07.2019 issued comments apprising status of the
case to the Joint Commissioner (I.T.), Commercial Taxes Department, Rajasthan (Jaipur). The High
Court vide order dated 27.03.2019 directed the respondents to provisionally entertain the GST TRAN-
1 and other returns of the petitioner either by way of opening the portal or manually. The matter is
pending before the Jodhpur Bench of the Hon’ble High Court of Rajasthan and next date of hearing is
not available on court’s website.
Further Investigation by GSTN: An email dated 12.09.2019 was sent to the Petitioner requesting for
the following information:-
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 14.09.2019.GSTN has received further request
for the clarification from the e-mail ID "ds252320@yahoo.com" regarding name of the case with GST
Number. GSTN has forwarded the requested details again vide e-mail dated 17.09.2019 with request to
respond by 19.09.2019. However, no response has been received in this matter.
Category B3: TRAN-1 Successfully Filed as Per Logs with no valid error reported
22. W.P.11761/2019 Chandras Chemical Enterprises Pvt. Ltd. Vs. UOI and Ors.
GSTIN/ Provisional ID State Constitution of Business
19AABCC3229K1ZM West Bengal Private Limited Company

Issue: The petitioner filed and claimed a credit of Rs. 29,47,139/- by filing Form GST TRAN-1.
However, it could not claim with respect to some goods in transit in terms of section 140(5) of the
CGST Act. It had imported some raw materials and had also filed into-bond bill of entry and ex-bond
bill of entry in pre GST regime. However, on scrutiny of consignment notes, the goods could be cleared
only during GST regime i.e. after 1st July, 2017 on payment of duties calculated as per ex bond bill of
entry. It could not, however, claim transitional credit of CVD & SAD amounting to Rs.25,47,976/- and
Rs.9,21,501/- in FORM GST TRAN-1 due to technical error in the GSTN portal because it was
repeatedly showing validation error against the aforesaid bill of entries.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 01.08.2018 has informed about the
status of the case to the Kolkata CGST North South Commissionerate. There is no effective order
available on the Hon’ble High Court’s website. Matter is pending before the Hon’ble High Court of
Calcutta and next date is not available on the Court’s website.
Further Investigation by GSTN: An email dated 09.10.2019 was sent to the Petitioner requesting for
the following information:-
Agenda for 39th GSTCM Volume 2
Page 60 of 164

This is in reference to the writ petition filed by you for filing of TRAN-1.Please provide us with the
following details:
i. GSTIN
ii. Exact technical glitch faced by you while filing TRAN-1
iii. Nature of error noticed
iv. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 11.10.2019. The Petitioner replied vide e-mail
dated 17.10.2019 stating that they filed and claimed a credit of Rs. 29,47,139/- by filing Form GST
Tran 1 in terms of Section 140(1) of the CGST Act. However, he could not claim credit with respect to
some goods in transit in terms of Section 140(5) of the CGST Act. We had imported some raw materials
and had also filed Into-Bond Bill of entry and ex-bond Bill of entry in the pre-GST regime. However,
on scrutiny of consignment notes, the goods could be cleared only during the GST regime i.e. after
1st July’2017 on payment of duties calculated as per Ex bond Bill of Entry. We, however, could not
claim transitional credit of CVD & SAD amounting to Rs. 25,47,976/- and Rs. 9,21,501/- in Form GST
Tran 1 in terms of Section 140(5) of the CGST Act due to technical error in the GSTN portal because
it was repeatedly showing validation error against the aforesaid Bills of Entries. Therefore, the Form
GST Tran 1 was filed by only claiming the credit under Section 140(1) of the CGST Act but without
claiming the credit under Section 140(5) of the CGST Act. They pointed out they faced Validation error
against the Bills of Entries. However, tax payer submitted that there is no Screen-shots of technical
error/emails sent to help-desk along with ticket numbers.

Other Category B-Other (O) B-O:
23. M/S Vishvakarma Papers and Boards Ltd. GSTIN 05AACCV8073F1ZA, Contempt
Petition No. 584 of 2019, is required to be consider by the Committee. This case was processed
and presented before 6th ITGRC meeting under Category “B1” that is the cases where the
taxpayer says they received error but as per GST System logs no technical glitches or
submission/filing of TRAN-1 etc. found. However, since Contempt Petition has been filed,
committee may look into the matter and take appropriate action.


Agenda for 39th GSTCM Volume 2
Page 61 of 164

Annexure 3
TRAN 2: Cases sent by Nodal Officers of Centre/States
Category Detailed Description Count of
Taxpayers
A1 TRAN-1 FILED AND ERROR IN
TRAN-2.
As per Logs Tran-1 filed successfully. Error
recorded in database but no corresponding error
reported in logs.
38
A2 TRAN-1 FILED AND TRAN-2 IN
SUBMITTED WITH NO ERRORS
- TO BE ENABLED FOR FILING.
As per Logs Tran-1 filed succesfully. As per
logs user neither submitted nor filed the form.
No logs of save as well.
02
A3 TRAN-1 APPROVED CASES
AND ENABLED FOR FILING OF
TRAN-2.
TRAN-1 Approved cases and enabled for filing
of TRAN-2.
09
B1 TRAN-1 APPROVED CASE,
TRAN-2 FILED SUCCESFULLY
WITHOUT ANY ERROR
REPORTED.
Tran-1 approved case. Tran-1 filed, post filing
of Tran-1, Tran-2 for respective 6 months has
also been filed.

01
B2 TRAN-1 DISAPPROVE CASE,
NOT ALLOWED FOR
REOPENING FOR TRAN-2.
Tran-1 disapproved case. As per Logs Tran-1
filed succesfully Taxpayer was eligible for
filing Tran-2 but As per logs user neither
submitted nor filed the form. No logs of save as
well.
01
B3 TRAN-1 FILED AND TRAN-2
SUCCESSFULLY FILED WITH
NO ERRORS.
As per Logs Tran-1 filed successfully. As per
logs taxpayer filed Tran-2 without any error.
10
B4 TRAN-1 FILED AND TRAN-2
SUCCESSFULLY FILED WITH
NO ERRORS (ITC LEDGER NOT
UPDATED).
As per Logs, Tran-1 filed successfully and
taxpayer filed Tran-2 without any error. ITC
ledger not updated.
02
B5 TRAN-1 FILED AND TRAN-
2 NOT ATTEMPTED AND NO
ERROR IN LOGS.
As per Logs Tran-1 filed successfully. User
neither submitted nor filed the form. No logs of
save as well. ITC ledger also not updated.
42
B6 TRAN-1 FILED WITH
DELRATION IN TABLE 7(a) OR
7(d), TRAN-2 TRIED POST END
DATE.
As per Logs Tran-1 filed successfully along
with revision. Taxpayer has filed Tran-2 for 3
months then for subsequent period it was tried
post last date of Tran-2 i.e. 30/06/2018
03
Agenda for 39th GSTCM Volume 2
Page 62 of 164

B7 TRAN-1 FILED WITH NO
DECLARATION IN TABLE 7(a)
SECTION 7B OR TABLE 7(d)
HENCE NOT ELIGIBLE FOR
TRAN-2.
As per Logs, Tran-1 Filed With No Declaration
In Table 7(a) Section 7B or Table 7(d). Hence
Not Eligible For Tran-2.
25
B8 TRAN-1 FILED, ELIGIBLE FOR
TRAN-2 BUT THERE ARE NO
EVIDENCES of ERROR OR
SUBMISSION/FILING of TRAN-
2.
As per log Tran-1 Filed, Eligible For Tran-2
But There are No Evidences Of Error Or
Submission/Filing Of Tran-2. No logs of save
as well.
05
B9 TRAN-1 FILED, ELIGIBLE FOR
TRAN-2. TRAN-2
FRESH/REVISION ATTEMPTED
WITH NO ERROR OR NO VALID
ERROR REPORTED.
As per Logs Tran-1 filed successfully. Eligible
for Tran-2. Tran-2 fresh/revision attempted
with no error or no valid error reported in logs.
01
B10 TRAN-1 NOT FILED HENCE
NOT ELIGIBLE FOR FILING
TRAN-2.
As per logs Tran-1 attempted, error reported
related to invalid registration gets corrected and
save attempt got processed but filing not
attempted of Tran-1. As taxpayer has not filed
Tran-1 hence, not eligible for filing of Tran-2
01
B11 TRAN-2 FRESH/REVISION
ATTEMPTED WITH NO ERROR
OR NO VALID ERROR
REPORTED.
As per Logs Tran-1 filed successfully. Tran-2
fresh/revision attempted with no error or no
valid error reported.
01
B12 MISTAKE BY TAXPAYER Cases where the Taxpayers have admitted to
have made mistake, inadvertently or due to
misunderstanding, in reporting correct values
in TRAN 1/TRAN 2. Since the admitted
mistakes/errors are apparent from the perusal of
the details of reported cases no technical
analysis has been done in these cases as it is not
required.
25
Total 166


Agenda for 39th GSTCM Volume 2
Page 63 of 164

CATEGORY A1: TRAN-1 FILED AND ERROR IN TRAN-2: As per Logs Tran-1 filed
successfully. Error recorded in database but no corresponding error reported in logs.

S.
No
.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
1 10ACAPL93
70N1ZH
ANAND
KUMAR
LOHIA
Bihar Proprieto
rship
Sh. Nitin Anand,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Patna
Centr
e
nitinanand.irs
@gov.in
2 22AADCT51
77B2ZN
TOUCHSTO
NE
TELESERVI
CES
PRIVATE
LIMITED
Chhattis
garh
Private
Limited
Company
Deepak Giri,
Deputy
Commissioner,
State Tax,
Raipur
State deepakgiri.cctd
-cg@gov.in
3 07AAEPK49
24D1Z0
LEKH RAJ
KHURANA
Delhi Proprieto
rship
Prashant Kumar
Prasad, Nodal
Officer-II, Trade
& Taxes
Department,
Govt. of NCT of
Delhi
State pk.prasad70@
gov.in
4 07AAAPK54
54A1Z7
KULDEEP
KHERA
Delhi Proprieto
rship
Prashant Kumar
Prasad, Nodal
Officer-II, Trade
& Taxes
Department,
Govt. of NCT of
Delhi
State pk.prasad70@
gov.in
5 07AAMPB7
427L1ZG
INDU
BANSAL
Delhi Proprieto
rship
Dushyant
Kumar, GSTO
(GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State kuldeep.s71@
gov.in
Agenda for 39th GSTCM Volume 2
Page 64 of 164

State
Government
6 07AENPK54
68H1Z2
CHARU
KAPOOR
Delhi Proprieto
rship
Dushyant
Kumar, GSTO
(GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State
Government
Centr
e
kuldeep.s71@
gov.in
7 07AFVPG86
11D1ZD
RAJ RANI
GARG
Delhi Proprieto
rship
Kuldeep Singh,
Joint
Commissioner,
State Govt, New
Delhi
State kuldeep.s71@
gov.in
8 07AAECA64
21C1Z7
AVS
DÉCOR
PRIVATE
LIMITED
Delhi Private
Limited
Company
Dushyant
Kumar, GSTO
(GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State
Government
State kuldeep.s71@
gov.in
9 07APMPK54
50R1Z5
AMIT
ENTERPRIS
ES
Delhi Proprieto
rship
Assistant
Commissioner,
Palam Division,
CGST Delhi
South
Commissionerat
e, New Delhi
Centr
e
palam.cgstdels
outh@gov.in
10 07AABCI55
29C1ZV
IKON
RETAIL
PVT. LTD.
Delhi Private
Limited
Company
Rajesh Madan,
Assistant
Commissioner,
Government of
NCT of Delhi,
Delhi
State rajesh.madan4
3@gov.in
11 24AAGFH76
72D1ZF
HEMANT
TYRE SHOP
Gujarat Partnersh
ip
S. M. Saxena,
Joint
Commissioner,
State
State jcegov-
ct@gujarat.gov
.in
Agenda for 39th GSTCM Volume 2
Page 65 of 164

Government,
Gujarat
12 24AABFC66
04M1ZK
CHOKHAW
ALA
DISTRIBUT
ORS
Gujarat Partnersh
ip
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.gov
.in
13 24ALQPS41
84C1ZV
JATINBHAI
MANHARL
AL SHAH
Gujarat Proprieto
rship
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.gov
.in
14 24AABCJ63
23K1ZN
JIGAR
CARS
Gujarat Private
Limited
Company
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.gov
.in
15 24AACFR17
45B1ZR
RAMESH
CORPORAT
ION
Gujarat Partnersh
ip
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.gov
.in
16 24ALGPP62
94E1ZX
MANISHAB
EN
MAYANKB
HAI PATEL
(SANTRAM
MEDICAK
AGENCY)
Gujarat Proprieto
rship
Shri S. S.
Rathod, Deputy
Commissioner
of State Tax,
Vadodara
State dc10-
ct@gujarat.gov
.in
17 06ABIPJ505
1F1ZX
KRISHAN
JAIN
Haryana Proprieto
rship
Nodal Officer IT
Issues, Haryana
State gsttihry@gmai
l.com
18 29AAJCA71
42F1ZM
OAKNET
HEALTHCA
RE
PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
Agenda for 39th GSTCM Volume 2
Page 66 of 164

19 29AAJFB10
72G2ZJ
BALAJI
STEEL AND
PIPES
Karnatak
a
Partnersh
ip
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
20 29AHWPS64
37L1Z5
MEGAWAT
TS
ELECTRIC
(SUCHITRA
MAHAVEE
RCHAND
SHIYAL)
Karnatak
a
Proprieto
rship
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
21 29AADFE36
47C1ZM
EMVOI
PHARMA
Karnatak
a
Partnersh
ip
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
22 29APOPP46
42N1Z0
JAIN VIKAS
PUSHPA
Karnatak
a
Proprieto
rship
G. V. Krishna
Rao, Principal
Commissioner,
CGST
Commissionerat
e, Mysore
Centr
e
techhqrs-
cexmys@gov.i
n
23 29AAGFV70
61E1ZY
VIKAS
TRADE
LINKS
Karnatak
a
Partnersh
ip
G.
Narayanaswamy
, Commissioner,
CGST
Commissionerat
e, Bengaluru
South
Centr
e
commr-
cexblr1@nic.in
24 29AAVFS52
00R1ZA
STYLISH
LIVING
Karnatak
a
Partnersh
ip
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
25 32BAWPK4
627C1ZQ
MEJO
KUMBULU
VELIL
PUNOOS
Kerala Proprieto
rship
Sunil Kumar V.,
State Tax
Officer, State
State vksuni.ctd@ke
rala.gov.in
Agenda for 39th GSTCM Volume 2
Page 67 of 164

Government,
Kerala
26 27AAACT40
33H1ZK
VERTIV
ENERGY
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
Sruti
Vijayakumar,
Assistant
Commissioner,
Central
Government,
Thane
Centr
e
sruti.vijayaku
mar@gov.in
27 27AACCO21
25P1Z9
ONLY
RETAIL
PVT LTD
Maharas
htra
Private
Limited
Company
D. N. Shetty,
Nodal Officer,
CGST
Commissionerat
e, Mumbai East
Centr
e
mumbaieastgst
nissues@gmail
.com
28 27AABCU07
72F1ZG
BEST
UNITED
INDIA
COMFORTS
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
D. N. Shetty,
Nodal Officer,
CGST
Commissionerat
e, Mumbai East
Centr
e
mumbaieastgst
nissues@gmail
.com
29 27AAACH1
671F1ZU
INTERVET
INDIA
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@ma
hagst.gov.in
30 27AAJCA00
72C1Z5
WIPRO
ENTERPRIS
ES PVT LTD
Maharas
htra
Private
Limited
Company
Dr. Sunil
Bodhgire,
Deputy
Commissioner
of State Tax &
Principle Nodal
Officer, State
Government,
Maharashtra
State gstit.state@ma
hagst.gov.in
31 27AAKFS78
47P1Z4
SURESH
BROS
Maharas
htra
Partnersh
ip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
State gstit.state@ma
hagst.gov.in
Agenda for 39th GSTCM Volume 2
Page 68 of 164

Government,
Maharashtra
32 27AABFM6
144J1Z7
MUKUNDR
AI BROS
Maharas
htra
Partnersh
ip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@ma
hagst.gov.in
33 27ABKPB09
46P1ZC
TRIMURTI
DYES AND
CHEMICAL
S (ANAND
SHAMRAO
BADAMIKA
R)
Maharas
htra
Proprieto
rship
Vandana K. Jain,
Commissioner,
CGST
Commissionerat
e, Pune
Centr
e
santosh.vatsa
@nic.in
34 03ABAFA05
35B1ZI
ARORA
INTERNATI
ONAL
Punjab Partnersh
ip
Pawan Garg,
State
Government,
Punjab
State aetcgstpb@gm
ail.com
35 03AAICP098
7G1ZD
PHILIPS
LIGHTING
INDIA LTD
(SIGNIFY
INNOVATI
ONS INDIA
LIMITED)
Punjab Public
Limited
Company
Pawan Garg,
State
Government,
Punjab
State aetcgstpb@gm
ail.com
36 33CBOPS83
57K1ZT
GYANCHA
ND JAIN
SUNIKUMA
R JAIN
Tamil
Nadu
Proprieto
rship
S. Ramasamy,
Joint
Commissioner
of State Tax,
Tamilnadu
State jccs@ctd.tn.go
v.in
37 19AAHCM0
651P1Z0
SASTASUN
DAR
HEALTHBU
DDY
LIMITED
West
Bengal
Public
Limited
Company
Ananth Kumar
Sarkar, Central
Government,
Kolkata South
Centr
e
kolsouth.gst@
gov.in
38 19AAGFK72
03B1ZO
KALYANI
BROTHERS
West
Bengal
Partnersh
ip
Sima Sarkar,
Senior Joint
Commissioner,
Commercial
State sima.sarkar@
wbcomtax.gov.
in
Agenda for 39th GSTCM Volume 2
Page 69 of 164

Taxes, West
Bengal

CATEGORY A2: TRAN-1 FILED AND TRAN-2 IN SUBMITTED WITH NO ERRORS - TO
BE ENABLED FOR FILING: As per Logs Tran-1 filed successfully. As per logs User neither
submitted nor filed the form. No logs of save as well.

S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
39 07AABCT243
9G2ZG
M/S TOPSEL
PRIVATE
LIMITED
Delhi Private
Limited
Company
Assistant
Commissioner,
O/o the Principal
Chief
Commissioner,
CGST & CX,
Delhi Zone
Centr
e
ccu-
cexdel@nic.in
40 01AFQPS726
0F1ZB
VIKRAM
SHARMA
(M/S VEE
KAY
ELECTRONI
CS)
Jammu
&
Kashmir
Proprieto
rship
Sandeep Kumar,
Programmer,
Coordinator
Jammu
Division, State
Admin GST,
STC, J&K GST,
Nodal Officer
GST/BAS
State sandeep.prog1
23@gmail.com








Agenda for 39th GSTCM Volume 2
Page 70 of 164

CATEGORY A3: TRAN-1 APPROVED CASES AND ENABLED FOR FILING OF TRAN-2.
S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
41 22AAACI656
1R1Z7
IFB
INDUSTRIE
S LTD
Chhattis
garh
Public
Limited
Company
Deepak Giri,
Deputy
Commissioner
of State Tax,
Raipur
State deepakgiri.cctd
-cg@gov.in
42 07AAAFP000
1A1ZE
BATRA ART
PRESS
Delhi Partnersh
ip
Sidharth Goyal,
Assistant
Commissioner,
Central
Government
Centr
e
ccu-
cexdel@nic.in
43 29AADCN239
6L1ZW
NICHE
BEAUTE
SOLUTIONS
PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
K. S. Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sagar
@ka.gov.in
44 27AABFS303
1N1Z5
SHARAD
BHAI J
SHAH
Maharas
htra
Partnersh
ip
Pritee
Chaudhary,
Central govt,
Maharashtra
Centr
e
pritee.chaudhar
y@gov.in
45 27AACPG509
0Q1ZA
ABDUL
AZIZ
GIGANI
Maharas
htra
Proprieto
rship
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
46 27AAACO517
2E1ZL
ARYA
OMNITALK
WIRELESS
SOLUTIONS
PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
Agenda for 39th GSTCM Volume 2
Page 71 of 164

47 03AAEFS745
2C1ZI
SURINDER
ARORA
ENTERPRIS
ES
Punjab Partnersh
ip
Pawan Garg,
Deputy
Commissioner
of State Tax,
State
Government,
Punjab
State aetcgstpb@gm
ail.com
48 33AAACL762
4G1ZQ
LANSON
MOTORS
PRIVATE
LTD.
Tamil
Nadu
Private
Limited
Company
K. M.
Ravichandran,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Chennai South
Centr
e
comp.chennain
orth@gov.in
49 09ACKPC715
9E1ZJ
SUNIL
CHANDRA
Uttar
Pradesh
Proprieto
rship
Joint
Commissioner
(I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow, Uttar
Pradesh
State ctithqlu-
up@nic.in

CATEGORY B1: TRAN-1 APPROVED CASE, TRAN-2 FILED SUCCESFULLY WITHOUT
ANY ERROR REPORTED: Tran-1 approved case. Tran-1 filed, post filing of Tran-1, Tran-2 for
respective 6 months has also been filed.

S.
N
o.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
50 33AAMCS59
16J1Z1
SANGEETHA
MOBILES
PRIVATE
LIMITED
Tamil
Nadu
Private
Limited
Company
S. Ramaswamy,
Joint
Commissioner,
State
Government,
Tamilnadu
State jccs@ctd.tn.go
v.in

Agenda for 39th GSTCM Volume 2
Page 72 of 164


CATEGORY B2 : TRAN-1 DISAPPROVE CASE, NOT ALLOWED FOR REOPENING FOR
TRAN-2: Tran-1 disapproved case. As per Logs Tran-1 filed successfully Taxpayer was eligible for
filing Tran-2 but As per logs User neither submitted nor filed the form. No logs of save as well.

S.
N
o.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by the
Nodal Officer is
in brackets)
State Constitut
ion of
business
Nodal
Officer /
Jurisdiction
Name

Centr
e/Stat
e
E-Mail ID
51 24AABCM
9244N1Z4
CERA
SANITARYW
ARE LTD
Gujar
at
Public
Limited
Company
Sh. K. R.
Ninama SB,
Deputy
Commissione
r, State Tax,
Mahsana,
Gujarat
State jcegov-
ct@gujarat.g
ov.in


Agenda for 39th GSTCM Volume 2
Page 73 of 164

CATEGORY B3: TRAN-1 FILED AND TRAN-2 SUCCESSFULLY FILED WITH NO
ERRORS: As per Logs Tran-1 filed successfully. As per logs taxpayer filed Tran-2 without any error.
S.
N
o.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constit
ution of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
52 37AAACA544
3N1ZH
APOLLO
HOSPITALS
ENTERPRIS
E LTD
Andhra
Pradesh
Public
Limited
Compan
y
M. Srihari Rao
IRS,
Commissioner,
Central
Government,
Andhra Pradesh
Centr
e
srihari.rao@
gov.in
53 07AALFV273
8F1ZZ
VIKALP
VENTURES
Delhi Partners
hip
Dushyant Kumar,
GSTO (GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State Government
State dushyant.ku
mar43@gov
.in
54 07AAECG493
7H1ZI
GO PLAST
PRIVATE
LIMITED
Delhi Private
Limited
Compan
y
Dushyant Kumar,
GSTO (GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State Government
State dushyant.ku
mar43@gov
.in
55 07AAAPJ3013
E1ZH
SANJAY
JAIN
Delhi Propriet
orship
Dushyant Kumar,
GSTO (GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State Government
State dushyant.ku
mar43@gov
.in
56 29AADCP578
4E1Z3
PRAVEENS
FAB
CREATION
INDIA
PRIVATE
LIMITED
Karnataka Private
Limited
Compan
y
K. S. Basavaraj,
Joint
Commissioner of
Commercial
Taxes, Bengaluru
State basavaraj.sa
gar@ka.gov.
in
Agenda for 39th GSTCM Volume 2
Page 74 of 164

57 27AIOPJ5004
B1ZN
JIGNESH
SATISH
JAIN
Maharasht
ra
Propriet
orship
Miss
Kalyanehswari
Patil, Deputy
Commissioner of
State Tax, State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
58 27AAACG441
4B1Z8
GLAXOSMI
THKLINE
PHARMAC
EUTICALS
LIMITED
Maharasht
ra
Public
Limited
Compan
y
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner of
State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
59 27AAACN129
9D1ZK
NEON
LABORATO
RIES
LIMITED
Maharasht
ra
Public
Limited
Compan
y
D. N. Shetty,
Nodal Officer,
CGST
Commissionerate,
Mumbai East
Centr
e
mumbaieast
gstnissues@
gmail.com
60 27AAAPA954
7L1ZI
SUNDEEP
JAGDISHC
HANDRA
AHUJA
Maharasht
ra
Propriet
orship
Miss
Kalyanehswari
Patil, Deputy
Commissioner of
State Tax, State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
61 27AAAFO625
6G1Z8
M/S OSWAL
UDHYOG
Maharasht
ra
Partners
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner of
State Tax, State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in


Agenda for 39th GSTCM Volume 2
Page 75 of 164

CATEGORY B4: TRAN-1 FILED AND TRAN-2 SUCCESSFULLY FILED WITH NO
ERRORS (ITC LEDGER NOT UPDATED): As per Logs, Tran-1 filed successfully and taxpayer
filed Tran-2 without any error. ITC ledger not updated.

S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
62 07ACMFS43
42R1ZC
SCREENO
PLAST
INDIA
Delhi Partnershi
p
Dushyant
Kumar, GSTO
(GST Cell)
Trade & Taxes
Department,
Government of
NCT of Delhi,
State
Government
State dushyant.ku
mar43@gov
.in
63 24BBRPP77
74F1Z1
SHAHNAW
AZ YASIN
PENCHI
Gujarat Proprietors
hip
Kamleshkumar
L. Hadula,
Deputy
Commissioner
of State Tax,
Ahmedabad
State dc5-ahd2-
gstn@gujara
t.gov.in


Agenda for 39th GSTCM Volume 2
Page 76 of 164

CATEGORY B5: TRAN-1 FILED AND TRAN-2 NOT ATTEMPTED AND NO ERROR IN
LOGS: As per Logs Tran-1 filed successfully. User neither submitted nor filed the form. No logs of
save as well. ITC ledger also not updated.

S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
64 07AAACI42
65L1ZE
INTEX
TECHNOLO
GIES
Delhi Public
Limited
Company
Kuldeep Jakhar
Assistant
Commissioner
CGST, Delhi
South
Commissioner
ate
Centr
e
kuldeep.jakh
ar@gov.in
65 07AFNPA12
80L1ZF
AGGARWA
L PIPES
(ATUL
AGGARWA
L)
Delhi Proprietors
hip
Rajesh Madan,
Assistant
Commissioner,
Government of
Nct of Delhi,
Delhi
State rajesh.mada
n43@gov.in
66 24AABFN24
19F1ZR
NEPTUNE
PLASTIC
CORPORAT
I (NEPTUNE
HOUSE)
Gujarat Partnershi
p
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.g
ov.in
67 24AACCT60
23B1ZY
TANU
MOTORS
PRIVATE
LIMITED
Gujarat Private
Limited
Company
J. A. Khan,
Principle
Commissioner,
CGST &
Central Excise
Commissioner
ate,
Gandhinagar
Centr
e
commr-
cexamd3@n
ic.in
68 24AAFFA73
28A1Z0
AALAP
ELECTRONI
CS
Gujarat Partnershi
p
S. M. Saxena,
Joint
Commissioner,
State
State jcegov-
ct@gujarat.g
ov.in
Agenda for 39th GSTCM Volume 2
Page 77 of 164

Government,
Gujarat
69 24AAAHF05
89F1ZL
FALGUN
CHANDRA
KANT
CONTRACT
OR HUF.
Gujarat Hindu
Undivided
Family
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.g
ov.in
70 29ADDPR65
38G1Z6
SS
SWITCHGE
ARS
(DUNICHA
ND KHITRI
RAJA)
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
71 29AABFK61
85F1Z5
KAMADEN
U
ENTERPRIS
ES
Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
72 29ABMFS58
63N1Z4
SAI
HANUMES
H TRADING
CO
Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
73 29AAXPA40
71A1ZT
HANUMAN
ELECTRICA
L
(SRINGERI
ASWATHN
ARAYANA)
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
74 29AADFF99
41N1ZP
FILLS Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
75 29AHQPJ08
53R1ZG
PALANIYA
PPAN
JAYAMARU
THAI
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
State basavaraj.sa
gar@gmail.c
om
Agenda for 39th GSTCM Volume 2
Page 78 of 164

Taxes,
Karnataka
76 29AAAFD62
93L1ZZ
DWARAKA
DISTRIBUT
ORS
Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
77 29ARHPP21
01P1ZH
MARUDHAI
CHETTY
PALANIYA
PPAN
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
78 29AAGFD30
50M1ZA
DWARKA
DISTRIBUT
ORS R
Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
79 29ADPPL32
71N1ZT
KARPAIAH
LAKSHMA
NAN
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
80 29AAEFU84
91M1Z8
UDAYAA
MARKETIN
G
Karnatak
a
Partnershi
p
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
81 29ALRPS76
84Q1ZG
SUMITRA
SHARMA
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
82 29AJCPS984
7C1ZR
NEELAM
SHARMA
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
State basavaraj.sa
gar@gmail.c
om
Agenda for 39th GSTCM Volume 2
Page 79 of 164

Taxes,
Karnataka
83 29AGHPS50
12K1Z3
ESHWAR
CHAND
SHARMA
Karnatak
a
Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
of Commercial
Taxes,
Karnataka
State basavaraj.sa
gar@gmail.c
om
84 27AABCF28
75J1ZE
FORGE
CAST AND
ALLOYS
Maharash
tra
Private
Limited
Company
Vipul Gupta,
Central
Government,
Maharashtra
Centr
e
vipul.dce@g
ov.in
85 27AABCF69
75H1ZA
FASTLINK
CONNECTI
ONS PVT
LTD
Maharash
tra
Private
Limited
Company
Pritee
Chaudhary,
Central
Government,
Maharashtra
Centr
e
pritee.chaud
hary@gov.i
n
86 27ABFPT88
57N1ZL
SUPER
PLYWOOD
(VINOD
KUMAR
TATER)
Maharash
tra
Proprietors
hip
Sruti
Vijayakumar,
Assistant
Commissioner,
Central
Government,
Thane
Centr
e
sruti.vijayak
umar@gov.i
n
87 27AANFS16
57A1Z8
SWISS
PARADISE
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
88 27ACKPS99
20K1ZV
PLYWOOD
STOCK
(PAVANKU
MAR
BHERULAL
SANCHETI)
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
Agenda for 39th GSTCM Volume 2
Page 80 of 164

89 27AMVPP31
40P1Z8
NATIONAL
LAMINATE
S
(BHAGWAT
TILAL
MEETHALA
L
PATWARI)
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
90 27ABXPH72
42R1ZM
SHOE
ARCADE
(HARSHA
ANIL
HUKMANI)
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
91 27ABXPM48
87D1ZX
DARAYAS
NARIMAN
MAROLIA
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
92 27AECPK04
09H1ZW
SHREE
NATIONAL
PLYWOOD
Maharash
tra
Proprietors
hip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
93 27AACPD82
16F1Z2
PRITAM
PLYWOOD
(MANAKLA
L
BHAWARL
ALJI
DANGI)
Maharash
tra
Proprietors
hip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
94 27AABFB52
99F1ZD
BADAMIKA
R AND
SONS
Maharash
tra
Partnershi
p
Vandana K.
Jain,
Commissioner,
CGST
Centr
e
santosh.vats
a@nic.in
Agenda for 39th GSTCM Volume 2
Page 81 of 164

Commissioner
ate, Pune
95 27AAKFS97
62K1ZC
SUPREME
STEEL
INDUSTRIE
S
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
96 27AEYPG68
71M1ZH
M/S. APG
INDUSTRIE
S / AMRUT
SALES
AGENCY
(AMRUT
PANCHAN
GADA)
Maharash
tra
Proprietors
hip
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@
mahagst.gov
.in
97 27AADCS92
21P1ZT
M/S SSB
ALLOYS &
STEEL PVT.
LTD.
Maharash
tra
Private
Limited
Company
Pritee
Chaudhary,
Additional
Commissioner,
CGST
Commissioner
ate, Mumbai
Centr
e
compcexm1
@gmail.com
98 33AAHFH29
33G1ZN
HOROLOG
Y IMPEX
CO
Tamil
Nadu
Partnershi
p
M. Sreedhar
Reddy,
Principal
Commissioner
of Gst &
Central Excise,
Chennai
Centr
e
comp.chenn
ainorth@go
v.in
99 36AACCN32
49D1ZP
NAYAN
HARDWAR
E PRIVATE
LIMITED
Telangan
a
Private
Limited
Company
Radha
Sindhiya
Linga,
Assistant
Commissioner,
State
Government
State ac_gstn@tg
ct.gov.in
100 36AAECE07
85H1ZL
ETNA
HARDWAR
E OPC
Telangan
a
Private
Limited
Company
Radha
Sindhiya
Linga,
Assistant
State ac_gstn@tg
ct.gov.in
Agenda for 39th GSTCM Volume 2
Page 82 of 164

PRIVATE
LIMITED
Commissioner,
State
Government
101 09AAAHA7
233D1ZR
M/S
AGARWAL
TRADERS
Uttar
Pradesh
Hindu
Undivided
Family
Vivek Kumar
Jain, Joint
Commissioner,
CGST &
Central Excise
Commissioner
ate, Lucknow
Centr
e
ccu-
cexlko@nic.
in
102 09AASFA00
69R1ZO
ACE
ELECTRONI
CS
Uttar
Pradesh
Partnershi
p
Joint
Commissioner
(I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow
State ctithqlu-
up@nic.in
103 05AAYPK31
04B1Z2
M/S
ROSHAN
TRADER
Uttarakha
nd
Proprietors
hip
Anurag Mishra,
Deputy
Commissioner
of State Taxes,
Uttarakhand
State anuragmishr
a75@gmail.
com
104 05ASZPK65
78N1ZJ
M/S WHEEL
WORLD
Uttarakha
nd
Proprietors
hip
Anurag Mishra,
Deputy
Commissioner
of State Taxes,
Uttarakhand
State anuragmishr
a75@gmail.
com
105 19AABCT24
39G1ZC
M/S.
TOPSEL
PVT. LTD
West
Bengal
Private
Limited
Company
Tarun Kumar
Majumder,
Assistant
Commissioner,
Central Govt,
West Bengal
Centr
e
kolkatanorth
.gst@gov.in

Agenda for 39th GSTCM Volume 2
Page 83 of 164

CATEGORY B6: TRAN-1 FILED WITH DELRATION IN TABLE 7(a) OR 7(d), TRAN-2
TRIED POST END DATE: As per Logs Tran-1 filed successfully along with revision. Taxpayer has
filed Tran-2 for 3 months then for subsequent period it was tried post last date of Tran-2 i.e. 30/06/2018


S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
106 06BDEPS25
35J1ZF
SATPAL
SONI
Haryana Proprietors
hip
Nodal Officer
IT Issues
Haryana
State gsttihry@g
mail.com
107 03AABFP58
13D1ZT
M/S
PRABHAT
MOTORS
Punjab Partnershi
p
Sunil Singh
Katiyar,
Commissioner,
Central
Government,
Ludhiana,
Punjab
Centr
e
sunils.katiya
r@gov.in
108 19AAACB24
84Q1Z5
BAJAJ
ELECTRICA
LS LTD
West
Bengal
Public
Limited
Company
Atanu
Majumdar,
Addtional
Commissioner
of Commercial
Taxes, West
Bengal
State majumder.ct
ax@wbcomt
ax.gov.in


Agenda for 39th GSTCM Volume 2
Page 84 of 164

CATEGORY B7: TRAN-1 FILED WITH NO DECLARATION IN TABLE 7(a) SECTION 7B
OR 7(d) HENCE NOT ELIGIBLE FOR TRAN-2: As per Logs, Tran-1 Filed With No Declaration
In Table 7(a) Section 7B or Table 7(d). Hence Not Eligible For Tran-2.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
109 07AANCA41
37E1ZT
ARVIND
BEAUTY
BRAND
RETAILS
Delhi Private
Limited
Company
Heeralal,
Central
Government,
New Delhi
Centr
e
gstdsouthmn
@gmail.com
110 24AAACT27
26R1Z1
THE
ASSOCIATE
D AUTO
PARTS
PRIVATE
LIMITED
Gujarat Private
Limited
Company
Deputy
Commissioner
of Commercial
Tax, State Tax,
Gujarat
State dc1-
ct@gujarat.g
ov.in
111 29AAACI39
24J1ZG
GILLETTE
INDIA
LIMITED
Karnatak
a
Public
Limited
Company
G.
Narayanaswam
y,
Commissioner,
CGST
Commissioner
ate, Bengaluru
South
Centr
e /
Court
Case
commr-
cexblr1@nic
.in
112 23AAACI65
61R2Z4
M/S IFB
INDUSTRIE
S, BHOPAL
Madhya
Pradesh
Public
Limited
Company
Neerav Kumar
Mallick,
Commissioner,
CGST &
Central Excise
Commissioner
ate, Indore,
Madhya
Pradesh
Centr
e
technicalcex
@gmail.com
113 27AACPZ98
75E1ZZ
D.N.R.ALLO
YS (NALIN
KANTILAL
ZAVERI)
Maharash
tra
Proprietors
hip
Pankaj Kumar,
Central
Government,
Maharashtra
Centr
e
Letter
Agenda for 39th GSTCM Volume 2
Page 85 of 164

114 27BEPPK01
35Q1Z0
SHREE
NATIONAL
PLYWOOD
NX
(ANSHANK
SUNIL
KACHHAR
A)
Maharash
tra
Proprietors
hip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
115 27AWFPS52
59J1ZX
ADARSH
PLYWOOD
& TIMBER
Maharash
tra
Proprietors
hip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
116 27AATPJ137
7J1Z6
PLAZA
FANCY
HARDWAR
E
Maharash
tra
Proprietors
hip
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
117 27AAACH30
05M1ZR
HINDUSTA
N COCA-
COLA
BEVERAGE
S PRIVATE
LIMITED
Maharash
tra
Private
Limited
Company
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
118 27AFYPG12
52R1ZO
SHAILESH
JAYWANTL
AL GANDHI
Maharash
tra
Proprietors
hip
C. P. S.
Chauhan,
Deputy
Commissioner,
CGST
Commissioner
ate, Mumbai
South
Centr
e
mumbaisout
h.dc.it@gov.
in
119 27AASPV57
34E1Z5
M/S NITIN
MARKETIN
Maharash
tra
Proprietors
hip
D. P. S.
Kushwah,
Additional
Commissioner,
Centr
e
Letter
Agenda for 39th GSTCM Volume 2
Page 86 of 164

G
SERVICES
CGST &
Central Excise
Commissioner
ate, Nagpur
120 27AAQFK34
05K1Z2
KARMA
CONSTRUC
TION
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
121 27AXKPJ60
23B1ZS
BHAVYA
DEEP
IMPEX
(DEEPAKK
UMAR
HIRALAL
JAIN)
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
122 27AAVFA97
33D1Z3
ARIHANT
LUBES
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
123 27AAGFN03
65H1ZB
NAVKAR
TRADERS
Maharash
tra
Partnershi
p
S .K.
Vimalanathan,
Commissioner,
CGST And
Central Excise
Commissioner
ate, Mumbai
Centr
e
amit.irs@go
v.in
124 27AAFCK10
36L1ZI
KIRAN
AUTO
WHEELS
PRIVATE
LIMITED
Maharash
tra
Private
Limited
Company
S .K.
Vimalanathan,
Commissioner,
CGST And
Central Excise
Commissioner
ate, Mumbai
Centr
e
amit.irs@go
v.in
Agenda for 39th GSTCM Volume 2
Page 87 of 164

125 27AAGFS79
84K1ZC
SHREE
DEEPAK
EXPORTS
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Patil, Deputy
Commissioner
of State Tax,
State
Government,
Maharashtra
State gstit.state@
mahagst.gov
.in
126 27AAECC71
84L1Z6
CLASSIC
TOUCH
ELECTRICA
LS PVT LTD
Maharash
tra
Private
Limited
Company
C. P. S.
Chauhan,
Deputy
Commissioner,
CGST
Commissioner
ate, Mumbai
South
Centr
e
amit.irs@go
v.in
127 27AAACF40
45K1ZN
M/S
FOODWOR
LD
SUPERMAR
KETS
PRIVATE
LIMITED
(HEALTH &
GLOW
PRIVATE
LIMITED)
Maharash
tra
Private
Limited
Company
Archana
Nayak,
ICEGATE,
Centre
Government,
Maharashtra
Centr
e
archana1.na
yak@icegat
e.gov.in
128 27AAACT27
26R1ZV
THE
ASSOCIATE
D AUTO
PARTS
PRIVATE
LIMITED
Maharash
tra
Private
Limited
Company
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
of State
Government,
Mumbai
State gstit.state@
mahagst.gov
.in
129 08AAACP40
72C1ZR
PROCTER &
GAMBLE
HOME
PRODUCTS
PRIVATE
LIMITED
Rajasthan Private
Limited
Company
Arun Kumar,
Commissioner,
Central
Government,
Jaipur
Centr
e
cexjaipu@ni
c.in
130 33ADEPR96
79M1ZN
SADAGOPA
N
RANGANA
Tamil
Nadu
Proprietors
hip
S.
Ramaswamy,
Joint
State jccs@ctd.tn.
gov.in
Agenda for 39th GSTCM Volume 2
Page 88 of 164

THAN(ALA
MU
AGENCIES)
Commissioner,
State
Government,
Tamilnadu
231 33AAECK53
14Q1ZB
KSJ METAL
IMPEX P
LTD
Tamil
Nadu
Private
Limited
Company
S.
Ramaswamy,
Joint
Commissioner,
State
Government,
Tamilnadu
State jccs@ctd.tn.
gov.in
132 05AFLPA03
86F1ZT
M/S G.K.
COMPUTER
S
Uttarakha
nd
Proprietors
hip
Anurag Mishra,
Deputy
Commissioner
of State Taxes,
Uttarakhand
State anuragmishr
a75@gmail.
com
133 05AFFPJ572
8N1Z5
M/S
SHAKUN
COMPUTER
S
Uttarakha
nd
Proprietors
hip
Anurag Mishra,
Deputy
Commissioner
of State Taxes,
Uttarakhand
State anuragmishr
a75@gmail.
com

Agenda for 39th GSTCM Volume 2
Page 89 of 164

CATEGORY B8: TRAN-1 FILED, ELIGIBLE FOR TRAN-2 BUT THERE ARE NO
EVIDENCES of ERROR OR SUBMISSION/FILING of TRAN-2: As per log Tran-1 Filed, Eligible
For Tran-2 But There are No Evidences Of Error Or Submission/Filing Of TRAN-2. No logs of save
as well.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
134 24AABCR79
38L1ZY
RAVIRATN
A MOTORS
PRIVATE
LIMITED
Gujarat Private
Limited
Company
S. M. Saxena,
Joint
Commissioner,
State
Government,
Gujarat
State jcegov-
ct@gujarat.g
ov.in
135 01AABCM9
244N1ZC
CERA
SANITARY
WARE
LIMITED
Jammu &
Kashmir
Public
Limited
Company
Sandeep
Kumar,
Programmer,
Coordinator
Jammu
Division, State
Admin Gst,
Stc, J&K Gst,
Nodal Officer
Gst/Bas
State sandeep.pro
g123@gmai
l.com
136 19AABCJ74
03L1ZD
JINDAL
UDYOG
LTD
West
Bengal
Public
Limited
Company
Tarun
Majumder,
Assistant
Commissioner,
Central
Government,
Kolkata
Centr
e
kolkatanorth
.gst@gov.in
137 19ACHPJ827
7B1ZF
M/S JINDAL
DISTRIBUT
OR (RAJESH
JINDAL)
West
Bengal
Proprietors
hip
Tarun
Majumder,
Assistant
Commissioner,
Central
Government,
Kolkata
Centr
e
kolkatanorth
.gst@gov.in
Agenda for 39th GSTCM Volume 2
Page 90 of 164

138 19AAJCS971
9A1Z4
M/S SUJAL
EXIM PVT.
LTD (SUJAL
EXIM
(INDIA)
PRIVATE
LIMITED)
West
Bengal
Private
Limited
Company
Tarun
Majumder,
Assistant
Commissioner,
Central
Government,
Kolkata
Centr
e
kolkatanorth
.gst@gov.in


Agenda for 39th GSTCM Volume 2
Page 91 of 164

CATEGORY B9: TRAN-1 FILED, ELIGIBLE FOR TRAN-2.TRAN-2 FRESH/REVISION
ATTEMPTED WITH NO ERROR OR NO VALID ERROR REPORTED: As per Logs Tran-1
filed successfully. Eligible for Tran-2. Tran-2 fresh/revision attempted with no error or no valid error
reported in logs.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
139 29ABUPP57
22H1Z1
PREMA Karnatak
a
Proprietors
hip
G. V. Krishna
Rao, Principal
Commissioner,
CGST
Commissioner
ate, Mysore
Centr
e
techhqrs-
cexmys@go
v.in

CATEGORY B10: TRAN-1 NOT FILED HENCE NOT ELIGIBLE FOR FILING TRAN-2: As
per logs tran-1 attempted, error reported related to invalid registration gets corrected and save attempt
got processed but filing not attempted of Tran-1. As taxpayer has not filed Tran-1 hence, not eligible
for filing of Tran-2
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
140 36BMPPK93
15J1ZI
SATHWICK
POLYMERS
(SHASHI
KONDA)
Telangan
a
Proprietors
hip
Radha
Sindhiya
Linga,
Assistant
Commissioner,
State
Government,
Hyderabad
State ac_gstn@tg
ct.gov.in


