THE JAMMU AND KASHMIR GOODS AND SERVICES TAX ACT, 2017 Notifications
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Body ORDER S.O. 3466(E), Dated, 5th October, 2020.

In exercise of the powers conferred by section 96 of the Jammu and Kashmir Reorganisation Act, 2019 (34 of 2019), and of all other powers enabling it in that behalf, the Central Government hereby makes the following Order in respect of the Union territory of Jammu and Kashmir, namely: -

1. (1) This Order may be called the Union Territory of Jammu and Kashmir Reorganisation (Adaptation of State Laws) Third Order, 2020.

(2) It shall come into force with immediate effect.

2. The General Clauses Act, 1897 applies for the interpretation of this Order as it applies for the interpretation of laws in force in the territory of India.

3. With immediate effect, the Acts mentioned in the Schedule to this Order shall, until repealed or amended by a competent Legislature or other competent authority, have effect, subject to the adaptations and modifications directed by the said Schedule, or if it is so directed, shall stand repealed.

4. Where this Order requires that in any specified section or other portion of an Act, certain words shall be substituted for certain other words, or the certain words shall be omitted, such substitution or omission, as the case may be, shall, except where it is otherwise expressly provided, be made wherever the words referred to occur in that section or portion.

5. The provisions of this Order which adapt or modify or repeal any law so as to alter the manner in which, the authority by which or the law under or in accordance with which, any powers are exercisable, shall not render invalid any notification, order, commitment, attachment, bye-law, rule or regulation duly made or issued, or anything duly done before the 31st October, 2019; and any such notification, order, commitment, attachment, bye-law, rule, regulation or anything may be revoked, varied or undone in the like manner, to the like extent and in the like circumstances as if it had been made, issued or done after the commencement of this Order by the competent authority and in accordance with the provisions then applicable to such case.

6. The repeal or amendment of any law specified in the Schedule to this Order shall not affect,-

(a) the previous operation of any law so repealed or anything duly done or suffered thereunder;

(b) any right, privilege, obligation or liability acquired, accrued or incurred under any law so repealed;

(d) any investigation, legal proceeding or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid,

and any such investigation, legal proceeding or remedy may be instituted, continued or enforced, and any such penalty, forfeiture or punishment may be imposed, as if the Jammu and Kashmir Reorganisation Act, 2019 (34 of 2019) or this Order had not been passed or issued.

THE JAMMU AND KASHMIR GOODS AND SERVICES TAX ACT, 2017

(V of 2017)

Throughout the Act, for "State of Jammu and Kashmir" substitute "Union territory of Jammu and Kashmir.".

After section 1, insert-

Provisions to come into force with effect from dates to be notified by Government of Union territory of Jammu and Kashmir.

"1A. Save as otherwise provided, such provisions of this Act as amended by the Jammu and Kashmir Reorganisation (Adaptation of State Laws) Third Order, 2020 shall be deemed to have come into force with effect from such that dates as may be notified by the Government of Union territory of Jammu and Kashmir".

Section 2. -

(i) In clause (1), for "Transfer of Property Act, Svt. 1977 (1920 A.D.) (XLII of 1920 A.D)" substitute "Transfer of Property Act, 1882 (4 of 1882)";

(ii) in clause (4),-

(a) for "the Appellate Authority and the Appellate Tribunal", substitute "the Appellate Authority, the Appellate Tribunal and the Authority referred to in sub-section (2) of section 171";

(b) for "the Appellate Authority for Advance Ruling" substitute "the Appellate Authority for Advance Ruling, the National Appellate Authority for Advance Ruling";

(iii) in clause (17), for sub-clause (viii), substitute,-

"(viii) activities of a race club including by way of totalisator or a license to book maker or activities of a licensed book maker in such club.";

(iv) omit clause (18);

(v) in clause (35), for "clause (c)" substitute "clause (b)";

(vi) in clause (36), omit "as applicable to the State of Jammu and Kashmir";

(vii) In clause (69), for sub-clause (e) substitute-

"(e) A Regional Council or a District Council constituted under the Sixth Schedule to the Constitution;

