Summary of decisions taken by the GST Council on 18/06/2017

I. Return Filing

1. For July & August - 

• Form to be filled     - Form GSTR 3B
• Details to be filled  - Summary of Outward & Inward supplies (and not invoice details)
• Time limit               - 20th of August & September
• Penal Provisions     - No late fees and penalty would be levied for the interim period.

This is only a provisional arrangement to ensure that the business houses get time to prepare 

themselves for the historic change.  Regular GSTR 1 and 2 (with invoice details) has to be filed as per below schedule:

2. From September onwards -  GSTR 1 has to be filed by 10th of next month, GSTR 2 by 15th of next month and GSTR 3 by 20th of next month. 

II. Hotel Industry 

• Non AC, non liquor serving restaurants to face tax rate of 12%
• AC, liquor serving restaurants to face tax rate of 18%
• Outdoor caterers to face tax rate of 18%
• Hotel charging rates from Rs 2500  to Rs 7500 to face tax rate of 18%
• Hotel charging rates Rs 7500 or less to face tax rate of 18%
• Hotel charging rates more than Rs 7500 to face tax rate of 28%
• 5 star or above rated schools serving food and drinks at their restaurant to fact tax at the rate of 18%

III. State run Lotteries 

• Lottery run by State Governments            – 12% of face value of lottery ticket 
• Lottery authorized by State Governments – 28% of face value of lottery ticket

IV. Anti - profiteering

• A three-tier structure will ensure compliance with the anti-profiteering clause. 
• The GST implementation committee, consisting of four state government officials, four central government officials, and one GST Council member, will function as the standing committee to look into anti-profiteering complaints. 
• The complaints will then be referred to DG (Safeguards), which will function as the investigative authority. The final decision will be taken by a five-member committee with a retired Secretary as its chairman.

 V. E- way bill

• As of now e- way bills have been deferred as it will take 2-3 months to have the IT set up to implement it.
• Till then, State governments will continue to use their system for interstate stock transfer. That means VAT forms will continue to be operational.  How will that be taken into picture of GST seems to be seen when the council again meets on 30th June. 

Thanks