Agenda for 39th GSTCM Volume 2
Page 92 of 164

CATEGORY B11: TRAN-2 FRESH/REVISION ATTEMPTED WITH NO ERROR OR NO
VALID ERROR REPORTED: As per Logs Tran-1 filed successfully. Tran-2 fresh/revision attempted
with no error or no valid error reported.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
141 09AAHCP49
77D1Z2
PLS
AUTOMOBI
LES
SERVICES
PVT LTD
Uttar
Pradesh
Private
Limited
Company
Sh. Nidhish
Singhal,
Deputy
Commissioner,
CGST &
Central Excise
Commissioner
ate, Greater
Noida
Centr
e
nidhish.sing
hal@icegate
.gov.in

CATEGORY B12: Mistake by Taxpayer: Cases where the Taxpayers have admitted to have made
mistake, inadvertently or due to misunderstanding, in reporting correct values in TRAN 1/TRAN 2.
Since the admitted mistakes/errors are apparent from the perusal of the details of reported cases no
technical analysis has been done in these cases as it is not required.
S.
No.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constituti
on of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
142 24AFJPP016
3R1Z0
MEET
ENTERPRIS
ES (AMIT
KIRITBHAI
PATEL)
Gujarat Proprietors
hip
S. M. Saxena,
Joint
Commissioner
of State Govt,
Gujarat
State jcegov-
ct@gujarat.g
ov.in
143 29AAACC78
52K1Z9
COROMAN
DEL
INTERNATI
ONAL
Karnatak
a
Public
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
State basavaraj.sa
gar@ka.gov.
in
Agenda for 39th GSTCM Volume 2
Page 93 of 164

Taxes,
Bengaluru
144 29ABDFM40
06A1ZT
MEDAL
CRAFT
Karnatak
a
Partnershi
p
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
145 29ACUPA21
81J1ZA
NARESH
KUMAR
AGARWAL
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
146 29AANFR67
30K1ZK
RAJENDRA
APPLIANCE
S
Karnatak
a
Partnershi
p
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
147 29ADDPJ29
12Q1Z7
JAIN
COMPUTER
S &
COMMUNI
CATION
(RAJNISH
KUMAR
JAIN)
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
148 29AAJCM68
58Q1ZA
MD RETAIL
INDIA
PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
149 29AAIFS501
5M1ZS
SRINATH
SANITARY
WARES
(MD
RETAIL
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
State basavaraj.sa
gar@ka.gov.
in
Agenda for 39th GSTCM Volume 2
Page 94 of 164

INDIA
PRIVATE
LIMITED)
Taxes,
Bengaluru
150 29ABWPM8
790J1ZF
MADANLA
L
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
151 29ADHPK64
27D1ZJ
DINESH
KUMAR
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
152 29AALFS83
34A1Z2
S & V
AGENCIES
Karnatak
a
Partnershi
p
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
153 29AAFCS17
64F1Z8
SHIVAHARI
PAHRAMA
CEVTICALS
PVT LTD
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
154 29AAGCA87
28A1ZP
AUSHAD
DISTRIBUT
ORS
PRIVATE
LTD
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
155 29AAGFH16
12K1ZE
HELIX
MEDICARE
Karnatak
a
Partnershi
p
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
State basavaraj.sa
gar@ka.gov.
in
Agenda for 39th GSTCM Volume 2
Page 95 of 164

Taxes,
Bengaluru
156 29AACCL15
84D1ZK
LIVE YOUR
SPORT
RETAIL
PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
157 29ABTPD04
59J1Z9
KARTHIK
ENGINEERI
NG
AGENCIES
(ARCOT
MUTTHUK
RISHNA
DAMODHA
RAN)
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
158 29ATAPM72
56M1Z3
KARTHIK
FASTENER
S (ARCOT
MUTHUKRI
SHNAN
MAHENDR
AN)
Karnatak
a
Proprietors
hip
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
159 29AAJCA00
72C1Z1
WIPRO
ENTERPRIS
ES PRIVATE
LIMITED
Karnatak
a
Private
Limited
Company
K. S.
Basavaraj,
Joint
Commissioner
of Commercial
Taxes,
Bengaluru
State basavaraj.sa
gar@ka.gov.
in
160 27AAHFV80
84G1ZO
V S
ENTERPRIE
S
Maharash
tra
Partnershi
p
Dr. Sunil
Bodhgire
Nodal Officer,
Deputy
Commissioner
State
Govt,Mumbai
State gstit.state@
mahagst.gov
.in
161 27ALUPS33
04A1Z5
M/S
BHARAT
Maharash
tra
Proprietors
hip
Miss
Kalyanehswari
Ptail, Deputy
Commissioner
State gstit.state@
mahagst.gov
.in
Agenda for 39th GSTCM Volume 2
Page 96 of 164

ENTERPRIS
ES
of State Tax,
Maharashtra
162 27AAAFK67
08M1Z2
KULDEEP
GLASS AND
ALUMINIU
M
Maharash
tra
Partnershi
p
Miss
Kalyanehswari
Ptail, Deputy
Commissioner
of State Tax,
Maharashtra
State gstit.state@
mahagst.gov
.in
163 08ADAPJ02
79R1Z4
MONIR
JAIN
(BHARAT
DIESEL &
AUTOMOTI
VES)
Rajasthan Proprietors
hip
K. C. Samria,
Deputy
Commissioner,
State Tax,
Circle A
Bhiwadi
State dc-
it@rajasthan
.gov.in
164 33AAACC24
74P1ZI
CARBORUN
DUM
UNIVERSA
L LIMITED
Tamil
Nadu
Public
Limited
Company
S.
Ramaswamy,
Joint
Commissioner,
State Govt,
Tamilnadu
State jccs@ctd.tn.
gov.in
165 36AAACH72
52A1Z0
ARVIND
LIFESTYLE
BRANDS
LIMITED
Telangan
a
Public
Limited
Company
Shri. Raghu
Kiran B, Joint
Commissioner,
CGST &
Central Excise
Commissioner
ate, Hydarabad
Centr
e
cgst.mdclco
mmtecomp
@gov.in
166 36AAYPA16
43D1ZV
OMKARMA
L
DWARKAD
AS & CO
(PROP:
GANGADH
AR
AGARWAL)
Telangan
a
Proprietors
hip
Shri. Raghu
Kiran B, Joint
Commissioner,
CGST &
Central Excise
Commissioner
ate, Hydarabad
Centr
e
cgst.mdclco
mmtecomp
@gov.in





Agenda for 39th GSTCM Volume 2
Page 97 of 164

Annexure 4
TRAN 3 - Cases sent by Nodal officers of Centre/States

Sl
.
N
o.
GSTIN Legal Name State COB Nodal
Jurisdiction
details
State /
Centr
e
E-Mail
ID
Approval
Status of
TRAN-1 /
TRAN-2
1 27AACFB9085
G1ZA
BAFNA
ELECTRICA
LS (BAFNA
ELECTRONI
CS)
Maharashtr
a
Partnershi
p
Dr. Sunil
Bodhgire,
Nodal Officer,
Deputy
Commissioner,
State Govt,
Mumbai
State gstit.state
@mahags
t.gov.in

2 30AAACI6561R
1ZA
IFB
INDUSTRIES
LTD
Goa Public
Limited
Company
Sarita S. Gadgil,
Deputy
Commissioner of
State Taxes, Goa
State acbic-
ctax.goa
@nic.in

3 27ABIPD6856G
1ZI
CHERRY
CORPORATI
ON
(MANISH
MADHUKA
R
DANDGAVA
L)
Maharashtr
a
Proprietor
ship
Dr. Sunil
Bodhgire,
Nodal Officer,
Deputy
Commissioner of
State Govt,
Mumbai
State bodhgires
unil@gm
ail.com

4 36AAFCP8182N
1ZP
PPS
MOTORS
PVT LTD
Telangana Private
Limited
Company
Radha Sindhiya
Linga, Assistant
Commissioner,
State
Government,
Hyderabad
State tg_cto_gst
n@tgct.go
v.in

5 36AAACO9626
P1ZS
OLYMPUS
MOTORS
PRIVATE
LIMITED
Telangana Private
Limited
Company
D. P. Naidu,
Commissioner,
CGST
Commissionerate,
Hyderabad
Centre cgst.secco
mmr@go
v.in

6 07AAACN1058
N1ZC
NEW INDIA
COLOUR
COMPANY
LIMITED
Delhi Public
Limited
Company
Dushyant Kumar,
Gsto (Gst Cell)
Trade & Taxes
Department,
Govt. Of Nct of
Delhi, State Govt
State dushyant.
kumar43
@gov.in

Agenda for 39th GSTCM Volume 2
Page 98 of 164

7 33AACCG2983
R1Z2
Gurudev
Motors
(GURUDEV
MOTORS
PRIVATE
LIMITED)
Tamil Nadu Private
Limited
Company
C. Suba Sankari,
Assistant
Commissioner,
CGST & Central
Excise
Commissionerate,
Chennai
Centre C.Sankari
@icegate.
gov.in
TRAN-1
filing issue is
not approved
as per the
decision of
2nd ITGRC
being
"TRAN-1
Filed twice,
but credit not
received."
8 36AAACA3428
K1ZS
AUTOMOTI
VE
MANUFACT
URERS
PRIVATE
LIMITED
Telangana Private
Limited
Company
Shri. Raghu Kiran
B, Joint
Commissioner,
Central
Government,
Telangana
Centre cgst.mdcl
commteco
mp@gov.
in

9 29AAPFR3915G
1ZU
RENUKA
AUTOMOTI
VE
Karnataka Partnershi
p
Gosu Ramesh,
Assistant
Commissioner,
CGST & Central
Excise
Commissionerate,
Belagavi
Centre commr-
cexblgm
@nic.in

1
0
33AAACA4651
L1ZT
RENUKA
AUTOMOTI
VE (ASHOK
LEYLAND
LIMITED)
Tamil Nadu Public
Limited
Company
Bijoy Kumar Kar,
Commissioner,
Central
Government,
Karnataka
Centre commr-
cexblgm
@nic.in

1
1
37AAFCP8182N
1ZN
PPS
MOTORS
PRIVATE
LIMITED
Andhra
Pradesh
Private
Limited
Company
C. R. Rajendran,
Deputy
Commissioner
(ST), Chittoor
Division
State ac.ltu-
ctr@apct.
gov.in
TRAN-1
filing issue is
not approved
as per the
decision of
6th ITGRC
being
"Category
B3: Cases
where the
taxpayer has
Successfully
Filed as Per
Logs with No
Valid Error
reported: The
taxpayer has
successfully
Agenda for 39th GSTCM Volume 2
Page 99 of 164

filed TRAN1
and no
technical
errors has
been found."
1
2
09AABCF8036
H1ZK
FOURWHEE
LS AUTO
PRIVATE
LIMITED
Uttar
Pradesh
Private
Limited
Company
S. K. Sharma,
Commissioner,
Central
Government,
Kanpur
Centre commr-
cexkpr@n
ic.in
TRAN-1
issue is
referred to
8th ITGRC
for decision.
1
3
37AAGFC0351
G1ZT
CHOWDAR
Y & CO
TANUKU
(CHOWDAR
Y & CO)
Andhra
Pradesh
Partnershi
p
Shri. D. Ramesh,
Joint
Commissioner,
Commercial
Taxes
Department,
Vijayawada
State ap-
addl.it@a
pct.gov.in

1
4
24AEUPP6304E
1ZF
RAMESH
BAGWAND
AS PUNJABI
(SINDLAL
TYRES
SALES &
SERVICES)
Gujarat Proprietor
ship
Shri S. S. Rathod,
Deputy
Commissioner of
State Tax,
Vadodara
State dc10-
ct@gujara
t.gov.in
TRAN-1
issue is
referred to
8th ITGRC
for decision.
1
5
27AAJFS2112E
1ZK
SHREE
REFRIGERA
TION
Maharashtr
a
Partnershi
p
K. V. S. Singh,
Commissioner,
CGST
Commissionerate,
Aurangabad
Centre Letter TRAN-1
issue is
referred to
8th ITGRC
for decision.
1
6
24ACZFS6158C
1ZO
SUN
CORPORATI
ON
Gujarat Partnershi
p
S. M. Saxena,
Joint
Commissioner of
State Tax,
Ahemdabad
State jcegov-
ct@gujara
t.gov.in

1
7
24ACLFS8867J1
ZB
SUN
DIGITAL
Gujarat Partnershi
p
S. M. Saxena,
Joint
Commissioner of
State Tax,
Ahemdabad
State jcegov-
ct@gujara
t.gov.in

1
8
37AAACA3428
K1ZQ
AUTOMOTI
VE
MANUFACT
URERS
PRIVATE
LIMITED
Andhra
Pradesh
Private
Limited
Company
M. Srihari Rao
IRS,
Commissioner,
CGST
Commissionerate,
Guntur
Centre srihari.rao
@gov.inq



Agenda for 39th GSTCM Volume 2
Page 100 of 164

Annexure 5
Cases Received as per Extended Scope of ITGRC
Category Description
No of
Cases
A
Sub
Category
Cases reported on account of Non-Technical error
A1 Recommended by jurisdictional tax authority with HC Order and having scenario
where the credit was entered in wrong column.
(iv) In 06 cases, stock wrongly reported at 7(d) in place of 7(a),
(v) In 01 case, uploaded details in column 5 of table 5a instead of column 6 of
table 5a
(vi) In 01 case, uploaded details in Table 7(d) instead of 7(c) of TRAN-1(also filed
COCP in Hon’ble HC of Kerala),
08
A2 Recommended by jurisdictional tax authority with HC Order but having scenario
other than wrong column entry
(v) In 01 case, taxpayer did not get the 50% credit of Capital goods
(vi) In 01 case, taxpayer had failed to indicate the amount of credit to be
iv. transitioned. Hence, closing balance of Cenvat credit in their ER-1 and
ST-3
v. returns last filed were not transferred to their ledger.
(vii) In 01 case, TRAN 1 filed but the taxpayer did not file TRAN-2, by oversight.
vi. In 01 case, filed TRAN 1 on 09.11.2017 but CENVAT Credit of 7.51 Cr
not reflecting in TRAN-1
04
A3 Case of non-technical error [Mistakenly Transferred the balance service tax credit
available with them to the GST Number of their Input Service Distributor (ISD)
registration on the belief that this credit could be distributed to their various GSTNs
subsequently. HC has ordered to allow filing of rectified TRAN-1 before
30.12.2019. Commissioner has forwarded the case to ascertain whether the case is
fit to be considered as non-technical issue without any recommendations.
01
A4 Cases of non-technical error recommended by jurisdictional tax authority but
Hon’ble High Court order details neither mentioned nor attached/No final order yet. 05
Sub Total 18
B
Sub
Category
Cases reported involving Technical error that should have been referred to
ITGRC through GSTN.

B2 Cases of Technical error which are not recommended by jurisdictional tax
authority, but Hon’ble Court has directed Nodal Officer to forward to IT Redressal
Committee to decide the same.
03
B3 Cases of Technical error already presented before 1st to 7th ITGRC and also
recommended by ITGRC.
04
Total 07
C
-- Cases already presented before 1st to 7th ITGRC but not recommended by ITGRC
and now as per 32nd GST Council decision also forwarded without
recommendation by jurisdictional tax authority.
02
Agenda for 39th GSTCM Volume 2
Page 101 of 164

D
-- Cases forwarded by jurisdictional tax authority without recommendation.
Parameters as recommended by 32nd GST Council decision not followed. 01
Total (A+B+C+D) 28
Agenda for 39th GSTCM Volume 2
Page 102 of 164

Category A: Cases reported on account of Non-Technical error
Category A1 (12 Cases): Recommended by jurisdictional tax authority.
(i) In 06 cases, stock wrongly reported at 7(d) in place of 7(a),
(ii) In 01 case, uploaded details in column 5 of table 5a instead of column 6 of table 5a
(iii) In 01 case, uploaded details in Table 7(d) instead of 7(c) of TRAN-1(also filed COCP in Hon’ble HC of
Kerala),
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks
1
Received
from GSTN,
M/s. Srikanth
Seeds,
Pesticides












GSTIN: -
36AABHK9816K1
ZV, 27824/2018-
Sri Katturi Mallesh,
Sole Properietor of
M/s. Srikanth
Seeds, Pesticides,
Fertilizers & Grain
Merchant







Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(a) and also missed some bills
to claim ITC of CGST on closing
stocks. Order:
Writ petition is disposed of directing
the Joint/Asst. Commissioner, State
Tax to forward the representation of
the petitioner dated: 06.07.2018 to the
Chief Commissioner and further
directing the Chief Commissioner to
forward the said representation along
with his report to the GST council.
The GST Council shall take a call and
pass appropriate orders in accordance
with law within a period of eight
weeks. There shall be no order as to
costs.
Recommen
ded















Placed in 6th ITGRC
in category- A2 as per
32nd GST Council
decision but not
allowed by
Committee because
of lack of sufficient
information on error
involved in the case.





2
Received
from GSTN,
M/s.
Ranjeeth
Fertilizers











GSTIN: -
36AADHK3535K1
Z5, 27884/2018-
M/s. Ranjeeth
Fertilizers











Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(a) and also missed some bills
to claim ITC of CGST on closing
stocks. Order:
Writ petition is disposed of directing
the Join/Asst. Commissioner, State
Tax to forward the representation of
the petitioner dated: 06.07.2018 to the
Chief Commissioner and further
directing the Chief Commissioner to
forward the said representation along
with his report to the GST council.
The GST Council shall take a call and
pass appropriate orders in accordance
with law within a period of eight
weeks. There shall be no order as to
costs.
Recommen
ded















Placed in 6th ITGRC
in category- A2 as per
32nd GST Council
decision but not
allowed by
Committee because
of lack of sufficient
information on error
involved in the case
the case.






Agenda for 39th GSTCM Volume 2
Page 103 of 164

3
Received
from GSTN,
M/s.
Ranjeeth
Traders










GSTIN: -
36ACTPK0948C1
ZI, 27892/2018-
Sri Kathuri Rupesh
sole properietor of
M/s. Ranjeeth
Traders Forwarded
to GSTC
Secretariat vide
letter dated
11.03.2019.





Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(a) and also missed some bills
to claim ITC of CGST on closing
stocks. Order:
Writ petition is disposed of directing
the Join/Asst. Commissioner, State
Tax to forward the representation of
the petitioner dated: 06.07.2018 to the
Chief Commissioner and further
directing the Chief Commissioner to
forward the said representation along
with his report to the GST council.
The GST Council shall take a call and
pass appropriate orders in accordance
with law within a period of eight
weeks. There shall be no order as to
costs.
Recommen
ded













Placed in 6th ITGRC
in category- A2 as per
32nd GST Council
decision but not
allowed by
Committee because
of lack of sufficient
information on error
involved in the case.






4
CGST,
Bhubaneshw
ar
M/s Field Motors
Pvt. LTd, GSTIN-
21AAACF6343E1
Z7 WP
17282/2018
Taxpayer has reflected details of
credit under column "7(d)-stock of
goods" instead of column "7(a)-
Duties and taxes on inputs" Order:
Hon'ble High Court of Odisha vide its
order dated 13.03.2019 has directed to
reconsider the case of the petitioner.
Also, a revised order dated
03.04.2019 of the Hon'ble H.C. was
received which had specific direction
for GST Council to reconsider the
party's request taking in to
consideration the ratio of 09 case
laws mentioned in order.
Recommen
ded
In 6th ITGRC the
case was presented as
per 32nd GST
Council decision but
not allowed being not
recommended
properly. Again,
placed in 8th ITGRC
in A4 Category as
that time not
recommended. Now
case has been
recommended by
Jurisdictional
Commissioner hence
placed in A1
Category.
Agenda for 39th GSTCM Volume 2
Page 104 of 164

5
CGST Delhi
West, M/s
Sikka Motors
Pvt. Ltd.
GSTIN:
07AASCS5522N1
ZO, W. P. No.
8971/2019
Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(a).
Order: Writ Petition is disposed of
directing respondents to immediately
process the Petitioner’s representation
dated 28th March 2019 and either
reflect the ITC claim of the Petitioner
in the electronic ledger or
communicate to the Petitioner the
reason for its inability to do so on or
before 13th September 2019.
Recommen
ded
Case has not been
presented before
ITGRC earlier.
6
CGST Delhi
West, M/s
Sushil
Agencies
GSTIN:
07AANPK41559R
1ZV, W.P. No.
7984/2019
Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(a).
Order: Hon’ble High Court of Delhi
in its order dtd. 28.05.2019 directed
“In that view of the matter, the
Respondents are directed to process
the Petitioner’s claim for the TRAN-1
credit if tendered manually within two
weeks from today. If found eligible,
the credit will be allowed to the
Petitioner in accordance with law,
without undue delay. A report in this
regard be placed on record by the
respondents by the next date.
Recommen
ded
The case was
presented in B
Category 4 (Sr. No.
50) cases: TRAN-1
filed but credit not
received. There were
no error logged in
filing for TRAN-1 in
4th ITGRC meeting
held on 12.02.2019
and not allowed by
the committee.
7
CGST
Rajkot, M/s
Jakap Metind
Pvt.Ltd.
GSTIN:
24AAACJ5428L1Z
I, Special Civil
Application No.
19951/2019
Issue: Did not mention details in
column 6 of table 5a and instead
uploaded details in column 5 of table
5a of the TRAN-1. Hence, the amount
mentioned in column 5 of table 5a was
not granted as transitional credit.
Order (04.10.2019): Respondents to
open the online portal so as to enable
the Petitioner to again file the rectified
Form GST TRAN-1 electronically or
accept the manually filed form of GST
TRAN-1 with corrections on or before
the 30th November, 2019.
Recommen
ded
Till 8th ITGRC the
Case was presented
before ITGRC.
Agenda for 39th GSTCM Volume 2
Page 105 of 164

8
SGST,
Kerala














Ms. Hemalatha
Ranka Prop of Raj
Distributors,
Ernakulam, Kerala
32AAEPA4171C1
ZK, WPC
18883/2018










Filed TRAN-1 but uploaded details in
Table 7(d) instead of uploading in
table 7(c ). Order:
HC vide order dated 14.06.2018
directed to take appropriate action to
take credit of the input tax available at
the time of Migration.









Recommen
ded















The case was
presented as per
circular 03.04.2018
in 4th ITGRC held on
12.02.2019 in 'B4'
category but not
allowed by the
Committee.
Also filed COCP in
Hon'ble HC of
Kerala for not
following the order
dated 14.06.2018 in
WP 18883/2018.
As a special case this
was accepted to allow
amendment in the
TRAN-1, by Revenue
Secretary subject to
the approval of GST
Council.




Agenda for 39th GSTCM Volume 2
Page 106 of 164

Category A2 (04 Case):
(i) In 01 case, taxpayer did not get the 50% credit of Capital goods
(ii) In 01 case, taxpayer had failed to indicate the amount of credit to be transitioned. Hence, closing
balance of Cenvat credit in their ER-1 and ST-3 returns last filed were not transferred to their
ledger.
(iii) In 01 case, TRAN 1 filed but the taxpayer did not file TRAN-2, by oversight.
(iv) In 01 case, filed TRAN 1 on 09.11.2017 but CENVAT Credit of 7.51 Cr not reflecting in
TRAN-1
S.
No
State/ CGST
GSTIN/ Title of the
Case/ WP No. and
Date
Brief Issue/ Directions of
Hon'ble High Court
Recommendations
of Officer of the
State /Centre
Remarks
9
CGST, Mysore















M/s AT&S India
Limited, GSTIN
29AAECA2930J1ZO,
WP No 22368/2019
(T-RES)











Issue: Taxpayer filed the
TRAN-1 on GSTN Portal on
11.12.2017. They did not get
the 50% of Capital goods credit
for the period April 2017 to
June 2017 in their credit
ledger. Taxpayer has
mentioned Zero in column 11
of Table 6 of GST TRAN-1
form. They should have
mentioned the credit which is
pending to the transitioned.

Order: The court has directed
to reconsider the request of the
petitioner for redressal of their
grievances in accordance with
law.




Recommended
















The case was
presented as
per circular
03.04.2018 in
5th ITGRC
held on
05.03.2019 in
'B3' category
but not
allowed by the
Committee.
Agenda for 39th GSTCM Volume 2
Page 107 of 164

10
Bengaluru,
CGST


























M/s Yokogawa Inida
Ltd. GSTIN
29AAACY0840P1ZV
15854/2019 (T-RES)
dtd. 09.04.2019 and
order dtd. 25.04.2019
Issue: The assessee had filed
form GST TRAN-1 on
12.12.2017 before due date but
the credit relating to the closing
balance of Cenvat credit of Rs.
4,31,32,066/- in their ER-1 and
ST-3 returns last filed were not
transferred to their ledger.
Under the column “Cenvat
Credit admissible as ITC” they
had failed to indicate the
amount of credit to be
transitioned, due to which
the credit pertaining to their
closing balance was not
credited to their electronic
credit ledger. Taxpayer had
tried to rectify the error by
attempting to revise the
TRAN-1 filed before
28.12.2017 but all their all
attempts got unsuccessful. As
per Tax authorities taxpayer is
seeking opportunity to revise
the TRAN-1 already filed.

Order: Request of the
petitioner to revise the TRAN1
for the first time cannot be
denied on technicalities and
glitches not being uncommon,
in a new tax regime, a
pragmatic approach would
sub-serve the ends of justice,
directed to reconsider the
grievance of the petitioner.
Recommended Case has not
been
presented
before ITGRC
earlier.
Agenda for 39th GSTCM Volume 2
Page 108 of 164

11 CGST Tamil
Nadu &
Puduchery
Zone, M/s
Horology
Impex Co.
GSTIN:
33AAHFH2933G1ZN,
W.P. No. 34089/2018
Taxpayer filed TRAN-1 on 19-
12-2017 availing credit of Rs.
81,93,837/- under 7A stock
with documents head of
TRAN-1. Taxpayer has also
shown stock of value of Rs
12,43,13,920/- under 7B Stock
without documents in TRAN-
1. They have stated now that
they are entitled for a
transitional credit of Rs. 62.29
Lakhs, which was not
transferred to their Electronic
Credit Ledger since they did
not file TRAN-2, by oversight.
Order: Writ Petition is
disposed of directing
respondents to pass appropriate
orders, after following the
procedures as indicated supra
as expeditiously as possible.
The respondent shall also
provide an opportunity of
hearing to the petitioners
before passing the order
Recommended

Till 8th ITGRC
the Case was
not presented
before
ITGRC.
12 CGST Shimla,
M/s Macleods
Pharmaceuticals
Ltd
CWP 1551/2018,
GSTIN-
02AAACM4100C1ZL
Issue: Filed TRAN 1 on
09.11.2017 but as per taxpayer
the CENVAT Credit of 7.51 Cr
not reflecting in TRAN-1

GSTN Findings: GSTN vide
mail dated 06.08.2018 has
communicated to the
Commissionerate that TRAN-
1 was successfully submitted
on 26.10.2017 and 27.11.2017.
As per logs party has filed 0
(zero) in the disputed field
instead of 7.51cr and no logs of
error evidencing any technical
glitch faced by taxpayer were
found.

Recommended via
mail as per the
extended scope of
ITGRC but signed
copy still awaited.
Till 8th ITGRC
the Case was
not presented
before
ITGRC.
Agenda for 39th GSTCM Volume 2
Page 109 of 164

Order (20.11.2019): Consider
the case of the petitioner
Company for amendment of
TRAN-1 form and pass
appropriate orders within a
period of three weeks from
today.

Category A3 (01 Case):
Case of non-technical error [Mistakenly Transferred the balance service tax credit available with them
to the GST Number of their Input Service Distributor (ISD) registration on the belief that this credit
could be distributed to their various GSTNs subsequently. HC has ordered to allow filing of rectified
TRAN-1 before 30.12.2019. Commissioner has forwarded the case to ascertain whether the case is fit
to be considered as non-technical issue without any recommendations.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommend
ations of
Officer of
the State
/Centre
Remarks
13 CGST,
Cochin
M/s South
Indian Bank
32AABCT00
22F2Z6
32AABCT0022F2
Z6
WP 21008/2019
Issue: Case of non-technical error
[Mistakenly Transferred the balance
service tax credit available with them
to the GST Number of their Input
Service Distributor (ISD) registration
on the belief that this credit could be
distributed to their various GSTNs
subsequently
Order: HC vide order dated
18.11.2019 has ordered to allow a
rectified TRAN-1 application or
accept manually filed TRAN-1 with
the appropriate corrections, on or
before 30.12.2019.
Forwarded to
ITGRC to
ascertain
whether the
case is fit to
be
considered as
non-technical
issue.
No
Recommend
ation
Till 8th ITGRC the
Case was not
presented before
ITGRC

Agenda for 39th GSTCM Volume 2
Page 110 of 164

Category A4: Cases of non-technical error recommended by jurisdictional tax authority but Hon’ble
High Court order details neither mentioned nor attached/No final order yet.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks
14 Chennai
North
CGST
33BURPS2116P1Z
1

Senthil Vadivelu
Senthilnathan /

M/s. Shanmugam
Agencies
Entry of details by oversight under
Entry 7A of Table 7(a), instead of
under Entry 7B of Table 7(a) of
TRAN-1. The taxpayer is seeking
relief in terms of Bombay High Court
judgement in W.P No.2086/2018 in
the case of M/s. O/E/N India Ltd., &
others. No High Court order in the
case
Recommen
ded
No High Court order
in the case.
15 Chennai
North
33AQEPPS5122E1
Z9 Senthil
Vadivelu
Palaniappan /M/s.
Shanmuganathan
Store
Entry of details by oversight under
Entry 7A of Table 7(a), instead of
under Entry 7B of Table 7(a) of
TRAN-1. The taxpayer is seeking
relief in terms of Bombay High Court
judgement in W.P No.2086/2018 in
the case of M/s. O/E/N India Ltd., &
others. No High Court order in the
case
Recommen
ded
No High Court order
in the case.
16 Chennai
North
33ARKPS5830K1
ZE

Senthil Vadivelu /

M/s. Senthil
Agencies
Entry of details by oversight under
Entry 7A of Table 7(a), instead of
under Entry 7B of Table 7(a) of
TRAN-1. The taxpayer is seeking
relief in terms of Bombay High Court
judgement in W.P No.2086/2018 in
the case of M/s. O/E/N India Ltd., &
others. No High Court order in the
case
Recommen
ded
No High Court order
in the case.
Agenda for 39th GSTCM Volume 2
Page 111 of 164

17 Chennai
South
33AAACB5985C1
ZW M/s. BHARAT
ELECTRONICS
LTD W.P. 2937 of
2019 dated
01.02.2019 of
Madras high Court
The tax payer has mentioned the C/b
of CENVAT in table 5(a) under
column 5 (Balance CENVAT carried
forward in the said last return) but has
mentioned credit available as per the
Stock in column no.6 of table
5(a)(CENVAT credit admissible as
ITC of central tax in accordance with
transitional provisions). they have
also mentioned the credit available on
stock in table 7(a) also. they have not
properly understood the relevance of
each column of the respective table
and made wrong entries. Hence the
Closing balance has not reflected in
the ITC ledger. The case is pending
for disposal, no final High Court
order in the case.
Recommen
ded.
The case is still
pending for disposal,
no final High Court
order in the case.
18 Chennai
Outer
PAREKH
INTEGRATED
SERVICES PVT
LTD.,
GSTIN:
33AADCP1503F1
Z3
W.P.No.9052 OF
2019
DT.26.03.2019
Taxpayer had declared inputs held in
stock for Value of Rs.2,06,62,196/- on
the appointed day without documents
under Col.7(a) (7B) of Tran-1 and
filed Tran-2 for the periods July-2017
and August-2017 and received ITC of
Rs.1,66,480/- and Rs.79,583/-
respectively for the two months. But
the taxpayer claims that he has filed
ITC for an amount of Rs.96,41,874/-
whereas has received only
Rs.18,38,967/- against SGST
taxpayer had filed Tran-1 and filed
Tran-2 for the months of July &
August 2017. The
petitioner/authorised representative
will appear before the nodal
officer/second respondent on
27.03.2019 at 10.30 AM with all
materials in support of his claim.
Appropriate orders shall be passed by
the officer on or before 29.03.2019.
No HC Order attached
No
Recommen
dation
made
No proper
recommendation
and No HC order
attached. The
case was presented as
per circular
03.04.2018 in 6th
ITGRC held on
27.05.2019 in 'B4'
category but not
allowed by the
Committee.


Agenda for 39th GSTCM Volume 2
Page 112 of 164

Category B: Cases reported involving Technical error that should have been referred to ITGRC
through GSTN.
Category B2: Cases of Technical error which are not recommended by jurisdictional tax authority.
But Hon’ble Court has directed Nodal Officer to forward to IT Redressal Committee to decide the same.

S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks







19
Madurai
CGST
M/s Sri Algar
Industries, Sivakasi
WP(MD)No.
19463/2018 dated
01.09.2018
Tax Payer has tried to submit TRAN
1 Returns on common portal. But they
could not file it due to some issues in
common portal. Hence, they were
unable to carry forward Rs.
23,40,113/- regarding TRAN 1.

Order: Order dated 17.09.2018
passed by the Hon’ble Madurai Bench
of Madras High Court directing that
1.The 5th Respondent (i.e. The
Assistant Commissioner of CGST
&C.Ex, Sivaksi) forward the
Representation of Petitioner dated
30.07.2018 to the 4th Respondent
within a period of one week of date of
receipt of a copy of this order.

2. on receipt of the same 4th
respondent/Nodal officer in
consultation with GSTN, shall take
the note the grievance expressed by
the petitioner and forward the same to
grievance committee, with in two
week there after the grievance
committee, in turn, to take appropriate
decision in the matter within a period
of four weeks from the date, on which
,the representation is received in
proper form.
Nothing
recommend
ed
Not filing case. Not
placed in any ITGRC
earlier.
Agenda for 39th GSTCM Volume 2
Page 113 of 164

20 Madurai M/s Anbu
Automobiles,
Paramakudi.
WP(MD) No.
22011 of 2018
dated 25.10.2018
Unable to file TRAN-1.
Order: Common order dated
1.11.2018 passed by the Hon’ble
Madurai Bench of Madras High Court
directing that relying on the decision
dated 10.09.2018 taken in
WP(MD)No. 18532/2018 filed by
M/s Tara Exports, Thoothukudi,
disposed of both WP(MD)No. 22010
& 22011 of 2018 with a direction to
the respondent to to enable the
petitioner to file GST TRAN 1
electronically for claiming the
transitional credit and allow the input
credit after processing the same, if it
is otherwise eligible in law..
Nothing
recommend
ed
Not filing case. Not
placed in any ITGRC
earlier.
21 Madurai M/s Anbu Motors,
Ramanathapuram
WP(MD)No. 22010
of 2018 dated
24.10.2018
Unable to file TRAN-1.
Order: Common order dated
1.11.2018 passed by the Hon’ble
Madurai Bench of Madras High Court
directing that relying on the decision
dated 10.09.2018 taken in
WP(MD)No. 18532/2018 filed by
M/s Tara Exports, Thoothukudi,
disposed of both WP(MD)No. 22010
& 22011 of 2018 with a direction to
the respondent to enable the petitioner
to file GST TRAN 1 electronically for
claiming the transitional credit and
allow the input credit after processing
the same, if it is otherwise eligible in
law..
Nothing
recommend
ed
The case of ANBU
MOTORS
(33AAQFA5599J1Z
U) was presented in
Category-B3 of 4th
ITGRC and not
recommended.
GSTIN of this not
provided hence the
status can not be
ascertained.

Agenda for 39th GSTCM Volume 2
Page 114 of 164

Category B3: Cases of Technical error already presented before 1st to 7th ITGRC and also
recommended by ITGRC.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks
22 CGST
Tamilnadu
M/S. EAP
Infrastructure
India Pvt.Ltd
GSTIN
33AACCE8198G1
ZG
W.P.No.22941 OF
2018 dt.04.09.2018
Taxpayer attempted to upload the
details of stock holdings through json
file on 25.12.2017. However, the json
file could not be uploaded due to some
technical glitches in the GST portal.
Order: The petitioner was directed to
submit application in accordance with
Circular No.39/13/2018 dt.03.4.2018
with in period of two weeks from the
date of receipt of this order to their
respective assessing/jurisdictional
officer/GST officers. The assessing
officers are directed to forward the
application to the nodal officer with in
a period of one week.
taxpayer's
request may
be
considered
The case was
presented before 1st
ITGRC held on
22.06.2018 and
allowed.
23 CGST
Tamilnadu
M/S. Lear
Automotive India
Pvt.Ltd
GSTIN
33AAACL1978K1
ZC
W.P.NO.33193 OF
2017
Prior to GST, taxpayer was having
three Central Excise Registrations,
three Service Tax Registration and
one TNVAT Registration. While
migrating from TNVAT to GST, all
the registration details were not
captured due to an inadvertent
mistake.
Order: The petitioner was directed to
submit application in accordance with
Circular No.39/13/2018 dt.03.4.2018
with in period of two weeks from the
date of receipt of this order to their
respective assessing/jurisdictional
officer/GST officers. The assessing
officers are directed to forward the
application to the nodal officer with in
a period of one week.
taxpayer's
request may
be
considered
The case was
presented before 1st
ITGRC held on
22.06.2018 and
allowed.
Agenda for 39th GSTCM Volume 2
Page 115 of 164

24 CGST
Tamilnadu
M/s Surin
Automotive Pvt.
Ltd.
GSTIN
33AACCK8026D1
ZX
WPC 12986-
12987/2018-
DT.16.07.2018
The Taxpayer tried to submit Form
GST TRAN-1 electronically on
27.12.2017. but due to technical
glitches/problems on the common
portal, they were unable to submit
TRAN-1
Order: The petitioner was directed to
submit application in accordance with
Circular No.39/13/2018 dt.03.4.2018
with in period of two weeks from the
date of receipt of this order to their
respective assessing/jurisdictional
officer/GST officers. The assessing
officers are directed to forward the
application to the nodal officer with in
a period of one week.
taxpayer's
request may
be
considered
The case was
presented in
Category-A1, before
3rd ITGRC held on
26.10.2018 and
allowed.
25 CGST
Tamilnadu
M/S. Schwing
Stetter Pvt.Ltd
GSTIN :
33AADCS5069D1
ZJ W.P.No.3117
OF 2018
dt.16.07.2018
The Taxpayer tried to submit Form
GST TRAN-1 electronically on
26.12.2017. but due to technical
glitches/problems on the common
portal, they were unable to submit
TRAN-1.
Order: The petitioner was directed to
submit application in accordance with
Circular No.39/13/2018 dt.03.4.2018
with in period of two weeks from the
date of receipt of this order to their
respective assessing/jurisdictional
officer/GST officers. The assessing
officers are directed to forward the
application to the nodal officer with in
a period of one week.
taxpayer's
request may
be
considered
The case was
presented before 1st
ITGRC held on
22.06.2018 and
allowed.

Agenda for 39th GSTCM Volume 2
Page 116 of 164

Category C: Cases already presented before 1st to 7th ITGRC but not recommended by ITGRC and
now as per 32nd GST Council decision also forwarded without recommendation by jurisdictional tax
authority.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks
26 CGST,
Coimbatore
M/s.Precision
Rubber Industries
Pvt. Ltd.,
Coimbatore
[33AADCG0576B
1Z5], WP 11781 &
11784 of 2019 &
16.04.2019
Taxpayer claimed to have made
attempt to file TRAN-1 within the due
date 27.12.2017; However, no
material evidence has been produced;
HC has permitted the petitioner to
appear before the Commissioner,
Coimbatore on 24.04.2019 along
with the requests / objections filed till
date and all materials in support of the
objections that will be taken into
consideration.
It may not
be proper to
comment
on the
eligibility
criteria on
the aspect
of
Technical
Glitches.
Appears to be a case
where no TRAN-1
filed. No proper
recommendation and
No HC order
attached.
The case was
presented as per
circular 03.04.2018
in 4th ITGRC held on
12.02.2019 in 'B1'
category but not
allowed by the
Committee.
27 Tirunelveli
CGST
M/s.Tara Exports,
Tuticorin WP
18532/2018
The taxpayer has not uploaded the
TRAN-1 declaration before the
extended time limit upto 27.12.2017
in terms of Order NO.9/2017-GST
dated 15.11.2017.
Order: The Hon'ble Court disposed
of the WP with a direction to the
respondents either to open the portal,
so as to enable the petitioner to file the
TRAN-1 electronically for claiming
the transitional credit or accept the
manually filed TRAN-1 on
31.01.2018, or allow the input credits,
after processing the same, if it is
otherwise eligible in law.
Nothing
Recommen
ded
No proper
recommendation.
Appears to be a case
of TRAN-1 not filed
which is not covered
under 32nd GST
Council decision. The
case was presented in
category B1 of 6th
ITGRC held on
27.05.2018 and not
recommended.


Agenda for 39th GSTCM Volume 2
Page 117 of 164

Category D: Cases forwarded by jurisdictional tax authority without recommendation. Parameters as
recommended by 32nd GST Council decision not followed.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommen
dations of
Officer of
the State
/Centre
Remarks
28 Madurai M/s Myers Tyers
Supply (india) Ltd.
Madurai. WP(MD)
No. 18723 of 2018
dated 27.08.2018
Prayer to issue order that the words
“within 90 days of appointed day”
found under the main part of rule
117(1) of CGST Rule 2017 and
proviso there under, as ultra vires,
Section 140(3) and section 164 of the
CGST Act,2017or pass such further
or other orders as may deem fir and
proper in the circumstances of the
case and render justice.
Nothing
recommend
ed
NO High Court
Order, no
recommendation, no
error identified.


Agenda for 39th GSTCM Volume 2
Page 118 of 164

Annexure-6

Members (Centre)
• Sh. Sandeep M. Bhatnagar, Member (GST & Investigation), CBIC
• Sh. Sandeep Kumar, Chief Commissioner, CGST, Delhi
Member (GST Council Secretariat)
• Dr. Rajeev Ranjan, Special Secretary

Members (States) (through VC)
• Sh. Anurag Rastogi, Principal Secretary, Haryana
• Sh. Devi Prasad Karnam, CST, West Bengal

Special Invitees
• Sh. Yogendra Garg, Pr. Commissioner, GST Policy Wing, CBIC
• Sh. Sanjay Mangal, Commissioner, GST Policy Wing, CBIC
• Sh. Amitabh Kumar, Joint Secretary, GST Council
• Sh. Dheeraj Rastogi, Joint Secretary, GST Council
• Sh Prakash Kumar, CEO, GSTN
• Sh. Vashistha Chaudhary, SVP, GSTN
• Sh. K Gnanasekaran, Addl Commr, State Tax, Tamil Nadu (On behalf of ACS/Commr, State
Tax, Tamil Nadu)
• Sh. Vijay Singh, Addl E & T Commissioner
• Sh. Rajib Sengupta, Jt. Commr, State Tax, West Bengal
• Sh. Ridhidesh Rawal, Dy. Commissioner, State Tax (On behalf of Chief Commr, State Tax,
Gujarat)

Others
• Sh. Rajesh Agarwal, Director, GST Council
• Sh. Arjun Kumar Meena, Deputy Commissioner
• Sh. Rahul Raja, Under Secretary, GST Council
• Sh. S Mahesh Kumar, Under Secretary, GST Council
• Sh. Krishna Koundinya, Under Secretary, GST Council



Agenda for 39th GSTCM Volume 2
Page 119 of 164

Annexure Y

Minutes of the 10th Meeting of IT Grievance Redressal Committee (ITGRC) held on 22nd January
2020 at Kalpvriksha, North Block, New Delhi
----------------------------------------------------------------------------------------------------------------
The tenth meeting of the IT Grievance Redressal Committee (ITGRC) was held on 22nd January
2020 at Kalpvriksha in North Block, New Delhi. The list of officers who attended the meeting is
attached as Annexure-7.
Agenda Note 1: TRAN 1/TRAN 2 Cases as per Circular No. 39/13/2018-GST dated 3.04.2018:
2. Shri Vashistha Chaudhary, SVP (Services), GSTN appraised the committee about the
background that a total number of around 2655 cases of TRAN-1, 213 cases of TRAN-2 and 18 cases
of TRAN 3 had been received from the Nodal officers of Center and States till 31.03.2019 at GSTN,
excluding court cases on this issue. Further, a few cases, which were received from Nodal officer
containing all the relevant information but were not in the format prescribed in SOP (issued by GSTN
in April 2018), had also been included in the agenda. The details of cases discussed in previous meetings
were as follows.
Table 1: Details of TRAN 1/TRAN 2/TRAN 3 cases presented before IT-GRC through GSTN
S.
No.
Meeting
Reference
No. of TRAN-1/TRAN 2/TRAN-3
Cases received
Cases
examined
and
approved
Cases
examined
and not
approved
Cases
Withdrawn
by GSTN Nodal
Officer
Court
Cases Total
1 2 3 4 5 (3+4) 6 7 8
1
1st IT-GRC on
22.06.2018
161 9 170 122 48
NIL
2
2nd IT-GRC on
21.08.2018 262
78 340 213 127
NIL
3
3rd IT-GRC on
26.10.2018
252 16 268 70 198
NIL
4
4th IT-GRC on
12.02.2019
408 53 461 165 296
NIL
5
5th IT-GRC on
05.03.2019
203 21 224 80 144
NIL
6
6th IT-GRC on
27.05.2019
594 88 682 172 510
NIL
7
7th IT-GRC on
11.06.2019
236 13 249 98 151
NIL
8
8th IT-GRC on
13.08.2019
442 49 491 137 352
02
9
9th IT-GRC on
02.12.2019
256 23 279 72 194
13
10
10th IT-GRC on
22.01.2020
50* 13* 63* To be discussed
Sub Total 3227
Agenda for 39th GSTCM Volume 2
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*Note: In 10th ITGRC, 50 cases were being presented as received from Nodal officers while 13 cases
where received due to court cases. Out of it 18 cases were pertaining to TRAN-1 and 45 cases pertained
to TRAN-2 (Total 63 Cases)
3. The SVP (Services) explained that in previous nine ITGRC Meetings total 3164 TRAN-
1/TRAN-2 cases including cases where Writ Petitions were filed in various High Courts, were presented
to ITGRC. Out of which, a total of 1129 cases had been considered and approved up to 9th ITGRC.
Further, another 258 TRAN-2 cases had also been approved by ITGRC during these meetings. The
filing of TRAN 1/TRAN-2 in these approved cases had been enabled by GSTN at GST Common Portal
and the taxpayers had been informed through e-mails for filing their TRAN-1/TRAN-2 as the case may
be. Further, reminders had been given to the taxpayers who had either not attempted to file their TRAN-
1/TRAN-2 after being enabled or had merely submitted their applications after receiving
communication from GSTN. The taxpayers who had still not filed their TRAN-1/TRAN-2 even after
reminders, had been contacted telephonically by the officers of GSTN and guided appropriately for
filing the same.