(f) A Development Board constituted under article 371 of the Constitution; or

(g) A Regional Council constituted under article 371 A of the Constitution.";

(viii) in clause (84), in sub-clause (1) for "the Jammu and Kashmir Societies Registration Act, 1998(1941 A.D)(VI of 1998)", substitute "the Societies Registration Act, 1860 (21 of I860)";

(ix) in clause (102), insert,-

"Explanation.- For the removal of doubts, it is hereby clarified that the expression "services" includes facilitating or arranging transactions in securities.";

(x) in clause (114), for sub-clauses (c) and (d), substitute-

"(c) Dadra and Nagar Haveli and Daman and Diu;

(d) Ladakh;"

Section 7.-

(a) In sub-section (1), -

(i) in clause (b), after "or furtherance of business;", insert "and";

(ii) in clause (c), after "a consideration", omit "and";

(iii) omit clause (d);

(b) after sub-section (1), insert,-

"(1A) Where certain activities or transactions constitute a supply in accordance with the provisions of sub-section (1), they shall be treated either as supply of goods or supply of services as referred to in Schedule II.";

(c) in sub-section (3), for "sub-sections (1) and (2)", substitute "sub-sections (1), (1A) and (2)".

Section 9.

For sub-section (4), substitute-

"(4) The Government may, on the recommendations of the Council, by notification, specify a class of registered persons who shall, in respect of supply of specified categories of goods or services or both received from an unregistered supplier, pay the tax on reverse charge basis as the recipient of such supply of goods or services or both, and all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to such supply of goods or services or both.".

Section 10.

(a) In sub-section (1),

(i) for "in lieu of the tax payable by him, an amount calculated at such rate", substitute "in lieu of the tax payable by him under sub-section (1) of section 9, an amount of tax calculated at such rate";

(ii) in the proviso, for "one crore rupees", substitute "one crore and fifty lakh rupees";

(iii) after the proviso, insert,-

"Provided further that a person who opts to pay tax under clause (a) or clause (b) or clause (c) may supply services (other than those referred to in clause (b) of paragraph 6 of Schedule II), of value not exceeding ten per cent. of turnover in the Union territory in the preceding financial year or five lakh rupees, whichever is higher.

Explanation.- For the purposes of second proviso, the value of exempt supply of services provided by way of extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount shall not be taken into account for determining the value of turnover in the Union territory of Jammu and Kashmir."

(b) in sub-section (2),-

(i) for clause (a), substitute-

"(a) save as provided in sub-section (1), he is not engaged in the supply of services;";

(ii) in clause (d), omit "and" occurring at the end;

(iii) in clause (e), for "Council:", substitute "Council; and";

(iv) after clause (e), insert-

"(f) he is neither a casual taxable person nor a non-resident taxable person:";

(v) in clauses (b), (c) and (d), after "of goods", insert "or services";

(c) after sub-section (2), insert,-

"(2A) Notwithstanding anything to the contrary contained in this Act, but subject to the provisions of sub-sections (3) and (4) of section 9, a registered person, not eligible to opt to pay tax under sub-section (1) and sub-section (2), whose aggregate turnover in the preceding financial year did not exceed fifty lakh rupees, may opt to pay, in lieu of the tax payable by him under sub-section (1) of section 9,an amount to tax calculated at such rate as may be prescribed, but not exceeding three per cent, of the turnover in the Union Territory of Jammu and Kashmir, if he is not-

(a) engaged in making any supply of goods or services which are not leviable to tax under this Act;

(b) engaged in making any inter-State outward supplies of goods or services;

(c) engaged in making any supply of goods or services through an electronic commerce operator who is required to collect tax at source under section 52;

(d) a manufacturer of such goods or supplier of such services as may be notified by the Government on the recommendations of the Council; and

(e) a casual taxable person or a non-resident taxable person:

Provided that, where more than one registered person are having the same Permanent Account Number issued under the Income-tax Act, 1961 (Central Act 43 of 1961), the registered person shall not be eligible to opt for the scheme under this sub-section unless all such registered persons opt to pay tax under this subsection";

