24th GST Council Meeting - Latest Updates

GST Council had its 24^th GST Council meeting held today through video-conference under the chairmanship of the Union Minister of Finance and Corporate Affairs, Mr. Arun Jaitley on 16^th Decemeber 2017.

Under Goods and Services Tax (GST) rules, ferrying goods worth more than Rs 50,000 within or outside a state will require securing an electronic-way or e-way bill by prior online registration of the consignment.

To generate an e-way bill, the supplier and transporter will have to upload details on the GST Network portal, after which a unique e-way bill number (EBN) will be made available to the supplier, the recipient and the transporter on the common portal.

Finance minister Arun Jaitley on Thursday had said that the Council has prepared schedule with regard to e-way bill to check evasion. “I think Council has already taken decision with regard to time schedule, with regard to e-way bill itself. That will help in enhancing collection,” he had said. The GST Council in an earlier meeting in October had decided that e-way bill would be introduced in a staggered manner from January 1 and subsequently nationwide from April 1.

24^th Council meeting held today through video-conference. Implementation of E-way bill was the major discussion point in today council meeting.

The meeting follows after the sharp decline in GST revenue to Rs 83,346 crore for October — the lowest since the July 1 rollout of the indirect tax. Also, October’s GST revenue recorded a decline of Rs 12,000 crore from the Rs 95,131 crore collected for the preceding month.

Till the time when national E-way bill will be ready to start all the states are now authorized to continue their own E-way Bill systems.

Some Transporters and traders file a request that in Inter- state movement of goods they are facing so many problems, hence requested to bring E-way Bill on all India Basis as soon as possible.

GST Council review Progress status of Hardware and software which is required for Introduction of E-way Bill system.

After having Discussion with all the states GST council took following decisions regarding applicability of E-way Bill system:

• Nationwide E-way Bill system will be ready latest upto 16 January, 2018 on trial basis. Trade and transporters can use this system voluntary basis from 16 January, 2018.
• E-way Bill Rules for Implementation on National Level for Interstate movement of goods will be started by -1 February, 2018.

For Interstate Movement of Goods by transporters and traders from 01st February it will be compulsory to follow. It will solve Inter-state movement of goods issues of Traders and Transporters.

• Government will Ready E-way bill system for Nationwide latest upto 16 January 2018 for Interstate and Intra State movement of goods. Now, States have option to choose their own timings for apply E-way bill in Intra-state Movement of goods on any date before 01^st June 2018.

There are certain states which already have E-way bill system for Inter State and Intra state movement of goods.

In any case Uniform Nationwide E-way bill for Interstate and Intra state movement of goods across the county will be implemented by 1^st June 2018.

The Council had last met in Guwahati in November wherein it had decided to slash GST rates on over 200 items, including a cut in GST rate from 28 per cent to 18 per cent for 178 items. The fall in GST revenue in October happened despite the rate cuts becoming effective November 15 and the revenue collections are expected to down further for November. Finance Secretary Hasmukh Adhia had already held a meeting with revenue officials from Centre and states on December 9 to discuss tax evasion and methods to boost tax collections under GST.

The invoice matching, has however, been deferred for few months to reduce compliance burden on taxpayers and encourage more return filing.

To read more about e-way bill and latest updates.