4. Now, another 63 cases (18 cases of TRAN-1 and 45 cases of TRAN-2) had been examined
and presented before 10th ITGRC. Out of these, 51 cases were sent by the Nodal officers of Center/States
while 12 cases arose out of writ petitions filed before various High Courts/orders. Details of cases
presented before 10th ITGRC were as under:
(a) During 9th ITGRC meeting, the Committee had allowed GSTN to withdraw total 7 TRAN-1
cases i.e. 06 TRAN-1 cases of Subcategory A2 and A4 as mentioned in Annexure-1 and 1 court
case of subcategory A2 mentioned in Annexure 3. Since the description of subcategory A2 and
A4 seemed overlapping and it was not clear whether the Migration could not be done due to
taxpayer’s mistake or it was on account of having any technical difficulty. Thus ITGRC had
directed GSTN to present these cases in the next ITGRC Meeting. It was also observed by the
Committee that description of sub-category A2 mentioned in Annexure-2 of 9th ITGRC
Meeting Agenda was not clear as it appeared from description that TRAN-1 was filed and
TRAN-2 was also submitted with no errors. It was therefore not clear as to what was the error
in these TRAN-2 cases. Therefore, 9 withdrawn cases (7 cases of TRAN-1 and 2 cases of
TRAN-2) were being resubmitted by GSTN with correct description to the Committee for
consideration. The list of such cases was presented as Annexure-1 to the Agenda 1.

(b) Further, a total of remaining 42 fresh cases of TRAN-2, out of total 213 received from the
Nodal officers of States and Centre, had been processed at GSTN level after analyzing the
System logs and other details, were also presented before the Committee. The list of such cases
was presented as Annexure-2 to the Agenda 1.
(c) A total of 370 writ petitions had been received by GSTN pertaining to TRAN-1 till 19.12.2019.
However, in 9th ITGRC, GSTN had reported 379 cases including 10 case which were reported
from Nodal officer as well as by the Counsel/Legal department both i.e. duplicate cases; 10
cases which had no technical glitches but reported by mistake and 1 case in which analysis was
pending. Therefore, there were actually 358 court cases reported by GSTN up to 9th ITGRC.
Further, 12 new cases were reported in 10th ITGRC. Therefore, total 370 cases were mentioned
in the agenda of 10th ITGRC having 11 TRAN-1 Cases and 1 TRAN-2 case. These facts were
apprised to the ITGRC in following words:
Agenda for 39th GSTCM Volume 2
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“Few cases were received from Nodal officers and also from the Counsels/Legal Department
as Writ Petition. Therefore, the present figures of court cases and the figures furnished in the
proposal of different ITGRC may vary.”

Further, court cases pertaining to TRAN-1 are still being received at GSTN and are being
investigated and referred to ITGRC. Accordingly, 360 cases were presented till 9th ITGRC and
03 were withdrawn for re-examination.

In 10th ITGRC 12 court cases (11 cases of TRAN-1 and 1 case of TRAN-2) were analyzed by
GSTN and placed before the Committee for consideration. The list of such cases was presented
as Annexure-3 to the Agenda 1.
4.1 Accordingly, total 63 Cases of TRAN-1 and TRAN-2 (including court cases), as mentioned
below were presented before 10th ITGRC Meeting for decision:

i. 18 TRAN-1 cases (07 withdrawn cases of 9th ITGRC in Annexure-1 and 11 fresh court cases in
Annexure-3 of the Agenda)
ii. 45 cases of TRAN-2 (42 cases forwarded by Nodal Officers as per Annexure 2; 2 cases forwarded
by Nodal officers and represented after being withdrawn in 9th ITGRC as per Annexure-1 and 01
court case as per Annexure 3 of the Agenda.


Analysis of TRAN 1 Cases (18 Cases):

5. SVP, GSTN explained that it included 7 withdrawn cases of 9th ITGRC and 11 fresh court cases.
Therefore, out of 18 TRAN-1 cases 06 cases were from Nodal Officers and 12 cases through Writ
Petition.

5.1 The SVP, GSTN, thereafter elaborated the nature of technical issues experienced by the
taxpayers in filing TRAN-1 along with reasons, under Category ‘A’, which consisted of following 03
sub-categories out of the different sub-categories reported in earlier ITGRC and number of cases
pertaining to each subcategory were as per column 3 and 4 of Table 2 below:
➢ Sub Category A1: Cases where the taxpayer received the error as “Processed with
Error”: The taxpayer could not claim transitional credit as the line items requiring declarations
of earlier existing law registration numbers were processed with error since the taxpayer had
not added them in his registration details.
➢ Sub Category A2: Cases where TRAN-1 not attempted as per logs - due to Registration
issue and First return filed after TRAN-1 due date: The taxpayers were not able to file
TRAN-1 due to technical issues before 27.12.2017 and for which screenshots proofs were
submitted. These taxpayers had faced challenges and thereafter in filing of their first return and
in all such cases first return submission (GSTR-1/GSTR-3B) had been done post TRAN-1 last
date.
➢ Sub Category A4: Migration User- Cases where because of technical error on account of
validation, the taxpayer completed migration and got registration after 27.12.2017 and
hence couldn’t file TRAN-1: As per GST Portal, the taxpayer could not migrate due to
technical glitches (validation error). The taxpayer activated his Part A and also completed part
B but could not migrate because of a validation error.
Agenda for 39th GSTCM Volume 2
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5.2 The details of cases covered under these sub-categories of Category A are reflected in the
Annexure 1 (cases forwarded by Nodal Officers) and Annexure 2 (Court Cases) of the Minutes
with details as in Table 2 below.
Table-2: TRAN-1 Cases reported as having Technical Glitch
Sub
Categ
ory
Sub Category Description Cases received
from Nodal
Officers
Court Cases
1 2 3 4
A-1

Processed with Error

NIL 01 Cases (S. No 01 of
Annexure 2)
A-2 TRAN-1 not attempted as per logs - due to
Registration issue and First return filed after
TRAN-1 due date
04 (S. No 1 to 4 of
Annexure 1)
01 (S. No 02 of
Annexure 2)
A4 Migration User- because of technical error on
account of validation, the taxpayer completed
migration and got registration after 27.12.2017
and hence couldn’t file TRAN-1
02 (S. No 5 to 6 of
Annexure 1)
NIL
Sub Total 06 02

5.3 In above Subcategories, it was explained by the GSTN and observed by the Committee that
technical glitch was genuinely faced by the taxpayer while filling the TRAN-1 and therefore could be
considered for reopening the Portal in these cases.
6. Category ‘B’ had cases where no technical issues had been observed in TRAN 1 filing. The
SVP, GSTN further elaborated the cases under the Category ‘B’, where no technical issues were found
on the basis of GST system logs, as explained below in 03 sub-categories and number of cases
pertaining to each sub-category, mentioned in column 3 & 4 of Table 3 below: -
➢ Sub-Category B-1: Cases in which as per GST system log, there was no evidences of error
during submission/filing of TRAN1. As per GST system log, there were no evidences of error
during submission/filing of TRAN1.
➢ Sub-Category B-2: Cases in which TRAN 1 filing attempted for first time or revision was
attempted but no error/no valid error reported. As per GST System logs the taxpayer has
tried for saving/submitting for the first time or revision of TRAN 1 and there were no evidences
of system error in logs.
➢ Sub-Category B-5: Cases in which TRAN-1 was filed once but credit was not received.
The taxpayer had filed TRAN-1 once successfully but no credit had been posted in ledger and
no errors had been observed in system logs.

6.1 The details of TRAN-1 cases covered under these sub-categories of Category B are reflected in
the Annexure 2 (Court Cases) of these Minutes with details as in Table 3 below.
Agenda for 39th GSTCM Volume 2
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Table-3: TRAN-1 Cases Reported as Not having Technical Glitch
Sub
Catego
ry
Sub Category Description Cases received from
Nodal Officers
Writ Petition Cases
1 2 3 4
B-1 As per GST system log, there are no
evidences of error during submission/filing
of TRAN 1.
NIL 05 (S. No 03 to 07 of
Annexure 2)
B-2 TRAN-1 filing attempted for first time or
revision and No error /No valid error
reported.
NIL 01 (S. No 8 of
Annexure 2)
B-5 Cases in which TRAN-1 was filed once but
credit was not received.
NIL 04 (S. No 09 to 12 of
Annexure 2)
Sub Total NIL 10

6.2. After going through the above cases, it was observed by the Committee that in case of cases at
Category B, no technical issues were found as reported by SVP, GSTN on the basis of GST system
logs. As, no technical issues had been observed in TRAN 1 filing in above Category B cases, Committee
decided not to allow reopening of the Portal for these cases, in line with the decision in earlier nine
ITGRC Meetings.
7. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 08 cases of TRAN-1 pertaining to
subcategories A1, A2 and A4 of technical glitch as per Annexure, indicated in column No. 3 and 4 of
Table 2 above were considered for allowing filing of TRAN 1/TRAN 2 in accordance with the Law
Committee recommendations regarding consequential benefits related to filing of TRAN 1 and TRAN
2.
7.1 The Committee also decided to recommend not to allow remaining 10 cases of TRAN-1
pertaining to Category ‘B’ as per Annexures indicated in column No. 3 and 4 of Table-3 above in
absence of any evidence of technical/system errors in these cases.

Analysis of TRAN-2 Cases (45 Cases):
8. SVP, GSTN explained that it included 2 withdrawn cases of 9th ITGRC and 43 fresh cases. Out
of these 45 TRAN-2 cases, 44 cases were from Nodal Officers and 01 case through Writ Petition.
8.1 The SVP, GSTN elaborated nature of technical issues experienced by the taxpayers in filing
TRAN-2 along with reasons, under Category ‘A’, which consisted of following 02 sub-categories and
number of cases pertaining to each subcategory were as per column 3 and 4 of Table 4 below. The
details of cases covered under these sub-categories of Category A is reflected in the Annexure 3 of the
Minutes with details as in Table 4 below.
Agenda for 39th GSTCM Volume 2
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Table-4: TRAN-2 Cases reported as having Technical Glitch
Sub
Catego
ry
Sub Category Description From Nodal
Officers
Court
Cases
1 2 3 4
A2 TRAN-1 filed and TRAN-2 in submitted status with no
errors - to be enabled for filing. As per Logs taxpayer had
filed TRAN-1 successfully and also submitted TRAN-2.
DSC/EVC needs to be affix.
02 (S. No 1 to 2
of Annexure 3)
NIL
A3 TRAN-1 approved cases and enabled for filing of TRAN-
2. TRAN-1 Approved cases and enabled for filing of
TRAN-2.
01 (S. No 3 of
Annexure 3)
NIL
Sub Total 03 NIL

8.2 In above Sub-categories, it was observed by the Committee that cases at Subcategories A2 and
A3 appeared to be having technical glitch which was genuinely faced by taxpayers while filling the
TRAN-2 and so they could be considered for reopening the Portal.
9. In Category ‘B’ cases, no technical issues had been observed in TRAN- 2 filing. The SVP,
GSTN further elaborated the cases under the Category ‘B’, that no technical issues were found in the
GST system logs, as explained below in 05 sub-categories and number of cases pertaining to each sub-
category has been mentioned in column 3 & 4 of Table 5 below.
Further, the details of TRAN-2 cases covered under these sub-categories of Category B is reflected in
the Annexure 3 and Annexure 4 of the Minutes with details as in Table 5 below:
Table-5: TRAN-2 Cases reported as Not having Technical Glitch
Sub
Category
Sub Category Description From Nodal
Officers
Court
Cases
1 2 3 4
B3 TRAN-1 filed and TRAN-2 successfully filed with no errors. As
per Logs TRAN-1 filed successfully. As per logs taxpayer filed
TRAN-2 without any error
01 (S. No 04 of
Annexure 3)
NIL
B5 TRAN-1 filed and TRAN-2 not attempted and no error in logs.
As per Logs TRAN-1 filed successfully. User neither submitted nor
filed the form. No logs of save as well. ITC ledger also not updated
09 (S. No 05 to
13 of
Annexure 3)
NIL
B7 TRAN-1 filed with no declaration in table 7(a) section 7b or 7(d)
hence not eligible for TRAN-2. As per Logs, TRAN-1 Filed with
11 (S. No 14 to
24 of
Annexure 3)
NIL
Agenda for 39th GSTCM Volume 2
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No Declaration in Table 7(a) Section 7B or Table 7(d). Hence Not
Eligible For TRAN-2.
B9 TRAN-1 filed, eligible for TRAN-2. TRAN-2 fresh/revision
attempted with no error or no valid error reported. As per Logs
TRAN-1 filed successfully. Eligible for TRAN-2. TRAN-2
fresh/revision attempted with no error or no valid error reported in
logs.
NIL 01 (S. No 1
of
Annexure
4)
B10 TRAN-1 not filed hence not eligible for filing TRAN-2. As per
logs Tran-1 attempted, error reported related to invalid registration
gets corrected and save attempt got processed but filing not
attempted of TRAN-1. As taxpayer has not filed TRAN-1 hence,
not eligible for filing of TRAN-2
20 (S. No 25 to
44 of
Annexure 3)
NIL
Sub Total 41 01

9.1 After going through the above cases, it was observed by the Committee that cases at Category
B were those where no technical issues were found on the basis of GST system logs. As, no technical
issues had been observed in TRAN-2 filing in above Category B cases, Committee decided to not to
allow reopening of the Portal for these cases.
10. Considering the above submissions, Committee discussed the cases of technical glitch of
Category ‘A’ and after further elaboration and discussion, 03 cases of TRAN-2 pertaining to Sub-
categories A2 and A3 of technical glitch as indicated in column No. 3 and 4 of Table 4 above were
considered for allowing filing of TRAN 2 in accordance with the Law Committee recommendations
regarding consequential benefits related to filing of TRAN 2.
10.2 The Committee had also decided not to allow remaining 42 cases of TRAN-2 pertaining to
Category ‘B’(Sub-categories B3, B5, B7, B9, B10) as per Annexures indicated in column No. 3 and 4
of Table-5 above in absence of any evidence of technical/system errors in these cases.

11. Decision on Agenda 1:
11.1 TRAN-1:
i. Considering the above submissions, Committee discussed the cases of technical glitch of Category
‘A’ and after further elaboration and discussion, 08 cases of TRAN-1 pertaining Subcategories A1,
A2 and A4 of technical glitch as per Annexures indicated in column No. 3 and 4 of Table 2 above
were considered for allowing filing of TRAN 1/TRAN 2 in accordance with the Law Committee
recommendations regarding consequential benefits related to filing of TRAN 1 and TRAN 2.
ii. The Committee also decided not to allow remaining 10 cases of TRAN-1 pertaining to Category
‘B’ (Subcategories B1, B2 and B5) as per Annexures indicated in column No. 3 and 4 of Table-3
above in absence of any evidence of technical/system errors in these cases, as was decided in
similar cases in past nine IT-GRC meetings.

Agenda for 39th GSTCM Volume 2
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11.2 TRAN-2
i. Considering the above submissions, Committee discussed the cases of technical glitch of Category
‘A’ and after further elaboration and discussion, 03 cases of TRAN-2 pertaining to Subcategories
A2 and A3 of technical glitch as per Annexures indicated in column No. 3 and 4 of Table 4 above
were considered for allowing filing of TRAN 2 in accordance with the Law Committee
recommendations regarding consequential benefits related to filing of TRAN 2.
ii. The Committee also decided not to allow remaining 42 cases of TRAN-2 pertaining to Category
‘B’ (Sub-categories B3, B5, B7, B9, B10) as per Annexures indicated in column No. 3 and 4 of
Table-5 above in absence of any evidence of technical/system errors in these cases, as was decided
in similar cases in past nine IT-GRC meetings.
12. Other Issues:
12.1 SVP, GSTN further specifically pointed out that 22 cases of TRAN-1 and 05 cases of TRAN-
2 (Total 27 cases as per Annexure-5 to the instant minutes) received from the Nodal officer before 31st
March, 2019 were not processed due to certain issues involved in them. These cases either had apparent
non-technical issues and were therefore returned to the concerned Nodal officers or were received with
Invalid GSTIN / without following SOP etc. It was requested by the GSTN that concerned Nodal
officers may provide the missing information but so far, no reply had been received on these cases.
Committee took note of above cases and expressed that these cases may be re-submitted before the
committee if received with proper details through Nodal officers. It was also informed by SVP, GSTN
to the committee that the TRAN 1 and TRAN 2 cases received up to 31st March 2019 by the GSTN
Nodal Officer had been disposed of now. The court cases however, continued to be received.
12.2 Further, it was also appraised by the SVP, GSTN that the Nodal Officers are still sending
representations of the taxpayers for enabling TRAN-1 on account of technical glitches in view of
Circular No. 39/13/2018 dated 3rd April, 2018 and Notification No. 48/2018-CT dated 10th Sept. 2018
read with Notification No. 49/2019-CT dated 19th Oct. 2019 and almost 100 cases had been received.
It was proposed by SVP, GSTN that these cases may be returned back to the nodal officers since those
were received after 31st March, 2019. EVP GSTN informed that within the framework of Circular No.
39/13/2018 dated 03.04.2018 through which the IT Grievance Redressal mechanism had been set up,
GSTN had issued a Standard Operating Procedure (SOP) in April 2018 wherein the modalities were
laid down. It was expected that the cases would be examined and where prima facie it appeared to be a
technical issue, then only it would be sent to GSTN. If the issue/problem was due to some
legal/procedural reason the same may not be sent. However, the process was not followed in a number
of cases and tax officers merely forwarded the applications of taxpayers. GSTN had presented the
technical analysis of the Cases received from the Nodal officers’ up to 31st March 2019. Cases received
after that date have not been analysed and examined by GSTN. As regard the Court cases, after technical
analysis they are put up before the ITGRC as per the directions from the Courts. The list of approved
and not approved cases of the 9 ITGRC meetings have been shared with the tax administrations of
Center and State. On this issue committee discussed the relevant provisions and informed GSTN that
these cases shall not be returned back and may be examined by GSTN and suitably placed before the
next ITGRC meeting. EVP Services informed that many of these cases received by GSTN were in the
form of physical copies and not as per the SOP of April 2018 and it will be difficult to compile and
analyse the same at this juncture. Accordingly, the Nodal officers from Center and States may be
directed to send the TRAN1 cases of those taxpayers who may have faced a technical issue during filing
after ascertaining as follows:
Agenda for 39th GSTCM Volume 2
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a. The case of the taxpayer should be examined as to whether there appeared to be a demonstrable
technical glitch due to which filing could not be completed on the common portal. Such an
application should be accompanied with the evidences, which may identify the bona fide attempts
on the part of the taxpayer for attempting to file TRAN 1 on or before 27.12.2017
b. The Nodal officer should be authorized by the CCT/Chief Commissioner/Pr. Commissioner of
the concerned State or Zone to send the recommended GSTINs to GSTN by mail. The Nodal officers
should compile the details in the prescribed format and send the collated cases through mail to a
dedicated email of GSTN as soon as possible but not later than 15th February 2020 so that the same
can be put up before the ITGRC.
The Committee agreed and directed that GSTN would send a draft note to the GST Policy wing
and GSTC Secretariat on process to be followed so that the tax officers of Center and State can
accordingly be instructed to send all the pending cases of technical glitches of TRAN 1 to GSTN in a
systematic manner for examination and presenting before the next ITGRC.

Agenda 2: Cases Received as per Extended Scope of ITGRC in view of 32nd GST Council Decision.
13. Shri Dheeraj Rastogi, Joint Secretary, GST Council informed to the Committee that in 32nd
GST Council Meeting, agenda item 8 pertained to allowing IT-Grievance Redressal Committee
(ITGRC) to consider non-technical issues (errors apparent on the face of record). After discussion in
the GST Council, it was agreed to expand the mandate of the ITGRC and that “the ITGRC shall consider
on merits, the specific cases as covered under the orders of the Hon’ble High Court of Madras and by
any other Hon’ble High Court as sent by any State or Central authority, to the GST Council Secretariat
by 31st January, 2019. The ITGRC shall consider the listed cases (as informed by States / Centre before
31st January, 2019) where the following conditions were satisfied:
v. TRAN-1, including revision thereof, has been filed on or before 27th December, 2017 and there
is an error apparent on the face of the record (such cases of error apparent on the face of the
record will not cover instances where the there is a mistake like wrong entry of an amount e.g.
Rs.10,000/- entered for Rs.1,00,000/-); and
vi. The case has been recommended to the ITGRC through GSTN by the concerned jurisdictional
Commissioner or an officer authorised by him in this behalf (in case of credit of Central
taxes/duties, by the Central authorities and in the case of credit of State taxes, the State
authorities, notwithstanding the fact that the taxpayer is allotted to the Central or the State
authority).”
14. Accordingly, an OM dated 19.02.2019 was written to all States and CBIC to forward list of
eligible cases. Thereafter, GST Council Secretariat had received a total of 179 cases vis a vis extended
scope of ITGRC in 32nd GST Council Meeting and analysis of all these cases was presented in 6th
ITGRC and no case was allowed by the Committee. Further, another 22 cases received as per extended
scope of ITGRC were analysed and presented in 8th ITGRC wherein, Committee agreed to defer the
agenda item covering these cases. Thereafter, few more cases were received as per extended scope of
ITGRC and total 32 cases received as per extended scope of ITGRC (including the 22 cases of 8th
ITGRC deferred by ITGRC) were analysed and presented in 9th ITGRC. After going through the facts
of these 32 cases, 12 cases were allowed by the 9th ITGRC to rectify the non-technical glitch in TRAN-
1/TRAN-2.
Agenda for 39th GSTCM Volume 2
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15. In Agenda 2 of the Meeting, another 04 cases received as per extended scope of ITGRC were
placed before ITGRC in Annexure 6. The analysis of these cases on the basis of 32nd GST Council
decision and mechanism specified in 8th ITGRC was presented before the committee as under:
Table-6: Analysis of Cases Received as per Extended Scope of ITGRC
Category Description
No of
Cases
A
Sub
Category
Cases reported on account of Non-Technical error
A1 Recommended by jurisdictional tax authority with HC Order and having scenario
where the credit was entered in wrong column.
(i) In 01 cases, uploaded the details in table 7(d) instead of uploading in table 7(a)
(ii) In 01 case, uploaded the details in table 7(d) instead of uploading in table 7(b)
02
A2 Recommended by jurisdictional tax authority with HC Order but having scenario
other than wrong column entry
• The last digit of the Cenvat Balance was missed resulting in short availment
of ITC
01
A4 Cases of non-technical error recommended by jurisdictional tax authority but
Hon’ble High Court order details neither mentioned nor attached/No final order yet.
• Filed TRAN-1 but by mistake uploaded the details in table 7(d) instead of
uploading in the table 7(b)
01
Total 04
16. In view of extended scope of ITGRC in 32nd GST Council Meeting and subsequently the
mechanism/process approved in 8th ITGRC above 04 Cases as per Annexure 6 of the instant Minutes
were discussed in the Committee. It was observed that ‘Category A’ involved cases reported on account
of non-technical error which were received from jurisdictional officers of States/Centre. In the above
table based on the availability of recommendation of jurisdictional tax authority, Hon’ble High Court
Order and error type, Category-A was also divided in three subcategories as A1, A2 and A4.
17. Considering the above submissions, Committee had further discussed subcategory wise cases
in view of the mechanism/process approved in 8th ITGRC as under.
Category A1 (02 Cases)
17.1 In subcategory A1, cases were having error of entry of credit in wrong column of TRAN-1.
They had filed TRAN-1 by due date i.e. 27.12.2017, having Hon’ble High Court orders and
recommendation from jurisdictional officers also. Therefore, they seemed to be squarely covered by the
criteria specified in 8th ITGRC. It was further, observed that out of three subcategories of category A of
table 6 this subcategory i.e. subcategory A1 fulfilled the criteria as approved in 32nd GST Council and
subsequently the mechanism/process approved in 8th ITGRC as in these cases the error was apparent
from records. Hence, these cases were covered by extended scope of ITGRC in 32nd GST Council
decision and subsequent mechanism/process approved in 8th ITGRC.


Agenda for 39th GSTCM Volume 2
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Category A2 (01 Case)
17.2 Subcategory A2 had a case where the error was reported as the TRAN-1 was filed but last digit
of the Cenvat balance was not carried forward in the GST credit balance resulting in short transfer of
ITC to the taxpayer. Case details were as under.
M/s Tech Force Composites Pvt. Ltd. GSTIN 30AAACT6376M1Z4, W.P. No. 78/2019:
17.2.1 As informed by the jurisdictional officer, after uploading the details in TRAN-1, the assessee
noticed that the last digit of Cenvat Balance i.e. ‘4’ of Rs. 1,34,84,304 was missed and therefore instead
of availing the amount of Rs. 1,34,84,304 they finally got the ITC of Rs. 13,48,430 in TRAN-1 which
resulted in short transfer of ITC of Rs. 1,21,35,874. In the instant case the Hon’ble High Court in its
order dated 27.09.2019 held that “the interest of justice will be served if the petitioner is granted liberty
to make representation to the CBIC and the CBIC is directed to consider such representation for
verification and bona fide of the claim made by the petitioner, no doubt in accordance with law and on
its own merits, such representation will be made to the CBIC within 15 days from today. If such
representation is indeed made, the CBIC is directed to consider such representation in the aforesaid
terms and dispose of the same as expeditiously as possible and in any case within a period of two months
from the date the same is received by the CBIC”.
17.2.2 It emerged during the discussion that the above directions of High Court were for CBIC and
the views/decision of CBIC was not available so far. Further, the above-mentioned submission at para
17.2.1 could not be verified and ascertained by the committee itself as the filed TRAN-1 form was not
available before the committee. After the discussion and deliberations, committee observed that
verification report from Commissioner, CGST containing complete details of case such that the amount
of Rs. 1,34,84,304, which taxpayer wanted to avail as ITC, was mentioned or not somewhere in TRAN-
1 needed to be checked. Therefore, the committee recommended to send back the case to the
jurisdictional Commissionerate, CBIC and GSTN to ascertain the above fact and re-submit before
ITGRC along with the views of CBIC. Accordingly, the decision on the case was deferred by the
committee and the case was recommended to be sent back to jurisdictional Commissionerate, CBIC
and GSTN for proper details expeditiously in view of the time limit set by the Hon’ble Court, which if
violated might lead to contempt proceedings.
17.2.3 Further, it was also suggested by the committee that other cases of similar nature may also be
sent back to jurisdictional Commissionerates/States for proper details and similar verifications as
discussed at para 17.2.2 above.
Category A4 (01 Case)
17.3 The case mentioned at subcategory A4 were recommended by the jurisdictional tax authority
but as no details of any court case was mentioned or attached with the recommendation, it does not
fulfil the criteria as approved in 32nd GST Council. Committee had observed that as per the decision of
Council for non-technical cases High Court order was an essential condition to be fulfilled and in
absence of High Court order in the present case Committee cannot recommend the case. Accordingly,
the decision on the case deferred by the committee and the case was recommended to send back to the
jurisdictional Commissionerate/State for proper and full details of High Court order as required under
the extended scope of ITGRC or take any other remedial steps as per law.

Agenda for 39th GSTCM Volume 2
Page 130 of 164

18. Decision for Agenda 2
i. Allowed reopening of portal for 02 cases of Subcategory A1 (Annexure 6) as per Extended Scope
of ITGRC decided in 32nd GST Council Meeting and subsequently the mechanism/process approved
in 8th ITGRC.
ii. Deferred the 01 case of Subcategory A2 (Annexure 6) and the case was recommended to send back
to jurisdictional Commissionerate, CBIC and GSTN for proper and full details and re-submit along
with the views of CBIC. , it was also suggested by the committee that other cases of similar nature
may also be sent back to jurisdictional Commissionerates/States for proper details and similar
verifications as discussed at para 17.2.2 above.
vii. Deferred the 01 case of Subcategory A4 (Annexure 6) and the case was recommended to send back
to the jurisdictional Commissionerate/State for proper and full details of High Court order as
required under the extended scope of ITGRC or take any other remedial steps as per law.



Agenda for 39th GSTCM Volume 2
Page 131 of 164

Annexure 1
TRAN-1: Cases Received from Nodal Officer/resubmitted as per the direction of 9th ITGRC

(I) TRAN-1 : Cases resubmitted as per the direction of 9th ITGRC


Category Detailed Description Count of
Taxpayer
(Nodal Cases)
A2 TRAN-1 not
attempted as
per logs - Due
to
Registration
issue and first
Return filed
after TRAN1
due date.
Description reported in 9th ITGRC: The taxpayers
were not able to migrate due to technical issues. These
taxpayers have applied afresh after 27th Dec 2017 and
were allotted the same GSTIN as their Provisional ID
later.

Correct Description : The taxpayers were not able to file
TRAN-1 due to technical issues and for which
screenshots proofs have been submitted. These taxpayers
have faced challenges in filing of their first return and all
first return submission (GSTR-1/GSTR-3B) has been
done post TRAN-1 last date.
04
A4 Migration
User - Got
New
Registration
post TRAN-1
end date.

Description reported in 9th ITGRC : The taxpayer is a
migrated taxpayer and has taken registration on 29th
September 2018 with effective date of registration as 1st
July 2017.

Correct Description: The taxpayer is a migrated
taxpayer and has taken registration post TRAN-1 end
date with effective date of registration as 1st July 2017.
02
Total 06

Agenda for 39th GSTCM Volume 2
Page 132 of 164


Category A2: TRAN-1 not attempted as per logs - Due to Registration issue and first Return filed
after TRAN1 due date : The taxpayers were not able to file TRAN-1 due to technical issues and for
which screenshots proof has been submitted. These taxpayers have faced challenges in filing of their
first return and all first return submission (GSTR-1/GSTR-3B) has been done post TRAN-1 last date.
S.
No
.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
1 07AAICM78
66P2ZG
MIX INDIA
BULK
HANDLING
PRIVATE
LIMITED
Delhi Private
Limited
Company
Superintendent,
Tech
GST-Okhla,
Delhi-South
Centr
e
gstokhla@gma
il.com
2 07AABCI83
25A1ZZ
M/s IRVINE
TECHNOLO
GIES PVT
LTD
Delhi Private
Limited
Company
Sh. Nagendra
Yadav, Joint
Commissioner,
Central
Government,
New Delhi
Centr
e
ccu-
cexdel@nic.in
3 24AFIPM36
63A1ZS
INDRANIBE
N
PANIRBHAI
MUDALIAR
(PANIR
POLY
PACK)
Gujarat Proprieto
rship
S. M. Saxena,
Joint
Commissioner,
State
Government,
Ahmedabad,
Gujarat
State jcegov-
ct@gujarat.gov
.in
4 33AADCR8
355H1Z9
EXXARO
TILES
PRIVATE
LIMITED
Tamil
Nadu
Private
Limited
Company
K. M.
Ravichandaran,
Commissioner,
CGST & Central
Excise
Commissionerat
e, Chennai South
Centr
e
comp.chennain
orth@gov.in




Agenda for 39th GSTCM Volume 2
Page 133 of 164


Category A4 : Migration User – ‘Got New Registration post TRAN-1 end date’ : The taxpayer is
a migrated taxpayer and has taken registration post TRAN-1 end date with effective date of registration
as 1st July 2017.

S.
N
o.
GSTIN/
Provisional
Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
5 13AAACI93
21H1ZV
INFINITY
INFOMATIC
PRIVATE
LIMITED
Nagalan
d
Private
Limited
Company
Wochamo
Odyuo, Addl.
Commissioner
of Taxes,
Dimapur,
Nagaland
State wochamo@red
iffmail.com
6 33AABCH50
55Q1ZB
HEURTEY
PETROCHEM
INDIA
PRIVATE
LIMITED
Tamil
Nadu
Private
Limited
Company
S. Ramasamy,
Joint
Commissioner
of State Tax,
Tamilnadu
State jccs@ctd.tn.go
v.in













Agenda for 39th GSTCM Volume 2
Page 134 of 164

Annexure 2
TRAN-1: Writ Petition Cases

Category No. Category Detailed Description Count of
Taxpayer
Category-A1 Processed with error Cases where the taxpayer received the error
‘Processed with error.' As per GST system logs the
taxpayer has attempted to submit first time/fresh or
revise TRAN1 but could not file because of errors.
11
01
Category-A2
(case
resubmitted
as per the
direction of 9th
ITGRC)
TRAN-1 not attempted as per
logs - Due to Registration issue
and first Return filed after
TRAN1 due date.
Description reported in 9th ITGRC: The
taxpayers were not able to migrate due to technical
issues. These taxpayers have applied afresh after
27th Dec 2017 and were allotted the same GSTIN
as their Provisional ID later.

Correct Description: The taxpayers were not able
to file TRAN-1 due to technical issues and for
which screenshots proofs have been submitted.
These taxpayers have faced challenges in filing of
their first return and all first return submission
(GSTR-1/GSTR-3B) has been done post TRAN-1
last date.
0101 010
Category-B1 As per GST system log, there
are no evidences of error or
submission/filing of TRAN-1.
As per logs User neither submitted nor filed the
form. No logs of save as well. ITC ledger also not
updated. No Valid Error reported.
05
Category -B2

TRAN-1 filing attempted for
first time or revision was
attempted but no error /no valid
error reported
TRAN-1 Fresh/Revision Attempted with No error
or No valid error reported

01
Category-B5 TRAN-1 filed but credit not
received.

As per log user first time opened form and filed.
ARN generated. ITC ledger is not updated. No
error log captured.

04
Total
12


Agenda for 39th GSTCM Volume 2
Page 135 of 164

Category A1: Cases where the taxpayer received the error ‘Processed with error.' As per GST
system logs the taxpayer has attempted to submit first time/fresh or revise TRAN1 but could not
file because of errors.

1. W.P. 1111 / 2019 M/S Tolexo Online Private Limited V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
09AAFCT0145B1ZS

Uttar Pradesh Private Limited Company

Issue: The petitioner attempted to file the form GST TRAN-1 on 22.12.2017 which is within the time
period as prescribed in rule 117. However, the same could not be filed as the system was throwing an
error. Even after numerous attempts to file the form GST TRAN-1, the form could not be filed owing
to the system error.
Status: GSTN is not party in this matter. GSTN has issued comments apprising the status of the case
in terms of CBIC’s circular dated 03.04.2018 to the Asst. commissioner, CGST (Noida) vide letter dated
27.11.2019. The Hon’ble High Court vide order dated 19.10.2019 pleased to disposed off the writ
petition directing the respondents to pass orders on the application of the petitioner which was pending
consideration in accordance with law within a period of one month from date of order.

Category A2: TRAN-1 not attempted as per logs - Due to Registration issue and first Return filed
after TRAN1 due date : The case was resubmitted as per the direction of 9th ITGRC. The taxpayers
were not able to file TRAN-1 due to technical issues and for which screenshots proof has been
submitted. These taxpayers have faced challenges in filing of their first return and all first return
submission (GSTR-1/GSTR-3B) has been done post TRAN-1 last date.
2. ANUPAM MOTORS :
Description reported in 9th ITGRC: The taxpayers were not able to migrate due to technical issues.
These taxpayers have applied afresh after 27th Dec 2017 and were allotted the same GSTIN as their
Provisional ID later.

Correct Description : The taxpayers were not able to file TRAN-1 due to technical issues and for
which screenshots proofs have been submitted. These taxpayers have faced challenges in filing of their
first return and all first return submission (GSTR-1/GSTR-3B) has been done post TRAN-1 last date.

08AAUFA11
45N1Z1
ANUPAM
MOTORS
Rajasthan Partnership Court Case Centre


Agenda for 39th GSTCM Volume 2
Page 136 of 164

Category-B1:- As per GST system log, there are no evidences of error or submission/filing of
TRAN-1
3. W.P. 3298 / 2019 M/s Lantech Pharmaceuticals Limited V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
37AABCL4746J1Z9


Andhra Pradesh

Public Limited Company

Issue: The petitioner made an attempt for online submission of form GST TRAN-1 related to carry
forward Input Tax Credit (ITC) of Rs.4,01,14,416/- but petitioner could not file the TRAN-1 due to
technical error.
Status: GSTN is not party in this matter. GSTN has issued comments apprising the status of the case
to the Visakhapatnam Central GST Commissionerate vide e- mail dated 06.09.2019. The Hon’ble High
Court vide order dated 13.08.2019 disposed off the writ petition directing the respondents to either open
the portal for filing of TRAN-1 electronically or in alternative accept the FORM GST TRAN-1
presented manually on or before 31.08.2019.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. The Petitioner replied vide e-mail
dated 09.12.2019 whereby he forwarded a letter dated 07.12.2019 along with copy of High Court’s
order dated 13.08.2019.The petitioner has stated that he tried to file TRAN-1, but their efforts were
futile for the reason which they don’t know and he was unable to connect to the network due to technical
and other reasons. Petitioner has not attached any screen shot evidencing the error.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not faced
technical issues in filing the TRAN-1.

Agenda for 39th GSTCM Volume 2
Page 137 of 164


4. W.P. 12114 / 2018 M/s Inabata India Private Limited V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
06AABCI9109G1ZP

Haryana Private Ltd. Company

Issue: The petitioner claimed that he repeatedly tried to upload its claim of credit of inputs in GST
TRAN-1 on GST portal www.gst.gov.in. However, the applicant was not able to furnish TRAN-1 on
account of the failure of the system to accept the information on the common portal.
Status: GSTN has only received incomplete copy of writ petition on 03.09.2019 along with copy of
order dated 21.05.2018 from Nodal Officer, IT Issue (Haryana). GSTN vide e-mail dated 17.09.2019
issued comments apprising the status of case to the CGST Commissionerate (Haryana) in terms of
CBIC’s Circular no. 39/13/2018 dated 03.04.2018. The matter has been disposed of vide order dated
21.05.2018 in terms of Order passed in CWP No.4180 of 2018 wherein the Hon’ble High Court please
to direct the ITGRC to decide the matter in terms of clause 5.4 of CBIC’s Circular no. 39/13/2018 dated
03.04.2018 by passing a speaking order and after affording an opportunity of hearing to the petitioner
within a period of four week from the date of receipt of representation.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. However, no response received from
the petitioner.
5. W.P. 17236 / 2019 M/s Print Sales Company V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
19ABKPV4571C1ZB

West Bengal Proprietorship

Issue: The Petitioner claimed that he attempted to furnish the statement in FORM GST TRAN-1 within
the stipulated period of 27th December 2017 in electronic interface ledger, but could not do so as the
GST Portal was not opening.
Status: GSTN is not a party in this matter. No effective order is available on High court’s website.
GSTN vide e-mail dated 19.12.2019 issued comments apprising the status of case to the CGST
Agenda for 39th GSTCM Volume 2
Page 138 of 164

Commissionerate, Kolkata North Commissionerate in terms of CBIC’s Circular no. 39/13/2018 dated
03.04.2018.The matter is pending and next date of hearing is not updated on Court’s website.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. However, no response received from
the petitioner.
6. WP No. 15221 of 2019 M/s Jodhpur Truck Pvt. Ltd.
GSTIN/ Provisional id State Constitution of Business
08AACCJ0816C1Z3



Rajasthan Private Limited Company

Issue: The petitioner tried to carry forward the unavailed CENVAT credit by submitting declaration
FORM GST TRAN-1 before last date but due to system error the required FORM GST TRAN-1 could
not be uploaded.
Status: GSTN is a party in this matter. GSTN has issued comments apprising the status of the case to
the Central GST Commissionerate, Jodhpur vide e- mail dated 19.11.2019. The Hon’ble High Court
vide order dated 01.11.2019 disposed off the writ petition directing the respondents to permit the
petitioner to submit offline GST TRAN-1 subject to furnishing proof that he had tried to upload GST
TRAN-1 FORM prior to 27.12.2017 and such attempt failed due to technical fault/glitch on the common
portal. The petitioner was directed to submit an application before the GST Council to issue requisite
certificate/recommendation along with requisite particulars and evidence. If the petitioner’s assertions
is found correct the GST Council shall issue the recommendation/certificate to the petitioner within a
period of three weeks from placement of such application.
Further investigation by GSTN: An email dated 03.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
Agenda for 39th GSTCM Volume 2
Page 139 of 164

The Petitioner was requested to provide the details by 05.12.2019. The Petitioner replied vide e-mail
dated 04.12.2019 whereby he forwarded a letter dated 04.12.2019 addressed to GSTN stating therein
that he wanted to file TRAN-1 but the site was not working and he also tried many times. On trying to
login the petitioner was automatically logged out. He further stated that he could not submit the screen
shot as there was no specific error.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not faced
technical issues in filing the TRAN-1.
7. W.P. 17234 / 2019 M/s Rishi Graphics P. Ltd V/s UOI & Others
GSTIN/ Provisional id State Constitution of Business
19AABCR1977M1ZS

West Bengal Private Limited Company

Issue: Petitioner attempted to furnish the statement in FORM GST TRAN-1 within the stipulated
period of 27th December 2017 in electronic interface ledger, but could not do so as the GST Portal was
not opening.
Status: GSTN is not a party in this matter. GSTN has issued comments apprising the status of the case
to the Central GST & CX Kolkata North Commissionerate vide e- mail dated 19.11.2019. No effective
order is available on High court’s website. Matter is pending and next date of hearing is not available
on High Court’s website.
Further investigation by GSTN: An email dated 19.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 21.12.2019 however, no response received from
the tax payer.