(d) in sub-section (3), after "under sub-section (1)" wherever they occur, insert "or subsection (2A), as the case may be,";

(e) in sub-section (4), after "of sub-section (1)", insert "or, as the case may be, subsection (2A)";

(f) in sub-section (5), after "under sub-section(1)", insert "or sub-section (2A), as the case may be,";

(g) after sub-section (5), insert-

"Explanation 1:- For the purposes of computing aggregate turnover of a person for determining his eligibility to pay tax under this section, the expression "aggregate turnover'" shall include the value of supplies made by such person from the 1st day of April of a financial year up to the date when he becomes liable for registration under this Act, but shall not include the value of exempt supply of services provided by way of extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount.

Explanation 2.- For the purposes of determining the tax payable by a person under this section, the expression "turnover in the Union territory" shall not include the value of following supplies, namely:-

(i) supplies from the first day of April of a financial year up to the date when such person becomes liable for registration under this Act; and

(ii) exempt supply of services provided by way of extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount.".

Section 12.- In sub-section (2), in clause (a), omit "sub-section (1) of ".

Section 13.- In sub-section (2), in clauses (a) and (b) omit "sub-section (2) of'.

Section 16.- (i) In sub-section (2)-

(a) in clause (b), for the Explanation, substitute

"Explanation,- For the purposes of this clause, it shall be deemed that the registered person has received the goods or, as the case may be, services,-

(i) where the goods are delivered by the supplier to a recipient or any other person on the direction of such registered person, whether acting as an agent or otherwise, before or during movement of goods, either by way of transfer of documents of title to goods or otherwise;

(ii) where the services are provided by the supplier to any person on the direction of and on account of such registered person.";

(b) in clause (c), for "section 41", substitute "section 41 or section 43A";

(ii) in sub-section (4), omit or "invoice relating to such".

Section 17.- (a) In sub-section (3), insert,-

"Explanation.- For the purposes of this sub-section, the expression "value of exempt supply" shall not include the value of activities or transactions specified in Schedule III, except those specified in paragraph 5 of the said Schedule.";

(b) in sub-section (5), for clauses (a) and (b), substitute,-

"(a) motor vehicles for transportation of persons having approved seating capacity of not more than thirteen persons (including the driver), except when they are used for making the following taxable supplies, namely:-

(A) further supply of such motor vehicles; or

(B) transportation of passengers; or

(aa) vessels and aircraft except when they are used,-

(i) for making the following taxable supplies, namely:-

(A) further supply of such vessels or aircraft; or

(B) transportation of passengers; or

(D) imparting training on flying such aircraft;

(ii) for transportation of goods;

(ab) services of general insurance, servicing, repair and maintenance in so far as they relate to motor vehicles, vessels or aircraft referred to in clause (a) or clause (aa):

Provided that the input tax credit in respect of such services shall be available,-

(i) where the motor vehicles, vessels or aircraft referred to in clause (a) or clause (aa) are used for the purposes specified therein;

(ii) where received by a taxable person engaged,-

(I) in the manufacture of such motor vehicles, vessels or aircraft; or

(II) in the supply of general insurance services in respect of such motor vehicles, vessels or aircraft insured by him;

(b) the following supply of goods or services or both,-

(i) food and beverages, outdoor catering, beauty treatment, health services, cosmetic and plastic surgery, leasing, renting or hiring of motor vehicles, vessels or aircraft referred to in clause (a) or clause (aa) except when used for the purposes specified therein, life insurance and health insurance:

Provided that the input tax credit in respect of such goods or services or both shall be available where an inward supply of such goods or services or both is used by a registered person for making an outward taxable supply of the same category of goods or services or both or as an element of a taxable composite or mixed supply;

(ii) membership of a club, health and fitness centre; and

(iii) travel benefits extended to employees on vacation such as leave or home travel concession:

Provided that the input tax credit in respect of such goods or services or both shall be available, where it is obligatory for an employer to provide the same to its employees under any law for the time being in force.".

