Under the GST Law specific definition has been given for the Works Contract. It is contained in Section 2(119) of the CGST Act. The important point in the definition is that Works Contract under the CGST Act, 2017 would always mean a contract for ------- of any immovable property. Thus to qualify as a works contract under the CGST Act it is required that it should be for any immovable property. The other concept given is regarding the Composite Supply as defined in Section 2(30) of the CGST Act. According to the definition if two or more taxable supplies of goods or services or both or any combination thereof are naturally bundled then it would qualify as a Composite Supply. In the definition specific illustration has been given to explain what would be the principal supply and what would be the composite supply. The issue is the interpretation of a contract and whether a supply would be a composite supply or a works contract. The question arises because of the fact that if it is a works contract then it is taxable predominantely @ 18% subject to some reduced rate notifications for Government Contract, etc. However, if as per terms a contract can be said to be a Composite Supply then in such case the rate of tax applicable on such Composite Supply contract would be the rate of tax applicable on the Principal Supply which can be in some cases lower. The other issue is regarding the interpretation of the word “Immovable Property” as stated in the definition of works contract. What can be termed as Immovable Property is highly disputed. To discuss it further we will be dealing with the topic in the next issues of this newsletter.

 

CUSTOMS – TARIFF

 

 

CUSTOMS – NON-TARIFF

 

 

CUSTOMS – ANTI-DUMPING DUTY

 

 

CUSTOMS – CIRCULARS

 

 

CUSTOMS – INSTRUCTIONS

 

F.No. 394/97/2015-Cus (AS), dt. 16.10.2018,
Guidelines for handling and storage of valuable goods that are seized/ confiscated by the Department. Read More

 

CENTRAL EXCISE - NOTIFICATION

 

Notification No. 22/2018-CE, dt. 10.10.2018:
Seeks to amend notification No. 11/2017-Central Excise dated 30th June, 2017 in order to reduce Central Excise duty rates on Aviation Turbine Fuel. Read More

 

CGST

 

Notification No. 53/2018-Central Tax dt. 09.10.2018
Seeks to make amendments (Eleventh Amendment, 2018) to the CGST Rules, 2017. This notification restores rule 96(10) to the position that existed before the amendment carried out in the said rule by notification No. 39/2018- Central Tax dated 04.09.2018. Read More

 

Notification No. 54/2018-Central Tax dt. 09.10.2018
Seeks to make amendments (Twelfth Amendment, 2018) to the CGST Rules, 2017. This notification amends rule 96(10) to allow exporters who have received capital goods under the EPCG scheme to claim refund of the IGST paid on exports and align rule 89(4B) to make it consistent with rule 96(10). Read More

 

Notification No. 55/2018-Central Tax dt. 21.10.2018
Seeks to extend the last date for filing of FORM GSTR-3B for the month of September, 2018 till 25.10.2018 for all taxpayers. Read More

 

IGST

 

Notification No. 03/2018-Integrated Tax dt. 22.10.2018
Seeks to supersede Notification No.8/2017 – Integrated Tax, dated 14.09.2017. Read More

 

INCOME TAX

 

Notification No. 67/2018 dt. 16.10.2018
Central Government notified the court(s) of Session, as Special Court(s) for the area(s) specified for the trial of offences punishable under the provisions of the Prohibition of Benami Property Transactions Act, 1988 Read More