Agenda for 39th GSTCM Volume 2
Page 140 of 164

Category B2: Tran-1 Fresh/Revision Attempted with No error or No valid error reported
8. W.P. 9729 / 2018 M/s Vinay Fabrics Private Limited V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
08AAACV2304D1ZW

Rajasthan Private Limited Company


Issue: The petitioner tried to carry forward the unavailed CENVAT credit by submitting declaration
for GST TRAN-1 but due to technical glitches/system error for reasons beyond the control of the
petitioner, the required form GST TRAN-1 could not be uploaded
Status: GSTN is not a party in this matter. The Hon’ble High Court vide order dated 13.07.2018 pleased
to direct the respondents to provisionally entertain the GST TRAN-1 and other returns of the
petitioner either by way of opening the portal or manually. GSTN vide e-mail dated 18.10.2019 issued
comments apprising the status of case to the CGST Jodhpur in terms of CBIC’s Circular no. 39/13/2018
dated 03.04.2018. The matter is pending before the Hon’ble High Court and listed for hearing on
29.01.2020.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. However, no response received from
the petitioner.
Category-B4: TRAN-1 filed but credit not received.
9. 782/2019-RPM Medicare v. GSTN & Ors.
GSTIN/ Provisional id State Constitution of Business
20AARFR2946P1ZM

Jharkhand Partnership


Issue: The Petitioner had filed TRAN-1 within due date however, they did not receive the credit.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 18.03.2019 issued comments apprising
the status of case to the CGST Commissionerate (Ranchi) in terms of CBIC’s Circular no. 39/13/2018
dated 03.04.2018. The Hon’ble High Court vide common order dated 11.09.2019 pleased to dispose of
the matter with direction to the nodal officer to forward the application of the petitioner to ITGRC to
take final decision in the matter.
Agenda for 39th GSTCM Volume 2
Page 141 of 164

Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. The Petitioner responded to the said
email vide email dated 09.12.2019. The Petitioner has shared copy of letter addressed to IT Nodal
officer GST, State Tax Deptt., Dhurwa stating therein that he filed TRAN-1 within due date and credit
was to granted in GST so that he can adjust the amount under GST regime. However, the credit in GST
has not yet been granted. He further stated that the error might be due to technical glitch in the
process as well as due to clerical errors i.e. misclassification. Petitioner has shared only screen shots
of dashboard dated 09.12.2019 containing the message ‘the filing of declaration in TRAN-1 is not
available now as the due date is over ‘which is a valid message’.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not face technical
issues in filing the TRAN-1.
10. 785/2019 - RPM Pharma v. GSTN & Ors.
GSTIN/ Provisional id State Constitution of Business
20AAMFR8572J1ZT


Jharkhand Partnership


Issue: Petitioner had filed TRAN-1 within due date however he did not receive the credit.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 18.03.2019 issued comments apprising
the status of case to the CGST Commissionerate (Ranchi) in terms of CBIC’s Circular no. 39/13/2018
dated 03.04.2018. The Hon’ble High Court vide common order dated 11.09.2019 pleased to dispose of
the matter with direction to the nodal officer to forward the application of the petitioner to ITGRC to
take final decision in the matter.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for the
following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. The Petitioner responded to the said
email vide email dated 09.12.2019. The petitioner has shared copy of letter addressed to IT Nodal officer
Agenda for 39th GSTCM Volume 2
Page 142 of 164

GST, State Tax Deptt., Dhurwa stating therein that he filed TRAN-1 within due date and credit was to
granted in GST so that he can adjust the amount under GST regime. However, the credit in GST has
not yet been granted. He further stated that the error might be due to technical glitch in the process
as well as due to clerical errors i.e. misclassification. Petitioner has not shared any screen shot
evidencing any errors. Petitioner has only shared GST system dashboard screen shots dated 09.12.2019.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not face technical
issues in filing the TRAN-1.
11. 799/2019 - RPM Distributors v. GSTN & Ors.
GSTIN/ Provisional id State Constitution of Business
20ADKPD3375L1ZN

Jharkhand Proprietorship
Issue: Petitioner had filed TRAN-1 within due date however they did not receive the credit.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 18.03.2019 issued comments apprising
the status of case to the CGST Commissionerate (Ranchi) in terms of CBIC’s Circular no. 39/13/2018
dated 03.04.2018. The Hon’ble High Court vide common order dated 11.09.2019 pleased to dispose of
the matter with direction to the nodal officer to forward the application of the petitioner to ITGRC to
take final decision in the matter.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for the
following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. The Petitioner responded to the said
email vide email dated 09.12.2019. The petitioner has shared copy of letter addressed to IT Nodal officer
GST, State Tax Deptt., Dhurwa stating therein that he filed TRAN-1 within due date and credit was to
granted in GST so that he can adjust the amount under GST regime. However, the credit in GST has
not yet been granted. He further stated that the error might be due to technical glitch in the process
as well as due to clerical errors i.e. misclassification. Petitioner has not shared any screen shot
evidencing any errors. Petitioner has only shared GST system dashboard screen shots dated 09.12.2019.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not face technical
issues in filing the TRAN-1.
12. 784/2019 - RPM Associates v. GSTN & Ors.
GSTIN/ Provisional id State Constitution of Business
20AAUFR6765P1ZA

Jharkhand Partnership

Agenda for 39th GSTCM Volume 2
Page 143 of 164

Issue: Petitioner had filed TRAN-1 within due date however they did not receive the credit.
Status: GSTN is a party in this matter. GSTN vide e-mail dated 09.04.019 issued comments apprising
the status of case to the CGST Commissionerate (Ranchi) in terms of CBIC’s Circular no. 39/13/2018
dated 03.04.2018. The Hon’ble High Court vide common order dated 11.09.2019 pleased to dispose of
the matter with direction to the nodal officer to forward the application of the petitioner to ITGRC to
take final decision in the matter.
Further investigation by GSTN: An email dated 05.12.2019 was sent to the Petitioner requesting for
the following information:-
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 09.12.2019. The Petitioner responded to the
aforesaid email vide email dated 09.12.2019. The petitioner has shared copy of letter addressed to IT
Nodal officer GST, State Tax Deptt., Dhurwa stating therein that he filed TRAN-1 within due date and
credit was to granted in GST so that he can adjust the amount under GST regime. However, the credit
in GST has not yet been granted. He further stated that the error might be due to technical glitch
in the process as well as due to clerical errors i.e. misclassification. Petitioner has not shared any
screen shot evidencing any errors. Petitioner has only shared GST system dashboard screen shots dated
09.12.2019.
Considering the aforesaid facts provided the said taxpayer can be considered as he did not face technical
issues in filing the TRAN-1.


Agenda for 39th GSTCM Volume 2
Page 144 of 164


Annexure-3
TRAN 2: Cases Received from Nodal Officer of Centre & States /resubmitted as per the direction
of 9th ITGRC
Category Detailed Description Count of
Taxpayers
A2 TRAN-1 FILED AND TRAN-2 IN
SUBMITTED WITH NO ERRORS
- TO BE ENABLED FOR FILING.
(Cases resubmitted as per the
direction of 9th ITGRC)
Description reported in 9th ITGRC: As per
Logs Tran-1 filed successfully. As per logs
user neither submitted nor filed the form. No
logs of save as well.

Correct Description: The taxpayers have
submitted TRAN-2. DSC/EVC needs to be
affix.
02
A3 TRAN-1 APPROVED CASES
AND ENABLED FOR FILING OF
TRAN-2.
TRAN-1 Approved cases and enabled for
filing of TRAN-2.
01
B3 TRAN-1 FILED AND TRAN-2
SUCCESSFULLY FILED WITH
NO ERRORS.
As per Logs Tran-1 filed successfully. As per
logs taxpayer filed Tran-2 without any error.
01
B5 TRAN-1 FILED AND TRAN-
2 NOT ATTEMPTED AND NO
ERROR IN LOGS.
As per Logs Tran-1 filed successfully. User
neither submitted nor filed the form. No logs
of save as well. ITC ledger also not updated.
09
B7 TRAN-1 FILED WITH NO
DECLARATION IN TABLE 7(a)
SECTION 7B OR TABLE 7(d)
HENCE NOT ELIGIBLE FOR
TRAN-2.
As per Logs, Tran-1 Filed with No Declaration
in Table 7(a) Section 7B or Table 7(d). Hence
Not Eligible for Tran-2.
11
B10 TRAN-1 NOT FILED HENCE
NOT ELIGIBLE FOR FILING
TRAN-2.
As per logs Tran-1 attempted, error reported
related to invalid registration gets corrected
and save attempt got processed but filing not
attempted of Tran-1. As taxpayer has not filed
Tran-1 hence, not eligible for filing of Tran-2
20
Total 44


Agenda for 39th GSTCM Volume 2
Page 145 of 164

CATEGORY A2: TRAN-1 FILED AND TRAN-2 IN SUBMITTED WITH NO ERRORS - TO
BE ENABLED FOR FILING: The taxpayers have submitted TRAN-2. DSC/EVC needs to be affix.

S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
1 07AABCT243
9G2ZG
M/S TOPSEL
PRIVATE
LIMITED
Delhi Private
Limited
Company
Assistant
Commissioner,
O/o the Principal
Chief
Commissioner,
CGST & CX,
Delhi Zone
Centr
e
ccu-
cexdel@nic.in
2 01AFQPS726
0F1ZB
VIKRAM
SHARMA
(M/S VEE
KAY
ELECTRONI
CS)
Jammu
&
Kashmir
Proprieto
rship
Sandeep Kumar,
Programmer,
Coordinator
Jammu
Division, State
Admin GST,
STC, J&K GST,
Nodal Officer
GST/BAS
State sandeep.prog1
23@gmail.com

CATEGORY A3: TRAN-1 APPROVED CASES AND ENABLED FOR FILING OF TRAN-2.
S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
3 19AABCG906
3D1ZL
M/S
GOBINDA
DISTRIBUT
ORS PVT.
LTD.
West
Bengal
Private
Limited
Company
Tarun
Majumder,
Assistant
Commissioner
of Central Tax,
Kolkata
Centr
e
kolkatanorth.gs
t@gov.in

Agenda for 39th GSTCM Volume 2
Page 146 of 164

CATEGORY B3: TRAN-1 FILED AND TRAN-2 SUCCESSFULLY FILED WITH NO
ERRORS.

S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
4 19AAACO7727
M1ZW
OPTIVAL
HEALTH
SOLUTION
S PRIVATE
LIMITED
West
Bengal
Private
Limited
Company
Tarun
Majumder,
Assistant
Commissioner
Of Central Tax,
Kolkata
Centr
e
kolkatanorth.gs
t@gov.in

CATEGORY B5: TRAN-1 FILED AND TRAN-2 NOT ATTEMPTED AND NO ERROR IN
LOGS: As per Logs Tran-1 filed successfully. User neither submitted nor filed the form. No logs of
save as well. ITC ledger also not updated.

S.
No
.
GSTIN/
Provisional Id
Legal
Name
(Name
reported
by the
Nodal
Officer is
in
brackets)
State Constitut
ion of
business
Nodal Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
5 29AABCW574
5N1ZM
WEIWO
COMMU
NICATIO
N
PRIVATE
LIMITED
Karnataka Private
Limited
Company
Basavaraj K. S.,
Joint
Commissioner
Of Commercial
Taxes,
Karnataka
State ctdgstit.grievan
ce@ka.gov.in
6 29AAACT4033
H1ZG
VERTIV
ENERGY
PRIVATE
LIMITED
Karnataka Private
Limited
Company
Basavaraj K. S.,
Joint
Commissioner
Of Commercial
State ctdgstit.grievan
ce@ka.gov.in
Agenda for 39th GSTCM Volume 2
Page 147 of 164

Taxes,
Karnataka
7 33BHMPK6821
R1ZP
MOHAN
AKRISHN
AN
KEERTHI
KA
(PREMKR
ISHNA
ASSOCIA
TES)
Tamil
Nadu
Proprieto
rship
Shri. G.
Sreenivasa Rao,
Commissioner,
Cgst & Central
Excise
Commissionerat
e, Coimbatore
Centr
e
comp.chennain
orth@gov.in
8 29AAACB7461
R1ZZ
BIOCON
LTD
Karnataka Public
Limited
Company
G.
Narayanaswamy
, Commissioner,
Bengaluru South
Centr
e
commr-
cexblr1@nic.in
9 27AABCJ2102
L1ZU
J.P.
ELECTR
ONIC
DEVICES
(INDIA)P
VT. LTD.
Maharasht
ra
Private
Limited
Company
Smt. Kiran
Verma,
Commissioner,
Cgst & Central
Excise
Commissionerat
e, Navi Mumbai
Centr
e
Naveen.De@ic
egate.gov.in
10 24AACFT4642
F1ZF
TIRTH
ALUMINI
UM
Gujarat Partnersh
ip
Bhupendra M.
Shrimali,
Deputy
Commissioner
Of State Tax,
Gandhidham,
Kutch
State dc25-rjt2-
gstn@gujarat.g
ov.in
11 27AACFR8495
E1ZU
RAMGOP
AL
RAMKIS
HAN
Maharasht
ra
Partnersh
ip
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
12 19AABCC2876
Q1ZZ



M/S
VENUS
PAPER
MART
(CASANO
VA
PROPERT
IES
West
Bengal
Proprieto
rship
Nodal Officer
(Technical
Glitches), Cgst
& Central
Excise
Commissionerat
e, Kolkata North
Centr
e
kolkatanorth.gs
t@gov.in
Agenda for 39th GSTCM Volume 2
Page 148 of 164

PRIVATE
LIMITED)
13 07AACCB6217
H1ZW
BASUKI
STEELS
PRIVATE
LIMITED
Delhi Private
Limited
Company
Sidharth Goyal,
Assistant
Commissioner
of Central
Government,
New Delhi
Centr
e
ccu-
cexdel@nic.in

CATEGORY B7: TRAN-1 FILED WITH NO DECLARATION IN TABLE 7(a) SECTION 7B
OR TABLE 7(d) HENCE NOT ELIGIBLE FOR TRAN-2.

S.
No
.
GSTIN/
Provisional Id
Legal
Name
(Name
reported
by the
Nodal
Officer is
in
brackets
)
State Constituti
on of
business
Nodal Officer
/ Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
14 36AABCM9244
N1ZZ
CERA
SANITA
RYWAR
E LTD
Telangana Public
Limited
Company
Shri. Raghu
Kiran B, Joint
Commissioner,
Cgst & Central
Excise
Commissioner
ate, Hydarabad
Centr
e
cgst.mdclcom
mtecomp@gov
.in
15 29ADVPR8240H
1ZR
SALAN
A
GOVIND
A RAJU
(SRI
GANES
H
APPLIA
NCES)
Karnataka Proprietors
hip
Gosu Ramesh,
Assistant
Commissioner,
Cgst & Central
Excise
Commissioner
ate, Belagavi
Centr
e
commr-
cexblgm@nic.i
n
16 06AAACZ0751C
1ZR
ZUPITE
X
(INDIA)
Haryana Private
Limited
Company
Nodal Officer,
It Issues,
Haryana
State gsttihry@gmai
l.com
Agenda for 39th GSTCM Volume 2
Page 149 of 164

PRIVAT
E
LIMITE
D
17 24BCCPP2651M
1ZH
M/S
APPSTE
CH
SOLUTI
ON
(JAYAB
EN
NILESH
BHAI
PRAJAP
ATI)
Gujarat Proprietors
hip
Dr. Tejpal
Singh,
Principle
Commissioner,
Cgst & Central
Excie
Commissioner
ate,
Ahemdabad
Centr
e
commr-
cexamd3@nic.
in
18 27ADKPT7558B
1Z5
SHREEJI
AGENCI
ES
(YOGES
H
TULSID
AS
THAKK
AR)
Maharasht
ra
Proprietors
hip
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
Of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
19 27AAFFN0517J1
ZD
NIKHIL
AGENCI
ES
Maharasht
ra
Partnership Miss
Kalyaneshwari
Patil, Deputy
Commissioner
Of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
20 27AABCM9244
N1ZY
CERA
SANITA
RYWAR
E LTD.
Maharasht
ra
Public
Limited
Company
Miss
Kalyaneshwari
Patil, Deputy
Commissioner
Of State Tax,
Mumbai
State gstit.state@ma
hagst.gov.in
21 29AAMFN1523
D1ZF
NEYA
FASHIO
N
Karnataka Partnership Basavaraj K.
S., Joint
Commissioner
Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
Agenda for 39th GSTCM Volume 2
Page 150 of 164

22 29AAHFH6613B
1ZL
HONEY
DEW
Karnataka Partnership Basavaraj K.
S., Joint
Commissioner
Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
23 29AYOPM0849
D1Z5
ROHIT
PURUS
HOTTA
M
MADIK
AR (M/S
PRISHA
FASHIO
NS)
Karnataka Proprietors
hip
Basavaraj K.
S., Joint
Commissioner
Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
24 29AADFM1794J
1ZV
MALNA
D
CASHE
WS
Karnataka Partnership Basavaraj K.
S., Joint
Commissioner
Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com


Agenda for 39th GSTCM Volume 2
Page 151 of 164

CATEGORY B10: TRAN-1 NOT FILED HENCE NOT ELIGIBLE FOR FILING TRAN-2: As
per logs Tran-1 attempted, error reported related to invalid registration gets corrected and save attempt
got processed but filing not attempted of Tran-1. As taxpayer has not filed Tran-1 hence, not eligible
for filing of Tran-2.

S.
No
.
GSTIN/
Provisional Id
Legal Name
(Name
reported by
the Nodal
Officer is in
brackets)
State Constitutio
n of
business
Nodal
Officer /
Jurisdiction
Name

Cent
re/St
ate
E-Mail ID
25 09AFXPB3378
L1ZP
JAGDEEP
BHALLA
(M/S NEHA
ELECTRO
NICS)
Uttar
Pradesh
Proprietorsh
ip
Joint
Commissione
r (I.T.),
Commercial
Taxes, Head
Quarter, Uttar
Pradesh,
Lucknow
State ctithqlu-
up@nic.in
26 36AAGFN1319
R1ZV
NAMAN
TRADING
COMPANY
Telanga
na
Partnership Radha
Sindhiya
Linga,
Assistant
Commissione
r, State
Government
State ac_gstn@tgct.
gov.in
27 06ALTPS6218
G1ZN
M/S
SEHGAL
AUTOMOB
ILES
(PANKAJ
SEHGAL)
Haryana Proprietorsh
ip
Pranesh
Pathak,
Commissione
r, Office Of
The
Commissione
r Of Cgst,
Faridabad
Centr
e
commr-
gstfbd@gov.in
28 06AADCM663
0J1ZG
MOUNTAI
N VALLEY
SPRINGS
INDIA
PRIVATE
LIMITED
Haryana Private
Limited
Company
Sh. Surender
Lathar,
Deputy
Excise &
Taxation
Commissione
r, Gurugram
East
State
/
Court
Case
gsttihry@gmai
l.com
Agenda for 39th GSTCM Volume 2
Page 152 of 164

29 32AADCM663
0J1ZL
MOUNTAI
N VALLEY
SPRINGS
INDIA
PRIVATE
LIMITED
Kerala Private
Limited
Company
Biju Thomas,
Deputy
Commissione
r, Central
Govt, Kerala
Centr
e
bijuthomasvk
@gmail.com
30 03AABCM567
4J1ZE
MCNROE
CONSUME
R
PRODUCT
S PVT. LTD
Punjab Private
Limited
Company
Pawan Garg,
Deputy
Commissione
r Of State
Tax, State
Government,
Punjab
State aetcgstpb@gm
ail.com
31 19AADCM663
0J1Z9
MOUNTAI
N VALLEY
SPRINGS
INDIA
PRIVATE
LIMITED
West
Bengal
Private
Limited
Company
Sima Sarkar,
Senior Joint
Commissione
r,
Commercial
Taxes, West
Bengal
State sima.sarkar@
wbcomtax.gov.
in
32 27ABRPB9803
G1ZI
SUMIT
CHANDM
AL BORA
Maharas
htra
Proprietorsh
ip
Miss
Kalyaneshwa
ri Patil,
Deputy
Commissione
r Of State
Tax, Mumbai
State gstit.state@ma
hagst.gov.in
33 09AFOPG2268
P1ZQ
KANAK
MARBLES
(GIRISH
KUMAR
GUPTA)
Uttar
Pradesh
Proprietorsh
ip
Joint
Commissione
r (I.T.),
Commercial
Taxes, Head
Quarter,
Lucknow
State ctithqlu-
up@nic.in
34 27AAPFM3348
E1Z4
MAHAVIR
TRADE
CENTRE
Maharas
htra
Partnership Superintende
nt, Computer
Centre,
Mumbai
Central Gst
Commissione
rate, Mumbai
Centr
e
comp-
gstmcentral@g
ov.in
Agenda for 39th GSTCM Volume 2
Page 153 of 164

35 29AALFV8453
B1ZT
VERVE
CLOTHING
Karnata
ka
Partnership Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
36 29AAIFT3839
N1ZD
THE
SMART I
Karnata
ka
Partnership Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
37 29AAKFS2718
P1ZG
SHOPPIN Karnata
ka
Partnership Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
38 29AAAFH6213
N1Z7
HI - STYLE Karnata
ka
Partnership Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
39 27AABCM567
4J1Z4
MCNROE
CONSUME
R
PRODUCT
S PRIVATE
LIMITED
Maharas
htra
Private
Limited
Company
Shri Amit
Kumar
Sharma,
Deputy
Commissione
r, Cgst &
Central
Excise
Commissione
rate, Mumbai
Centr
e
amit.irs@gov.i
n
40 21AABCM567
4J1ZG
MCNROE
CONSUME
R
PRODUCT
Odisha Private
Limited
Company
Dipankar
Sahu, Joint
Commissione
r Of Ct & Gst
(It),
Commissione
Centr
e
dcctitp@odish
atax.gov.in
Agenda for 39th GSTCM Volume 2
Page 154 of 164

S PRIVATE
LIMITED
rate Of Ct &
Gst, Odisha
41 29ADRPV1935
F1ZZ
LEKHA
MARKETI
NG
(YERRAG
UNTA
PHANIRAJ
A VITAL)
Karnata
ka
Proprietorsh
ip
Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
42 29AFGPT4653
P1ZI
SWATHI
MEDICALS
AND
GENERAL
STORES
(TARANAT
HA
NAYAK)
Karnata
ka
Proprietorsh
ip
Basavaraj K.
S., Joint
Commissione
r of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
43 29AFLPP4669
Q1Z7
USHA
MEDICALS
(DINAKAR
PRABHU)
Karnata
ka
Proprietorsh
ip
Basavaraj K.
S., Joint
Commissione
r Of
Commercial
Taxes,
Karnataka
State basavaraj.sagar
@gmail.com
44 24ADAPP2977
Q1ZX
AUTO
ELECTRIC
ALS
(SIRAZ
ISMAILBH
AI
PIPERWAD
IYA)
Gujarat Proprietorsh
ip
I.T.Keshwani
, Deputy
Commissione
r, State Govt,
Gujarat
State dc22-rjt1-
gstn@gujarat.g
ov.in







Agenda for 39th GSTCM Volume 2
Page 155 of 164

Annexure-4
TRAN-2: Writ Petition Case
Category
No.
Category Detailed Description Count of
Taxpayer
CategoryB-
9
TRAN-1 Filed and TRAN-2
attempted with no error in logs

As per logs TRAN-1 filed successfully. Eligible for
TRAN-2. TRAN-2 fresh/revision attempted with no
error or no valid error reported in logs
01
Total 01

Category B-9: TRAN-1 Filed and TRAN-2 attempted with no error in logs
1. W.P. 538 / 2019 Globe Agencies V/s UOI and Others
GSTIN/ Provisional id State Constitution of Business
09AAAFG7246A1ZQ
Uttar Pradesh Partnership

Issue: The petitioner claims that he tried to file TRAN-2 several times and even on last date i.e.
30.06.2018 but failed to file the same on portal due to technical error which continued throughout the
day.
Status: GSTN is a party in this matter. GSTN has issued comments apprising the status of the case to
the CGST Commissionerate (Ghaziabad) vide mail dated 17.10.2019. The Hon’ble High Court vide
order dated 02.05.2019 directed the respondents to reopen the portal within one month. In the event
they do not do so, they will entertain the GST TRAN-2 of the petitioner manually and pass orders on it
after due verification of the credits as claimed by the petitioner. The matter is pending before the
Hon’ble High Court and next date of hearing is not available of court’s website.
Further investigation by GSTN: An email dated 17.12.2019 was sent to the Petitioner requesting for
the following information: -
i. Exact technical glitch faced by you while filing TRAN-1
ii. Nature of error noticed
iii. Screen-shots of technical error/emails sent to help-desk along with ticket numbers.
The Petitioner was requested to provide the details by 19.12.2019. However, no response was received
from the Petitioner.


Agenda for 39th GSTCM Volume 2
Page 156 of 164

Annexure 5
TRAN-1 & TRAN 2 : Details of 27 Cases sent by Nodal Officers of Centre/States but not
processed by GSTN due to issues mentioned below:
I. Details of TRAN-1 Cases not processed:
Category Issues Involved Count of
Taxpayers
A Court Cases involving Non-
Technical issues
No apparent technical glitch. The cases were
returned to the Nodal officers by emails to
take action as per decision of 32nd GSTC
Meeting.
10
B Cases reported with invalid
GSTIN
Invalid GSTIN provided by the Nodal Officer.
Information not provided despite repeated
messages.
09
C Cases with No SOP Not received as per the prescribed SOP despite
repeated reminders.
03
Total 22

Category A: Court Cases involving Non-Technical issues :
S
r.
N
o
.
GSTIN Legal Name State Nodal Officer
1 10AAAC
T8593J1Z
5
M/S TOPSEL
MARKETING PRIVATE
LIMITED
Bihar Mukesh Kumar, Assistant Commissioner
State-Tax, Patna
2 10AAAC
T8593J2Z
4
M/S TOPSEL
MARKETING PRIVATE
LIMITED
Bihar Mukesh Kumar, Assistant Commissioner
State-Tax, Patna
3 27AQSPS
1185N1Z
V
M/S Euro Pratik Limited
Edition
Maha
rashtr
a
Shri A. P. Bandekar, Assistant
Commissioner, Central Government,
Mumbai
4 27AQNPS
5698H1Z
V
Euro Pratik sales
corporation
Maha
rashtr
a
Shri A. P. Bandekar, Assistant
Commissioner, Central Government,
Mumbai
Agenda for 39th GSTCM Volume 2
Page 157 of 164

5 08AAAC
A2251L1
ZU
M/S ALCHEM
INTERNATIONAL
PRIVATE LIMITED
Rajast
han
Sh. P. K. Singh. Principal Commissioner,
CGST & Central Excise Commissionerate,
Jaipur
6 36ACTPK
0948C1ZI
RUPESH KATHURI Telan
gana
Radha Sindhiya Linga, Assistant
Commissioner, State Government,
Hyderabad
7 36AADH
K3535K1
Z5
KATHURI RAJENDER
HUF
Telan
gana
Radha Sindhiya Linga, Assistant
Commissioner, State Government,
Hyderabad
8 36AABH
K9816K1
ZV
KATTURI MALLESH Telan
gana
Radha Sindhiya Linga, Assistant
Commissioner, State Government,
Hyderabad
9 09AACC
N8820E1
ZH
NOREX FLOVOURS
PRIVATE LIMITED
Uttar
Prade
sh
Joint Commissioner, Commercial Taxes,
State Govt. Uttar Pradesh
1
0
09AABC
A9292J1Z
8
ASHOKA BUILDCON
LIMITED
Uttar
Prade
sh
Shri Madan Mohan Singh, Commissioner,
CGST Commissionerate, G. B. Nagar

Category B: Cases reported with invalid GSTIN

S
r.
N
o.
GSTIN Legal Name reported by
Nodal Officer
State Nodal Officer
1
1
33AAFCG0
681R1ZA
Tamil
Nadu
S. Ramaswamy, Joint Commissioner,
Computer Syatems, Channai
1
2
33EMBPM3
104M1ZB
DEEN MEERAN FIRE
WORKS
Tamil
Nadu
S. Ramaswamy, Joint Commissioner,
Computer Syatems, Channai
1
3
33EKUPM1
045C1ZD
K.P.N. HARDWARES Tamil
Nadu
S. Ramaswamy, Joint Commissioner,
Computer Syatems, Channai
1
4
33BCYPS85
44Q1Z7
NEELAM INDUSTRIES Tamil
Nadu
S. Ramaswamy, Joint Commissioner,
Computer Syatems, Channai
1
5
27AABCVP
6662P1ZL
VARSA plastics Maharas
htra
Shrikant Patil, Comissioner, Central
Govt, Aurangabad
Agenda for 39th GSTCM Volume 2
Page 158 of 164

1
6
29AACCS5
034K1ZG
SUNLUX
TECHNOLOGIES PVT
LTD
Karnata
ka
K. S. Basavaraj, Joint Commissioner of
Commercial Taxes, Bengaluru
1
7
29AAPFW4
783B1Z1
WINGS
INTERNATIONAL
Karnata
ka
K. S. Basavaraj, Joint Commissioner of
Commercial Taxes, Bengaluru
1
8
37AJPV623
2G1ZW
SRI LAKSHMI
SRINIVASA
PACKAGINGS
Andhra
Pradesh
M. Prakasarao, Deputy Commissioner
of State Tax, Andhra Pradesh
1
9
37AFEPV75
38R1ZV
VENKAT AGRO
CHEMICALS
Andhra
Pradesh
M. Prakasarao, Deputy Commissioner
of State Tax, Andhra Pradesh

Category C: Cases with No SOP
Sr
.
N
o.
GSTIN Legal Name State Nodal Officer
20 04BEFPS1795
Q1ZQ
M/s Shukla
Provision Store
Chandig
arh
Excise & Taxation Department, Union
Territory, Chandigarh
21 04AACCF409
9D1ZU
M/s Forbro
Lifestyles Limited
Chandig
arh
Excise & Taxation Department, Union
Territory, Chandigarh
22 27AABCP658
4G1Z5
Prime
Pharmaceuticals
Maharas
htra
P.K Pathak, Central Govt, Maharashtra

II. Details of TRAN-2 Cases not processed:
Category Detailed Description Count of
Taxpayers
A Court Cases involving Non-
Technical issues
No apparent technical glitch . The cases were
returned to the Nodal officers by emails to
take action as per decision of 32nd GSTC
Meeting.
04
B Cases reported with invalid
GSTIN
Invalid GSTIN provided by the Nodal Officer.
Information not provided despite repeated
messages.
01
Total 05



Agenda for 39th GSTCM Volume 2
Page 159 of 164

Category A: Court Cases involving Non-Technical issues :
S
r.
N
o.
GSTIN Legal Name State Nodal Officer
1 10AAACT
8593J1Z5
M/S TOPSEL
MARKETING PRIVATE
LIMITED
Bihar Mukesh Kumar, Assistant Commissioner
State-Tax, Patna
2 10AAACT
8593J2Z4
M/S TOPSEL
MARKETING PRIVATE
LIMITED
Bihar Mukesh Kumar, Assistant Commissioner
State-Tax, Patna
3 27AQNPS
5698H1ZV
Euro Pratik sales
corporation
Mahar
ashtra
Shri A. P. Bandekar, Assistant
Commissioner, Central Government,
Mumbai
4 27AQSPS1
185N1ZV
M/S Euro Pratik Limited
Edition
Mahar
ashtra
Shri A. P. Bandekar, Assistant
Commissioner, Central Government,
Mumbai

Category B: Cases reported with invalid GSTIN.
Sr
.
N
o.
GSTIN Legal Name reported by
Nodal Officer
Stat
e
Nodal Officer
5 Not
Provided
KATARIA
AUTOMOBILES PVT.
LTD.
Guja
rat
S. M. Saxena, Joint Commissioner of State
Tax, Ahemdabad








Agenda for 39th GSTCM Volume 2
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Annexure 6
Cases Received as per Extended Scope of ITGRC
Category Description
No of
Cases
A
Sub
Category
Cases reported on account of Non-Technical error
A1 Recommended by jurisdictional tax authority with HC Order and having scenario
where the credit was entered in wrong column.
(vii) In 01 cases, uploaded the details in table 7(d) instead of uploading in table 7(a)
(viii) In 01 case, uploaded the details in table 7(d) instead of uploading in table
7(b)
02
A2 Recommended by jurisdictional tax authority with HC Order but having scenario
other than wrong column entry
• The last digit of the Cenvat Balance was missed resulting in short availment
of ITC
01
A4 Cases of non-technical error recommended by jurisdictional tax authority but
Hon’ble High Court order details neither mentioned nor attached/No final order yet.
• Uploaded the details in table 7(d) instead of uploading in table 7(b)
01
Total 04
Agenda for 39th GSTCM Volume 2
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Category A: Cases reported on account of Non-Technical error
Category A1 (02 cases) Recommended by jurisdictional tax authority.
i. In 01 case, uploaded details in column 7(d) instead of column 7(a)
ii. In 01 case, uploaded details in column 7(d) instead of column 7(b)
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommendat
ions of Officer
of the State
/Centre
Remarks
1
Centre,
CGST Delhi
North, M/s
Blue Bird
Pure Pvt. Ltd.
GSTIN:
07AAHCB0011G1
ZD
W.P. 3798/2019
Taxpayer filed TRAN-1 but the
details were uploaded in wrong
column 7(d) instead of column 7(a).
Order: The High Court has directed
to either open the online portal so as
to enable the petitioner to again file
the rectified TRAN-1 form with
correction on or before 31.07.2019.
Therefore, the petitioner will be
permitted to file returns in TRAN-2.
Recommended
Case has not been
presented in any
ITGRC till now
2
State,
SGST
Thiruvananth
apuram, M/s
Popular
Vehicles &
Services Ltd.
GSTIN:
32AABCP3805G1
ZW, W.P. No.
609/19 & Review
Petition No. 932 of
2019
Filed TRAN-1 but by mistake
uploaded the details in table 7(d)
instead of uploading in table 7(b)
Order: Hon’ble H.C of Kerala at
Ernakulum vide its order dtd.
14.01.2019 ordered the respondents
to accept the petitioner’s manual
filing of Form GST TRAN-1 and
Form GST TRAN-2 within a period
of one week from the date of receipt
of the judgement and if the petitioner
submits the same within the
stipulated time the respondent shall
accept and transmit it into the
electronic credit ledger of the
petitioner within a further period of
one week.
Recommended
Earlier placed in
the 6th ITGRC
through GSTN
under B4 category
but not allowed




Agenda for 39th GSTCM Volume 2
Page 162 of 164

Category A2 (01 Case):
i. The last digit of the Cenvat Balance was missed resulting in short availment of ITC. No error
of placing values in wrong column.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommenda
tions of
Officer of the
State /Centre
Remarks
3
Centre,
CGST Goa,
M/s Tech
Force
Composites
Pvt. Ltd.
GSTIN
30AAACT6376M1
Z4, W.P. No.
78/2019
After uploading the details in TRAN-
1, the assessee noticed that the last
digit of Cenvat Balance i.e. ‘4’ of Rs.
1,34,84,304 was missed and
therefore instead of availing the
amount of Rs. 1,34,84,304 they
availed the ITC of Rs. 13,48,430 in
TRAN-1 which resulted in short
availment of ITC of Rs. 1,21,35,874.
Order: The Hon’ble H.C in its order
dated 27.09.2019 held that “ the
interest of justice will be served if the
petitioner is granted liberty to make
representation to the CBIC and the
CBIC is directed to consider such
representation for verification and
bona fide of the claim made by the
petitioner, no doubt in accordance
with law and on its own merits, such
representation will be made to the
CBIC within 15 days from today. If
such representation is indeed made,
the CBIC is directed to consider such
representation in the aforesaid terms
and dispose of the same as
expeditiously as possible and in any
case within a period of two months
from the date the same is received by
the CBIC.”
Commissioner
has
recommended
the case
Case has not been
presented in any
ITGRC till now.
The case is not
having error of
transposition of
values in wrong
column as
approved in 32nd
GST Council
meeting and further
procedure
approved in 8th
ITGRC





Agenda for 39th GSTCM Volume 2
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Category A4 (01 case) : Cases of non-technical error recommended by jurisdictional tax authority
but Hon’ble High Court order details neither mentioned nor attached/No final order yet.
S.
No
State/ CGST
GSTIN/ Title of
the Case/ WP No.
and Date
Brief Issue/ Directions of Hon'ble
High Court
Recommenda
tions of
Officer of the
State /Centre
Remarks
4
State,
SGST
Thiruvananth
apuram, M/s
Popular Auto
Dealers Pvt.
Ltd.
GSTIN:
32AADCP6984G1
Z8, W.P. No.
5798/19
Filed TRAN-1 but by mistake
uploaded the details in table 7(d)
instead of uploading in table 7(b)

Commissioner
has
recommended
the case
Placed in the 6th
ITGRC under B3
category but not
allowed. No High
court order
attached or
mentioned by the
State
Commissioner



Agenda for 39th GSTCM Volume 2
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Annexure 7

Members (Centre)
• Sh. Ashok Kumar Pandey, Member (GST), CBIC
• Sh. Anil Kumar Jha, Additional Secretary, Revenue
• Ms. Hemambika R. Priya, Chief Commissioner & Pr. Commissioner, CGST Delhi North (on
behalf of Sh. Sandeep Kumar, Chief Commissioner, CGST, Delhi
Member (GST Council Secretariat)
• Dr. Rajeev Ranjan, Special Secretary

Members (States) (through VC)
• Sh. Vijay Singh, Additional ETC (on behalf of Sh. Anurag Rastogi, Principal Secretary,
Haryana)
• Sh. Rajib Sengupta, Jt. Commr, State Tax, West Bengal (on behalf of Sh. Devi Prasad Karnam,
CST, West Bengal)
• Sh. K Gnanasekaran, Addl Commr, State Tax, Tamil Nadu (On behalf of ACS/Commissioner,
State Tax, Tamil Nadu)
• Sh. Ridhidesh Rawal, Dy. Commissioner, State Tax (On behalf of Chief Commissioner, State
Tax, Gujarat)

Special Invitees
• Sh. Yogendra Garg, Pr. Commissioner, GST Policy Wing, CBIC
• Sh. Sanjay Mangal, Commissioner, GST Policy Wing, CBIC
• Sh. Amitabh Kumar, Joint Secretary, GST Council
• Sh. Dheeraj Rastogi, Joint Secretary, GST Council
• Ms. Ashima Bansal, Joint Secretary, GST Council
• Ms. Kajal Singh, EVP, GSTN
• Sh. Vashistha Chaudhary, SVP, GSTN
• Sh. Akhil Kumar Khatri, ADG (GST), DG Systems, CBIC

Others
• Sh. Rajesh Agarwal, Director, GST Council
• Sh. Santosh Kumar Mishra, Additional Commissioner, CGST Delhi Zone
• Sh. Arjun Kumar Meena, Deputy Commissioner, GST Council
• Sh. Sumit Kumar, Superintendent, GST Council




Agenda for 39th GSTCM Volume 2


Confidential



















Agenda for



39
th
GST Council Meeting




14 March 2020






Volume – 3
Agenda for 39th GSTCM Volume 3
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Agenda for 39th GSTCM Volume 3
Page 3 of 32


File No: 119/39
th
GSTCM/GSTC/2020

GST Council Secretariat


Room No.275, North Block, New Delhi
Dated: 20
th
February 2020

Notice for the 39
th
Meeting of the GST Council scheduled on 14
th
March 2020

The undersigned is directed to refer to the subject cited above and to say that the 39
th
Meeting
of the GST Council will be held on 14
th
March 2020 at Hall No.2-3, Vigyan Bhawan, New Delhi. The
schedule of the meeting is as follows:
• Saturday, 14
th
March, 2020 : 11:00 AM onwards

2. In addition, an Officers‟ Meeting will be held on 13th
March, 2020 at Hall No.2-3, Vigyan
Bhawan, New Delhi as follows:
• Friday, 13
th
March, 2020 : 12:30 PM onwards

3. The agenda items for the 39
th
Meeting of the GST Council will be communicated in due course
of time.

4. Please convey the invitation to the Hon‟ble Members of the GST Council to attend the Meeting.


(-Sd-)
(Dr. Ajay Bhushan Pandey)
Secretary to the Govt. of India and ex-officio Secretary to the GST Council
Tel: 011 23092653

Copy to:

1. PS to the Hon‟ble Minister of Finance, Government of India, North Block, New Delhi with the
request to brief Hon‟ble Minister about the above said meeting.

2. PS to Hon‟ble Minister of State (Finance), Government of India, North Block, New Delhi with the
request to brief Hon‟ble Minister about the above said meeting.

3. The Chief Secretaries of all the State Governments, Union Territories of Delhi, Puducherry and
Jammu and Kashmir with the request to intimate the Minister in charge of Finance/Taxation or any
other Minister nominated by the State Government as a Member of the GST Council about the above
said meeting.

4. Chairman, CBIC, North Block, New Delhi, as a permanent invitee to the proceedings of the Council.

5. Chairman, GST Network



Agenda for 39th GSTCM Volume 3
Page 4 of 32


Agenda Items for the 39
th
Meeting of the GST Council on 14
th
March 2020

1. Confirmation of the Minutes of 38
th
GST Council Meeting held on 18
th
December 2019

2. Update by Infosys (through GSTN)

3. Review of Revenue Position

4. Issues recommended by the Fitment Committee for the consideration of the GST Council
(Recommendations by the Committee of Officers on Revenue Augmentation)

5. Issues recommended by the Law Committee for the consideration of the GST Council
A. Issues recommended by the Law Committee for the consideration of the GST Council
i. Taxability of „economic surplus‟ earned by brand owners of alcoholic liquor for
human consumption

ii. Challenges faced in apportionment of ITC in cases of business reorganization under
section 18 (3) of CGST Act read with rule 41(1) of CGST Rules
iii. Issue regarding waiver of penalty and interest on previous period due to removal of
pre-import condition under Advance Authorization scheme
iv. Levy of interest under the provisions of section 50 of the CGST Act, 2017 for delay
in payment of tax

v. Proposal for waiver of filing of FORM GSTR-1 by taxpayers who have availed the
special composition scheme under notification No. 2/2019-Central Tax (Rate) dated
07.03.2019.
vi. Filing of GSTR-9 (Annual Return) and GSTR-9C (Reconciliation Statement)
vii. Proposals for amendment in the CGST Rules, 2017
viii. Proposals for amendment in the CGST Act, 2017 and the IGST Act, 2017
ix. Scheme of „Know Your Supplier‟
x. Notifying NPCI, Transunion CIBIL Ltd. and Association of Mutual fund of India
under section 150(1)(p) and Banking Information return under Section 150(1)(e)
xi. Proposal for Notification / Rule change for enabling AADHAAR based
authentication in GST
xii. Clarification in respect of appeal in regard to non-constitution of Appellate Tribunal
xiii. Exemption for certain class of registered persons from having e-invoicing along with
extension of dates for implementation of e-invoicing
xiv. Exemption for certain class of registered persons from capturing dynamic QR code
along with deferment of implementation of QR Code
xv. Agenda note for GST Council regarding extension of date of GSTR 3B filing for the
month of Jan, 2020 till 31st March 2020
xvi. Agenda note for GST Council regarding continuation of the existing system of
furnishing FORM GSTR-1 and FORM GSTR-3B till the month of September, 2020

Agenda for 39th GSTCM Volume 3
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xvii. Transition Plan in view of merger of Union Territories of Dadra & Nagar Haveli and
Daman & Diu
xviii. Deferring e-Wallet scheme and extending duty exemption for exporters
B. Deliberations of the Law Committee in the matter of the representation by Construction
Federation of India on the orders of the Hon‟ble High Court of Delhi

6. Creation of State and Area Benches of the Goods and Services Tax Appellate Tribunal
(GSTAT) for the State of Uttar Pradesh

7. Quarterly Report of the NAA for the quarter October to December 2019 for the information of
the GST Council

8. Deemed ratification by the GST Council of Notifications, Circulars and Orders issued by the
Central Government

9. Decisions of the GST Implementation Committee (GIC) for information of the Council

10. Decisions/Recommendations of the IT Grievance Redressal Committee for information of the
Council

11. Any other agenda item with the permission of the Chairperson

12. Date of the next meeting of the GST Council



Agenda for 39th GSTCM Volume 3
Page 6 of 32
TABLE OF CONTENTS
Agenda
No.
Agenda Item Page
No.
4
Issues recommended by the Fitment Committee for the consideration of the GST
Council (Recommendations by the Committee of Officers on Revenue
Augmentation)
i. Fitment Agenda for Goods: Inverted Rate Structure in GST- Correction of
inverted rates on certain key sectors
ii. Fitment Agenda for Services

7
15

Agenda for 39th GSTCM Volume 3
Page 7 of 32
Discussion on Agenda Items
Agenda Item 4(i): Inverted Rate Structure in GST-Correction of inverted rates on certain key
sectors
Committee of officers on Augmentation of Revenue identified Inverted Structure as a
significant issue that has led to certain distortion in the GST tax regime and need correction. Inversion
in rates causes accumulation of input tax credit with a manufacturer producing the goods.
Illustratively, fabrics attract GST at the rate of 5% while its main input, i.e., yarn attracts GST at the
rate of 12%. Other inputs, input services (except job work) and capital goods also attract GST at a rate
higher than fabrics. As a result a fabric manufacturer would have output tax liability that is much
lower than the input tax credits (ITC). Hence, a fabric manufacturer is not able to utilise the entire
input tax credit. This causes accumulation of ITC with fabric manufacturers. Thus, inverted rates
create distortion in GST being a deviation from the basic philosophy of a value added tax. The
adverse implications of inverted rates are as follows:
(i) A manufacturer suffers cash flow issues in case of inverted rate structure, even if refund
of accumulated ITC on inputs is eventually refunded.
(ii) The accumulated ITC on input services and capital goods is not refundable even if rate
structure is inverted. Input services constitute significant portion of cost. Thus,
accumulated ITC on input services would be significant. Accumulated ITC on capital
goods is a burden for exporters too.
(iii) Small standalone units suffer more in case on account of inversion (in comparison to a
large composite unit). For example, a company making fabric starting from input
chemicals (making fibre and then yarn followed by fabric) would not face adverse
consequence of inverted structure. On the other hand, a stand-alone power loom unit
would suffer on account of inversion (from yarn to fabric).
(iv) Inverted rate structure makes import more competitive putting domestic units at
disadvantage. While domestic unit suffer the adversities of accumulated ITC, the import
simply enjoys lower IGST without any inversion or accumulated ITC.
(v) Inversion disincentivises capital investment. Acquisition of capital goods for
manufacturer of goods suffering inversion (say fabrics) would lead to hardship for a new
unit or a unit undertaking expansion of capacity, as ITC on capital goods accumulates and
cannot be adjusted with output tax liability. This has been argued by industry.
(vi) A consumer is also unlikely to gain much on account of lower rate on goods suffering
inversion. The embedded taxes become cost and likely to be passed on. Further, as new
investment is dissuaded in such sectors, customers choices get restricted and sector
remain uncompetitive/inefficient leading to adverse consequences in terms of price and
availability of goods.
(vii) Even claiming refund of accumulated ITC on inputs requires effort, cost and often marred
with litigation.
(viii) With technological advancement and increasing production, net unit value addition at
manufacturer‟s end falls. Manufacturers have been outsourcing more, including the
manpower supply. This makes inversion further acute.
(ix) In absence of any standardised input output norms, the inverted rate structure has also led
to making fraudulent refund claim that is accumulated on fake invoice in items like
footwears.
Agenda for 39th GSTCM Volume 3
Page 8 of 32
(x) Inverted rates also have serious implication to revenue as there has been substantial outgo
in refund of accumulated ITC on inputs (no refund is given on input services and capital
goods).
Thus, overall, inverted rate structure would make our industry less competitive, result is cash flow
issues besides accumulation of ITC that sticks to cost, lead to unfair practices, creates dis-incentive
for investment in newer technology and expansion, does not really benefit the consumer much in
terms of cost reductions and has serious implication to revenue. Keeping these factors into account,
the Committee has amongst other suggestions recommended that inverted rate structure be corrected
in such a way that need for refund does not arise.