Section 20,- In the Explanation, in clause (c), for "under entry 84,", substitute "under entries 84 and 92A"

Section 22.- In sub-section (1), after the proviso, insert,-

"Provided further that where such person makes supplies of goods or services or both from a special category State in respect of which the State Government has enhanced the aggregate turnover referred to in the first proviso, he shall be liable to be registered if his aggregate turnover in a financial year exceeds the amount equivalent to such enhanced turnover:

Provided also that, the Government may, on the recommendations of the Council, enhance the aggregate turnover from twenty lakh rupees to such amount not exceeding forty lath rupees in case of supplier who is engaged exclusively in the supply of goods, subject to such conditions and limitations, as may be notified.

Explanation.- For the purposes of this sub-section, a person shall be considered to be engaged exclusively in the supply of goods even if he is engaged in exempt supply of services provided by way of extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount.".

Section 24.- In clause (x), for "commerce operator", substitute "commerce operator who is required to collect tax at source under section 52".

Section 25. (i) In sub-section (1), after the proviso and before the Explanation, insert,-

"Provided further that a person having a unit, as defined in the Special Economic Zones Act, 2005 (28 of 2005), in a Special Economic Zone or being a Special Economic Zone developer shall have to apply for a separate registration, as distinct from his place of business located outside the Special Economic Zone in the same State or Union territory.";

(ii) in sub-section (2), for the proviso, substitute,-

"Provided that a person having multiple places of business in the Union territory may be granted a separate registration for each such place of business, subject to such conditions as may be prescribed.";

(iii) after sub-section (6), insert,-

"(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 the 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 recommendation 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 meals 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 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 (Central Act 18 of 2016)".

Section 29.-

(i) In the marginal heading after "Cancellation", insert "or suspension";

(ii) In sub-section (1), for clause (c), substitute-

"(c) the taxable person is no longer liable to be registered under section 22 or section 24 or intends to opt out of the registration voluntarily made under sub-section (3) of section 25:

Provided that during pendency of the proceedings relating to cancellation of registration filed by the registered person, the registration may be suspended for such period and in such manner as may be prescribed.";

(iii) in sub-section (2), after the proviso, insert -

"Provided further that during pendency of the proceedings relating to cancellation of registration, the proper officer may suspend the registration for such period and in such manner as may be prescribed.".

Section 30.-

In sub-section (1), insert-

"Provided that such period may, on sufficient cause being shown, and for reasons to be recorded in writing, be extended-

(a) by the Additional Commissioner or the Joint Commissioner, as the case may be, for a period not exceeding thirty days;

(b) by the Commissioner, for a further period not exceeding thirty days, beyond the period specified in clause (a).".

Section 31.-

In sub-section (2), for the proviso, substitute-

provided that the Government may, on the recommendations of the Council, by notification,-

(a) specify the categories of services or supplies in respect of which a tax invoice shall be issued, within such time and in such manner as may be prescribed;

(b) subject to the condition mentioned therein, specify the categories of services in respect of which,-

(i) any other document issued in relation to the supply shall be deemed to be a tax invoice; or

(ii) tax invoice may not be issued.".

Insertion of new section -After section 31, insert

"31A. Facility of digital payment recipient.

The Government may, on the recommendations of the Council, to prescribe a class of registered persons who shall provide prescribed modes of electronic payment to the recipient of supply of goods or services or both made by him and give option to such recipient to make payment accordingly, in such manner and subject to such conditions and restrictions, as may be prescribed.".

Section 34.- (a) In sub-section (1),-

(i) for "Where a tax invoice has" substitute "Where one or more tax invoices have";

(ii) for "a credit note" substitute "one or more credit notes for supplies made in a financial year";

(b) in sub-section (3),-

(i) for "Where a tax invoice has" substitute "Where one or more tax invoices have";

(ii) for "a debit note" substitute "one or more debit notes for supplies made in a financial year".

Section 35.- In sub-section (5), insert-

"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.".