2. Subsequently, the issue was placed before the Fitment Committee in its meeting held on 6th
March, 2020 wherein the Fitment Committee observed as follows:
(i) GST is a value added tax. Therefore, a supplier in an optimal tax rate structure pays tax on
his value addition.
(ii) The tax suffered on inputs, input services and capital goods are available to a supplier as input
tax credit (ITC). As this ITC is adjusted against the tax liability on the output, an ideal rate structure
would be one in which the output tax liability is higher that the input tax. Otherwise, a taxpayer is not
able to fully utilise his ITC and the accumulated unutilised
(iii) Accumulated ITC becomes cost for the manufacturer unless refunded by the government.
Therefore, ideally the inputs and raw material should have lower or same tax incidence as the finished
goods. However, in GST certain manufactured goods attract GST rate of 5%/12% while their inputs,
input services and capital goods attract GST at the higher rate of 18% or 28%. Such a tax structure
causes hardship to manufacturers. This gives rise to need for claiming refund, associated cost and
efforts, and cash flow issues. Further, no refund of accumulated ITC on input services and capital
goods is allowed. This brings in-efficiency in tax regime and further hardship to manufacturers.
(iv) Refining GST rate structure would not be feasible unless the inverted rate structure is
corrected.
(v) Fitment Committee also took note of other relevant factors as mentioned in para 1 above.
The Committee felt that it is highly desirable that inverted rate structure is corrected by tweaking of
rates in such a way that inputs suffer lower incidence as compared to finished goods. The Committee
felt that to begin with inverted rate structure could be corrected on mobiles, footwears, textiles etc. It
has also been is felt that such corrections may also be desirable in fertilizers. Together these four
sectors, along with associated services and inputs accounts for about 3/4th of inversion going by the
refund claimed amount.

3. After detailed deliberations, the Committee makes the following recommendations.

4. Mobile Phones: Cellular Mobile phones attract 12% GST rate. Further, parts falling under
chapter 85 used in the manufacturing of Cellular Mobile Phones also attract 12% GST rate. In effect,
parts falling under Chapter 85 have dual rate and a manufacturer has option to procure these inputs at
18% or 28% as the case may be. All other parts (like plastic, rubber and metal parts like mechanics
etc.) attract GST at the rate of 18%. Further, input services and capital goods also attract GST at the
rate of 18%. Thus, there is an inverted rate structure on mobiles and their manufacturers are claiming
refund of accumulated ITC. As per the data available, the total refund amount of about Rs. 5500 Crore
(approx.) has been claimed so far by mobile manufacturers (July 2017-till date).

4.1 The GST rate on mobile phone was prescribed taking into account that in pre-GST era there
was a dual rate of central excise rate on mobile. This was done to promote domestic manufacturing of
Agenda for 39th GSTCM Volume 3
Page 9 of 32
these items. Under dual excise scheme, a manufacturer has two options for excise rate: - (i) Basic
Excise Rate (BED) @ 1% without CENVAT Credit, and (ii) BED @ 12.5% with CENVAT credit.
This was done to incentives domestic value addition. In central excise there was no provision for
refund of input tax credit on account of inverted rate structure. During the discussion on rates of
cellular mobile phones in the 14th GST Council meeting held on 18th and 19th May, 2017, there were
divergent views. While some of the Members favoured standard rate of 18% on mobile, the other
argued for a lower rate of 12% based on pre-GST incidence, digitalisation and for promoting further
penetration of mobiles. It was eventually decided to keep the rate on mobile phones at 12%. Since
then, domestic mobile manufacturing has grown rapidly and now domestic manufacture is in excess
of 2 Lakh Crore (estimated) in the Year 2019-20 and, its total consumption value (including spare
parts) would be about of Rs 2.5 lakh crore. The consumption has been increasing. About 29 crore
phones are now made domestically. Thus, on maturing of domestic manufacturing, it would be
desirable that inverted rate structure is corrected and this significant consumer item should be
standard rated along with its parts.

4.2 During the Fitment Committee the need for retaining the present GST rate of 12% on the low-
cost push-button type phones/feature phones was also deliberated upon. The Fitment Committee was
of the view that keeping 12% GST rate on push button type feature phone is not desirable based on
the following reasons, namely: -
(i) With increase in production the margin of manufacturer on per unit of phone squeezes. As
such service element in electronic manufacturing is increasing beside increasing capital infusion as
innovation in technology happen. Push button type mobile will have even thinner margin. Therefore,
inversion is a serious issue of manufacturer of such phone.
(ii) Feature phones are low value items. Therefore, rate calibration to 18% would not have
significant impact on prices. On another hand correction of inversion would have help manufacturers
in utilising their ITC on inputs, input services and capital goods fully, thus have softening impact on
prices.
(iii) Keeping GST rate of 12% on feature phones will not resolve the issue of inversion which is
the primary objective of this whole exercise.
(iv) Having a dual rate leads to distortion and evasion. As such common manufacturing facility
may be used for manufacture of both kinds of phones.
(v) Inverted structure promotes the imports and disincentives the exports as the importer will not
have to suffer the cost of unutilised credit. Further, Indian manufacturers have started exporting the
feature phones also. In the period April, 19-Januray, 2020, total exports of the feature phones from
India was around Rs. 2000 Crore. Even in the interest of exports, it is desirable to correct inversion.

4.3 Accordingly, based on the above discussion, Fitment Committee recommends that the GST
rate on mobile phones and its parts (falling under Chapter 85) may be increased from 12% to 18% (on
par with other consumer goods items) in order to remove the inversion in rates on the mobile phones.

5. Footwear: India produces more than 2 billion pairs of different categories of footwear. Over the
year the percentage of non-leather footwear has been increasing and at present non-leather footwear
constitutes about 60% of the total footwears made. Even in leather footwear as significant constituents
(like soles, consumable, embellishments etc.) is of non-leather items. Hence, non-leather inputs, as
discussed below are the major constituents of footwear industry. There are nearly 15000 units
engaged in manufacturing footwear in India with total turnover of these manufacturing unit is
estimated at Rs. 70,000 crores. The value addition in this industry is about 15-20%. With post
manufacturing (trading) value addition and imports of footwear, the total domestic consumption
Agenda for 39th GSTCM Volume 3
Page 10 of 32
estimated to be about Rs 80,000 crore a year. As the major constituents of footwear industry attract
standard rate (except leather-cost of which on an average is about 20% in leather footwear), the
inversion in footwear with 5% rate is acute.

5.1 While pre-GST tax incidence on footwear was significantly higher (ranging from 10% to
29%), the GST Council recommended a lower dual rate structure for footwear with 5% rate on
footwear with retail sale price up to Rs. 500 and 18% on other footwears. The Council revisited the
rate structure on footwear and concessional rate of 5% was extended up to footwear with retail sale
price upto Rs. 1000 with effect from August, 2018. Subsequently, w.e.f. 1.1.2019 further concession
was given to footwear and GST rate would apply on the supply value rather than on the basis of retail
sale price.

5.2 This has led to inversion in rate structure, as majority of sale of footwear (about 70%) is at
concessional GST rate of 5%. The major inputs of footwear and their typical share in a footwear are
as under:
Parts Material GST rate
Proportion in
Cost
Shoe Sole Natural/Synthetic Rubber,
Precipitated Silica, Elasto
Polymer
18% 25%
Shoe Upper Leather, Technical Textile,
Rubber, Plastic
5%/12%/18% 30%
Chemicals,
components,
embellishments, other
Parts, Consumables
and other inputs
Adhesives, [PU,
polychloroprene, PVA,
Acrylics, Isocyanate],
Solvents [MEK], Colors
and Pigments, Catalysts etc.
18% 15%
Overheads and other expenditures (Capital goods,
input services)
18% on capital goods
and input services
(other than job work)
25%
Margin 5%
Source: Industry data
5.3 The refunds generated due to inverted rate structure in Footwear sector on footwear attracting
concessional GST rate of 5% from July 2017 to January, 2020 is to the tune of Rs. 2500 crore.

5.4 In general Fitment Committee has been of the view that dual rate structure needs to be
avoided as it creates distortion and leads to mis-declaration/ evasion of taxes. As such an advalorem
rate ensures that in absolute term the lower segment would suffer lesser tax incidence. Therefore,
ideal all footwear should be standard rated. However, considering that the items is a mass
consumption goods, at this stage 12% rate for footwear with value upto Rs.1000/- per pair may be
conducive to correct inversion. The Fitment Committee recommends accordingly. Thus taking all
factors into account


6. Textiles: The GST rate structure on all goods of the textile value chain was deliberated at
length during the 15th meeting of the GST council held on 03.06.2017 and subsequent GST Council
meetings. Based on the Pre-GST tax incidence, the GST Council recommended: -
Agenda for 39th GSTCM Volume 3
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(a) 18% GST on Man-made fibres
(b) 18% rate on MMF filaments and yarns,
(b) 5% GST on cotton, silk, wool and other natural fibre and yarns
(c) 5% on raw cotton and other vegetable fibres; nil rate on raw silk, raw wool and raw jute.
(d) 5% on all apparel fabrics including Man-made fibre fabrics with restriction on refund of
accumulated ITC at fabric stage.
(e) 12% rate on technical and other fabrics such as narrow fabrics.

6.1. In pre-GST regime fabrics suffered a much higher tax incidence. While cotton fabric had an
incidence of about 9%, MMF fabrics had an incidence of about 13.6%. Therefore, a 5% rate in GST
was much lower. Taking this into account Council prescribed the restriction of not allowing refund of
accumulated ITC on fabrics. After roll out of GST, the textile industry represented that the rate
structure resulted in acute inversion if textile sector particularly at fabric stage. It was also argued that
the restriction of not allowing refund of accumulated ITC on fabrics favoured large composite mills
while standalone power looms suffered. Accordingly, in stages further relief was extended to textile
sector. To begin with GST rate on manmade yarn was reduced to 12%. Thereafter, refund of
accumulated ITC was allowed on fabrics with prospective effect from 1.8.2018. Job-work services
were also brought down to 5%. However, these changes have not been able to sort out the inversion
issues. Yarn continues to suffer significant inversion as value addition from fibre to yarn is not
significant. Hence, standalone spinning units suffer. Fabric continues to have inversion on account
higher tax rate on yarn, input services and capital goods. The adverse impact of inverted rate structure
has bearing to ready-made garment segment too on account of accumulated ITC on services and
capital goods. Also the cost associated with inversion on fabric becomes a cost that is transferred by
fabric manufacturer to readymade garments.
6.2 On ready-made garments the pre-GST incidence was about 13.2%. Hence, 5% rate in GST is
significantly lower.

6.3 Lower rate of 5% on job-work has led to hardship to dyeing units. Their significant inputs like
chemicals and dyes attract GST at the rate of 18%. Further critical input services of effluent treatment
attract GST at the rate of 12%. These job workers have been representing for correcting inversion
even if it requires increasing rate to 12% of dyeing services.

6.4. Ministry of Textiles has recommended for correcting inverted rate structure so as to un-
shackle it from the burden of taxes (accumulated ITC etc). It has been stated that liberating this sector
will also substantially increase employment opportunities in the textile industry. The differential rates
and slow-refunds of accumulated input tax credit has affected the competitiveness of the industry and
has proven to be a deterrent for investment in the sector. Ministry of Textile is of the view that for tax
uniformity across the value chain, MMF fibres and yarns need to be brought under a uniform tax slab
to take care of inversion in tax structure. This will benefit the spinning and power loom sectors,
which in turn will boost the garment sector and create huge job opportunities. An inter-Ministerial
Group (IMG) consisting of Ministry of Textiles, Commerce and NITI Aayog has also viewed
similarly. The IMG has observed that with implied limitation on growing cotton, man made fibre base
needs to grow atleast 5 times in next 5 years.

6.5 The inversion in rate structure of textile sector has led to a refund of about Rs 4000 crore. This
is anticipated to grow considerably in future considering that in the first year, refund of accumulated
ITC was not allowed to fabric units.
Agenda for 39th GSTCM Volume 3
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6.6 The volumes of quantity produced and sold for textile sectors broadly are as follows. Cotton
yarn - 4200 Mn Kg, man-made fibre and yarn- 3600 Mn Kg, fibre being about 1200 Mn Kgs,-fibre
being about 1200 Mn Kg. Over 26,000 Mn sqm. fabrics are produced out of manmade yarn (Source
DC&PC, Textile Commissioner). In coming years, the man-made segment is anticipated to grow
faster than natural fibre segment.

6.7 Fitment Committee examined the above issue of inversion in the textile value chain in its
meeting. General view as regards GST rate structure in textile sector is that the 5% rate on fabrics and
lower value garments (Rs 1000 per pc) is an anomaly. Manufactured goods should either have higher
or equal rate (in comparison to the rate as applicable to key inputs). However, a divergent view
offered was that the output tax rate on mass consumption commodities like garments and fabrics
should be viewed from the point of view of the consumer interests and not solely from the view of
industry hardships or inversion. On this count any increase in rate of fabric and garment may not be
justifiable.

6.8 Fitment Committee deliberated in detail on this issue. Fitment Committee also dwelled on the
issue as to the impact of any calibration of GST rates on fabrics or garments on the end consumer. It
was observed that in the meeting that the GST Council had recommended a lower rate of 5% on all
fabrics and lower segment garments on account of acceptability of GST rate and essential
consumption nature of the item. However, the experience since the roll out of GST has been that
inverted rate structure has led to significant adverse impact as stated in para 1 and 2 above. It has not
really benefitted the consumer either. Lower incidence did not lead to reduction of prices of fabrics or
garments. In any case, inversion of tax rate meant that a lot of cost on account of accumulated ITC on
services, capital goods and the resource cost for seeking refund of accumulated ITC on input sticks to
the cost of fabric and garments. This may be 4-5% considering service and capital goods would at
least constitute 20-25% of the input cost. Further, removal of inversion would give boost to the
garment sector and with increasing production customer would only benefit. Therefore, increase in tax
rates may at the most a marginal effect of garment. Besides, there exists a strong economic
justification, as argued by Ministry of Textiles, that refined rate structure will help the sector to grow
at faster pace.

6.9. In this background the Fitment Committee discussed the possible solutions to address the
issue of inversion in the textile value chain. While doing so, it was kept in mind that input chemicals,
capital goods and input services, other than job work, and inputs like buttons, dyes etc are at 18% and
hence, a low rate of 5% on MMF, fabrics and garments would not help the sector. It was felt that at
garment or fabric stage it is not feasible to differentiate the natural fibre and MMF. In any case
blended fabric is quite common. Therefore, Fitment Committee was of the view the output tax rate on
fabrics and garments/made-up should be prescribed at a uniform level of 12%. It was also discussed
that as per the recommendations made by the Ministry of Textiles and IMG, the GST rate on fibres
should be lowered to 12% to bring them at par with yarns to avoid inverted rate structure at yarn
stage. As the value addition at the fibre stage is significant ( e.g., while import parity price of PTA -
input for polyester is about Rs 50 per kg, the import parity price for fibre is about Rs 100 per Kg), the
fibre manufacturer shall not suffer adversely on account of inversion.

6.10 The Fitment Committee also observed the dyeing industry has also been severely affected by
inversion as the output service attract GST rate of 5% while their significant inputs like dyes attract
GST at the rate of 18% and significant services like effluent treatment also attract a GST of 12%. This
industry has represented for correction of inversion by raising GST rate on the process of dyeing from
Agenda for 39th GSTCM Volume 3
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5% to 12%. Once the fabrics rate is calibrated to 12%, it would also be feasible to calibrate the GST
rate of dyeing industry. Fitment Committee is also of the view that dual rate on readymade garment
and made ups be avoided. RMG and made up, irrespective of value be placed at uniform rate of 12%.
Advalorem rate would ensure that lower rate garment suffer lower tax in absolute terms. As stated,
rate calibration shall not have any significant implication to consumer. In long run, as sector grows, it
would benefit consumers and economy as streamlining of the tax structure textile industry would be
able to grow at a more rapid pace and with increased productions and economies of scale, the costs
and prices in this sector would naturally go down.

6.11 In view of the above discussions, the Fitment Committee proposed the following rate
structure on textiles: -
(a) 5% GST on cotton and other natural fibres (except raw jute, silk and wool) and all-natural
fibre yarns.
(b) 12% GST on manmade fibres
(c) 12% GST on MMF yarns
(d) 12% GST on all fabrics
(e) 12% GST on all garments and made-up
(f) 12% GST on dyeing services

7. Fertilizers: All fertilizers attract GST at the rate of 5%. The major category of fertilizers is
urea, DAP, NPK and ammonium sulphate. Total consumption of fertiliser is about 60 million tonnes
in a year. Urea constitutes major consumption at about 30 million ton. Consumption of DAP and NPK
is about 10 million tonnes each. SSP and MoP constitute the remaining. Domestic production is about
41 million ton. Subsidised value of fertilizer consumed is estimated to be about Rs 80000 crore, while
total value is about Rs. 1.5 lakh crore (including subsidy). Fertilizer thus remains a highly subsidised
and controlled price product.


7.1. In the original rate structure, fertilizers were placed under the 12% GST bracket. However,
many states raised the demand to reduce the GST rate on fertilizers to support the agricultural sector.
It was also mentioned that natural gas, a major input for fertilizers, remains outside GST. The total
pre-GST tax incidence on fertilizers, including central excise, tax on inputs, average VAT, CST,
octroi, etc, was estimated to be about 9.75%. Ultimately, a consensus was reached in the Council (in
the 18th meeting held on 30th June- i.e., just before the roll out of GST) that GST rate on fertilizers be
fixed at 5%.

7.2 Subsequently, fertilizer manufacturers claimed that inverted tax structure was leading to
hardship to them in terms of cash flow. Accordingly, the Council, after detailed deliberation reduced
GST rate on phosphoric acid from 18% to 12% and then eventually to 5% to address the inverted duty
structure to certain extent. However, inverted rate structure has still not been resolved completely.
Accordingly, demand has been to lower rate on other inputs like ammonia and sulphuric acid.
Considering that GST rate on services and capital goods is 18% rate, a rate cut on input would not
fully resolve the issue of inversion.

7.3. As per the data available, a total of Rs. 6000 crores have been claimed as input tax credit
refund on fertilizers from July, 2017 till date. With reduction of GST rate to 5% on phosphoric acid
the inversion has reduced. However, other inputs like sulphuric acid, ammonia, potash etc, input
services and capital goods are still at 18%. Therefore, significant inversion still remains. More so on
Agenda for 39th GSTCM Volume 3
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account of input services and capital goods, which is not even refundable. In view it is desirable that
the inverted rate structure is corrected in fertilizers. This could be achieved by raising GST rate on
fertilisers to 12%. Fitment Committee recommends accordingly.

7.4 While making recommendation, the Fitment Committee has been conscious of the fact and
dwelled upon the aspect as to the impact of rate calibration. As stated, an inverted rate structure helps
none in a mature industry, neither the manufacturer nor the consumer. It creates distortion in the tax
regime, causes hardship in terms of cash flow for domestic manufacturing and leads to cost built up
on account of ITC that is not usable. A big domestic industry of this kind should have a non-inverted
rate structure. Therefore, seamless ITC chain with full ITC flow, which industry could utilise timely,
shall ensure investment, production growth, efficiency and cost reduction. In any case full ITC
utilisation would ensure that basic cost is reduced. Thus, a consumer would not be adversely affected
on account of calibrated GST rate wherein fertilizer is placed at 12%. This would make tax regime
simple, transparent and avoid the requirement of refunds on account of inverted structure. As such
fertiliser is subsidised and controlled price product. Suitable calibration is feasible.

7.5 In view of the above, the Fitment Committee recommends that all chemical fertilizers be
placed in the 12% slab.

Agenda for 39th GSTCM Volume 3
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Agenda Item 4(ii): Agenda for GST Council Meeting on 14th March, 2020- in relation to supply
of services
Recommendations made by the Fitment Committee in the meeting held on 6th March, 2020 in
relations to services.

Sl.
No.
Proposal Recommendation of Fitment Committee
1. Representations of Haj/ Umrah Private Tour
Operators (PTOs) to exempt/not levy GST on
the Haj/ Umrah tours organized and conducted
by the Haj Group Operators (HGO) formerly
known as Private Tour Operators.

The Hon‟ble SC vide order 11.12.2019 has
allowed the petitioners to withdraw their
petitions and directed the government to decide
on the representation of the PTOs within 90
days of the order.
Recommendation: Agreed
Request may not be acceded to.
As per the direction of the Hon‟ble Court
representation of the PTOs has been
examined. The request for issuing a
clarification that the service of conduct of haj/
Umrah tours by Private Tour Operators is not
taxable or to exempt the same has no merit as
discussed in detail in the annexure I placed
below.
2. To provide level playing field to domestic
MROs vis-à-vis foreign MROs by reducing
GST on MRO services to 5% with full ITC and
change PoS for B2B MRO Services to
Location of Recipient.
Recommendation: Agreed except by
Maharashtra.
i. GST on MRO services in respect of
aircraft may be reduced to 5% with
full ITC.
ii. PoS for B2B MRO Services in respect
of aircraft may be changed to Location
of Recipient. [notification may be
issued u/S 13(13) of the IGST Act]
A note on analysis of the issue and solution is
enclosed as annexure II.
3. To provide level playing field to Indian
Shipping lines in light of the order dated
23.1.2020 of the High Court of Gujarat in the
case of M/s. of Mohit Minerals Pvt. Ltd by
changing the PoS of goods transport service
from the place of destination of goods to the
location of recipient.
Recommendation: Deferred for further
discussion.


Detailed write up on the issue is enclosed as
annexure III.
4. Proposal to tax job work service in relation to
manufacture of alcoholic liquor for human
consumption @ 18%

Recommendation: Most of the members of
the Fitment Committee agreed to the
following proposal. However, Tamil Nadu
and Maharashtra expressed a different
opinion.
(a) services by way of job work in relation
to manufacture of alcoholic liquor for
Agenda for 39th GSTCM Volume 3
Page 16 of 32
Sl.
No.
Proposal Recommendation of Fitment Committee
human consumption may be excluded
from the residual entry for job work
service at 9988 (id) prescribing 12% rate
of GST and taxed at 18% as has been
done in case of job work related to bus
body building.
(b) An explanation may be inserted at entry
9988 (i)(f) of the notification no 11/
2017- CTR which prescribes GST rate of
5% for job work services in relation to
food and food products as under
“Explanation-For removal of doubts it is
clarified that food and food products excludes
alcoholic beverages for human consumption”.
Detailed write up on the issue is enclosed as
annexure IV.

Agenda for 39th GSTCM Volume 3
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Annexure- I
Subject: Representations of Haj/Umrah Private Tour Operators (PTOs) to exempt/not levy
GST on the Haj/Umrah tours organized and conducted by the Haj Group Operators (HGO)
formerly known as Private Tour Operators- reg.

Hon‟ble SC vide order 11.12.2019 has allowed the petitioners to withdraw their petitions and directed
the government to decide on the representation of the PTOs within 90 days of the order. As per the
direction of the Hon‟ble Court representation of the PTOs has been examined.
The petitioners have requested to exempt/not levy GST on the services of organizing and conducting
Haj/Umrah tours on following grounds: -
(1) Place of supply of Haj/Umrah tours is outside India. CGST/SGST Acts are applicable only to
whole of India. Therefore, it may be clarified that tours being organized outside India are not
taxable.
(2) The Haj/Umrah tours are covered Sl. No. 13(a) of Notification No. 12/2017-CTR and Sl. No. 14a
of Notification No. 9/2017-ITR, which exempts services by a person by way of conduct of any
religious ceremony. Haj and Umrah are religious ceremonies of Islam and it is organized by HGO
[PTO].
(3) GST exemption [Sl. No. 60 of Notification No. 12/2017-CTR and Sl. No. 63 of Notification No.
9/2017-ITR] has been granted only to the pilgrims for whom Haj Committee of India organizes
the Haj/Umrah pilgrimage and not for the pilgrims for whom HGO [PTO] organizes and conducts
the pilgrimage. It is discriminatory and violative of Article 14 of the Constitution of India.
The issues/grounds raised by the HGO [PTO] in the representations have been examined below:
Ground 1: Place of supply of Haj/Umrah tours is outside India. CGST/SGST Acts are
applicable only to whole of India. Therefore, it may be clarified that tours being organized
outside India are not taxable.
The foremost principle followed world over in levy of consumption taxes like Service Tax, VAT,
GST is that they are borne by the consumer, and are taxed by the jurisdiction where the consumer
belongs. This is the reason that in all major VAT jurisdictions, the general rule to determine the place
where supply of service is consumed or supplied is that the place of supply of service will be the place
where the recipient of the service is located. Exceptions may be made where the service recipient or
service provider belong to different countries. The exceptions are generally aimed at avoiding
double- taxation or double non-taxation of a service or to ensure that the procedural compliance
burden of a tax does not fall on an individual. Such exceptions are not required where both the
supplier of service and the recipient of service are located in the taxable territory.

The general rule for determination of place of supply based on location of the recipient of service
ensures that service tax/ GST levied on service provided by a tour operator located in Delhi to a
service recipient residing in Bihar accrues to the State of Bihar, the resident of which has borne the
tax on that service. This is the essence of a destination based consumption tax, which GST is. This
rule also ensures that a service consumed, enjoyed and paid for by a resident in India is taxed by the
Indian jurisdiction. Not taxing service of outbound tour provided by a tour operator located in India
to a service recipient located in India would lead to double non taxation; the service would neither be
taxed in India nor by the country in which the tour is conducted.
Agenda for 39th GSTCM Volume 3
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The tour operators have cited in support of their contentions, the CESTAT judgments in the case of
M/s Atlas Tours and Travels and M/s Cox and Kings India Limited,. However, the judgments in the
case of M/s Atlas Tours and Travels and M/s Cox and Kings India Limited relied upon are not
relevant in Service Tax period, post 01.07.2012 or for GST due to following reasons –

In the Service Tax period prior to 01.07.2012, „tour operator service‟ was defined in such a manner
that it required the tour to be operated in a „tourist vehicle‟ covered by a permit granted under the
Motor Vehicle Act 1988. In 2004, the definition was expanded to cover planning, scheduling,
organizing or arranging tour by any mode of transport but the definition of tour operator was so
structured that it led the Tribunal to conclude that the definition has been expanded only to cover one
facet of the service namely, of planning, scheduling or arranging tours, by any mode of transport.
Operating of the tour, per se was still excluded from the expanded definition and it still required the
tour to be operated in a „tourist vehicle‟ covered by the permit granted under the Motor Vehicle Act,
1988. Based on this interpretation, the Tribunal held that the outbound tours which do not have any
component of travel in a vehicle covered by a permit granted under Motor Vehicle Act, 1988 was not
covered by the tour operator service. Prior to 01.07.2012, Service Tax could be levied only on
specified services. Once an activity was excluded from the scope of a specified taxable service, it
could not be taxed.

However, with effect from 01.07.2012, the concept of comprehensive taxation of services based on a
negative list of services was ushered in. All services, which did not figure in the negative list or were
not specifically exempted, became subject to Service Tax. Tour operator service neither figured in the
negative list of services nor was exempted. Therefore, with effect from 01.07.2012 the taxability of
service provided by a tour operator was not contingent upon the service fitting in any specified
description or definition.

Further, for the purposes of Notification No. 26/12 – Service Tax dated 20.06.2012, which granted
partial exemption to services provided by a „tour operator‟, was defined tour operator as “any person
engaged in the business of planning, scheduling, organizing, arranging tours [which may include
arrangements for accommodation, sight-seeing or other similar services] by any mode of transport
and includes any person engaged in the business of operating tours”. Therefore, with effect from
1.7.2012, the tour operator service was not restricted to a tour operated by a vehicle covered by a
permit granted under Motor Vehicle Act, 1988.

In the pre-2012 period, the Department had itself clarified vide circulars/trade notices that tours
conducted outside India were not taxable. It was only in 2007 that the Board conveyed vide letter
dated 12.10.2007 to Commissioner of Service Tax, Delhi that the service provided by a tour operator
located in India to a recipient, who is also located in India, for planning, scheduling and organizing in
relation to a tour outside India (outbound tourism) would be taxable under the category of “Tour
Operator Service”. This view is based on the fact that service provider and service receiver, both, are
located in India and the service flows within the country. Accordingly, the place of supply of service
is India, and hence, the service is taxable. This view was in line with the international practice of
taxation of destination based „consumption tax‟ and the principle that consumption tax should be
borne by the final consumer and the tax should accrue to the jurisdiction to which the consumer
belongs. However, this view was not backed by an explicit provision in law at that time. Section 66
of Finance Act, 1994, which was the charging section at that time provided that Service Tax shall be
levied on the services specified in Clause 105 of Section 65 of the Finance Act, 1994. The section 64
of the Finance Act, 1994 provided that the provisions of Service Tax extended to whole of India
Agenda for 39th GSTCM Volume 3
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except the State of J&K. There was no provision in the Act, which provided for determination of the
place where the service was supplied.

However, with the advent of negative list system of taxation of services w.e.f. 1.07.2102, key
provisions of the Finance Act, 1994 underwent a complete change. The erstwhile charging Section 66
was deleted and replaced with Section 66 B which provided that Service Tax shall be levied on all
services provided or agreed to be provided in the taxable territory by one person to another. The
words “provided or agreed to be provided in the taxable territory” in the new section are noteworthy.
Linked to these words was the provision in Section 66C of the Finance Act, 1994, which also became
effective from 01.07.2012. Section 66C empowered the Central Government to determine the place
where the service is provided or deemed to have been provided, having regard to the nature and
description of various services.

In exercise of powers under Section 66 C of the Finance Act, 1994 the Government notified the Place
of Provision of Service Rules vide Notification No. 28/12 – Service Tax dated 20.06.2012. These
rules were framed keeping in view the internationally followed principles for determination of place
of supply of service. In accordance with the international practice and OECD guidelines in this regard,
the general rule or the default rule for determination of place of provision of service was that the place
of provision of service shall be the place where the recipient of service was located (Rule 3 of the
Place of Supply of service). Further, Rule 8 of the said rules provided that place of provision of a
service, where the location of the provider of the service as well as that of the recipient of services is
in the taxable territory, shall be the location of the recipient of service. These rules were notified in
due exercise of powers expressly given by the Finance Act, 1994. The place of supply of service
provided by a tour operator located in India to a person located in India (Hajis) was in India following
either the default rule (Rule 3) or Rule8 of the said Rules. Accordingly, the provision of service was
in the taxable territory and thus clearly liable to Service Tax w.e.f. 1.07.2012.

The same provisions continued in GST, which came with effective from 01.07.2017. According to
Section 12 of the IGST Act, 2017, the place of supply of services, except specified services, provided
by a person located in India to a recipient of service located in India, is the location of recipient of the
service. The services provided by a tour operator are covered by this general rule. In view of the
above, the rulings in the case of M/s Cox and Kings, M/s Travel Corporation of India Ltd. Etc. are not
relevant after 0.07.2012 for Service Tax or GST purposes.

Extra Territorial Applicability of Law

It is a settled law that the Parliament is empowered to make laws with respect to aspects or causes that
have an impact on or nexus with India. [Supreme Court judgment in GVK Industry Limited [(2011)
4SCC36 refers]. The provisions in question do not have any extra territorial applicability. The tour
operators are located in India, the service recipients are located in India, and the service is consumed,
enjoyed and paid for by the recipients located in India. Therefore, the provisions have a direct impact
on and nexus with India and Indians.

Ground 2: The Haj/Umrah tours are covered Sl. No. 13(a) of Notification No. 12/2017-CTR and
Sl. No. 14a of Notification No. 9/2017-ITR, which exempted services by a person by way to
conduct of any religious ceremony. Haj and Umrah are religious ceremonies of Islam and it is
organized by HGO [PTO].
Agenda for 39th GSTCM Volume 3
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The word „religious ceremony‟ is not defined in Service Tax or GST laws. However, as per the
Service Tax Education Guide, religious ceremonies are life-cycle rituals including special religious
poojas conducted in terms of religious texts by a person so authorized by such religious texts.
Occasions like birth, marriage, and death involve elaborate religious ceremonies. The activity of HGO
[PTO] of conducting tours on commercial basis for Haj/Umrah pilgrimage is a commercial activity
undertaken by tour operators and not a religious ceremony; and hence, not eligible for the exemption
under Sl. No. 13a of Notification No. 12/2017-CTR and Sl. No. 14a of Notification No. 9/2017-ITR.

Services provided by a specified organization in respect of a religious pilgrimage facilitated by the
Ministry of External Affairs of the Government of India, under a bilateral arrangement, have been
given specific exemption from GST vide Sl. No. 60 of Notification No. 12/2017-CTR and Sl. No. 63
of Notification No. 9/2017-ITR. Had conduct of tours for Haj/Umrah pilgrims been a religious
ceremony, there was no need to provide a separate exemption entry for Haj/Umrah pilgrimage
facilitated by Government of India.

HGO [PTO] are not conducting a religious ceremony but acting as commercial entity organizing tours
for persons, who wish to take journey to Saudi Arabia for Haj/Umrah. Tour operator services for
conduct of religious pilgrimage of various religions, both within and outside India, is taxable under
GST. Examples include tour operator service for Kashi Yatra, Chardham Yatra, Krishna Temple in
USA, Buddhist Temple in Nepal, Japan etc.
Ground 3: GST exemption [Sl. No. 60 of Notification No. 12/2017-CTR and Sl. No. 63 of
Notification No. 9/2017-ITR] has been granted only to the pilgrims for whom Haj Committee of
India is organizes the Haj/Umrah pilgrimage and not for the pilgrims for whom HGO[PTO]
organizes and conducts the pilgrimage. It is discriminatory and violative of Article 14 of the
Constitution of India.
Services provided by a specified organisation in respect of a religious pilgrimage facilitated by the
Government of India, under a bilateral arrangement, is exempt from GST. “Specified organizations”
are Kumaon Mandal Vikas Nigam Limited, a Government of Uttarakhand Undertaking and
„Committee‟ or „State Committee‟ as defined in section 2 of the Haj Committee Act, 2002 (35 of
2002).

GST is leviable on tour operator service for organizing Haj/Umrah pilgrimage tour. GST exemption is
available only on services of religious pilgrimage facilitated by Central govt. or State govt. under a
bilateral arrangement. There is no exemption available to services of religious pilgrimage of any
religion provided by any private tour operator. Therefore, existing exemption available on services of
religious pilgrimage facilitated by Government of India is not discriminatory. The legislature intends
to exclude private tour operators from the purview of Service Tax/GST exemption. Catena of court
judgments have upheld that legislature has wide latitude in taxation to choose the subject and people
to be taxed.

Article 14 prohibits class legislation and not reasonable classification. It is very much within the
powers of legislature to categorize goods and services for the purpose of taxation in such manner as
meets the policies and objectives of the government. The legislation intends to differentiate between
tour operator services rendered by public and private entities. There is no discrimination between
religious pilgrims. All pilgrims who undertake Haj/Umrah pilgrimage or any other religious
pilgrimage through private tour operators are treated equally.
Agenda for 39th GSTCM Volume 3
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The Constitutional bench of Supreme Court in R.K. Garg v. Union of India(1981) 4 SCC 675, laid
down the test of classification by reference to article 14 was as under –

"The clarification must not be arbitrary but must be rational, that is to say, it must not only be based
on some qualities or characteristics which are to be found in all the persons grouped together and not
in others who are left out but those qualities or characteristics must have a reasonable relation to the
object of the legislation. In order to pass the test, two conditions must be fulfilled, namely, (1) that the
classification must be founded on an intelligible differentia, which distinguishes those that are
grouped together from others, and (2) that differentia must have a rational relation to the object
sought to be achieved by the Act.”

The classification of pilgrims undertaking Haj/Umrah pilgrimage tours through Haj Committee of
India under bilateral arrangement and those undertaking tours through private tour operators is based
on an intelligible differentia having a rational relation to the object sought to be achieved by the
statute in question. Therefore, services Tax/GST exemption on services provided by a specified
organization in respect of a religious pilgrimage facilitated by Government of India under bilateral
arrangement are not discriminatory and not voilative of Article 14 of the Constitution.

As discussed above, the service of organizing and conduct of tour for Haj/Umrah pilgrims by private
tour operators is taxable under GST. It is not covered under any of the existing exemptions from GST.
Therefore, the request to not levy GST or to clarify that GST is not leviable on the same is not
acceptable.

As regards the request for exemption GST on the services of Haj and Umrah tour provided by Haj
Group Operators [Private Tour Operators], the same has no merit. The private tour operators supply
such services on purely commercial basis to pilgrims who can afford it. GST is an indirect tax. The
burden of the tax is not on the suppliers but on the recipients. The service was taxable in Service Tax
also. There is no justification for granting a new exemption. Exemptions not only cause loss of
revenue but also block input tax credit chain and credit distortions.

Agenda for 39th GSTCM Volume 3
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Annexure- II
Subject: To provide level playing field to domestic MROs vis-à-vis foreign MROs by reducing
GST on MRO services to 5% with full ITC and change PoS for B2B MRO Services to Location
of Recipient.

Issue: Domestic aircraft maintenance repair and overhaul (MRO) industry faces comparative
disadvantage vis-à-vis foreign MRO as explained below:

(i) Services provided by MRO in DTA –

The place of supply of MRO services is the location where the services are actually performed and not
the location of the recipient of services, which is the general rule. As a result, services provided by
Indian MRO units including SEZ units to the domestic airlines attract GST @ 18%. On the other
hand, MRO services procured by the Indian airlines companies from the foreign MROs do not attract
any GST. The only protection available to Indian MROs is the IGST payable u/S 3(7) of the Customs
Tariff Act on aircraft/ aircraft engines sent abroad for repairs and re-imported into India after repairs
on the value of repairs, freight and insurance both ways at the rate applicable on aircraft and aircraft
parts which is 5% in most of the cases.

(ii) MRO services provided by Indian MROs to foreign airlines and aircraft leasing companies
located outside India

A carve out has been made in the place of supply provisions, which provides that PoS of goods which
are temporarily imported into India for repairs and exported after such repairs without being put to
any use in India, shall be the place of location of recipient. [Identical provision existed in service tax].
MRO services provided by Indian MRO units including SEZ units to foreign aircraft leasing
companies in respect of aircrafts leased to Indian airline companies are not covered by this carve out
in PoS provisions. The aircrafts leased by foreign leasing companies to Indian airline companies are
already in the taxable territory of India. They are not imported into India for repairs; nor are they
exported out of India after repairs. The PoS of MRO services provided in respect of such aircraft is in
India. Therefore, such services, even though they are supplied to the foreign leasing company and
paid for in foreign exchange, are not treated as export of services and attract GST of 18%.
The MRO services provided by Indian MRO units including SEZ units to foreign airlines which
operate routine flights to India are also not covered by the said carve out in PoS. The aircrafts of such
foreign airlines come with passengers and depart after repairs with passengers. Such aircrafts which
come on routine flights cannot be said to have been temporarily imported into India for repairs. They
also cannot be said to have not been put in use in India after repairs as they carry passengers after
such repairs.

(iii) MRO services sub contracted by the foreign MROs to Indian MROs

The Indian airline companies enter into annual MRO contracts with foreign MROs. The foreign
MROs sub contract part of their services to Indian MROs. Though such services are provided to
MROs located outside and payment is received in foreign exchange, they are not considered as export
of services again because of the PoS provisions. Such services attract GST @ 18%.


Agenda for 39th GSTCM Volume 3
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2. The present tax structure of MRO service can be depicted as below:

Figure 1: Present tax structure of MRO services

3. Present status of MRO Industry in India

At present, less than 2% of MRO service on aircrafts of Indian airlines is being performed by
domestic MRO as shown below:

Table 1: MRO services availed from foreign MRO vs Indian MRO in FY 2018-19 (All values in INR
Crores)
Airline Value of MRO Services procured by Indian airlines % of MRO Services
procured by Indian airlines
from Indian MRO
from foreign MRO from Indian MRO
Air Asia 19 14 43%
IndiGo 2210* 47 1%
SpiceJet 1528 38 2%
Blue Dart Aviation 168 0 0%
Total 5757 100 2%
* As per annual report of Indigo. Source:
MoCA

4. Proposal:

The following solution has been proposed to solve the above issues:
i. Reduce GST rate on MRO services to 5% with full ITC
ii. Change PoS for B2B MRO Services to Location of Recipient
[Notification u/S 13(13) of the IGST Act]



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Advantages –
1. Services of both domestic and foreign MRO will be taxed at the same GST rate of 5%
2. Domestic MRO will get additional protection as tax paid on goods sent abroad for repairs u/S
3(7) of the CTA will not be creditable
3. Reduced additional cash flow burden on airlines

Disadvantages –
1. The domestic airlines may object to this proposal on the grounds of additional cash flow
burden.
2. GST rate of 5% may cause inversion of duty structure for MRO since some spares/ parts
required in MRO are taxable at more than 5%


Figure 2: Proposed tax structure of MRO services
Comments of Maharashtra on the proposal:
Post circulation of the record of discussion in the Fitment Committee meeting, State of Maharashtra
has conveyed comments on the proposal as under.
“So far as level playing field to domestic MROs and Indian shipping lines is concerned, we are trying
to shift place of supply to outside India. However in both the cases POS change would result in Indian
operators getting qualified for export (and in one contingency of MRO result in inversion). We do not
have an idea of what their quantum of refund would be. However, on one side we are trying to reduce
refund or do away inversion in cases of common utility items and on the other hand, here we may look
like providing an advantage or favouring a particular industry. This is from public perspective, sir.
This proposal will have to be justified on the basis of quantum of refund.”
Agenda for 39th GSTCM Volume 3
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Annexure- III
Subject: To provide level playing field to Indian Shipping lines in light of the order dated
23.1.2020 of the High Court of Gujarat in the case of M/s. of Mohit Minerals Pvt. Ltd by
changing the PoS of goods transport service from the place of destination of goods to the
location of recipient.

Background:

Prior to 1.6.2016 (Budget 2016-17), services by way of transportation of goods by an aircraft or a
vessel from a place outside India upto the customs station of clearance in India were nontaxable by
virtue of being in the negative list of services [66(p)(ii)]. Export freight was not taxable since place of
provision of service was outside the taxable territory of India. [POPS Rules, Rule 10]. Thus, the
Indian Shipping Lines (ISL) were unable to avail input tax credit of tax paid on input goods and
services. Such tax formed a part of their cost and rendered them uncompetitive vis-a-vis foreign
shipping lines (FSL).

1.2 Ministry of Shipping vide letter dated 8.12.2016 had requested that either the international
import and export freight may be zero rated in line with international practice, or if this is not
acceptable, then, inward freight may be taxed and ITC may be allowed against non-taxable export
freight. In view of the requests of the Indian Shipping Industry and other stakeholders supported by
Ministry of Shipping, in order to provide level playing field to Indian shipping lines vis-a-vis foreign
shipping lines, service of inward transportation of goods by a vessel was made taxable to enable
Indian shipping lines to use ITC available with them against export freight. This was done in
consultation with Ministry of Shipping. It was expected that while Indian Shipping lines would pay
service tax on import freight through ITC, foreign shipping lines would have to pay in cash.

1.3 Subsequently, many representations were received that in order to avoid payment of service
tax on inward transport, FOB contracts were being converted to CIF contracts. This was possible
because services received from a provider of service located in a non- taxable territory by a person
located in a non-taxable territory were exempt from service tax vide entry 34(c) of notification No.
25/2012-ST. This defeated the purpose of the amendments effected in Budget 2016-17. In order that
tax is suffered by both Indian shipping lines and foreign shipping lines on inward transportation of
goods, service tax exemption was withdrawn for services provided by a person located in non-taxable
territory to a person located in non-taxable territory by way of transportation of goods by a vessel
from a place outside India up to the customs station of clearance in India vide notification No. 1/2017-
ST. Liability to pay service tax on such import freight was placed on importer under RCM. Similar
dispensation continues in GST.

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2. Present Tax structure for Ocean Freight

The present tax structure of Ocean Freight can be depicted as below:




3. Judgment of High Court of Gujarat in the case of M/s. of Mohit Minerals Pvt. Ltd

In the order dated 23.1.2020 of the High Court of Gujarat in the case of M/s. of Mohit Minerals Pvt.
Ltd. it has been held that Notification No. 8/2017 – Integrated Tax (Rate) dated 28th June 2017 and
Agenda for 39th GSTCM Volume 3
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the Entry 10 of the Notification No.10/2017 – Integrated Tax (Rate) dated 28th June 2017 which
require the importer to pay IGST on ocean freight in respect to CIF consignment under RCM are ultra
vires the law. The High Court has given the judgment on the following grounds:
a) The charging section provides for payment of GST by person who is making supplies and in
certain notified cases, by the recipient of supply. Thus, GST is not payable by a person who is
neither a supplier nor a recipient. The provisions of section 5(3) of IGST Act does not provide
for fixing the liability on any person other than the recipient.

b) Importer has neither availed the ocean freight service nor is he liable to pay the consideration.
Hence, he is not the recipient. If the importer is held to be recipient of supply of ocean freight
service, then he shall also be the recipient of various other inward supply of goods and
services received by the exporter of goods with regard to said imported goods. Importer can‟t
be made to pay tax on the supposed theory that he is directly or indirectly recipient of the
service. Such interpretation is unwarranted.

c) Tax can be levied only on intra-State supplies and inter-State supplies. Provision of ocean
freight service by a non-resident person to another non-resident person is neither an intra-
State supply nor an inter-State supply. Therefore, notification entries taxing the said service
are beyond the scope of the Act.

4. Analysis of the judgment:

4.1 The judgment is based on sound legal reasoning. It will be difficult to succeed in appeal
against the same in Hon‟ble Supreme Court and succeed in appeal.

4.2 The immediate consequence of this judgment is that the level playing field, which was given
to Indian Shipping Lines by making importer liable to pay GST on ocean freight charged by foreign
shipping lines from foreign exporter under RCM, is no longer available to Indian Shipping lines.
Therefore, there is a need to find out a way to continue to provide level playing field to Indian
Shipping lines despite the judgment. The issue has been examined with this view in the following
paragraphs.