Section 39.- (a) For sub-sections (1) and (2), substitute,-

"(1) Every registered person, other than an Input Service Distributor or a nonresident taxable person or a person paying tax under the provisions of section 10 or section 51 or section 52 shall, for every calendar month or part thereof, furnish, a return, electronically, of inward and outward supplies of goods or services or both, input tax credit availed, tax payable, tax paid and such other particulars, in such form and manner, and within such time, as may be prescribed:

Provided that the Government may, on the recommendations of the Council, notify certain class of registered persons who shall furnish a return for every quarter or part thereof, subject to such conditions and restrictions as may be specified therein.

(2) A registered person paying tax under the provisions of section 10, shall, for each financial year or part thereof, furnish a return, electronically, of turnover in the State, inward supplies of goods or services or both, tax payable, tax paid and such other particulars in such form and manner, and within such time, as may be prescribed.";

(b) for sub-section (7), substitute-

"(7) Every registered person who is required to furnish a return under sub-section (1), other than the person referred to in the proviso thereto, or sub-section (3) or sub-section (5), shall pay to the Government the tax due as per such return not later than the last date on which he is required to furnish such return:

Provided that every registered person furnishing return under the proviso to sub-section (1) shall pay to the Government, the tax due taking into account inward and outward supplies of goods or services or both, input tax credit availed, tax payable and such other particulars during a month, in such form and manner, and within such time, as may be prescribed:

Provided further that every registered person furnishing return under subsection (2) shall pay to the Government the tax due taking into account turnover in the State or Union territory, inward supplies of goods or services or both, tax payable, and such other particulars during a quarter, in such form and manner, and within such time, as may be prescribed.";

(c) in sub-section (9),-

(i) for "in the return to be furnished for the month or quarter during which such omission or incorrect particulars are noticed", substitute "in such form and manner as may be prescribed";

(ii) in the proviso, for "the end of the financial year" substitute "the end of the financial year to which such details pertain".

Insertion of new section -After section 43, insert,-

"43A. Procedure for furnishing return and availing input tax credit.

(1) Notwithstanding anything contained in sub-section (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) Notwithstanding 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.

(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 this Act.

(6) The supplier and the recipient of a supply shall be jointly and severally liable to pay tax or to pay the input tax credit availed, as the case may be, in relation to outward supplies for which the details have been furnished under sub-section (3) or sub-section (4) but return thereof has not been furnished.

(7) For the purposes of sub-section (6), the recovery shall be made in such manner as may be prescribed and such procedure may provide for nonrecovery of an amount of tax or input tax credit wrongly availed not exceeding one thousand rupees.

(8) The procedure, safeguards and threshold of the tax amount in relation to outward supplies, the details of which can be furnished under subsection (3) by a registered person,-

(i) within six months of taking registration;

(ii) who has defaulted in payment of tax and where such default has continued for more than two months from the due date of payment of such defaulted amount,

shall be such as may be prescribed.".

Section 44.- In sub-section (1), insert-

"Provided that the commissioner may, on the recommendations of the council and for reasons to be recorded in writing, by notification, extend the time limit for furnishing the annual return for such class of registered persons as may be specified therein:

Provided further that, any extension of time limit notified by the Commissioner of Central tax shall be deemed to be notified by the Commissioner."

Section 48.- In sub-section (2), after "section 45", insert "and to perform such other functions".

Section 49.- (a) In sub-section (2), for "section 41"substitute "section 41 or section 43A";

(b) in sub-section (5),-

(i) in clause (c), insert-

"Provided that the input tax credit on account of State tax shall be utilised towards payment of integrated tax only where the balance of the input tax credit on account of central tax is not available for payment of integrated tax;";

(ii) in clause (d), insert-

"Provided that the input tax credit on account of Union territory tax shall be utilised towards payment of integrated tax only where the balance of the input tax credit on account of central tax is not available for payment of integrated tax;";

(c) after sub-section (9), insert,-

"(10) A registered person may, on the common portal, transfer any amount of tax, interest, penalty, fee or any other amount available in the electronic cash ledger under this Act, to the electronic cash ledger for integrated tax, central tax, State tax, Union territory tax or cess, in such form and manner and subject to such conditions and restrictions as may be prescribed and such transfer shall be deemed to be a refund from the electronic cash ledger under this Act.