5. International Practice

Globally, major maritime jurisdictions have a zero-rated tax treatment for import cargo as well as
export cargo transportation services. In addition to zero rating the inbound ocean freight, many
countries like Canada, Singapore and Australia have zero rated local handling/ transportation and
other ancillary services which are provided as a part of continuous inbound ocean freight services.
Relevant extracts of the respective jurisdictions regarding freight transport are reproduced below for
reference:

5.1 UK: To determine the VAT treatment of freight transport and related services, all of the
following points are to be considered in order: the status of your customer: Whether „in
business‟ or not, the place of supply of services, and the liability of the supply. Freight transport
and related services fall under the „general rule‟ when supplied to customers „in business‟. The
general rule is that the place of supply of services to a person who‟s „in business‟ is the place
where the customer belongs for the purposes of receiving your supply. The place of supply of
these services that would have a place of supply in the UK under the general rule, but which
Agenda for 39th GSTCM Volume 3
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take place wholly outside the EU, is treated as taking place where performed. If the place of
supply of freight transport or related services is the UK, the supply is standard rated, except
for, inter-alia, the supply of transport or related services connected with an import to/ export
from the EU or when the supply is zero-rated.

5.2 Australia: Subdivision 38-K (Transport and related matters) of Division 38 (GST-free
supplies) of Part 3-1 (Supplies that are not taxable supplies) of Chapter 3 (Exemptions) of the
GST Act of Australia states that the international transport of goods is GST free, i.e. zero rated.

5.3 Singapore: Section 21(1) of the Singapore GST Act zero rates international services and
Section 21(3)(a)(ii) ibid. includes international transport by Sea in the definition of international
services.

5.4 Canada: A supply of a freight transportation service in respect of tangible personal property
from a place in Canada to a place outside Canada is zero-rated under section 6 of Part VII of
Schedule VI where the value of the consideration for the supply is $5 or more.

6. Proposal:

The objective of providing level playing field to Indian Shipping Lines can be achieved by changing
the place of supply of goods transport service from the place of destination of goods to the location of
recipient. This would ensure that both Indian Shipping Lines and Foreign Shipping Lines have
identical liability to pay or not pay IGST on transportation of goods by vessel (inward, outward or
coastal) in both CIF and FOB contracts. A tabular representation of taxability of the said service with
the proposed PoS is as under:
Contract Supplier Recipient PoS Tax Liability Liability on
Import Ocean Freight
FoB ISL Indian
Importer
India Taxable with ITC available to
importer
ISL
FoB FSL Indian
Importer
India Taxable under RCM with ITC
available to importer
Indian
Importer
CIF ISL Overseas
Exporter
Outside India Zero rated (Export of service) ISL
CIF FSL Overseas
Exporter
Outside India Outside GST (Neither inter-
State nor intra-State supply)
NA
Export Ocean Freight
FoB ISL Overseas
Importer
Outside India Zero rated (Export of service) ISL
FoB FSL Overseas
Importer
Outside India Outside GST (Neither inter-
State nor intra-State supply)
NA
CIF ISL Indian
Exporter
India Taxable with ITC available to
exporter (currently exempt upto
30.9.2020)
ISL
CIF FSL Indian
Exporter
India Taxable with ITC available to
exporter (currently exempt upto
30.9.2020)
Indian
Exporter
Agenda for 39th GSTCM Volume 3
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Note: - ISL – Indian Shipping Line, FSL – Foreign Shipping Line

6.1 International VAT/GST Guidelines by OECD also state that the general rules on place of
taxation for business-to-business supplies will lead to an appropriate result when considered against
the criteria set out in Guideline 3.7 (Neutrality, Efficiency of compliance and administration,
Certainty and simplicity, Effectiveness and Fairness) in most circumstances.

Proposed Tax structure for Ocean Freight

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Agenda for 39th GSTCM Volume 3
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Annexure- IV
Subject: Proposal to tax job work service in relation to manufacture of alcoholic liquor for
human consumption @ 18%– reg.
Law Committee, in its meeting dated 28.01.2020 has recommended to issue a clarification that in an
arrangement where a contract manufacturing unit i.e. TMU/CBU undertakes to manufacture alcoholic
liquor for human consumption for and on behalf of brand owner (BO), and receives consideration in
the form of bottling charges, conversion charges or in any other name or form, such consideration is
taxable. It is also proposed to clarify that the said service supplied by CBU/ TMU to BO shall be
classified as „manufacturing services on physical inputs (goods) owned by others‟ under heading
9988 of scheme of classification of services annexed to the notification No. 11/ 2017- Central Tax
(Rate) dated 28.06.2017 which currently attracts GST rate of 18% under Sl. No. 26(iv) of the said
notification.
2. Reason why manufacture of alcoholic liquor by a contract manufacturer for the brand owner
will not be eligible for GST of 12% prescribed for „job work‟ under entry 9988, Sl. No. 26(id) of
notification No. 11/ 2017- CTR is that, an activity qualifies as job work only if it is carried out on
goods belonging to a registered person. Alcoholic liquor is outside GST and therefore brand owner is
not required to take registration under GST. However, brand owner may take registration for selling
mineral water and carbonated water etc. and avail lower rate of GST of 12% as applicable to job
work.
3 The rate of GST on job work was reduced to 12% mainly on the ground that ITC of the same
is available to the principal manufacture and reduction is GST would not affect revenue. In sectors,
where the principal supplier is not eligible for ITC, there is no justification for reduced rate of 12% on
job work.
4 It has been ascertained that GST @ 18% is being paid in most cases. However, in isolated
cases TMUs are claiming alcoholic liquor as food products and paying GST @ 5% as applicable on
job work service in relation to food and food products falling under chapters 1 to 22 in the First
Schedule to the Customs Tariff Act, 1975 (sl. No. 26 (i)(f) of the notification No. 11/2017- CTR
refers) being alcoholic beverage as food products. It has been stated that definition of „food‟ under
section 3 (j) of the Food Safety and Standards Act, 2006 covers alcoholic drinks.
Proposal:
5. Therefore, to avoid dispute and litigation it is proposed that,-
(a) services by way of job work in relation to manufacture of alcoholic liquor for human
consumption may be excluded from the residual entry for job work service at 9988 (id)
prescribing 12% rate of GST and taxed at 18% as has been done in case of job work related
to bus body building.
(b) An explanation may be inserted at entry 9988 (i)(f) of the notification no 11/ 2017- CTR
which prescribes GST rate of 5% for job work services in relation to food and food products
to the effect that “ for removal of doubts it is clarified that food and food products excludes
alcoholic beverages for human consumption”.



Agenda for 39th GSTCM Volume 3
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Comments of Tamil Nadu and Maharashtra on the proposal:
Post circulation of the record of discussion in the Fitment Committee meeting, State of Tamil Nadu
and Maharashtra have conveyed comments on the proposal as under.
Tamil Nadu:
“…… Alcoholic beverages are treated as food products as per the definition of „food‟ under section 3
(j) of the Food Safety and Standards Act, 2006 it goes without any dispute that alcoholic drinks are
only food products.
As per Notification No. 11/2017 – Central Tax (Rate) as amended by Notification No.31/2017-Central
Tax (Rate), dated 13th October, 2017 at serial No. 26(i)(f), “ the job work services in relation to
manufacture all food and food products” falling under Chapters 1 to 22 in the First Schedule to the
Customs Tariff Act, 1975 (51 of 1975) is taxable at 5%(2.5% SGST and 2.5% CGST). This is specific
entry available in the above said Notification.
Accordingly as per the specific entry available as above, the job work services in relation to
manufacture of alcoholic liquor for human consumption is to be assessed at 5% under GST.
Currently job work of alcoholic liquor for human consumption are being levied GST at 5% only.
They cannot be compared with bus body building, where the nature of job work and the product
manufactured is totally different.
Increasing tax rates to 18 percent will adversely affect the interests of State revenues in a different
manner. States have the domain over the above goods for taxation and the States have flexibility in
altering the rate of tax on the sale of Alcoholic Liquor for Human Consumption and few more goods
only. The proposed change will affect the ability of the States to alter tax rates on alcohol for human
consumption and reduce their fiscal manoeuver ability.
Any increase in tax in the manufacturing process of alcoholic liquor will result in demand from
manufacturers for increasing the MRP as these taxes get embedded in the costs and increase their
cost of production. As it is, State Government has been taxing alcohol at high rates. The proposed
increase will therefore result in demand for corresponding reduction of State Tax on alcohol or
increase in MRP both of which are undesirable from States‟ point of view……”
Maharashtra:
“So far as the rate of tax on Job Work in relation to manufacture of alcoholic liquor for human
consumption is concerned, Maharashtra agrees with the views expressed by Tamil Nadu to the extent
that rate of tax may be considered at 5% instead of 18% for the reason that flexibility for upward
revision in State Excise Duty is available to the state.”




Agenda for 39th GSTCM Volume 3


Confidential





Table Agendas for
39th GST Council Meeting

14 March 2020




Agenda for 39th GSTCM Table
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Agenda for 39th GSTCM Table
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TABLE OF CONTENTS
Agenda
No.
Agenda Item Page
No.
11

Any other agenda item with the permission of the Chairperson
i. An incentive scheme for consumers to increase invoice compliance in B to C
supply
ii. Issuance of Circular clarifying certain refund related issues
iii. Physical verification and KYC of persons willing to take registration within
first six months and corresponding spike rule
iv. Proposed amendments in the CGST Act, 2017
v. Proposal to issue notification and circular clarifying issues related to
corporate debtors under the provisions of the Insolvency and Bankruptcy
Code, 2016
vi. Proposal to issue Removal of difficulty order for extending the time limit for
revocation of cancellation of registration
vii. Status update on conversion of Goods And Services Tax Network (GSTN)
into 100% Government owned Company

4
6
12
16

23
31
34




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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (i): An incentive scheme for consumers to increase invoice compliance in B to C
supply
In the sale-purchase or supply-receipt transactions, a tax invoice is the only proof of the transaction
between the supplier and the recipient. It contains details of the supplies made, transaction value and the
amount of tax collected/payable. Once a supplier issues the invoice to the customer, it become difficult, if
not impossible, to suppress the supply. For a B2C transaction settled by the customer in cash, chances of
suppression and consequent evasion of tax by the supplier are very high if invoice is not issued.

2. It is known practice that in many cases when the customer demands invoice, he may be enticed by
the seller to not ask for the invoice by sharing a part of tax saved or by ‘enticing’ the customer about the
money potentially saved if invoice is not issued. Therefore, measures to incentivise consumer as well as
supplier need to be urgently taken.

3. Further, Government of India seeks to promote digital payment methods to encourage consumers
and merchants to increasingly shift to these payment modes. Promotion of digital payments usage will
enhance efficiency of tax collection by bringing the hitherto informal economy into formal economy
thereby also potentially enhancing the tax base as well as strengthening tax collection efforts by capturing
such transactions.

4. In order to wean the consumers and supplier away from the attraction of saving money (tax) by not
asking/issuing invoice, a scheme of periodical lucky draw. The salient features of the proposed scheme
will be as follows:
1) In this scheme a B2C invoice for which payment has been done successfully using digital
mode- RuPay Cards or UPI a consumer shall be eligible for prize.
2) Financial transactions for Rs. 100 to Rs. 10,000/- to be eligible for the scheme;
3) Credit cards spends will not be covered under scheme;
4) This scheme shall be administered by NPCI.
5) The prizes winner shall be identified by NPCI through a random selection from amongst
the Digital transactions IDs generated.
6) There will be a live cast of the draw of prizes.
7) Initially scheme shall be for 1 year.
8) Prizes will be as follows:
a) 1 Bumper Prize of Rs. 1 Cr./month;
b) 100 prizes of Rs. 1 lakh each;
c) 5000 prizes of Rs. 5000 each.
9) Bumper Prize will be disbursed in Public function;
10) Reward will be shared between Consumer and Supplier in ratio 3:1;
11) Winner will be informed via SMS and e-mail to mobile no. and email address linked to
the bank account;
12) Prize money will be credited directly in bank account of the winner by NPCI only;
Agenda for 39th GSTCM Table
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13) Winner consumer willbe eligible for prize in subsequent months too- except the bumper
prize;
14) Officers of NPCI and GST Department along with their immediate family members will
not be eligible for scheme.
5. It is proposed to meet the expenditure for the scheme of Rs. 54 Crore, out of the Consumer
Welfare Fund of the Centre as well of the States. It is further proposed that half of the amount will be
contributed by Centre and remaining half by all the States conjointly.
6. The issue is placed for approval of GST Council.


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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (ii): Issuance of Circular clarifying certain refund related issues
Master Circular on refunds was issued vide Circular No. 125/44/2019-GST dated 18.11.2019.
However, due to changes in the GST Acts and Rules subsequent to issuance of aforesaid circular, there is
a need to align the provision of the said circular with the amended provisions of the Acts and Rules. Further,
various references have been received from the field formations and the people of trade/ industry to clarify
certain issues relating to the refunds.
2. Thus, to discuss all the issues pertaining to refund together, a consolidated agenda on refund related
issues was placed before the Law Committee in the meeting held on 02.03.2020 wherein the Law
Committee has recommended for issuance of circular to clarify the following issues:
i. No Refund of accumulated input tax credit (ITC) on account of reduction in GST Rate
ii. Refund of unutilized ITC to be restricted to the ITC available in GSTR-2A of the relevant
period
iii. Provision for providing HSN/SAC code in the statement of invoices to be furnished with the
refund of unutilized ITC, wherever applicable
iv. Clubbing of Financial Years for filing refund
v. Manner of calculation of refund, in cases of refund of tax provided at S. No. (i) to (l) of para
3 of Circular No. 125/44/2019-GST dated 18.11.2019.

3. Accordingly, a draft circular, prepared as per the recommendations of the Law Committee, is placed
before the GST Council as Annexure for consideration and approval. To ensure uniformity and consistency
in implementation of these provisions, states would also be required to issue similar circular.

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Draft Circular
CBEC-20/01/06/2019-GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
GST Policy Wing
****

New Delhi, Dated the …., 2020
To,

The Principal Chief Commissioners/Chief Commissioners/Principal Commissioners/ Commissioners of
Central Tax (All)

The Principal Director Generals/ Director Generals (All)

Madam/Sir,
Subject: Clarification on refund related issues – Reg.
Various representations have been received seeking clarification on issues relating to refund. In
order to clarify these issues and to ensure uniformity in the implementation of the provisions of law across
the field formations, the Board, in exercise of its powers conferred by section 168 (1) of the Central Goods
and Services Tax Act, 2017 (hereinafter referred to as “CGST Act”), hereby clarifies the issues detailed
hereunder:

2. Refund of accumulated input tax credit (ITC) on account of reduction in GST Rate
2.1 It has been brought to the notice of the Board that various applicants are seeking refund of
unutilized ITC on account of inverted duty due to change in the GST rate on goods. The same can be
explained through an illustration. An applicant trading in goods has purchased, say goods “X” at 18%.
Subsequently, the rate of GST on “X” has reduced to, say 12%. Accordingly, there has been accumulation
of ITC in respect of goods lying in stock. Such applicants have sought refund of accumulated ITC under
clause (ii) of sub-section (3) of section 54 of the CGST Act.

2.2 Refund of accumulated ITC in terms clause (ii) of sub-section (3) of section 54 of the CGST Act
is applicable where the credit has accumulated on account of rate of tax on inputs being higher than the rate
of tax on output supplies. It is hereby clarified that refund of unutilized ITC under clause (ii) of sub-section
(3) of section 54 of the CGST Act is not permitted when ITC has been accumulated on account of reduction
in the rate of tax. It is further clarified that refund of accumulated ITC under clause (ii) of sub-section (3)
of section 54 of the CGST Act would not be applicable in cases where the input and the output supplies are
classified under the same Tariff Heading.
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3. Guidelines for refunds of unutilized Input Tax Credit

3.1 As per para 36 of circular No. 125/44/2019-GST dated 18.11.2019, the refund of ITC availed in
respect of invoices not reflected in FORM GSTR-2A was admissible. However, in wake of insertion of
sub-rule (4) to rule 36 of the CGST Rules, 2017 vide notification No. 49/2019-GST dated 09.10.2019,
various references have been received from the field formations regarding admissibility of refund of the
ITC availed on the invoices which are not reflecting in the FORM GSTR-2A of the applicant

3.2 The matter has been examined and it has been decided that the refund of accumulated ITC shall be
restricted to the ITC available in the FORM GSTR-2A of the applicant. Accordingly, para 36 of the circular
No. 125/44/2019-GST, dated 18.11.2019 stands modified to above extent.

4.1 References have also been received from the field formations that HSN wise details of goods and
services are not available in FORM GSTR-2A and therefore it is very difficult to distinguish ITC on capital
goods or input services out of total ITC for a relevant tax period. It is recommended for inclusion of a
column relating to HSN Code in the statement of invoices relating to inward supply as provided in
Annexure–B of the circular No. 125/44/2019-GST dated 18.11.2019 so as to easily identify between the
supplies of goods and services.

4.2 The issue has been examined and accordingly, a modified statement format is attached for
applicants to upload the details of invoices reflecting in their FORM GSTR-2A. Accordingly, Annexure-
B of the circular No. 125/44/2019-GST, dated 18.11.2019 stands modified to above extent. It is further
clarified that the applicant is required to mention the HSN/SAC code which is mentioned on the invoice
pertaining to input supply. In case where the supplier is not mandated to mention HSN/SAC code on the
invoice, the applicant shall refrain from mentioning HSN/SAC code against that supply.

5. Clubbing of Financial Years for filing refund

5.1 Hon’ble Delhi High Court in Order dated 21.01.2020, in the case of M/s Pitambra Books Pvt Ltd.,
vide the para 13 of the said order has stayed the rigour of paragraph 8 of Circular No. 125/44/2019-GST
dated 18.11.2019 and has also directed the Government to either open the online portal so as to enable the
petitioner to file the tax refund electronically, or to accept the same manually within 4 weeks from the order.

5.2 The restriction on clubbing of tax periods across different financial years was put in vide para 11.2
of the Circular No. 37/11/2018-GST dated 15.03.2018. The said circular was rescinded by the Master
Circular on Refunds No. 125/44/2019-GST dated 18.11.2019 and the said restriction on the clubbing of tax
periods across financial years for claiming refund has been continued vide Paragraph 8 of the Circular No.
125/44/2019-GST dated 18.11.2019, which is reproduced as under:

“8. The applicant, at his option, may file a refund claim for a tax period or by clubbing successive tax
periods. The period for which refund claim has been filed, however, cannot spread across different
financial years. Registered persons having aggregate turnover of up to Rs. 1.5 crore in the preceding
financial year or the current financial year opting to file FORM GSTR-1 on quarterly basis, can only apply
for refund on a quarterly basis or clubbing successive quarters as aforesaid. However, refund claims under
Agenda for 39th GSTCM Table
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categories listed at (a), (c) and (e) in para 3 above must be filed by the applicant chronologically. This
means that an applicant, after submitting a refund application under any of these categories for a certain
period, shall not be subsequently allowed to file a refund claim under the same category for any previous
period. This principle / limitation, however, shall not apply in cases where a fresh application is being filed
pursuant to a deficiency memo having been issued earlier.”

5.3 Hon’ble Delhi High Court vide para 12 of the aforesaid order dated 21.01.2020 has observed that
the Circulars can supplant but not supplement the law. Circulars might mitigate rigours of law by
granting administrative relief beyond relevant provisions of the statute, however, Central
Government is not empowered to withdraw benefits or impose stricter conditions than postulated by
the law.

5.4 On perusal of the provisions under Section 16(3) of the IGST Act 2017 and Section 54(3) of CGST
Act 2017, there appears no bar in claiming refund by clubbing different months across successive Financial
Years. The said restriction has been placed vide the above-mentioned Circular only.

5.5 Further, same issue has been raised in other representations, especially those received from the
merchant exporters wherein merchant exporters have received the supplies of goods in the month of March
and have made exports in the next Financial Year i.e. from April onwards. The restriction imposed vide
para 8 of the master refund circular prohibits the refund of ITC accrued in such cases as well.

5.6. The issue has been examined and it is decided that to remove the restriction on clubbing of tax
periods across financial years. Accordingly, the circular No. 125/44/2019-GST dated 18.11.2019 stands
modified to that extent.

6. Manner of calculation of refund

6.1 Circular No. 125/44/2019-GST dated 18.11.2019 in para 3 of the said circular has classified the
refunds to be filed in FORM GST RFD-01 in the following types:
a. Refund of unutilized input tax credit (ITC) on account of exports without payment of
tax;
b. Refund of tax paid on export of services with payment of tax;
c. Refund of unutilized ITC on account of supplies made to SEZ Unit/SEZ Developer
without payment of tax;
d. Refund of tax paid on supplies made to SEZ Unit/SEZ Developer with payment of tax;
e. Refund of unutilized ITC on account of accumulation due to inverted tax structure;
f. Refund to supplier of tax paid on deemed export supplies;
g. Refund to recipient of tax paid on deemed export supplies;
h. Refund of excess balance in the electronic cash ledger;
i. Refund of excess payment of tax;
j. Refund of tax paid on intra-State supply which is subsequently held to be inter-State
supply and vice versa;
k. Refund on account of assessment/provisional assessment/appeal/any other order;
Agenda for 39th GSTCM Table
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l. Refund on account of “any other” ground or reason.

6.2 For the refunds specified at S. No. (i) to (l) above, no separate debit of ITC from electronic credit
ledger is made by the applicant for claiming refund. Further, the total tax would have been paid by the
applicant by debiting amount from both electronic credit ledger and electronic cash ledger. At present, in
these cases, the amount of refund, if admissible, is paid in cash even when such payment of tax has been
made through ITC and any amount, if rejected, lapses unlike in cases of refund on account of zero-rated
supplies or deemed exports or inverted duty structure where the amount so rejected is automatically re-
credited to the electronic credit ledger.

6.3 However, in wake of amendment of CGST Rules 2017 vide Notification No. ________ dated ___
to provide for re-credit of ITC in the electronic credit ledger by way of issuance of Form GST PMT-03 by
the proper officer in cases where the payment of tax has been made by the way of debit of ITC from the
electronic credit ledger, it has been decided that in the cases involving refund of tax, the refund shall be
calculated in the following manner:

In cases of refund where the tax to be refunded has been paid by debiting by both electronic cash and credit
ledgers, the refund to be paid in cash and credit shall be calculated in the same proportion in which the cash
and credit ledger has been debited for discharging the total tax liability for the relevant period for which
refund has been filed. Such amount, if admissible, to be paid in Cash shall be sanctioned vide issuance of
order in GST RFD-06 and for the remaining amount FORM GST PMT-03 shall be issued to re-credit the
amount as ITC in the electronic credit ledger.

7. It is requested that suitable trade notices may be issued to publicize the contents of this circular.

8. Difficulty, if any, in implementation of this Circular may please be brought to the notice of the
Board. Hindi version would follow.
(Yogendra Garg)
Principal Commissioner (GST)



Agenda for 39th GSTCM Table
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Annexure-B
Statement of invoices to be submitted with application for refund of unutilized ITC
Sr
.
N
o.
GSTI
N of
the
Supp
lier
Nam
e of
the
Supp
lier
Invoice Details Type HSN/S
AC
Cent
ral
Tax
State
Tax/
Unio
n
Territ
ory
Tax
Integr
ated
Tax
Ce
ss
Eligible for
ITC
Amo
unt
of
eligi
ble
ITC
Invo
ice
No.
Da
te
Val
ue
Inputs/Inp
ut
Services/c
apital
goods
Yes/No/Pa
rtially

1 2 3 4 5 6 7 8 9 10 11 12 13 14

Agenda for 39th GSTCM Table
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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (iii): Physical verification and KYC of persons willing to take registration within first
six months and corresponding spike rule
At present, registration is deemed to be granted in three days. Further, the same is granted without
getting any physical verification done. It has been observed that the instances of fake invoicing and
fraudulent passing of ITC have been unearthed by tax authorities and in many such cases the registered
persons are either untraceable or dummy operators. This has led to revenue losses due to wrongful
monetization of fake ITC through refunds.
2.1 As one of the methods to curb such a menace, it is proposed that physical verification of premises and
Financial KYC of persons willing to obtain registration may be done. The same may be required to be
completed before obtaining the registration or within six months of obtaining the registration. In case a
person opts to get his verification done within six months of obtaining the registration, it is proposed to put
restriction in the quantum of ITC that can be passed by him to the extent of rupees 3 lakhs per month. Facility
would be provided to him to pass on the additional ITC, beyond the limit set, on deposit of 20% of additional
amount in cash ledger. Further, no refund would be allowed to taxpayers for the period during which the
verification / KYC has not been completed.
2.2 It is pertinent to note that in FY 2018-2019, a total of 12,67,893 new registrations were granted of
which only 20,302 (about 2%) taxpayers were such whose liability of tax was greater than Rs. 3 lacs on an
average per month in the first 6 months from registration. The limit of Rs. 3 Lacs of passing ITC per month
translates into a turnover of approx Rs. 3 Crores in B2B transaction only while B2C transaction remain
unaffected.
2.3 It is also important to note that the taxpayer on his own may also opt for a full financial KYC and
physical verification of premises and such restrictions and limitations shall cease to apply after positive
verification.
3. The proposal above would ensure that GST registration process complies with the EODB provisions
and a comprehensive check is done for the high risk (owing to large volume) businesses which push and/ or
avail high levels of ITC. The issue has been deliberated in the Law Committee on 09.03.20 and the Law
Committee has recommended amendment in the provisions of the CGST Rules to enable the implementation
of above recommendation. Draft rule amendment is placed as Annexure A to this agenda.
4. The issue is placed before the GST Council for deliberation and in principal approval and the
modalities and process of implementation and the consequent changes in law may be deliberated by GST
Policy Wing in consultation with GSTN.

Agenda for 39th GSTCM Table
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Annexure-A
Amendment in CGST Rules in order to operationalize Spike Rule

Step 1 – Registration is possible only for someone who has undergone physical verification and
submitted (and got verified by the proper officer) documents for physical and financial KYC as per a
prescribed FORM. Suggested amendment in Rule 8 with powers derived under section 25 (1).

8. Application for registration.-(1) Every person, other than a non-resident taxable person, a person
required to deduct tax at source under section 51, a person required to collect tax at source under section 52
and a person supplying online information and database access or retrieval services from a place outside
India to a non-taxable online recipient referred to in section 14 of the Integrated Goods and Services Tax
Act, 2017 (13 of 2017) who is liable to be registered under sub-section (1) of section 25 and every person
seeking registration under sub-section (3) of section 25 (hereafter in this Chapter referred to as “the
applicant”) shall, before applying for registration,-
(a) declare his Permanent Account Number, mobile number, e-mail address, State or Union territory in
Part A of FORM GST REG-01 on the common portal, either directly or through a Facilitation Centre
notified by the Commissioner;
(b) undergo physical verification of his premises from where he intends to make a taxable supply of goods
or services or both; and
(c) submit such details and such documents, and get them verified by the proper officer, for undergoing
a general and financial KYC, which the Government may, on the recommendations of the Council,
prescribe in this behalf, in FORM GST KYC- 1:

[Provided that a person having a unit(s) in a Special Economic Zone or being a Special Economic Zone
developer shall make a separate application for registration as a business vertical distinct from his other
units located outside the Special Economic Zone:]1
Provided [further]2 that every person being an Input Service Distributor shall make a separate application
for registration as such Input Service Distributor:
Provided further that applicants shall have the option to obtain registration without furnishing the details
in FORM GST KYC-1 and undergoing a physical verification, subject to the following conditions and
restrictions, -
(a) such registered persons shall, within six months of grant of his registration -
(i) undergo his physical verification of the registered premises; and
(ii) submit details and documents in FORM GST KYC-1,
(b) such registered persons after grant of registration, for the first six months or till the time physical
verification of registered premises is completed along with furnishing of FORM GST KYC-1, whichever
is earlier,
(i) shall not be allowed to pass on the input tax credit beyond a value of rupees three lakhs per
month in respect of supplies made by him, except where he deposits in his electronic cash ledger an

1 Omitted vide Notf no. 03/2019-CT dt. 29.01.2019 wef 01.02.2019
2 Omitted vide Notf no. 03/2019-CT dt. 29.01.2019 wef 01.02.2019
Agenda for 39th GSTCM Table
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amount equivalent to 20 per cent. of additional input tax credit, he intends to pass, in blocks of rupees
one lakh, and
(ii) shall not be eligible for any refund for the said period.

Step 2 – Refund for zero rated supplies not eligible to any person who has not undergone physical
verification (possible for existing taxpayers) or who has been granted preferential registration (by
opting to not get physical verification and KYC done but agreeing to not take refunds and pass on
limited amount of ITC). Suggested insertion of Rule 97B with powers derived under section 16 (2) of
the IGST Act.
97B. Non-eligibility of refunds.- Notwithstanding anything contained in this Chapter, for any process or
procedure prescribed herein, a registered person who has obtained registration under second proviso to sub-
rule (1) of rule 8 making zero rated supply shall not be eligible to claim refund for the first six months of
registration or till the time physical verification of registered premises is completed along with furnishing of
FORM GST KYC-1, whichever is earlier .

Step 3 – ITC beyond rupees three lakhs and such additional amounts as deposited in the electronic
cash ledger by a person obtaining preferential registration (by opting to not get physical verification
and KYC done but agreeing to not take refunds and pass on limited amount of ITC) to be barred by
law. Suggested amendment in Rule 59(3) and 36(4) with powers derived under section 41 (1).
59 (3) Subject to the restrictions contained in sub-rule (1) of rule 8, the details of outward supplies furnished
by the supplier shall be made available electronically to the concerned registered persons (recipients) in Part
A of FORM GSTR-2A, in FORM GSTR-4A and in FORM GSTR-6A through the common portal after
the due date of filing of FORM GSTR-1:
36 (4) Input tax credit to be availed by a registered person in respect of invoices or debit notes, the details of
which have not been uploaded by the suppliers under sub-section (1) of section 37, shall not exceed 10 per
cent. of the eligible credit available in respect of invoices or debit notes the details of which have been
uploaded, by the suppliers under sub-section (1) of section 37.
Step 4 – Dormant taxpayers, or taxpayers whose registration is liable to be cancelled, are potentially
risky and may be suspended automatically, and if such taxpayers ask for revocation of suspension
before subsequent cancellation, the criteria to be followed for new registration to be applied on them
before revoking the suspension. Suggested amendment in Rule 21A, 22(4) and 23(2)(a) with powers
derived under section 30 (1).
21(A) (2) Where the proper officer has reasons to believe that the registration of a person is liable to be
cancelled under section 29 or under rule 21, or the registered person has not furnished returns under section
39 for more than four months or has furnished nil return for more than six months, he may, after affording
the said person a reasonable opportunity of being heard, suspend the registration of such person with effect
from a date to be determined by him, pending the completion of the proceedings for cancellation of
registration under rule 22.
Agenda for 39th GSTCM Table
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22 (4) Where the reply furnished under sub-rule (2) is found to be satisfactory, the proper officer shall drop
the proceedings and pass an order in FORM GST REG –20:
[Provided that where the person instead of replying to the notice served under sub-rule (1) for contravention
of the provisions contained in clause (b) or clause (c) of sub-section (2) of section 29, furnishes all the
pending returns and makes full payment of the tax dues along with applicable interest and late fee, the proper
officer shall drop the proceedings and pass an order in FORM GST-REG 20]3
Provided further that the proper officer shall, before dropping the proceedings under this sub-rule,
ensure that the registered person, shall,-
a) undergo physical verification of his premises from where he intends to make a taxable supply of goods
or services or both; and
b) submit such details and such documents, and get them verified by the proper officer, for undergoing
a general and financial KYC, which the Government may, on the recommendations of the Council,
prescribe in this behalf, in FORM GST KYC- 1.
23 (2) (a) Where the proper officer is satisfied, for reasons to be recorded in writing, that there are sufficient
grounds for revocation of cancellation of registration, he shall revoke the cancellation of registration by an
order in FORM GST REG-22 within a period of thirty days from the date of the receipt of the application
and communicate the same to the applicant:
Provided that the proper officer shall, before revocation of cancellation under this sub-rule, ensure that the
registered person, shall,-
(a) undergo physical verification of his premises from where he intends to make a taxable supply of goods
or services or both; and
(b) submit such details and such documents, and get them verified by the proper officer, for undergoing
a general and financial KYC, which the Government may, on the recommendations of the Council,
prescribe in this behalf, in FORM GST KYC- 1.


3 Inserted vide Notf no. 39/2018-CT dt. 04.09.2018
Agenda for 39th GSTCM Table
Page 16 of 68
Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (iv): Proposed amendments in the CGST Act, 2017
Various representations, suggestions received and other feedbacks brought to notice through social,
electronic and print media regarding issues / difficulties in the GST regime faced by trade and industry. On
examination and analysis of the above, it was felt that certain amendments in the GST laws may be carried
out.
2. The Law Committee in its meeting held on 09.03.2020 has recommended some of the amendments in
the GST law. The rationale and the proposed amendment is annexed to this Agenda Note. The proposed
amendments are for Revenue Augmentation measures and Enforcement measures.
2. Following sections are proposed to be amended.
Sl. No. Sections to be amended Purpose
1 CGST - 83 Enforcement measures
2 CGST – 129/130 Revenue Augmentation and Enforcement measures
3 CGST – 74/107 Consequential to amendment in sections 129 / 130

3. The above proposals for amendment in the CGST Act, 2017, as recommended by the Law Committee
is placed before the GST Council for approval. The exact wordings of the amendments shall be finalised in
consultation with the Union Law Ministry. Similar amendments in law would have to be made in the
respective SGST Acts as well.
Enclosed: Annexure A

Agenda for 39th GSTCM Table
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Annexure A
LAW AMENDMENT PROPOSALS – CGST Act, 2017
Sl.
No.
Section
Gist of issue Proposal Suggested formulation Consequential changes
1. 83
Reference has also
been received from
the state of Gujarat
drawing attention
towards Order dated
17.12.2019 of the
Hon’ble High Court
of Gujarat on SCA
No. 19533 of 2019
filed by M/s Kushal
Ltd quashing and
setting aside the
provisional
attachment of the
bank account on the
ground that “the
proceedings under
section 67 of the
GST Acts are no
longer pending and
pursuant to the
search, proceedings
under any of the
other sections
mentioned in section
83 have not been
initiated. Under the
circumstances, on
the date when the
orders of
provisional
attachment came to
be made, the basic
requirement for
exercise of powers
under section 83 of
The issue of an
amendment by
insertion of an
explanation in
section 83 has been
examined and it is
observed that
section 83 needs to
be substantially
amended to make it
more
comprehensive.

In addition to the
draft proposal as
shown in next
column, it was also
deliberated as to
whether
Commissioner
should exercise the
power of
provisional
attachment or it
should be given to
an officer not
below the rank of
Joint
Commissioner.
There were differing
views on this. Few
members opined that
the power to be
assigned to Joint
Commissioner,
mainly on the
ground that it may
Draft as recommended by
Law Committee

83. Provisional attachment to
protect revenue in certain
cases.-(1) Where any
proceedings has been initiated
under chapter XII, Chapter XIV
or Chapter XV, during the
pendency of any proceedings
under section 62 or section 63 or
section 64 or section 67 or
section 73 or section 74 of
assessment or determination of
tax on supplies escaping levy of
tax, and the Commissioner is of
the opinion that for the purpose
of protecting the interest of the
Government revenue, it is
necessary so to do, he may, by
order in writing attach
provisionally any property,
including bank account,
belonging to the taxable person
or any person specified in sub-
section (1A) of Section 122 in
such manner as may be
prescribed.”
(2) Every such provisional
attachment shall cease to have
effect after the expiry of one
year from the date of the order
made under sub-section (1).
Draft as circulated to Law
Committee

Agenda for 39th GSTCM Table
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the GST Acts was
not satisfied”.
not be possible for
Commissioner in
geographically large
State to exercise this
power
expeditiously.
It may also be
deliberated
whether
provisional
attachment of
property is to be
restricted to
taxable person or it
should be done for
beneficial owner
also.
83. Provisional attachment to
protect revenue in certain
cases.-(1) Where during the
pendency of any proceedings
under section 62 or section 63
or section 64 or section 67 or
section 73 or section 74 of
assessment or determination of
tax on supplies escaping levy
of tax, the Commissioner is of
the opinion that for the purpose
of protecting the interest of the
Government revenue, it is
necessary so to do, he may, by
order in writing attach
provisionally any property,
including bank account,
belonging to the taxable person
in such manner as may be
prescribed.”
(2) Every such provisional
attachment shall cease to have
effect after the expiry of one
year from the date of the order
made under sub-section (1).
2. 129 / 130
/ 74
1. Section 129 is for
detention, seizure
and release of goods
and conveyances in
transit. Section 67
covers all other
cases of seizure.
Section 130 covers
is for confiscation of
goods or
conveyances and
levy of penalty.
However, both
section 129 and 130
starts with a non-
obstante clause
1. It is proposed to
de-link section 130
from the
proceedings under
section 129 by
amending the sub-
section (6) of section
129. Similar
provision existed in
many State VAT
Acts.
2. The words
“Notwithstanding
anything contained
in this Act” in
129. Detention, seizure and
release of goods and
conveyances in transit
(1) Notwithstanding
anything contained in this Act,
where any person transports any
goods or stores any goods while
they are in transit in
contravention of the provisions
of this Act or the rules made
thereunder, all such goods and
conveyance used as a means of
transport for carrying the said
goods and documents relating to
such goods and conveyance
shall be liable to detention or
130. (1) Notwithstanding
anything contained in this
Act, if If any person—
(i) supplies or receives any
goods in contravention of
any of the provisions of this
Act or the rules made
thereunder with intent to
evade payment of tax; or
(ii) does not account for any
goods on which he is liable
to pay tax under this Act; or
(iii) supplies any goods
liable to tax under this Act
without having applied for
registration; or
Agenda for 39th GSTCM Table
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which creates
confusion whether
confiscation can be
done without
seizure.
2. Explanation
to section 74
prescribes that
proceedings under
section 129 and 130
are deemed to be
concluded in case
the person liable to
pay tax under
section 73/74
concludes the
proceedings by
paying tax, interest
and applicable
penalty.
ii. Section 131
provides that
confiscation or
penalty not to
interfere with other
punishments.
3.i. Section 129
(1) (a) and (b) states
that detention and
seizure shall be
released on payment
of the applicable tax
and penalty. When
the applicable tax
and amount is not
paid, confiscation
proceedings under
section 130 would
be initiated.
ii. Penalty and
fine is detailed in
section 130 (1) and
130(2). However,
section 130 may be
omitted.
3. Section 129 and
130 to be omitted
from Explanation to
section 74 so as to
allow seizure and
confiscation a
separate proceeding
from recovery of tax
under section 73/74
4. i. The words
“on payment of the
applicable tax and”
may be omitted from
129(1)(a) and (b).
Related changes
would be required in
other clauses of
section 129 so as to
allow demand of
only penalty and
fine.
ii. Sub-section
(3) of section 130
may be omitted.
seizure and after detention or
seizure, shall be released,––
(a) on payment of the
applicable tax and penalty equal
to two hundred per cent. of the
tax payable on such goods and,
in case of exempted goods, on
payment of an amount equal to
two per cent of the value of
goods or twenty five thousand
rupees, whichever is less, where
the owner of the goods comes
forward for payment of such tax
and penalty;
(b) on payment of the
applicable tax and penalty equal
to the fifty per cent. of the value
of the goods or two hundred per
cent. of the tax payable on such
goods, whichever is higher
reduced by the tax amount paid
payable thereon and, in case of
exempted goods, on payment of
an amount equal to five per cent
of the value of goods or twenty
five thousand rupees, whichever
is less, where the owner of the
goods does not come forward
for payment of such tax and
penalty;
(c) upon furnishing a
security equivalent to the
amount payable under clause (a)
or clause (b) in such form and
manner as may be prescribed:
Provided that no such goods or
conveyance shall be detained or
seized without serving an order
of detention or seizure on the
person transporting the goods.

(2) The provisions of sub-
section (6) of section 67 shall,
(iv) contravenes any of the
provisions of this Act or the
rules made thereunder with
intent to evade payment of
tax; or
(v) uses any conveyance as a
means of transport for
carriage of goods in
contravention of the
provisions of this Act or the
rules made thereunder
unless the owner of the
conveyance proves that it
was so used without the
knowledge or connivance of
the owner himself, his agent,
if any, and the person in
charge of the conveyance,
then, all such goods or
conveyances shall be liable
to confiscation and the
person shall be liable to
penalty under section 122.
(2) Whenever confiscation
of any goods or conveyance
is authorised by this Act, the
officer adjudging it shall
give to the owner of the
goods an option to pay in
lieu of confiscation, such
fine as the said officer thinks
fit:
Provided that such fine
leviable shall not exceed the
market value of the goods
confiscated, less the tax
chargeable thereon:
Provided further that the
aggregate of such fine and
penalty leviable shall not be
less than the amount of
penalty leviable under sub-
section (1) of section 129:
Agenda for 39th GSTCM Table
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section 130(3) again
speaks about
demand of tax, in
addition to fine and
penalty.
4. Doubts have been
raised as to whether
“penalty equivalent
to the tax specified
in the notice” as per
section 74(1) is
independent of the
penalty under
section 122; to say
that whether officer
can impose penalty
equivalent to tax
under section 74(1)
and penalty under
section 122
equivalent to tax one
more time. It is
proposed to clarify
point 4 through a
Circular.
mutatis mutandis, apply for
detention and seizure of goods
and conveyances.

(3) The proper officer
detaining or seizing goods or
conveyances shall issue a
notice, within seven days of the
detention or seizure, as the case
may be, specifying the tax and
penalty payable and thereafter,
pass an order, within a period of
seven days from the date of
service of such notice, for
payment of tax and penalty
under clause (a) or clause (b) or
clause (c).:
(4) No tax, interest or
penalty shall be determined
under sub-section (3) without
giving the person concerned an
opportunity of being heard.
(5) On payment of amount
referred to in sub-section (1), all
proceedings in respect of the
notice specified in sub-section
(3) shall be deemed to be
concluded.
(6) Where the person
transporting any goods or the
owner of the goods fails to pay
the amount of tax and penalty as
provided in sub-section (1)
within fourteen days of such
detention or seizure, further
proceedings shall be initiated in
accordance with the provisions
of section 130: fifteen days from
the date of the receipt of the
copy of the order passed under
sub-section (3), the goods so
detained or seized shall be liable
to be sold or disposed off
Provided also that where any
such conveyance is used for
the carriage of the goods or
passengers for hire, the
owner of the conveyance
shall be given an option to
pay in lieu of the
confiscation of the
conveyance a fine equal to
the tax payable on the goods
being transported thereon.
(3) Where any fine in lieu of
confiscation of goods or
conveyance is imposed
under sub-section (2), the
owner of such goods or
conveyance or the person
referred to in sub-section
(1), shall, in addition, be
liable to any tax, penalty and
charges payable in respect of
such goods or conveyance.
(4) No order for confiscation
of goods or conveyance or
for imposition of penalty
shall be issued without
giving the person an
opportunity of being heard.
(5) Where any goods or
conveyance are confiscated
under this Act, the title of
such goods or conveyance
shall thereupon vest in the
Government.
(6) The proper officer
adjudging confiscation shall
take and hold possession of
the things confiscated and
every officer of Police, on
the requisition of such
proper officer, shall assist
him in taking and holding
such possession.
Agenda for 39th GSTCM Table
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otherwise, in the manner and
within the time prescribed, to
recover the penalty per the order
passed under sub-section (3):
Provided that, the conveyance
shall be released in such cases
on payment of penalty under
sub-section (3) or one lakh
rupees, whichever is less, by the
transporter:
Provided further that where the
detained or seized goods are
perishable or hazardous in
nature or are likely to depreciate
in value with passage of time,
the said period of fourteen
fifteen days may be reduced by
the proper officer.

(7) The proper officer may,
after satisfying himself that
the confiscated goods or
conveyance are not required
in any other proceedings
under this Act and after
giving reasonable time not
exceeding three months to
pay fine in lieu of
confiscation, dispose of such
goods or conveyance and
deposit the sale proceeds
thereof with the
Government.

74.
.
.
Explanation 1.—For the
purposes of section 73 and
this section,—
(i) the expression “all
proceedings in respect of the
said notice” shall not include
proceedings under section
132;
(ii) where the notice under
the same proceedings is
issued to the main person
liable to pay tax and some
other persons, and such
proceedings against the
main person have been
concluded under section 73
or section 74, the
proceedings against all the
persons liable to pay penalty
under sections 122, and 125,
129 and 130 are deemed to
be concluded.


Agenda for 39th GSTCM Table
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107.
(6) No appeal shall be filed
under sub-section (1), unless
the appellant has paid—
(a) in full, such part
of the amount of tax,
interest, fine, fee
and penalty arising
from the impugned
order, as is admitted
by him; and
(b) a sum equal to
ten per cent. of the
remaining amount
of tax in dispute
arising from the said
order, in relation to
which the appeal
has been filed. or
(c) a sum equal to
twenty-five per
cent. of the penalty
arising out of sub-
section (3) of
section 129 of the
Act.