(11) Where any amount has been transferred to the electronic cash ledger under this Act, the same shall be deemed to be deposited in the said ledger as provided in sub-section (1)."

After section 49, insert

"49A. Utilization of input tax credit subject to certain conditions

Notwithstanding anything contained in section 49, the input tax credit on account of State tax shall be utilised towards payment of integrated tax, or the State tax, as the case may be, only after the input tax credit available on account of integrated tax has first been utilised fully towards such payment.

49B. Order of utilisation of input tax credit.

Notwithstanding anything contained in this Chapter and subject to the provisions of clause (e) and clause (f) of sub-section (5) of section 49, the Government may, on the recommendations of the Council, prescribe the order and manner of utilisation of the input tax credit on account of integrated tax, State tax or Union territory tax, as the case may be, towards payment of any such tax.".

Section 50.- In sub-section (1), insert,-

"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.".

Section 51.- (i) For sub-section (3), substitute-

"(3) A certificate of tax deduction at source shall be issued in such form and in such manner as may be prescribed.";

(ii) Omit sub-section (4).".

Section 52.-

(i) In sub-section (4), insert,-

"Provided that the Commissioner may, for reasons to be recorded in writing, by notification, extend the time limit for furnishing the statement for such class of registered persons as may be specified therein:

Provided further that any extension of time limit notified by the Commissioner of Central tax shall be deemed to be notified by the Commissioner."

(ii) In sub-section (5), insert,-

"Provided that the Commissioner may, on the recommendations of the Council and for reasons to be recorded in writing, by notification, extend the time limit for furnishing the annual statement for such class of registered persons as may be specified therein:

Provided further that any extension of time limit notified by the Commissioner of Central tax shall be deemed to be notified by the Commissioner."

(iii) In sub-section (9), for "section 37", substitute "section 37 or section 39".

Insertion of new section -After section 53, insert-

"53A. Transfer of certain amounts.

Where any amount has been transferred from the electronic cash ledger under this Act to the electronic cash ledger under the Central Goods and Services Tax Act or under the Integrated Goods and Services Tax Act or under the Goods and Services Tax (Compensation to States) Act, the Government shall, transfer to the central tax account or integrated tax account or cess account, an amount equal to the amount transferred from the electronic cash ledger, in such manner and within such time as may be prescribed.".

Section 54.

(i) In sub-section (8), in clause (a), for "zero-rated supplies of goods" and "zero-rated supplies", substitute "export of goods" and "exports" respectively;

(ii) after sub-section (8), insert-

"(8A) Where the Central Government has disbursed the refund of State tax, the Government shall transfer an amount equal to the amount so refunded, to the Central Government."; and

(iii) in the Explanation, in clause (II),-

(i) in sub-clause (c), in item (i), after "foreign exchange", insert "or in Indian rupees wherever permitted by the Reserve Bank of India";

(ii) for sub-clause (e), substitute-

"(e) in the case of refund of unutilised input tax credit under clause (ii) of the first proviso to sub-section (3), the due date for furnishing of return under section 39 for the period in which such claim for refund arises;".

Section 67.- In sub-section (10), for"Code of Criminal Procedure, Samvat, 1989(1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)"

Section 69.- In sub-section (3),for "Code of Criminal Procedure, Samvat, 1989(1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)"

Section 70.- (i) In sub-section(1), For "Code of Civil Procedure, Samvat 1977(1920 A.D.){X of Svt. 1977}" substitute "Code of Civil Procedure, 1908 (5 of 1908)"; and

(ii) in sub-section (2), for "Jammu and Kashmir State Ranbir Penal Code, Svt. 1989(1932 A.D.){XII of 1989}" substitute "Indian Penal Code(45 of I860)".

Section 79.- (i) In sub-section (1), in clause (f) for"Code of Criminal Procedure, Samvat, 1989 (1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)"

(ii) After sub-section (4), insert.-

'Explanation.- For the purposes of this section, the word person shall include "distinct persons" as referred to in sub-section (4) or, as the case may be, subsection (5) of section 25.'.