Agenda for 39th GSTCM Table
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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (v): Proposal to issue notification and circular clarifying issues related to corporate
debtors under the provisions of the Insolvency and Bankruptcy Code, 2016
Various representations seeking clarification on issues being faced by entities covered under
Insolvency and Bankruptcy Code, 2016 have been received. The IBC, 2016 and provisions of GST Act, 2017
as summarised below which need to be harmoniously read and a method be prescribed for collection of GST
during the resolution period.
i. As per IBC, once an entity defaults certain threshold amount, Corporate Insolvency Resolution process
(CIRP) gets triggered and the management of such entity (Corporate Debtor) and its assets vest with
a Resolution Professional (RP). IT continues to run the business and operations of the said entity as a
going concern till the insolvency proceeding is over.
ii. As per the IBC code, once CIRP is initiated with respect to a Corporate Debtor, the RP is required to
make public announcement calling for financial and operational claims for the dues pending from
debtor till the insolvency commencement date.
iii. As per the provisions of IBC and regulations made thereunder, the RP is duty bound for compliance
of all laws that are applicable to the corporate debtor. Therefore, the RP is required to deposit all the
statutory dues including GST for the period post the insolvency commencement date.
iv. Section 14 provides for a declaration of moratorium by the NCLT. It states-
“14. Moratorium. -
(1) Subject to provisions of sub-sections (2) and (3), on the insolvency commencement date, the
Adjudicating Authority shall by order declare moratorium for prohibiting all of the
following, namely: -
(a) the institution of suits or continuation of pending suits or proceedings against the corporate
debtor including execution of any judgment, decree or order in any court of law, tribunal,
arbitration panel or other authority……
v. During CIRP period, the existing GST law does not allow for filing returns by RP. It may be noted
that as per section 2 (77) of the CGST Act, a return furnished under section 39 (1) shall be valid once
self-assessed tax is paid in full. Further as per section 16 of the CGST Act, any service recipient can
not avail the credit unless the supplier has paid the entire self-assessed tax. Therefore, during CIRP,
the Resolution Professional cannot file a return on GSTN portal, since the GST dues for the pre- CIRP
period has not been paid by the corporate debtor.
vi. It may be noted that RP are willing to deposit the GST dues for the CIRP period and file monthly
return thereafter. However, since return cannot be filed by RP pending clearance of all dues by the
corporate debtor for pre- CIRP period, they are not able to comply the laws as applicable to them.
vii. All the stages starting from default stages to post insolvency resolution, the events can be divided into
following three states as per the table under.
Agenda for 39th GSTCM Table
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Default stage: pre - CIRP
Corporate Insolvency
Resolution process (CIRP)
Post CIRP
 Corporate debtor defaults in
payment of statutory dues
and breaches threshold
limit.
 It applies insolvency
resolution process.
 Admission of proceeding
by NCLT. (insolvency
commencement date)
 Resolution Professional
takes over the business and
operation of corporate
debtor as going concern.
 RP is responsible for
compiling all statutory law
applicable to corporate
debtor.
 New entity takes over as
per the outcome of the
CIRP proceedings.

viii. NCLT order dated 25.10.2019 in the matter of Axis Bank vs Prius Commercial projects Pvt. Ltd has
held that:
a. GST authorities should not take any coercive action against the corporate debtor with respect to
dues for period prior to insolvency commencement date
b. GST authorities shall allow the RP to deposit the GST dues for the CIRP period and allow filing
of returns so that appropriate GST credit can be passed on to the customers of the corporate debtor.
ix. Similarly, NCLT, Chennai Bench vide its order dated 05.12.2019 in the matter of Kiran Global Chem
Limited VS. Asst. Commissioner (ST) has directed the GST authorities to allow the corporate debtor
to have access to GSTN portal, permit the applicant to file GST returns generated after the
commencement of CIRP period without insisting upon payment of past dues of GST arisen during
pre-admission period.
x. At present RPs are not paying tax. As per the date provided by NCLT, total 19,771 cases were pending
with NCLT benches as on 30.09.2019 which includes 10,860 cases under IBC, 2016 proceedings.
Some of the cases pertain to big corporate houses involving huge revenue.
xi. It may be noted that for recovery of dues or compliance in the Post CIRP period would be as per the
directions of the Tribunal.
xii. The legal and practical challenges for each of the stages above pertain to: -
a) Filing of Returns
b) Claiming of credit by the recipient who received supplies from the corporate debtor during the
CIRP period.
c) Issues arising out of the demands being raised by the GST authorities for the period prior to
Insolvency Commencement Date.
d) Issues due to cancellation of registration of a corporate debtor.
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2. On examination and analysis of the above, it is proposed to issue a notification (Annexure-A)
specifying the special procedure for such taxpayers stipulating the process of registration, filing of the
statement of outward supplies and filing of returns under GST for the period when an interim resolution
professional / resolution professional has been appointed. Further, a circular (Annexure-B) clarifying several
issues related to corporate debtors undergoing corporate insolvency process under the provisions of the
Insolvency and Bankruptcy Code, 2016 is also proposed to be issued.
3. The above proposals for issuance of notification and circular, as recommended by the Law Committee,
are placed before the GST Council for approval.



Agenda for 39th GSTCM Table
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Annexure-A
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs

Notification No. __/2020 – Central Tax

New Delhi, the __th February, 2020

G.S.R.....(E).–In exercise of the powers conferred by section 148 of the Central Goods and Services Tax Act,
2017 (12 of 2017) (hereafter in this notification referred to as the CGST Act), the Government, on the
recommendations of the Council, hereby notifies those registered persons (hereinafter referred to as erstwhile
registered person), who are corporate debtors under the provisions of the Insolvency and Bankruptcy Code,
2016 (31 of 2016), undergoing the corporate insolvency resolution process (hereafter in this notification
referred to as the CIRP) and the management of whose affairs are being undertaken by interim resolution
professionals (IRP) or resolution professionals (RP), as the class of persons who shall follow the following
special procedure, from the date of the appointment of the IRP/RP till the period it undergoes the corporate
insolvency resolution process (hereafter in this notification referred to as the CIRP period), as mentioned
below.
2. Registration: The said class of persons shall, with effect from the date of appointment of IRP / RP, be
treated as a distinct person of the corporate debtor, and shall be liable to take a new registration (hereinafter
referred to as the new registration) in each of the States or Union territories where the corporate debtor was
registered earlier, within thirty days of the appointment of the IRP/RP;
Provided that in cases where the IRP/RP has been appointed prior to the date of this notification, he
shall take registration within thirty days of issuance of this notification, with effect from date of his
appointment as IRP/RP.
3. Return: The said class of persons shall, after obtaining registration file the first return under section 40 of
the said Act, from the date on which he becomes liable to registration till the date on which registration has
been granted.
4. Input tax credit : (1) The said class of persons shall, in his first return, be eligible to avail input tax credit
on invoices covering the supplies of goods or services or both, received since his appointment as IRP/RP but
bearing the GSTIN of the erstwhile registered person, subject to the conditions of Chapter V of the CGST
Act and rule made thereunder, except the provisions of sub-section (4) of section 16 of the CGST Act and
sub-rule (4) of rule 36 of the CGST Rules;
(2) Registered persons who are receiving supplies from the said class of persons shall, for the period from
the date of appointment of IRP / RP till the date of registration as required in this notification or 30 days
from the date of this notification, whichever is earlier, be eligible to avail input tax credit on invoices issued
using the GSTIN of the erstwhile registered person, subject to the conditions of Chapter V of the CGST Act
and rule made thereunder, except the provisions of sub-rule (4) of rule 36 of the CGST Rules;
Agenda for 39th GSTCM Table
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(5) Any amount deposited in the cash ledger by the IRP/RP, in the existing registration, from the date of
appointment of IRP/RP to the date of registration in terms of this notification shall be available for refund to
the erstwhile registration.
4. For the purposes of this notification, unless the context otherwise requires, the terms “corporate debtor”,
“corporate insolvency resolution professional”, “interim resolution professional”, and “resolution
professional” etc. shall have the same meaning as assigned to them under the Insolvency and Bankruptcy
Code, 2016 (31 of 2016).
[F.No.20/06/09/2019-GST]

(Pramod Kumar)
Director, Government of India



Agenda for 39th GSTCM Table
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Annexure-B
CBEC-20/16/04 /2018 -GST
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs
GST Policy Wing
New Delhi, dated February, 2019
To,
The Principal Chief Commissioners / Chief Commissioners / Principal Commissioners / Commissioners of
Central Tax (All)
The Principal Director Generals / Director Generals (All)

Madam/Sir,

Subject: Clarification in respect of issues under GST law for companies under Insolvency and
Bankruptcy Code, 2016-Reg.

Various representations have been received from the trade and industry seeking clarification on issues
being faced by entities covered under Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as the
“IBC, 2016”).

2. As per IBC, once an entity defaults certain threshold amount, Corporate Insolvency Resolution process
(hereafter referred to as “CIRP”) gets triggered and the management of such entity (Corporate Debtor) and
its assets vest with an interim resolution professional (hereafter referred to as “IRP”) or resolution
professional (hereafter referred to as “RP”). It continues to run the business and operations of the said entity
as a going concern till the insolvency proceeding is over and an order is passed by the National Company
Law Tribunal (hereinafter referred to as the “NCLT”)

3. To address the aforementioned problems, notification No…./2020- Central Tax dated …. has been
issued by the Government prescribing special procedure under section 148 of the Central Goods and Services
Tax Act, 2017 (hereinafter referred to as the “CGST Act”) for the corporate debtors who are undergoing
CIRP under the provisions of IBC, 2016 and the management of whose affairs are being undertaken by
IRP/RP. In order to ensure uniformity in the implementation of the provisions of the law across the field
formations, the Board, in exercise of its powers conferred under section 168(1) of the CGST Act hereby
clarifies various issues in the table below:-

S.No. Issue Clarification
1. How are dues under GST for pre-
CIRP period be dealt?
In accordance with the provisions of the IBC, 2016 and
various legal pronouncements on the issue, no coercive
action can be taken against the corporate debtor with
respect to the dues for period prior to insolvency
commencement date. The dues of the period prior to the
Agenda for 39th GSTCM Table
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commencement of CIRP will be treated as ‘operational
debt’ and claims may be filed by the proper officer before
the NCLT in accordance with the provisions of the IBC,
2016. The tax officers shall seek the details of supplies
made / received and total tax dues pending from the
corporate debtor to file the claim before the NCLT.
Moreover, section 14 of the IBC mandates the imposition
of a moratorium period, wherein the institution of suits or
continuation of pending suits or proceedings against the
corporate debtor is prohibited.
2 Should the GST registration of
corporate debtor be cancelled?
It is clarified that the GST registration of an entity for which
CIRP has been initiated should not be cancelled under the
provisions of section 29 of the CGST Act, 2017. The proper
officer may, if need be, suspend the registration. In case the
registration of an entity undergoing CIRP has already been
cancelled and it is within the period of revocation of
cancellation of registration, it is advised that such
cancellation may be revoked by taking appropriate steps in
this regard.
3 Is IRP/RP liable to file returns of
pre-CIRP period?
No. In accordance with the provisions of IBC, 2016, the
IRP/RP is under obligation to comply with all legal
requirements for period after the Insolvency
Commencement Date. Accordingly, it is clarified that
IRP/RP are not under an obligation to file returns of pre-
CIRP period.
During CIRP period
5 Should a new registration be taken
by the corporate debtor during the
CIRP period?
The corporate debtor who is undergoing CIRP is to be
treated as a distinct person of the corporate debtor and shall
be liable to take a new registration in each States or Union
territories where the corporate debtor was registered earlier,
within thirty days of the appointment of the IRP/RP.
Further, in cases where the IRP/RP has been appointed
prior to the issuance of notification No…., dated……, he
shall take registration within thirty days of issuance of the
said notification, with effect from date of his appointment
as IRP/RP.
6 How to file First Return after
obtaining new registration?
The IRP/RP will be liable to furnish returns, make payment
of tax and comply with all the provisions of the GST law
during CIRP period. The IRP/RP is required to ensure that
the first return is filed under section 40 of the CGST Act,
for the period beginning the date on which it became liable
to take registration till the date on which registration has
been granted.
Agenda for 39th GSTCM Table
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7 How to avail ITC for invoices issued
to the erstwhile registered person in
case the IRP/RP has been appointed
before issuance of notification
No…., dated….. and no return has
been filed by the IRP during the
CIRP ?
The special procedure issued under section 148 of the
CGST Act has provided the manner of availment of ITC
while furnishing the first return under section 40.
The said class of persons shall, in his first return, be eligible
to avail input tax credit on invoices covering the supplies of
goods or services or both, received since appointment as
IRP/RP and during the CIRP period but bearing the GSTIN
of the erstwhile registered person, subject to the conditions
of Chapter V of the CGST Act and rule made thereunder,
except the provisions of sub-section (4) of section 16 of the
CGST Act and sub-rule (4) of rule 36 of the CGST Rules.
In terms of the special procedure under section 148 of the
CGST Act issued vide notification no….., dated….This
exception is made only for the first return filed under
section 40 of the CGST Act.
8. How to avail ITC for invoices by
persons who are availing supplies
from the corporate debtors
undergoing CIRP, in cases where
the IRP/RP was appointed before
the issuance of the notification
no….., dated….?
Registered persons who are receiving supplies from the said
class of persons shall, for the period from the date of
appointment of IRP / RP till the date of registration as
required in this notification or 30 days from the date of this
notification, whichever is earlier, be eligible to avail input
tax credit on invoices issued using the GSTIN of the
erstwhile registered person, subject to the conditions of
Chapter V of the CGST Act and rule made thereunder,
except the provisions of sub-rule (4) of rule 36 of the CGST
Rules.
9 Some of the IRP/RPs have made
deposit in the cash ledger of
erstwhile registration of the
corporate debtor. How to claim
refund for amount deposited in the
cash ledger by the IRP/RP?
Any amount deposited in the cash ledger by the IRP/RP, in
the existing registration, from the date of appointment of
IRP / RP to the date of notification specifying the special
procedure for corporate debtors undergoing CIRP, shall be
available for refund to the erstwhile registration under the
head refund of cash ledger, even though the relevant
FORM GSTR-3B/GSTR-1 are not filed for the said
period. The Circular No. 125/44/2019-GST dt. 18.11.2019
is modified to this extent.

4. It is requested that suitable trade notices may be issued to publicize the contents of this circular.
5. Difficulty, if any, in the implementation of the above instructions may please be brought to the notice
of the Board. Hindi version would follow.

(Yogendra Garg)
Principal Commissioner(GST)

Agenda for 39th GSTCM Table
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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (vi): Proposal to issue Removal of difficulty order for extending the time limit for
revocation of cancellation of registration
Reference is invited to letter from Commissioner of Commercial Tax, Government of Tamil Nadu,
wherein request has been made to issue Removal of Difficulties Order (RoD) so that application for
revocation may be made for order passed for cancellation of registration. In this regard, it is pertinent to
mention that Tamil Nadu like other State / Central Government Tax authorities have cancelled registration
as per the provisions of Section 29 of the CGST Act, particularly, for not furnishing returns for six
consecutive months. Further, the time-period for making application for revocation of order of cancellation
of registration for such taxpayers have already been over. They have also crossed the time-period for making
appeal under Section 107 of the CGST Act. Hence, the law does not permit revocation of such cancellation
orders. Tamil Nadu has informed that based on the data analysis, they have found that there are 66,977
persons whose registration have been cancelled and are still continuing their business operation. Now, since
revocation of cancellation of registration cannot be done for most of such taxpayers, their ITC will lapse in
case these taxpayers take a new registration. Tamil Nadu has said that such arrangement is not conducive for
efficient tax administration. In view of the same, request has been made to issue RoD to allow for such
revocation. The same was agreed in the meeting of Committee of Officers for revenue augmentation in its
meeting held on 26.02.2020.
2. It is noteworthy that such one-time relaxation was provided vide RoD No. 5/2020- GST dated
23.04.2019, wherein the order of cancellation of registration passed till 31.03.2019 was allowed to be
revoked if application for revocation was made till 22.07.2019. Further, rules were amended to enable
furnishing of return by such taxpayers vide amendment of rule 23(1) through Notification No. 20/2019-
Central Tax dated 23.04.2019. A Circular was also issued for clarification in order to have smooth
implementation of the same.
3. In the past few months, concentrated drive has been made to weed out dormant registrations which
have not been furnished returns for past six months. Since, taxpayers are still getting acquainted with this
new ‘complete online system’, it is desirable to allow one-time amnesty to taxpayers and to allow revocation
of such cancellation orders. It is noteworthy that CGST Act is being amended (Finance Bill,2020) to provide
power to Joint /Additional Commissioner to allow period of application for revocation to be extended by 30
days which can be further extended by 30 days by the Commissioner.
4. In view of the above, it is proposed that a RoD on lines similar to the earlier said RoD may be issued
wherein all the cancellation order passed up to 14.03.2020 may be allowed to file application for revocation
of cancellation till 30.06.2020. The proposed RoD order is enclosed as Annexure A.
5.Accordingly, the proposal to issue the RoD order is placed before the GST Council for approval.

Agenda for 39th GSTCM Table
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Annexure A
[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3,
SUB-SECTION (ii)]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs

Removal of Difficulty Order No. -Central Tax

New Delhi, the March, 2020

S.O. (E). ––WHEREAS, sub-section (2) of section 29 of the Central Goods and Services Tax Act, 2017
(hereinafter referred to as the ‘CGST Act’) provides for cancellation of registration by proper officer in
situations described in clause (a) to clause (e) as under: -
(a) a registered person has contravened such provisions of the Act or the rules made thereunder as may be
prescribed; or
(b) a person paying tax under section 10 has not furnished returns for three consecutive tax periods; or
(c) any registered person, other than a person specified in clause (b), has not furnished returns for a
continuous period of six months; or
(d) any person who has taken voluntary registration under sub-section (3) of section 25 has not commenced
business within six months from the date of registration; or
(e) registration has been obtained by means of fraud, willful misstatement or suppression of facts:
Provided that the proper officer shall not cancel the registration without giving the person an
opportunity of being heard.

AND WHEREAS, sub-section (1) of section 169 of the CGST Act provides for service of notice (opportunity
of being heard); clause (c) and (d) of said sub-section are as under: -
……….
(c) by sending a communication to his e-mail address provided at the time of registration or as amended
from time to time; or
(d) by making it available on the common portal; or
………
AND WHEREAS, sub-section (1) of Section 30 provides for revocation of cancellation of the
registration within thirty days from the date of service of the cancellation order.
AND WHEREAS, sub-section (1) of section 107 of the CGST Act provides for filing appeal by any
person aggrieved by any decision or order passed by an adjudicating authority within three months from
the date on which the said decision or order is communicated to such person and sub-section (4) of section
107 of the CGST Act empowers the Appellate Authority that it may, if he is satisfied that the appellant was
Agenda for 39th GSTCM Table
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prevented by sufficient cause from presenting the appeal within the aforesaid period of three months, allow
it to be presented within a further period of one month.

AND WHEREAS a large number of registrations have been cancelled under sub-section (2) of section
29 of the CGST Act by the proper officer by serving notices as per clause (c) and clause (d) of sub-section
(1) of section 169 of the CGST Act and the period of thirty days provided for revocation of cancellation
order in sub-section (1) of section 30 of the CGST Act, the period for filing appeal under section (1) of
section 107 of the CGST Act and also the period of condoning the delay provided in sub-section (4) of
Section 107 of the CGST Act has elapsed; the registered persons whose registration have been cancelled
under sub-section (2) of section 29 of the CGST Act are unable to get their cancellation of registration
revoked despite having fulfilled all the requirements for revocation of cancellation of registration. GST
being a new Act, these taxpayers were not familiar with the manner of service of notice by e-mail or making
available at portal in comparison to earlier regime where manual service of notice was provided, as a result
whereof certain difficulties have arisen in giving effects to the provisions of sub-section (1) of section 30
of the CGST Act;

NOW, THEREFORE, in exercise of the powers conferred by section 172 of the Central Goods and
Services Tax Act, 2017, the Central Government, on recommendations of the Council, hereby makes the
following Order, to remove the difficulties, namely: ––
Short title––This Order may be called the Central Goods and Services Tax (First Removal of
Difficulties) Order, 2020.-

In sub-section (1) of section 30 of the said Act, after the first proviso, the following proviso shall be
inserted, namely: -

“Provided further that the registered person who was served notice under sub-section (2) of section 29 in the
manner as provided in clause (c) or clause (d) of sub-section (1) of section 169 and who could not reply to
the said notice, thereby resulting in cancellation of his registration certificate and is hence unable to file
application for revocation of cancellation of registration under sub-section (1) of section 30 of the Act,
against such order passed up to 14.03.2020, shall be allowed to file application for revocation of cancellation
of the registration till 30.06.2020.”.


[F. No. ]

( )
Under Secretary to the Government of India.


Agenda for 39th GSTCM Table
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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (vii): Status update on conversion of Goods And Services Tax Network (GSTN) into
100% Government owned Company
The GST Council in its 27th Meeting held on 4th May, 2018 decided that GSTN will be converted
into a 100% Government-owned entity by transferring 51% equity shares held by the Non-Government
institutions to the Centre and states equally. The Union Cabinet in its Meeting held on 26th September, 2018
approved the proposal to convert GSTN into a fully-owned Government Company with 50% equity of the
Company to be held by the Central Government and the balance 50% to be held by States and Union
Territories.

2. Further, the GST Council in its 31st Meeting held on 22nd December, 2018 and the Department of
Revenue (DOR), Government of India vide its Letter No

3. S-31011/5/2018-ST-1-DoR dated 17th January, 2019 both have approved the revised shareholding
pattern of GSTN as per (Annexure-1).

4. In order to facilitate the above decision and consequent to the approval as accorded by the shareholders
of GSTN in their Extra-Ordinary General Meeting (EGM) held on 21st June, 2019, the Empowered
Committee of State Finance Ministers (EC) & all Non- Government Institutions have already offered their
entire existing shareholding in GSTN through Share Transfer Notice for Sale/Transfer to Centre, State
Governments & Union Territories accordingly in order to convert GSTN into a 100% Government-owned
entity as per (Annexure-2) and hence this will result into change of share capital/ownership structure of
GSTN.

5. Pursuant to Share Transfer Notices issued by the Empowered Committee & Non- Government
Institutions, the respective Transferees (Centre and States) are required to acknowledge the receipt of the
above Share Transfer Notice and communicate their acceptance through Purchase Notice to the respective
Transferor(s) within 30 days from the receipt of Share Transfer Notice. Post acceptance of the offer to
purchase the share, Centre, State Governments & Union Territories are required to pay share purchase
consideration to them accordingly.

6. The State Governments of Tamil Nadu, Sikkim and Chhattisgarh have not yet communicated their
acceptance till date and thereafter need to make the payment for share transfer in their favour as well.

7. The following Governments have accepted the proposal; however, the payment is still pending from
them:

Agenda for 39th GSTCM Table
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8. Accordingly, it is proposed that:
a. State Governments of Tamil Nadu, Sikkim and Chhattisgarh may accept the above offer; and
b. Centre and 16 other State Governments as listed above may be requested to make payment
of their respective share purchase consideration and execute necessary documentations including
Shareholders’ Agreement (Annexure-3) and send the same to GSTN in order to expedite the matter
of conversion of GSTN.

9. The Council may take note of the above and issue necessary advisory/directions to all concerned
in order to complete the above transaction at the earliest.


S
No.
Governments S
No.
Governments
1 Government of India 10 Government of Uttarakhand
2 Government of Gujarat 11 Government of Assam
3 Government of Tamil Nadu 12 Government of Kerala
4 Government of Rajasthan 13 Government of Jharkhand
5 Government of Sikkim 14 Government of Uttar Pradesh
6 Government of Andhra Pradesh 15 Government of Chhattisgarh
7 Government of Bihar 16 Government of Arunachal Pradesh
8 Government of Nagaland 17 Government of Telangana
9 Government of Mizoram
Agenda for 39th GSTCM Table
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Annexure 1


Agenda for 39th GSTCM Table
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Agenda for 39th GSTCM Table
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Annexure 2


S. No. Transferee Transferor's Share
certificate Number
Distinctive
Number of
Shares to be
transferred
(Lower Limit)
Distinctive
Number of
Shares to be
transferred
(Upper Limit)
Non Government
Institution/EC
(Transferor)
Nos. of
shares to be
acquired
New
Share
certificat
e number
Consideration
payable for
shares @ Rs. 10
each to Non-
Government
Institutions
Aggregate
consideration
payable for
shares @ Rs.
10 each to
Non-
Government
Institutions
Transfer Duty
to afixed on
share transfer
form (SH-4) by
Government
@ 0.25%
Aggregate
Transfer
Duty to
afixed on
share
transfer form
(SH-4) by
Government
@ 0.25% 7 2,92,501 3,25,000 32,500 NA 3,25,000 812.50
16 9,06,787 9,71,429 64,643 NA 6,46,430 1,616.08
38 56,14,694 61,30,611 5,15,918 NA 51,59,180 12,897.95
44 86,65,062 90,52,000 3,86,939 NA 38,69,390 9,673.48
5 2,24,251 2,60,000 35,750 NA 3,57,500 893.75
14 7,71,037 8,42,143 71,107 NA 7,11,070 1,777.68
36 45,31,266 50,98,775 5,67,510 NA 56,75,100 14,187.75
40 70,78,612 75,04,244 4,25,633 NA 42,56,330 10,640.83
3 1,59,251 1,91,750 32,500 NA 3,25,000 812.50
12 6,41,751 7,06,393 64,643 NA 6,46,430 1,616.08
34 34,99,430 38,52,286 3,52,857 57 35,28,570 8,821.43
2 Government of Punjab 34 38,52,287 39,34,576 82,290 58 8,22,900 8,22,900 2,057.25 2057.25
34 39,34,577 40,15,347 80,771 59 8,07,710 8,07,710 2,019.28 2019.28
41 75,04,245 75,05,763 1,519 60 15,190 15,190 37.98 37.98
4 Government of Odissa 41 75,05,764 75,88,053 82,290 61 8,22,900 8,22,900 2,057.25 2057.25
5 Government of Tamil Nadu 41 75,88,054 76,70,343 82,290 62 8,22,900 8,22,900 2,057.25 2057.25
6 Government of Jammu & Kashmir 41 76,70,344 77,52,633 82,290 63 8,22,900 8,22,900 2,057.25 2057.25
7 Government of Maharastra 41 77,52,634 78,34,933 82,300 64 8,23,000 8,23,000 2,057.50 2057.50
41 78,34,934 78,91,183 56,250 65 5,62,500 5,62,500 1,406.25 1406.25
4 1,91,751 2,17,790 26,040 66 2,60,400 2,60,400 651.00 651.00
4 2,17,791 2,24,250 6,460 67 64,600 64,600 161.50 161.50
13 7,06,394 7,71,036 64,643 68 6,46,430 6,46,430 1,616.08 1616.08
35 40,15,348 40,26,534 11,187 69 1,11,870 1,11,870 279.68 279.68
10 Government of Karnataka 35 40,26,535 41,08,824 82,290 70 8,22,900 8,22,900 2,057.25 2057.25
11 Government of Andra Pradesh 35 41,08,825 41,91,114 82,290 71 8,22,900 8,22,900 2,057.25 2057.25
12 Government of Meghalya 35 41,91,115 42,73,404 82,290 72 8,22,900 8,22,900 2,057.25 2057.25
13 Government of Bihar 35 42,73,405 43,55,694 82,290 73 8,22,900 8,22,900 2,057.25 2057.25
14 Government of Nagaland 35 43,55,695 44,37,984 82,290 74 8,22,900 8,22,900 2,057.25 2057.25
15 Government of Himanchal Pradesh 35 44,37,985 45,20,274 82,290 75 8,22,900 8,22,900 2,057.25 2057.25
35 45,20,275 45,31,265 10,991 76 1,09,910 1,09,910 274.78 274.78
42 78,91,184 79,62,482 71,299 77 7,12,990 7,12,990 1,782.48 1782.48
17 Government of Mizoram 42 79,62,483 80,44,772 82,290 78 8,22,900 8,22,900 2,057.25 2057.25
18 Government of Uttarakhand 42 80,44,773 81,27,062 82,290 79 8,22,900 8,22,900 2,057.25 2057.25
19 Government of Haryana 42 81,27,063 82,09,352 82,290 80 8,22,900 8,22,900 2,057.25 2057.25
42 82,09,353 82,78,122 68,770 81 6,87,700 6,87,700 1,719.25 1719.25
6 2,60,001 2,73,520 13,520 82 1,35,200 1,35,200 338.00 338.00
6 2,73,521 2,92,500 18,980 83 1,89,800 1,89,800 474.50 474.50
15 8,42,144 9,05,453 63,310 84 6,33,100 6,33,100 1,582.75 1582.75
15 9,05,454 9,06,786 1,333 85 13,330 13,330 33.33 33.33
37 50,98,776 51,79,732 80,957 86 8,09,570 8,09,570 2,023.93 2023.93
23 Government of Manipur 37 51,79,733 52,62,022 82,290 87 8,22,900 8,22,900 2,057.25 2057.25
24 Government of Tripura 37 52,62,023 53,44,312 82,290 88 8,22,900 8,22,900 2,057.25 2057.25
25 Government of West Bengal 37 53,44,313 54,26,602 82,290 89 8,22,900 8,22,900 2,057.25 2057.25
26 Government of Delhi 37 54,26,603 55,08,892 82,290 90 8,22,900 8,22,900 2,057.25 2057.25
27 Government of Jharkhand 37 55,08,893 55,91,182 82,290 91 8,22,900 8,22,900 2,057.25 2057.25
37 55,91,183 56,14,693 23,511 92 2,35,110 2,35,110 587.78 587.78
43 82,78,123 83,36,901 58,779 93 5,87,790 5,87,790 1,469.48 1469.48
29 Government of Chhattisgarh 43 83,36,902 84,19,191 82,290 94 8,22,900 8,22,900 2,057.25 2057.25
30 Government of Madhya Pradesh 43 84,19,192 85,01,481 82,290 95 8,22,900 8,22,900 2,057.25 2057.25
31 Government of Arunachal Pradesh 43 85,01,482 85,83,771 82,290 96 8,22,900 8,22,900 2,057.25 2057.25
32 Government of Telangana 43 85,83,772 86,65,061 81,290 97 8,12,900 8,12,900 2,032.25 2032.25
TOTAL 51,00,000 5,10,00,000.00 5,10,00,000 1,27,500.00 1,27,500.00
33 Government of Telangana 2 79,626 1,59,250 Empowered Committee 79,625 NA 7,96,250.00 79,625.00 1,990.63
34 Government of Telangana 9 4,83,376 4,83,750 Empowered Committee 375 NA 3,750.00 3,750.00 9.38 2,000.00
1,00,00,000
1,10,00,000 27,500.00
25,000.00
NSE Investments Limited
LIC Housing Finance Limited
45,00,000 11,250.00
ICICI Bank Limited
Government of Kerala
22
Government of Uttar Pradesh
28
20 Government of Assam
21
Government of Goa
3
HDFC Limited
HDFC Bank Limited
Government of Sikkim
Union Territory of Puducherry
16
9
Government of Gujarat
1 Government of India
8 Government of Rajasthan
Agenda for 39th GSTCM Table
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Annexure 3
Annexure A as referred in Articles of Association

SHAREHOLDERS’ AGREEMENT

This Shareholders Agreement is made on this ______day of ______________, 2019 (“Agreement”)
BY AND BETWEEN

1. The Government of India (hereinafter referred to as “Central Government”) acting through and
represented by the________________________, Department of Revenue, Ministry of Finance, Government of
India (which expression shall include its successors in office) of the one part; and

2. [The Governments of States in the Union of India listed in Schedule 1 hereto (hereinafter individually referred to
as “State Government” and collectively referred to as "State Governments"), acting through and
represented by the person mentioned in Schedule 1 of the second part]; and

3. Empowered Committee of State Finance Ministers (hereinafter referred to as “EC”) a society
registered under the Societies Registration Act, 1860, having its registered office at [ ] acting through and
represented by the ________________________, (which expression shall include its successors in office) of
the third part; and

4. [The Parties listed in Schedule 2 hereto (hereinafter individually referred to as “Private Participant” and
collectively referred to as "Private Participants") (which expression shall, unless it be repugnant or contrary to
the subject or context thereof, be deemed to mean and include their respective nominees, legal representatives
and successors) of the fourth part]

The Central Government, the EC, [the State Governments] and the Private Participants, are hereinafter collectively
referred to as the "Parties" and individually as the “Party”.

WHEREAS:

A. The GOODS AND SERVICES TAX NETWORK is a private limited not-for-profit company incorporated
and existing under the provisions of the (Indian) Companies Act, with its registered office at [ ] (hereinafter
referred to as the “Company”, which expression shall, unless it be repugnant or contrary to the subject or
context thereof, be deemed to mean and include its legal representatives, successors and permitted assign);

B. The Company has been incorporated to, amongst others, promote trade and commerce by providing easily
accessible, quick and efficient information technology and communications related services to the public and
Government;
Agenda for 39th GSTCM Table
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C. According to the Articles of Association of the Company, every entity which intends to be a shareholder
in the Company is required to execute a Shareholders’ Agreement in order to be entitled to receive Shares of the
Company;
D. The Central Government is the beneficial and legal owner of 24.5% of the issued, subscribed and paid up equity
share capital of the Company as on date of this Agreement.

E. The State Governments and the EC are collectively the beneficial and legal owners of 24.5% of the issued,
subscribed and paid up equity share capital of the Company as on date of this Agreement.

F. Private Participants are collectively the beneficial and legal owners of 51% of the issued, subscribed and paid
up equity share capital of the Company as on date of this Agreement.

G. The Parties hereby intend to set forth and record the terms and conditions to govern the relationships in
their mutual capacity as the Member or shareholders of the Company once shares are issued to them and to
record their respective rights and obligations in relation to the management and functioning of the Company
and other matters incidental thereto.

NOW THEREFORE, in consideration of the above recitals, the mutual covenants of the Parties, and other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as
follows:

1. DEFINITIONS AND INTERPRETATIONS
(a) “Articles of Association” or “AOA” means the articles of association of the Company;

(b) “Business Day” means a day (other than a Saturday or Sunday) on which public sector banks are open for
business in New Delhi;

(c) “Charter Documents” means the Memorandum of Association and Articles of Association of the
Company incorporating as appropriate, and consistent with, to the extent permitted by law, the terms and
conditions of this Agreement;

(d) “Deed of Adherence” means the Deed of Adherence to be executed in accordance with Clause 5 hereof.


1.1. In this Agreement, except to the extent that the context otherwise requires:
i. Capitalized terms used but not defined herein shall have the same meaning as ascribed to them under
the Articles of Association.

ii. References to Clauses are to clauses of this Agreement;
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iii. Headings to Clauses are for convenience only and are to be ignored in construing this Agreement;

iv. References to a “entity” are to be construed so as to include any firm, company, Government, or any
joint venture, association or partnership (whether or not having a separate legal personality);

v. References to a “company”, are to be construed so as to include any company, corporation, or other
body corporate, wherever and however established;

vi. References to any statute or statutory provisions are to be construed as a reference to the same as it
may have been, or may from time to time, amended modified or reenacted;

vii. Words denoting the singular include the plural and vice versa and words importing the masculine
gender include feminine and neuter genders and vice versa;

viii. References to Annexures, Schedules and Recitals are to annexures, schedules and recitals to
this Agreement and shall be taken, read and construed as essential parts of this Agreement but headings
and the table of contents are for ease of reference and shall be ignored in construing this Agreement;

ix. The word “month” wherever used shall mean the period of time which ends on the same date as it
commenced in the previous month but if there is no numerically corresponding date in the following
month then the period shall end on the last day of the month;

x. Time being the essence of this Agreement; and

xi. References to “Rs.” or “Rupees” or “INR” are references to lawful currency of India.

2. CAPITAL STRUCTURE

The paid up share capital of the Company shall at all times be owned and maintained in the proportion mentioned
in Table I of Article 6 of the Articles of Association (Agreed Proportion).

3. FUTURE CAPITALIZATION

3.1 In order to ensure that percentage of Shares held by each shareholder is maintained as per the Agreed
Proportion, all parties to this Agreement (including the Parties) hereby agree that each party (including the Parties)
shall be allotted Shares against its total investment in the Company in such proportion only as may be required
to maintain the Agreed Proportion. The remaining part of the total investment of each party (including the
Parties) shall be allocated towards share application money (Pending Share Application Money) and further
shares against such Pending Share Application Money shall be issued in accordance with the AOA and this
Agreement in a manner that Agreed Proportion is maintained.

3.2 Subscription of the Shares by any party other than the Parties hereto (New Shareholder(s)) shall be in
Agenda for 39th GSTCM Table
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accordance with the AOA. Allotment of Shares to the New Shareholder shall take place in accordance with
the AOA and the directions of the Board thereafter. Where applicable, shareholders having the Pending Share
Application Money with the Company will be issued Shares against such Pending Share Application Money
simultaneously with the Shares issued to any New Shareholder in proportion and in a manner that ensures that
the aggregate shareholding of each shareholder of the Company at all times remains in accordance with the
Agreed Proportion.

3.3 If the authorized share capital of the Company is further increased, the Members of Group A and Group B
shall proportionately subscribe to the Shares in order to maintain the overall Agreed Proportion



4. TRANFER OF SHARES

All matters including matters related to the transfer or transmission of Shares and the management of the
Company shall be governed by the AOA in addition to this Agreement.

5. DEED OF ADHERENCE

Any entity (other than the Parties) that intends to subscribe to the Shares of the Company shall have to
execute the deed of adherence in the form specified in Annexure 1 hereof (“Deed of Adherence”) and undertake
and be bound by the terms and conditions of the Agreement before being eligible to be a shareholder in the
Company. Any entity that executes the Deed of Adherence shall be deemed to be a party to this Agreement.

6. RESERVED MATTERS- SHAREHOLDER’S MEETINGS

6.1 The shareholders shall take all the needful steps to ensure that Company is doing the business in accordance
with the provisions of this Agreement and Charter Documents.

6.2 The matters set forth in Schedule 3 hereof shall only be decided in accordance with the procedure set out in
Article 38 and 39 of the AOA.

7. OBLIGATIONS OF PARTIES

7.1 Each shareholder shall share with the Company, free of cost, all relevant information, knowledge and data,
whether confidential or not (except any trade secrets), that is required and necessary for the smooth functioning
of the Company.

7.2 Each shareholder shall transfer to the Company, free of cost, such of its knowledge as is required and
necessary for the smooth functioning of the Company.

7.3 For the purpose of this Clause, the shareholders may decide upon the information, data and knowledge
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that is required and necessary for the smooth functioning of the Company.

7.4 Each shareholder shall provide to the Company, and keep update, its address for the purpose of serving the
notice by the Company.

8. REPRESENTATIONS AND WARRANTIES

8.1 Each of the Non-Government Institutions that become party to this Agreement hereby warrants and
represents to other parties of the Agreement that:

(i) it is duly organized and validly existing under law and has all requisite legal power and authority to
execute this Agreement and carry out the terms, conditions and provisions hereof;
Agenda for 39th GSTCM Table
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(ii) the execution and delivery by the such parties to this Agreement has been duly authorized by all requisite
corporate and other action and will not contravene any provisions of or constitute a default under, any other
agreement or instrument to which it is a party or by which it may be bound;

(iii) this Agreement will constitute following the execution and delivery thereof valid and legally binding
obligations of such parties, enforceable against it in accordance with its respective terms in accordance with
the applicable laws;

(iv) it is not insolvent and no insolvency proceedings have been instituted, nor threatened or pending by
or against it and it shall forthwith give notice to the other parties to this Agreement and to the Company upon
knowing of any such proceedings being instituted or threatened to be instituted against such party;

(v) except those disclosed to the Company and shareholders at the date of execution of this Agreement
or Deed of Adherence, there are no actions, suits, claims, proceedings or investigations pending or, to the best
of the knowledge of such parties, threatened in writing against it at law, in equity, or otherwise, whether civil
or criminal in nature, before or by, any court, commission, arbitrator or Governmental Authority, and there
are no outstanding judgments, decrees or orders of any such courts, commissions, arbitrators or governmental
authorities, which materially and adversely affects its ability to perform its obligations under this Agreement;

8.2 Each of the parties to this Agreement [including the EC] that are not Non-Government Institutions hereby
represents and warrants to the other parties of this Agreement that:

(i) it has the power and authority to enter into and perform its obligations under this Agreement;

(ii) this Agreement has been duly authorized, executed and delivered by it and constitutes a valid and
binding obligation enforceable against it in accordance with its terms;

(iii) to the best of its knowledge, neither the execution and delivery of this Agreement by it nor the
performance of its obligations will violate, adversely affect, contravene or breach or create any default under any
agreement, instrument, judgment of the applicable law.

9. CONFIDENTIALITY

9.1 Each of the Non-Government Institutions that are party to this Agreement agrees that it shall not, at any
time or under any circumstances, without the prior written consent of the Company and the Central
Government, [EC] or the State Governments as may be applicable, directly or indirectly communicate or
disclose to any entity or person any knowledge, data or information, irrespective of form, howsoever acquired by
them including the information relating to the consumers, technology, trade secrets, systems, operations or other
confidential information regarding the property, business and affairs of the Company or the Central
Government, the EC or the State Governments("Confidential Information").
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9.2 Provided however that the confidentiality obligation under this Clause 9 shall be subject to the following
exceptions:

(i) Disclosure to the employees and auditors requiring the information for the purposes of this
Agreement subject to the execution of a confidentiality agreement by them; or

(ii) Disclosure to legal advisors and professional consultants subject to the execution of a
confidentiality agreement by them; or

(iii) If the information is, prior to the execution of this Agreement lawfully in the possession of the Investor
through sources other than the Party(ies); or

(iv) If such information has been released or disclosed by requirement of law; or

(v) If the information is or becomes generally and publicly available, other than due to reason of breach of
this Agreement.

9.3 The Private Participants shall maintain and cause to be maintained all Confidential Information, as secret and
confidential using the same degree of care as they use for their own confidential information of similar nature,
but in any event no less than reasonable care, as per this Clause 9 even after the termination of this Agreement
for any reason whatsoever.

10. Termination

10.1 This Agreement shall terminate:
i. With respect to all parties of this Agreement, upon the dissolution or winding up of the Company; or

ii. With respect to any one or more parties to this Agreement, upon such one or more of such parties
ceasing to be a shareholder of the Company;

iii. With respect to any one or more parties to this Agreement, upon any material breach by such one or
more parties (“Defaulting Party”) of any of its representations, warranties, covenant and/or undertakings
herein and/or the Articles of Association.

10.2 In case of termination of this Agreement under Clause 10.1 (iii) due to any material breach by any
Non-Government Institution, such Non-Government Institution shall, if decided by the Board, transfer its
entire shareholding in the Company in the manner as may be directed by the Board in accordance with the
AOA.