Section 95.- (i) In clause (a),-

(d) for "of section 100" substitute "of section 100 or of section 101C".

(ii) after clause (e), insert,-

"(f) "National Appellate Authority" means the National Appellate Authority for Advance Ruling referred to in section 101A.".

Insertion of new section -After section 101, insert,-

"101A. Constitution of National Appellate Authority for Advance Ruling.

Subject to the provisions of this Chapter, the National Appellate Authority for Advance Ruling constituted under section 101A of the Central Goods and Services Tax Act shall be deemed to be the National Appellate Authority for Advance Ruling for the purposes of this Act".

Section 102.-

(i) For "Appellate Authority" occurring, at both the places substitute "Appellate Authority or the National Appellate Authority";

(ii) after "or section 101', insert "or section 101C of the Central Goods and Services Tax Act,2017 respectively,"; and

(iii) for "or the appellant occurring at both the places ", substitute " the appellant, the Authority or the Appellate Authority".

Section 103.-

(i) After sub-section (1), insert,-

"(1A) The advance ruling pronounced by the National Appellate Authority under this Chapter shall be binding on-

(a) the applicants, being distinct persons, who had sought the ruling under subsection (1) of section 101Bof the Central Goods and Services Tax Act, 2017 and all registered persons having the same Permanent Account Number issued under the Income-tax Act, 1961 (Central Act 43 of 1961);

(b) the concerned officers and the jurisdictional officers in respect of the applicants referred to in clause (a) and the registered persons having the same Permanent Account Number issued under the Income-tax Act, 1961 (Central Act 43 of 1961).";

(ii) in sub-section (2), for "in sub-section (1) " substitute "in sub-section (1) and subsection (1A)"

Section 104.- In sub-section (1),-

(a) for "the Appellate Authority" substitute "the Appellate Authority or the National Appellate Authority"; and

(b) after "of section 101", insert "or under section 101C of the Central Goods and Services Tax Act,2017".

Section 105.- (i) For the marginal heading, substitute-

"Powers of Authority, Appellate Authority and National Appellate Authority";

(ii) in sub-section (1),-

(a) for "Appellate Authority" substitute "Appellate Authority or the National Appellate Authority";

(b) in clause (c), for "Code of Civil Procedure, Samvat 1977(1920 A.D.){X of Svt. 1977}" substitute "Code of Civil Procedure, 1908 (5 of 1908)"; and

(iii) in sub-section (2).-

(a) for "Appellate Authority" substitute "Appellate Authority or the National Appellate Authority";

(b) for Code of Criminal Procedure, Samvat, 1989(1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)" and for "Jammu and Kashmir State Ranbir Penal Code, Svt. 1989(1932 A.D.){XII of 1989}" substitute "Indian Penal Code (45 of 1860)".

Section 106.- (i) For the marginal heading, substitute,-

"Procedure of Authority, Appellate Authority and National Appellate Authority"

(ii) for "Appellate Authority" substitute "Appellate Authority or the National Appellate Authority";

Section 107.- In sub-section (6), in clause (b), after "arising from the said order,", insert "subject to a maximum of twenty-five crore rupees,".

Section 109.- For section 109, substitute-

"109. Appellate Tribunal and Benches thereof.

(1) Subject to the provisions of this Chapter, the Goods and Services Tax Tribunal constituted under the Central Goods and Services Tax Act shall be the Appellate Tribunal for hearing appeals against the orders passed by the Appellate Authority or the Revisional Authority under this Act.

(2) The constitution and jurisdiction of the State Bench and the Area Benches located in the Union territory shall be in accordance with the provisions of section 109 of the Central Goods and Services Tax Act or the rules made thereunder.".

Section 111.- (i) In sub-sections (1), and (2), for "Code of Civil Procedure, Samvat 1977(1920 A.D.){X of Svt. 1977}" substitute "Code of Civil Procedure, 1908 (5 of 1908)"; and

(ii) in sub-section (2), in clause (d), for "Evidence Act, Samvat 1977(1920 A.D.){XIII of Samvat 1977}" substitute "Indian Evidence Act, 1872(1 of 1872)".