11. EFFECTIVE DATE

11.1 For the Parties, this Agreement shall be effective from the date of execution of this Agreement.
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11.2 For the parties to this Agreement other than the Parties, this Agreement shall be effective from the date of
issuance of Shares to such parties.
12. MISCELLANEOUS
12.1 Notices

12.1.1 Any notice to be given under this Agreement shall be deemed to have been duly given upon
receipt when in writing and delivered in person, by facsimile transmission, by telex, email or by courier,
addressed as follows:-

i. If to Central Government
Address: Ministry of Finance (MoF)
Department of Revenue (DoR)
State Taxes Section-1, Government of India
275, North Block
New Delhi- 110001.
Attention: Under Secretary to Government of India
ii.If to Empowered Committee
Address: B-603, Delhi Secretariat IP Estate, New Delhi- 110002.
Attention: Advisor (EC)

iii. If to State Government

 Name: Andhra Pradesh
Address: D.No.5-59, R. K. Spring Valley Apartments,Bandar Road,Eedupugallu Village, Kankipadu
Mandal, Vijayawada, Krishna District, Pin-521144
Attention: Commissioner (CT)

 Name: Goa
Address: Commissioner of Commercial Taxes,
Government of Goa,
Vikrikar Bhavan,
Panaji – 400301
Attention: Commissioner (CT)

 Name: Haryana
Address: Excise & Taxation Commissioner, Govt. of Haryana, Vanijya Bhawan, Plot No. I-3, Sector-
Agenda for 39th GSTCM Table
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5,
Panchkula - 134151
Attention: Commissioner (CT)

 Name: Karnataka
Address: Commissioner (Commercial Taxes), Govt. of Karnataka, 1st Floor, Vanijya Therigi Karyalay,
First Main Road,
Gandhinagar, Bangalore – 560009
Attention: Commissioner (CT)

 Name: Kerala
Address: Commissioner, Commercial Taxes, State GST Department, Government of Kerala,
Tax Tower, 9th Floor, Killipalam,
Karamana P.O.,
Thiruvananthapuram-695002
Attention: Commissioner (CT)

 Name: Maharastra
Address: Commissioner of Sales Tax,
Govt. of Maharashtra, Vikrikar Bhawan, 8th Floor, Mazgaon, Mumbai – 400010
Attention: Commissioner (CT)

 Name: Meghalaya
Address: Commissioner of Taxes, Govt. of Meghalaya, Main Secretariat Building,
Shillong – 793001
Attention: Commissioner (CT)

 Name: Sikkim
Address: Spl. Commissioner Cum Commissioner Commercial Tax
Commercial Tax Division
Finance, Revenue & Expenditure
Department, Govt. of Sikkim,
Deorali, Gangtok - 737101
Attention: Commissioner (CT)

 Name: Tamil Nadu
Address: Commissioner, Commercial Commercial Taxes,
Govt. of Tamil Nadu,
Ezhilagam, Chepauk, Channai-600005"
Attention: Commissioner (CT)
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 Name: Arunachal Pradesh
Address: Commissioner,
Tax & Excise, Govt. of Arunachal Pradesh, Kar Bhawan, Itanagar – 791111
Attention: Commissioner (CT)

 Name: Assam
Address: Commissioner of Taxes,
Govt. of Assam, Kar Bhawan, DISPUR, Guwahati – 781006"
Attention: Commissioner (CT)

 Name: Bihar
Address: Commissioner Commercial Tax,
Commercial Taxes, Govt. of Bihar,
Vikas Bhawan, Patna – 800015
Attention: Commissioner (CT)

 Name: Chhattisgarh
Address: Commissioner, Commercial Tax,
Govt. of Chhattisgarh,
Mantralaya, Dau Kalyan Singh Bhawan,
Raipur-492001
160001
Attention: Commissioner (CT)

 Name: Delhi
Address: Commissioner, Trade Tax,
Govt. of NCT Delhi, Bikrikar Bhawan, I.T.O., Indraprastha Estate,
New Delhi – 110002
Attention: Commissioner (CT)

 Name: Gujarat
Address: Commissioner, Commercial Tax,
Govt. of Gujarat, Rajya Kar Bhavan, Ashram Road, Ahmedabad – 380009
Attention: Commissioner (CT)

 Name: Himachal Pradesh
Address: Excise & Taxation Commissioner, Govt. of Himachal Pradesh
Block No. 30, SDA Complex,
Shimla – 171009
Attention: Commissioner (CT)
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 Name: Jammu & Kashmir
Address: Commissioner of Commercial Taxes,
Department of Commercial Tax,
Government of Jammu & Kashmir,
Excise & Taxation Complex,
Solina, Rambagh,
Srinagar – 190001 (from May to Oct.)
OR
Address: Commissioner of Commercial Taxes,
Excise & Taxation Complex,
Rail Head Complex, Panama Chowk, Jammu-180001 (from Nov. to Apr.)
Attention: Commissioner (CT)

 Name: Jharkhand
Address: Principal Secretary-cum-Commissioner,
Commercial Taxes Department,
Government of Jharkhand,
Project Building, Dhurwa, Ranchi
Attention: Commissioner (CT)



 Name: Madhya Pradesh
Address: Commissioner (Commercial Tax),
Govt. of Madhya Pradesh,
Moti Bangla Compound, M.G. Road, Indore - 452007
Attention: Commissioner (CT)

 Name: Manipur
Address: Government of Manipur,
Directorate Complex,
Near 2nd MR Gate,
Imphal - 795001,
Manipur, India
Attention: Commissioner (CT)

 Name: Mizoram
Address: Office of Commissioner of State Tax, Taxation Department, Government of Mizoram, New
Capital Complex, Taxation Building, Aizawl - 796001
Attention: Commissioner (CT)
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 Name: Nagaland
Address: Office of the Commissioner of Taxes
Opposite DC court
Dimapur-797112(Nagaland)
Attention: Commissioner (CT)

 Name: Odisha
Address: Commissioner, Commercial Taxes,
Govt. of Odisha,
Vanjiya Kar Bhawan, Old Secretariat Cmapus, Buxi Bazar
Cuttack– 753001
Attention: Commissioner (CT)

 Name: Puducherry
Address: First Floor, 100 feet Road, Ellapillaichavady, Pondicherry-605005
Attention: Commissioner (CT)

 Name: Punjab
Address: Excise & Taxation Commissioner,
Excise & Taxation Bhawan, Sector 69, Mohali - 160067
Attention: Commissioner (CT)

 Name: Rajasthan
Address Commissioner (Commercial Taxes),
Govt. of Rajasthan, Kar Bhawan, Bhawani Singh Road, JAIPUR – 302005
Attention: Commissioner (CT)


 Name: Tripura
Address: Commissioner of Taxes & Excise,
3rd Floor, Pundit Nehru Complex,
Gurkhabasti, Post Office Kunjaban,
Agartala 799006
Attention: Commissioner (CT)

 Name: Uttar Pradesh
Address: Commissioner, Commercial Taxes,
Govt. of Uttar Pradesh,
Vibhuti Khand, Gaumati Nagar,
Lucknow - 226010
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Attention: Commissioner (CT)

 Name: Uttarakhand
Address: Commissioner, Commercial Tax,
Government of Uttarakhand,
Commercial Tax Headquarter,
Mussooriee by pass Road, Jogiwala Nathanpur (near pulia no. 6),
Dehradun‐ 248001
Attention: Commissioner (CT)

 Name: West Bengal
Address: Commissioner of Commercial Taxes, Govt. of West Bengal,
14, Beliaghata Road, Kolkata – 700015
Attention: Commissioner (CT)

iv. If to Private Participants

 Name: LIC Housing Finance Ltd
Address: 131, Maker Tower "F" Premises,
13th Floor, Cuffe Parade,
Mumbai-400005
Attention: Director

 Name: NSE Strategic Investment Corporation Ltd
Address: Exchange Plaza,
C-1, Block-G, Bandra Kurla Complex,
Bandra East, Mumbai-4000051.
Attention: Director

 Name: HDFC Ltd
Address: HDFC House, HT Parekh Marg, 165-166, Backbay, Reclamation, Church Gate,
Mumbai- 400020
Attention: Director

 Name: HDFC Bank Ltd
Address: Country Head, Wholesale Banking Operations &
Cash Management Products,
HDFC Bank Ltd., HDFC Bank House,
5th Floor, Senapati Bapat Marg,
Lower Parel Marg, Mumbai- 400013.
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Attention: Director

 Name: ICICI Bank Ltd
Address: Senior General Manager,
ICICI Bank Ltd., ICICI Bank Towers,
Bandra- Kurla Complex,
Mumbai-400051
Attention: Director

12.1.2 Any Party may change its address provided above for the purpose of this Agreement by giving
written notice to the shareholders of such change forthwith in the manner hereinabove provided.

12.2 Governing Law

This Agreement shall be governed and interpreted by and construed in accordance with the laws of India without
giving effect to the principles of conflict of laws there under. Courts at New Delhi shall have the exclusive
jurisdiction.

12.3 Entire Agreement

Subject to the AOA, this Agreement, together with all Annexures, Schedules, Exhibits and attachments hereto,
represents the entire agreement and understanding between the parties to this Agreement with respect to the subject
matter of this Agreement and supersedes any prior agreement or understanding, written or oral, that the parties to
this Agreement may have had.

12.4 Amendments

Any modification, amendment, or waiver of any provision of this Agreement shall be effective if, but only if,
in writing and signed in person or by an authorized representative of each party to this Agreement except
consequent upon conversion of company into 100% Government company the EC and Private Participants
shall from the date of conversion be no longer parties to this agreement and this agreement shall remain in
force amongst the remaining parities and shall stand modified to this extent and governed accordingly as per
the amended AOA of the company.


12.5 Severability

If any article, clause, section or paragraph, or part thereof, of this Agreement or any agreement or document
appended hereto or made a part hereof is invalid, ruled illegal by any court of competent jurisdiction, or
unenforceable under present or future applicable laws, then it is the intention of the parties to this Agreement
that the remainder of the Agreement, or any agreement or document appended hereto or made a part hereof, shall
not be affected thereby unless the deletion of such provision shall cause this Agreement to become materially
adverse to any party in which case the parties shall negotiate in good faith such changes to the Agreement
Agenda for 39th GSTCM Table
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as will best preserve for the parties the benefits and obligations under such provision.
12.6 Counterparts

This Agreement may be executed in two or more counterparts, and by each Party on the same or different
counterparts, but all of such counterparts shall together constitute one and the same instrument.

12.7 Waivers

No failure by a Party to take any action with respect to a breach of this Agreement or a default by any other Party
shall constitute a waiver of the former Party's right to enforce any provision of this Agreement or to take action
with respect to such breach or default or any subsequent breach or default. Waiver by any Party of any breach
or failure to comply with any provision of this Agreement by a Party shall not be construed as, or constitute, a
continuing waiver of such provision, or a waiver of any other breach of or failure to comply with any other
provision of this Agreement.

12.8 No Agency

This Agreement shall not constitute any Party as the legal representative or agent of another Party, nor shall any
Party have the right or authority, to assume, create or incur any liability or obligation, express or implied,
against, in the name of, or on behalf of another Party.

12.9 No Third Party Beneficiaries

Nothing expressed or mentioned in this Agreement is intended or shall be construed to give any entity other than
the Parties hereto (and their respective successors and permitted assigns) any legal or equitable right, remedy or
claim under or in respect of this Agreement or any provision herein contained.

12.10 Survival

The obligations of confidentiality mentioned in Clause 9 shall survive indefinitely irrespective of any termination
of this Agreement for whatever reasons or without reasons what so ever

IN WITNESS WHEREOF the Parties have hereunto set their respective hands the day and year first above written.
SIGNED AND DELIVERED by .......................
for and on behalf of the Government of India
Witnessed by:
Name:
Address:
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SIGNED AND DELIVERED by .......................
for and on behalf of Empowered Committee of State
Finance Ministers

Witnessed by:

Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Andhra Pradesh

Witnessed by:
Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Goa

Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Haryana

Witnessed by::
Name:
Address:
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SIGNED AND DELIVERED by .......................
for and on behalf of Government of Karnataka

Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Kerala

Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Maharashtra

Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Meghalaya

Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by .......................
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for and on behalf of Government of Sikkim:

Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Tamil Nadu

Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Arunachal Pradesh

Witnessed by::
Name:
Address:


SIGNED AND DELIVERED by .......................
for and on behalf of Government of Assam

Witnessed by::
Name:
Address:
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SIGNED AND DELIVERED by .......................
for and on behalf of Government of Bihar

Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Chhattisgarh

Witnessed by::

Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Delhi

Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Gujarat

Witnessed by::
Name:
Address:



SIGNED AND DELIVERED by .......................
for and on behalf of Government of Himachal Pradesh
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Witnessed by:
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Jammu & Kashmir
Witnessed by:
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Jharkhand
Witnessed by:
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Madhya Pradesh
Witnessed by:
Name:
Address:
SIGNED AND DELIVERED by .......................
for and on behalf of Government of Manipur
Witnessed by:
Name:
Address:


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SIGNED AND DELIVERED by.......................
for and on behalf of State Government of Mizoram
Witnessed by:

Name:
Address:


SIGNED AND DELIVERED by.......................
for and on behalf of Government of Nagaland
Witnessed by:

Name:
Address:
SIGNED AND DELIVERED by.......................
for and on behalf of Government of Odisha
Witnessed by:

Name:
Address:

SIGNED AND DELIVERED by.......................
for and on behalf of Government of Puducherry
Witnessed by:
Name:
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Address:


SIGNED AND DELIVERED by.......................
for and on behalf of Government of Punjab
Witnessed by:
Name:
Address:


SIGNED AND DELIVERED by.......................
for and on behalf of Government of Rajasthan
Witnessed by::

Name:
Address:

SIGNED AND DELIVERED by.......................
for and on behalf of Government of Tripura
Witnessed by::

Name:
Address:


SIGNED AND DELIVERED by.......................
for and on behalf of Government of Uttar Pradesh
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Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by .......................
for and on behalf of Government of Uttarakhand
Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by.......................
for and on behalf of Government of West Bengal
Witnessed by::
Name:
Address:

SIGNED AND DELIVERED by.......................
for and on behalf of LIC Housing Finance Corporation Ltd
Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by.......................
for and on behalf of NSE Strategic Investment Corporation Ltd
Witnessed by::
Name:
Address:
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SIGNED AND DELIVERED by.......................
for and on behalf of HDFC Ltd
Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by.......................
for and on behalf of HDFC Bank Ltd
Witnessed by::
Name:
Address:
SIGNED AND DELIVERED by.......................
for and on behalf of ICICI Bank Ltd
Witnessed by::
Name:
Address:
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SCHEDULE 1

List of State Governments

(i) Government of Andhra Pradesh acting through and represented by [ ] (which
expression shall include its successors in office)

(ii) Government of Goa acting through and represented by [ ]
(which expression shall include its successors in office)

(iii) Government of Haryana acting through and represented by [ ] (which
expression shall include its successors in office)

(iv) Government of Karnataka acting through and represented by [ ] (which
expression shall include its successors in office)

(v) Government of Kerala acting through and represented by [ ]
(which expression shall include its successors in office)

(vi) Government of Maharashtra acting through and represented by [ ]
(which expression shall include its successors in office)

(vii) Government of Meghalaya acting through and represented by [ ] (which
expression shall include its successors in office)

(viii) Government of Sikkim acting through and represented by [ ]
(which expression shall include its successors in office)

(ix) Government of Tamil Nadu acting through and represented by [ ]
(which expression shall include its successors in office)

(x) Government of Arunachal Pradesh acting through and represented by [ ] (which
expression shall include its successors in office)
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(xi) Government of Assam acting through and represented by [ ]
(which expression shall include its successors in office)

(xii) Government of Bihar acting through and represented by [ ]
(which expression shall include its successors in office)

(xiii) Government of Chhattisgarh acting through and represented by [ ]
(which expression shall include its successors in office)


(xiv) Government of Delhi acting through and represented by [ ] (which
expression shall include its successors in office)

(xv) Government of Gujarat acting through and represented by [ ] (which
expression shall include its successors in office)

(xvi) Government of Himachal Pradesh acting through and represented by [ ] (which
expression shall include its successors in office)

(xvii) Government of Jammu & Kashmir acting through and represented by [ ] (which
expression shall include its successors in office)

(xviii) Government of Jharkhand acting through and represented by [ ] (which
expression shall include its successors in office)

(xix) Government of Madhya Pradesh acting through and represented by [ ] (which
expression shall include its successors in office)

(xx) Government of Manipur acting through and represented by [ ] (which
expression shall include its successors in office)

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(xxi) Government of Mizoram acting through and represented by [ ] (which
expression shall include its successors in office)

(xxii) Government of Nagaland acting through and represented by [ ] (which
expression shall include its successors in office)

(xxiii) Government of Odisha acting through and represented by [ ]
(which expression shall include its successors in office)

(xxiv) Union Territory of Puducherry acting through and represented by [ ]
(which expression shall include its successors in office)

(xxv) Government of Punjab acting through and represented by [ ]
(which expression shall include its successors in office)

(xxvi) Government of Rajasthan acting through and represented by [ ] (which
expression shall include its successors in office)

(xxvii) Government of Tripura acting through and represented by [ ]
(which expression shall include its successors in office)

(xxviii) Government of Uttar Pradesh acting through and represented by [ ]
(which expression shall include its successors in office)

(xxix) Government of Uttarakhand acting through and represented by [ ]
(which expression shall include its successors in office)

(xxx) Government of West Bengal acting through and represented by [ ]
(which expression shall include its successors in office)




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SCHEDULE 2

List of Private Participants



(i) LIC Housing Finance Corporation Ltd

(ii) NSE Strategic Investment Corporation Ltd

(iii) Housing Development Finance Corporation Ltd

(iv) HDFC Bank Ltd

(v) ICICI Bank Ltd









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SCHEDULE 3
RESERVED SHAREHOLDERS MATTERS

(a) Rescinding of any contract, memorandum of understanding, agreement etc. entered into with the
Government;

(b) Formation of a policy for disclosure of the confidential and sensitive information to any person outside
the Company and Government;

(c) Amendment of the Memorandum of Association or Articles of Association of the Company;

(d) Any reorganization or change in the nature of the business or scope of business or the activities
undertaken pursuant to the Memorandum of Association of the Company;

(e) Purchasing or taking on lease or otherwise acquire for the Company, property right or privilege which
Company is authorized to acquire in excess of a sum to be previously specified by the Ordinary Resolution;

(f) Appointment or change in the auditors, except as contemplated by these Articles; (Consequent
upon the conversion of company into Government Company, the provisions mentioned in Article No. 90
will be operative)

(g) Formation of subsidiary companies;

(h) Any merger, restructuring, sale, divestment, amalgamation, demerger, reorganization or consolidation
of the Company or any of the subsidiaries;

(i) Any liquidation, winding up, deregistration or dissolution;

(j) Change in name of the Company;

(k) Change in status of the Company from private limited company to public limited company or
vice-versa or from not for profit to for profit company;

(l) Redemption of capital and/or any buy back of shares;

(m) Change in capital structure, ownership or debt structure of the Company;

(n) Any transfer of shares by any Shareholder;

(o) Divestment or sale of assets of the Company; and

(p) Any license, transfer, assignment, sale or grant of all or any of the intellectual property rights of the
Company.
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Annexure 1
DEED OF ADHERENCE

I,[Insert name of the interested party to be the New Shareholder/Transferee], a company incorporated
and existing under the laws of [ ], having its registered office at [ ]
(hereinafter referred to as [“ ”], which expression shall include my successors and permitted
assigns), is interested in subscribing to the shares of the Goods and Services Tax Network (the
“Company”) and therefore undertakes the following:

(a) That I have received a copy of the Shareholders’ Agreement dated [ ] (the “Shareholders’
Agreement”) and that I understand the implications of all provisions relating to the rights, duties
and obligations of any nature whatsoever under the Shareholders’ Agreement
(b) That I shall abide by all the terms and conditions of the Shareholders’ Agreement from the date
of issue of shares of the Company to me;
(c) That the Shareholders’ Agreement shall be binding on me;
(d) That I represent and warrant to all parties to the Shareholders’ Agreement the undertakings
given in Clause 8 of the Shareholders’ Agreement
(e) That I shall not undertake any act of omission or commission, which is or may be contrary to the
provisions of the Shareholders’ Agreement, prejudicial to any of the rights or interests of parties to
the Shareholders’ Agreement or which may impede or render ineffective any action undertaken
by any of the parties of the Shareholders’ Agreement in exercise of their rights under the
Shareholders’ Agreement.

IN WITNESS WHEREOF, I execute this Deed on the [ ] day of [ ], [ ].
SIGNED AND DELIVERED by .......................

for and on behalf of the …………………………

Witnessed by:
Name :
Address:




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1

Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (viii): Judgment of Hon’ble Supreme Court of India in Chief Commissioner of
Central Excise and Service Tax &Ors. Vs. M/s Ranchi Club Ltd. and State of West Bengal vs.
Calcutta Club Limited laying down that from 2005 onwards, Finance Act, 1994 does not purport
to levy service tax on member clubs in incorporated form
The Hon’ble Supreme Court of India in the case of Chief Commissioner of Central Excise and
Service Tax & Ors. Vs. M/s Ranchi Club Ltd. and State of West Bengal vs. Calcutta Club Limited laid
down the following ratio decidendi:
a. From 2005 onwards, the Finance Act of 1994 does not purport to levy Service Tax on member
clubs in the incorporated form. (Para 84)
b. The doctrine of mutuality continues to be applicable and that there cannot be a sale transaction
between a club and its members. Clubs or associations in law have no separate existence from
that of the members. (Para 49)
2. The judgment covers two aspects: a) leviability of sales tax on supply of food and drinks by a
member club to its members; and b) leviability of service tax on the services provided by a member
club to its members.

3. Regarding leviability of sales tax, the Hon’ble Supreme Court laid down that there cannot be a
sale transaction between an incorporated and unincorporated members’ club and its members. The
Court drew a distinction between ‘members’ clubs’ and ‘proprietary clubs’ stating that in case of the
latter, the owner of club would not be the members themselves, but somebody else. Members’ clubs or
associations in law have no separate existence from that of the members. In case of members’ clubs,
there is no sale by one person to another for consideration as one cannot sell something to oneself. The
Court further observed that the Young Mens Indian Association and other judgments which applied the
doctrine of mutuality continue to hold even after the 46th Amendment adding Article 366(29-A) to the
Constitution of India. In support of this analysis, the Court also placed reliance on the last part of Article
366(29-A), which states that supply of such goods shall be deemed to be sale of those goods by the
person making the supply, and the purchase of those goods by the person to whom such supply is made.
As the Young Men’s Indian Association (supra) case and the doctrine of mutuality state, there is no sale
transaction between a club and its members. As has been pointed out above, there cannot be a sale of
goods to oneself. Thus, the Court concluded that it is clear that the ratio of Young Men’s Indian
Association (supra) has not been done away with by the limited fiction introduced by Article 366(29-
A)(e).

4. Regarding the leviability of service tax, the Court restricted its ruling stating that from 2005
onwards, service tax is not leviable on services provided only by incorporated member clubs to its
members. The Court took cognizance of the Explanation to Section 65 (inserted in 2006) which
provided that services provided by any unincorporated association or body of persons to a member
thereof shall be a taxable service and particularly Explanation 3 inserted to the definition of ‘service’ in
the post negative list regime under which unincorporated associations or body of persons and their
members are statutorily treated as distinct persons. It appears that the Court appreciated the fact that as
per Service Tax law, an artificial distinction between an unincorporated association and its members
was created and this provided a legal basis for taxing services provided by an unincorporated association
or body of persons to its members. Due to this explicit distinction between an unincorporated
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2

association and its members (but not in case of incorporated associations or body of persons), the Court
restricted its adverse observations only in respect of incorporated member clubs.

Judgment of Hon’ble Supreme Court in ITO Mumbai vs. Venkatesh Premises dated 12.3.2018:
5.1 In this judgment, the question of law that arose was whether certain receipts by cooperative
societies, from its members i.e. non-occupancy charges, transfer charges etc. are exempt from income
tax based on the doctrine of mutuality.

5.2 As per clause (vii) of sub-section 24 of Section 2 (Definitions), income includes,-
“(vii) the profits and gains of any business of insurance carried on by a mutual insurance
company or by a co-operative society, computed in accordance with section 44 or any surplus
taken to be such profits and gains by virtue of the provisions contained in the First Schedule.”
5.3 The Court held that the essence of the principle of mutuality lies in the commonality of the
contributors and the participants who are also the beneficiaries. A person cannot make a profit from
himself. An income received from oneself, therefore, cannot be regarded as income and taxable.

5.4 Hon’ble Supreme Court noted that Section 2(24) of the Income Tax Act, 1961 defines ‘income’
and that the income of a co-operative society from business is taxable under Section 2(24)(vii) and will
stand excluded from the principle of mutuality. The judgment also cited the Supreme Court judgment
in the Bangalore Club case that “8….. The principle relates to the notion that a person cannot make a
profit from himself. An amount received from oneself is not regarded as income and is therefore not
subject to tax; only the income which comes within the definition of Section 2(24) of the Act is subject
to tax [income from business involving the doctrine of mutuality is denied exemption only in special
cases covered under clause (vii) of Section 2(24) of the Act]. The concept of mutuality has been extended
to defined groups of people who contribute to a common fund, controlled by the group, for a common
benefit. Any amount surplus to that needed to pursue the common purpose is said to be simply an
increase of the common fund and as such neither considered income not taxable…. A common feature
of mutual organisations in general and of licensed clubs in particular, is that participants usually do
not have property rights to their share in the common fund, nor can they sell their share. And when they
cease to be members, they lose their right to participate without receiving a financial benefit from the
surrender of their membership…”

5.5 Receipts by co-operative societies from their members in the form of non-occupancy charges,
transfer charges etc., not being covered by clause (vii) of Section 2(24), the Hon’ble Supreme Court
held that such receipts were not taxable in view of doctrine of mutuality.

5.6 This judgment, like the judgment of the Supreme Court in Calcutta Club case, clearly shows
that in order to tax any supply by an Association – of – persons (AoP) to its members, the doctrine of
mutuality needs to be overcome by express provisions to that effect in the taxing statute.

Legal provisions in Service Tax:
Positive Tax Regime (Pre 1.7.2012):
6.1 In the positive tax regime, all services were not taxable. Only specified services were listed as
taxable services in Section 65(105) of the Finance Act, 1994. One such taxable service, w.e.f. 16.6.2005
was the service provided or to be provided to its members by any club or association in relation to
provision of services, facilities or advantages for a subscription or any other amount [Section
65(105)(zzze) refers].
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3


6.2 Club or association was defined in Section 65(25a) as under:
“Club or Association means providing services, facilities or advantages, for a subscription or any other
amount, to its member, but does not include –
(i) any body established or constituted by or under any law for the time being in force; or
(ii) any person or body of persons engaged in the activities of trade unions, promotion of
agriculture, horticulture or animal husbandry; or
(iii) any person or body of persons engaged in any activity having objectives which are in the
nature of public service and are of a charitable , religious or political nature; or
(iv) any person or body of persons associated with press of media;

Note: The Hon’ble Supreme Court held that an incorporated club or association having been constituted
under a law, will not fall in this definition.

6.3 Following explanation was inserted to Section 65 of the Finance Act, 1994 vide Finance Act,
2006, -
“Explanation: For the purposes of this section, taxable service includes any taxable service
provided or to be provided by any unincorporated association or body of persons to a member
thereof, for cash, deferred payment or any other valuable consideration.”
6.4 Explanation to Section 65 (above) is identical to Article 366 29(A) of the Constitution inserted
by the 46th Amendment, which the Hon’ble Supreme Court has held, does not do away with the doctrine
of mutuality. Thus, what appears to have saved the levy of Service Tax on the supply of service by an
unincorporated club/AoP to its members during this period was the fact that such service had
specifically been declared as a taxable service in the Finance Act, 1994.

6.5 In the positive list tax regime, there was no definition of ‘service’. In the negative list regime,
all services became taxable except those in the negative list. ‘Service’ was defined as any activity
carried out by a person for another for consideration [Section 65B(44) of the Finance Act, 1994 refers].

6.6 Explanation 3(a) to Section 65B(44) stated as under:
“Explanation 3. – For the purposes of this chapter, -
(a) an unincorporated association or a body of persons, as the case may be, and a member
thereof shall be treated as distinct persons;”
6.7 Definition of person in Section 65B(37) included “(vii) an association of persons or body of
individuals, whether incorporated or not”.

6.8 Explanation 3(a) to Section 65B(44) in the negative list regime was the key to survival of levy
of Service Tax on the supply of service by an unincorporated club or AoP to its members as discussed
above. The incorporated clubs or AoPs and its members, having been declared as distinct persons by
law, the doctrine of mutuality failed to apply to the provision of service by unincorporated club to its
members.

Legal Provisions in GST:
7.1 Prior to deletion of clause (d) of sub-section (1) of Section 7, the expression ‘supply’ included
activities specified in Schedule II. Therefore, the following activity listed in Schedule II para 7 was a
supply under CGST Act, -
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4

“Supply of goods by any unincorporated association or body of persons to a member thereof for cash,
deferred payment or other valuable consideration.”

7.2 The activity referred to in Schedule II, para 7 is identical to the provisions in Article
366(29A)(e) inserted by 46th Amendment to the Constitution. Since the Hon’ble Supreme Court has
ruled in Calcutta Club case that 46th Amendment does not take away the doctrine of mutuality, it is
doubtful that the said provision in Schedule II para 7 read with sub-clause (d) of Section 7(1), prior to
its deletion, would withstand challenge to levy of supply of service by an unincorporated club or
association to its members. [Supply by incorporated club or association to their members in any case is
out of tax net, like in Service Tax law, in view of the said judgment]. However, the Department could
argue that levy has been upheld in Service Tax in view of identical explanation inserted in Section
65(105) in the Finance Act, 2006.

7.3 Even this tenuous ground has been lost after the deletion of clause (d) of Section 7(1) of CGST
Act, w.e.f. 1.7.2017 and introduction of sub-section (1A). With deletion of the said clause, including an
activity in Schedule II, does not have a bearing on the question whether the activity constitutes a supply
or not. For an activity appearing in Schedule II to be taxable, it should first constitute a supply under
provisions of Section 7. The supply of goods or services by an incorporated or unincorporated club or
association, has in view of the Supreme Court judgment in Calcutta Club case, completely gone out of
tax net after deletion of clause (d) of sub-section (1) of section 7 of CGST Act, 2017.

7.4 As discussed above, provision in Schedule II para 7 read with omitted Section 7(1)(d) of the
CGST Act, 2017, is not enough to counter the judgment of the Hon’ble Supreme Court because they
do not lay down a distinction between an unincorporated or incorporated association and its members.
The only reason why the levy of Service Tax on services by an unincorporated association to its
members was not axed by the Supreme Court was because the relevant provisions specifically created
a legal distinction between an unincorporated association and its members. The same was not the case
in case of levy of Sales Tax, because they did not provide for such a distinction. It has become
completely ineffectual after deletion of clause (d) of Section 7(1) and inclusion of Section 7(1A).

7.5 Therefore, GST on supplies of goods or services by an unincorporated or incorporated entity
to its members may become subject matter of litigation. There is no provision in the CGST Act, 2017
which stipulates that an unincorporated or incorporated entity and its members shall be distinct persons.
In the absence of a provision to this effect, the subject judgment of the Hon’ble Supreme Court becomes
squarely applicable. The doctrine of mutuality applies and thus supplies by unincorporated or
incorporated entity to its members is a supply to self and not leviable to GST.

7.6 Therefore it is imperative to amend the CGST Act, 2017 so as to safeguard the levy of GST on
supplies by an association or body of persons (whether incorporated or not) to its members. It is
proposed that amendment to the CGST Act, 2017 as being proposed below may be carried out to prevent
litigation on this count:-
(a) In Section 7(1) of the CGST Act, 2017, after clause (c), new clause (e) followed by an
Explanation may be added with retrospective effect:

7. (1) For the purposes of this Act, the expression “supply” includes––
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(a) all forms of supply of goods or services or both such as sale, transfer, barter, exchange,
licence, rental, lease or disposal made or agreed to be made for a consideration by a person in
the course or furtherance of business;
(b) import of services for a consideration whether or not in the course or furtherance of business;
(c) the activities specified in Schedule I, made or agreed to be made without a consideration;
and
(d) ***
(e) the supply of goods or services or both, by an association or a body of persons, whether
incorporated or not, to its members, for cash, deferred payment or other valuable consideration.
Explanation.- for the purpose of this section, an association or a body of persons, whether
incorporated or not, and member thereof shall be treated as distinct persons.

(NOTE: Insertion of the above Explanation is suggested by TRU-II)

(b) Para 7 of Schedule II may be deleted, as the above amendment would more than fulfil its
objective. In any case, it serves no purpose after deletion of clause (d) of sub-section (1) of Section 7.

8. The issue is placed before the GST Council for consideration and decision.

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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (ix): Order of Hon’ble High Court of Rajasthan in the matter of Rajasthan Tax
Consultants Association vs UoI and Ors. (D. B. Civil Writ No. 15239/2017)
Reference is invited to the Order of Hon’ble High Court of Rajasthan dated 01.08.2018 in the
matter of Rajasthan Tax Consultants Association vs UoI and Ors. (D. B. Civil Writ No. 15239/2017).
Para 3 of the said order is reproduced below:
“3. In our considered opinion, it will be appropriate that the GST Council will decide the issue.
However, the question regarding delay in filing of return, registration or late fees will not be changed
and the same will be complied with pursuant to earlier order of this Court. The return which are filed
late because of not proper functioning of the computer will not be attributed to the assess between
01.07.2017 to 30.09.2017.”
2. Para 4 of the previous interim order of the Hon’ble High Court dated 20.09.2017 reads as
follows:
“4. In the meantime, no coercive action (penal interest, late fees and prosecution) against any
of the client of the petitioners members who are referred in the petition and are informing by email, will
be protected. The composition scheme is extended upto 30.09.2017, therefore, desirous assessee can
apply. ”
3. A conjoint reading of the above two orders appear to imply that no coercive action (including
levy of penal interest due to delay in payment of tax) is to be taken against the petitioners if the delay
is on account of system related issues. Further, as per Hon’ble Court Order, it will be appropriate that
the GST Council will decide the issue.
4. Since, under GST law there is no provisions for waiver of interest for delayed filing returns and
therefore, Misc. Civil application (WMAP-199/2019 ) was filed before Hon’ble Court with plea to
modified order to such extent that the waiver of interest for delayed filing of return may be deleted or
modified as per the order of Court. In this regard, Order dated 28.02.2020 of Hon’ble Court is
reproduced below:
“List the matter on 18.03.2020 for orders.
In the meantime, learned counsel for the Union of India is directed to obtain instructions as to whether
the direction contained in the order dated 01.08.2018 directing the GST Council to decide the issue in
para-3 of the order, has in-fact, been considered by the GST Council or not, and if so, what is the
decision of the GST Council.”
5. Accordingly, the issue is placed before the GST Council for deliberation and decision.

Agenda for 39th GSTCM Table
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Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (x): Agenda Note for refund of ITC of the tax paid on capital goods, in cash, for
registered taxpayers with annual aggregate turnover up to 15 crores
In view of the focus of the present Government to increase the India’s rank in World Bank Ease
of Doing Business Report, the Department of Promotion of Industry and Internal Trade (DPIIT) has
provided the time up to 31.03.2020 to this Department to amend GST Act to introduce provision for
cash refund of input tax credit (ITC) to the companies (engaged in manufacturing) on account of
purchase of capital assets during the year.

2. In this regard, it is informed that the overall ranking of India has improved substantially by 57
ranks in past 4 years. However, the improvement under paying taxes has gone up by only 21 ranks. The
different indicators which are used for measuring the score under the head of paying taxes and the score
obtained by India against these indicators in 2018 are:
Indicators 2018 Score
Number of tax payments 11 86.67
Time to comply with the tax system (hours per year) 252 68.64
Total Tax Rate 49.7% 65.80
Post-filing Index 2018 Score
(A) Time to comply with a VAT refund (Capital Goods) No refund 0
(B) Time to obtain a VAT refund No refund 0
(C) Compliance time to correct CIT error (including review time) 3.0 hrs 97.25
(D) Time to complete CIT review, where applicable Review likelihood
<25%
100
Score for post filing index (average of A, B, C & D) 49.31
Overall Paying Taxes Ranking 115 67.63

3. From the above, it is seen that India has got 0 score against the indicators relating to Time to
comply with a VAT refund and time to obtain VAT refund. In this regard, it is submitted that the VAT
refund referred under this head relates to refund of tax paid on capital assets/goods procured by the
registered taxpayer. In the present regime, the registered taxpayer is eligible to avail the Input Tax Credit
(ITC) of the tax paid on capital assets. The ITC so availed can be utilised by the said taxpayer for
offsetting its outward tax liability. The said observation was placed before the World Bank for giving
score against these indicators. However, it was found that the World Bank does not consider the
utilisation of ITC availed on Capital Goods for payment of outward tax liability but only cash refund
of tax paid on the capital assets for giving a score against these indicators.

4. Further, it has been learnt that to have uniform calculation across all member countries, World
Bank considers investment in Capital Assets as 65 times the per capita income in companies with the
annual turnover of 1050 times per capita income. For India, as per these criteria, the size of company
comes to Rs. 29.26 crores per annum and Capital assets to the tune of Rs. 1.8 Crores with ITC of Rs.
32.4 lakhs.

5. A study has been conducted by a case study company on the status of VAT for paying taxes.
The study included a total of 189 countries. As per the report, there are 107 countries where refund of
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VAT is available to the case study company and out of these 107 countries in 26 countries refund of
VAT is allowed after a carry forward period which ranges from 1 month in The Bahamas to 1 year in
Pakistan. In addition, there are 26 countries where no VAT is charged and 5 countries where no VAT
is charged on capital purchases. There are 50 countries including India which does not allow for VAT
refund. Further, China has recently started the VAT refund. The domestic companies operating in 19
industries meeting the industry criteria and having an appropriate tax credit rating can avail the cash
refund of VAT.
6. From the above, it can be seen that internationally in most of the countries the practise is either
to allow refund or not to charge any tax on capital purchases. Further, a case study has been conducted
by GSTN to compare the utilization of ITC on Capital assets for payment of Liability Vs Refund of ITC
accrued on account of Capital Assets acquisition, in cash. The outcome of the study has shown that the
impact on revenue remains the same even if the tax paid on capital assets is refunded in cash. They have
found that usually the ITC availed on Capital assets is utilized in 4 months from the date of Purchase
whereas the refund would be paid in around 3.5 months from the date of purchase. It is further informed
that if cash refund of tax paid on capital goods is given, the estimated impact on India’s rank would be
as under:
1. Post filing Index: 49.4 → 89
2. Indicator Rank: 115 → 76
3. Overall Rank: 63 → 56
7. In view of the above, it is proposed that refund of ITC of tax paid on capital goods procured
may be allowed for the registered taxpayers with the annual aggregate turnover up to Rs. 30 crores
(factoring in the exchange rate variations). Further, the following conditions may be imposed for refund
of tax paid on capital goods:
a) The facility may be extended to taxpayers registered under GST having annual turnover up to
Rs. 30 crores at PAN level.
b) The cash refund to be processed after such verification, as prescribed, to ensure capital assets
have been actually acquired and tax has been paid by the supplier.
c) The upper limit on cash refund for capital assets to be fixed as Rs. 90 lakhs a year.
d) The facility may be made available once in 3 years, as capital assets acquired are expected to
have a life of 3-4 years.
e) The refund may be paid after a carry forward period of 6 months.

8. It may be noted that as per the data provided by the Income Tax for Firms/Companies for the
Assessment Year 2019-20, the expected revenue impact of providing refund of ITC accrued on account
of tax paid capital goods after a carry forward period of 6 months is likely to be Rs. 14000 crore per
year.

9. Accordingly, it is proposed that the Section 54 of the CGST Act 2017 may be amended as under
to provide for the refund of tax paid on capital goods:
I. By inserting the following sub-section (1A):
(1A) The Government may, on the recommendations of the Council, and subject to such conditions,
safeguards and procedures as may be prescribed, notify the class of registered persons, who shall be
eligible to claim the refund of any balance lying unutilised in the electronic credit ledger in accordance
with the provisions of Section 42 on account of tax paid on the procurement of Capital goods.
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II. By amending the 1st proviso to sub-section (3) by inserting clause (iii) to 1st proviso of sub-
section (3):
Provided that no refund of unutilised input tax credit shall be allowed in cases other than––
(i) zero rated supplies made without payment of tax;
(ii) where the credit has accumulated on account of rate of tax on inputs being higher than the rate of
tax on output supplies (other than nil rated or fully exempt supplies), except supplies of goods or
services or both as may be notified by the Government on the recommendations of the Council:
(iii) where the credit has accumulated on account of procurement of capital goods as specified under
sub-section (1A):

10. Further, Rule 89 of the CGST Rules 2017 may be amended as under to provide for the
processing of the refund claims:
I. By inserting following clauses under sub-rule (2)

(ha) a statement containing the number and the date of the invoice received during a tax period and the
details of payment made by the recipient to supplier, along with the proof thereof, in a case where the
claim pertains to refund of any unutilised input tax credit under sub-section (3) of section 54 where the
credit has accumulated on account of procurement of capital goods;

(n) a certificate issued by a chartered accountant or a cost accountant to the effect that the said capital
goods have been installed in the registered premises and the said capital goods are being utilised for
furtherance of business, in case where the claim pertains to refund of any unutilised credit accumulated
on account of procurement of capital goods.

(o) a copy of income tax statement and other related documents evidencing the capitalization of said
capital goods in books of account, in case where the claim pertains to refund of any unutilised credit
accumulated on account of procurement of capital goods.

(p) an undertaking to the effect that the tax has been paid to the Government exchequer by the supplier
of the said capital goods of which refund of ITC has been claimed and the refund paid shall be liable
to be recovered along with applicable interest and penalty in case it is found that the refund has been
availed on the basis of false declaration and undertaking.


(q) an undertaking to the effect that no refund of tax paid on capital goods have been availed in
preceding 3 years and the refund paid shall be liable to be recovered along with applicable interest and
penalty in case it is found that the refund has been availed on the basis of false declaration and
undertaking.
II. By inserting the following sub-section (6):

(6) In the case of refund on account of procurement of capital goods, the refund payable to the
registered taxpayer shall be equal to the ITC availed on Capital Goods during the relevant period or
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ITC remaining unutilised at the end of the tax period or ITC remaining unutilised at the time of filing
the refund claim or Rupees Ninety Lakhs, whichever is lower.

11. Further, a notification would be required to be issued for notifying the class of registered
taxpayers i.e. the taxpayers with annual aggregate turnover of Rs. 30 crores at (PAN level) eligible to
claim refund of tax paid on capital goods.

12. Accordingly, the above issue is placed before the GST Council for deliberation.
Agenda for 39th GSTCM Table
1

Table Agenda
39th GST Council Meeting – 14th March 2020
Agenda Item 11 (xi): Time bound disposal of long pending change request arising out of changes
made in Law/Rules through one time special measure.
1. Background: M/S Infosys was asked to clear the pendency of CRs in the SCOMs (27th March,
2019 and 29th May, 2019) as well as during the Group of Ministers meeting held on 28th June 2019
at Bangalore. Infosys shared a plan on 28th May 2019 for the same, which was also presented to
the GoM on 28th June. The said plan was improved and re-submitted by Infosys on 17 July 2019.
As per the Plan submitted by M/S Infosys, 85 CRs were to be cleared by March 2020. The gist of
CR clearing proposal along with the gist of month-wise UAT drop is given below:
Month
Planned UAT Drop
Month wise
Plan to deliver the CRs for
clearing backlog
Jul-19 7 85
Aug-19 12 78
Sep-19 13 66
Oct-19 16 53
Nov-19 8 37
Dec-19 15 29
Jan-20 6 14
Feb-20 5 8
Mar-20 3 3
85

a. Since July 2019 till 28th Feb 2020, there has been a significant inflow of Change Requests (CR)
due to policy decisions, changes in workflow, feedback received from taxpayers, tax officers
and other enhancements. 105 new application changes were raised between Aug 2019 and 28th
Feb 2020.
b. Current status as on 28th Feb 2020 of all the CRs which were deployed is given below. This
also include status of 85 CRs (as per plan of M/S Infosys) and new change request raised.

CR Status Current Status on
CRs which were
presented by
Infosys in CR
plan
Current Status
of CRs ( raised
btw July 19 –
Feb 2020)
Total
In Production 23 21 44
In Production (Partial) 1 0 01
Awaiting Deployment 1 3 04
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In UAT( User Acceptance
Testing) 9
8 17
In RT( Release Testing) 4 2 06
In Development 5 13 18
Pre-Assessment 15 56 71
On Hold 8 2 10
Withdrawn 19 0 19
Grand Total 85 105 190

c. This concern of long delay in clearing the CR backlog was raised again in the meeting held on
at DoR on 31st January 2020. Infosys team was asked to expedite the implementation of change
request. Infosys team informed that significant time goes into designing of SRS, Tech design
document (TDD) and framing of Impact Assessment (IA), which also contains the man-days
required for development and deployment of a CR. They further reported that lot of to & fro
movement takes place between GSTN and Infosys leading to delay in taking up of CRs.
d. In the said meeting Infosys team proposed that a crack team of 10 to 15 tech personnel may be
taken on manpower rates (T&M - Time & Material basis), as approved in the contract, to do
the solutioning [develop SRS( System req. specification)/IA(Impact Assessment)/TDD(
Technical design document)] in CRs, which takes more than 6 to 8 weeks leading to long delay
in estimation of efforts to complete the CRs.
e. On March 4th 2020, M/S Infosys submitted the proposal for setting up and operating a dedicated
team which will have two dedicated teams namely Solution Team (10 Resources) and
Execution Team (50 Resources) as part of its dedicated team. Under this proposal complete
change request workflow will go on T&M basis. Key points of this plan as follows:
i. Solution Team will have 10 resources (domain consultant/Tech Architect)
ii. Solution team will design Techno-functional document to reduce the time taken in
SRS designing/TDD/IA designing. This document easily suffice SRS/TDD/IA and
can be easily understood by domain teams, UAT teams and third party teams.
iii. That Techno functional document will handed over to Execution team (50 resources
count) and development /Testing will be done by execution Team.
iv. Post development and RT, this will be deployed to UAT.



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2. It is proposed that the above mentioned methodology of getting the work done on T&M basis, as a
departure from existing methodology of development to liquidate long pendency of change request
(CR) and to have quick turnaround of development based on policy changes, may kindly be
approved. The first set of 5 change request to be undertaken under this methodology (End to end
development and testing by Infosys team on T&M basis) is attached as Annexure- 1.

3. This approach is placed for in-principle approval of GST Council.

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Annexure-1
List of first set of change request to be taken up on T&M basis.
Sl. No. Change
1
Nil filing of GSTR-3B through SMS
For allowing filing of GSTR-3B through SMS if there is no liability to be declared in
table-3.1 and no credit to be claimed in table-4 of GSTR-3B.
2
Auto population of liabilities from GSTR-1 into GSTR-3B (System to generate a draft
version of GSTR-3B on the basis of the entries made in GSTR-1. Subsequently, the
liabilities would also be auto-populated in the corresponding entries of tables 3.1 and 3.2
of GSTR-3B.)
3 Flow of ITC from GSTR 2A to GSTR 3B and from data received from ICEGATE/ SEZ
4
Spike Rule (The Law Committee recommended the proposal of restricting new
registrations to pass input tax credit over and above Rs. 3 lakh and the deposit made in
the electronic cash ledger. Once the proposal is approved by the GST Council, a CR
would be issued to make the corresponding technical changes in the system to implement
this decision.)
5
De-linking of credit/debit notes from invoices in GSTR-1 (As of now, the system links
every credit/debit note to the original invoice. Necessary changes would be made in
GSTR-1 to de-link credit/debit notes from the original invoices against which they were
issued, to enable reporting of consolidated credit/debit notes in the system. CR for the
same has already been issued.)

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Table Agenda
39
th
GST Council Meeting – 14
th
March 2020
Agenda Item 11 (xii): Ad-hoc Exemptions Order(s) issued under Section 25 (2) of Customs Act,
1962 to be placed before the GST Council for Information
In the 26th GST Council meeting held on 10th March, 2018, it was decided that all ad-hoc
exemption orders issued with the approval of Hon’ble Finance Minister as per the guidelines
contained in Circular No. 09/2014 – Customs dated 19th August, 2014, as was the case prior to the
implementation of GST, shall be placed before the GST Council for information. The GST involved is
approximately Rs. 93 Lakh
2. The details of the ad-hoc exemption order are as follows:
S. No. Date Order No. Remarks
1. 17
th

February,
2020
AEO No. 01 of
2020
Request from the Ministry of Defence for
Custom Duty exemption for import and re-
export of Guns/equipment from Sri Lanka.

3. This is placed for the information of GST Council.
Agenda for 39th GSTCM Table