(iii) In sub-section (4), for "Jammu and Kashmir State Ranbir Penal code, Svt 1989 (1932 AD (12 of 1989))" substitute "Indian Penal Code (45 of 1860)" and "Code of Criminal Procedure, Svt 1989 (1933 AD, 23 of 1989" substitute "Code of Criminal Procedure 1973 (2 of 1974).

Section 112.- In sub-section (8), in clause (b), after "arising from the said order," insert "subject to a maximum of fifty crore rupees,".

Section 118.- In sub-section (2), for "Code of Civil Procedure, Samvat 1977 (1920 A.D.){X of Svt. 1977}" substitute "Code of Civil Procedure, 1908 (5 of 1908)".

Section 122.- After sub-section (1), insert:-

"(1A) Any person who retains the benefit of a transaction covered under clauses (i),(ii), (vii) or clause (ix) of sub-section (1)and at whose instance such transaction is conducted, shall be liable to a penalty of an amount equivalent to the tax evaded or input tax credit availed of or passed on.".

Section 129.- In sub-section (6), for "seven days", substitute "fourteen days".

Section 131.- For Code of Criminal Procedure, Samvat, 1989(1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)".

Section 132. - (i) In sub-section (7),-

(a) for "Whoever commits any of the following offences", substitute "Whoever commits, or causes to commit and retain the benefits arising out of, any of the following offences'';

(b) for clause (c), substitute,-

"(c) avails input tax credit using the invoice or bill referred to in clause (b) or fraudulently avails input tax credit without any invoice or bill;";

(c) in clause (e), omit ", fraudulently avails input tax credit".

(ii) In sub-section (4), for "Code of Criminal Procedure, Samvat, 1989(1933 A.D){XXIII of 1989}" substitute "Code of Criminal Procedure, 1973 (2 of 1974)".

Section 140.- With effect from the 8th day of July, 2017,-

(i) in sub-section (1), after the words "existing law", the words "within such time and" shall be inserted and shall be deemed to have been inserted;

(ii) in sub-section (2), after the words "appointed day", the words "within such time and" shall be inserted and shall be deemed to have been inserted;

(iii) in sub-section (3), for the words "goods held in stock on the appointed day subject to", the words "goods held in stock on the appointed day, within such time and in such manner as may be prescribed, subject to" shall be substituted and shall be deemed to have been substituted;

(iv) in sub-section (5), for the words "existing law", the words "existing law, within such time and in such manner as may be prescribed" shall be substituted and shall be deemed to have been substituted;

(v) in sub-section (6), for the words "goods held in stock on the appointed day subject to", the words "goods held in stock on the appointed day, within such time and in such manner as may be prescribed, subject to" shall be substituted and shall be deemed to have been substituted;

(vi) in sub-section (7), for the words "credit under this Act even if', the words "credit under this Act, within such time and in such manner as may be prescribed, even if" shall be substituted and shall be deemed to have been substituted;

(vii) in sub-section (8), for the words "in such manner", the words "within such time and in such manner" shall be substituted and shall be deemed to have been substituted; and

(viii) in sub-section (9), for the words "credit can be reclaimed subject to", the words "credit can be reclaimed within such time and in such manner as may be prescribed, subject to" shall be substituted and shall be deemed to have been substituted.

Section 143.- In sub-section (1), in clause (b), after the proviso, insert-

"Provided further that the period of one year and three years may, on sufficient cause being shown, be extended by the Commissioner for a further period not exceeding one year and two years respectively.".

Section 150.- In sub-section (1),-

(i) in clause (f), for "the Jammu and Kashmir Electricity Act, 2010(XII of 2010) substitute "the Electricity Act, 2003(36 of 2003)"; and

(ii) in clause (g), for "Registration Act Svt. 1977(1920 A.D.) (XXXV of 1977)" substitute "Registration Act, 1908 (16 of 1908)".

Section 156.- For "Jammu and Kashmir State Ranbir Penal Code, Svt. 1989(1932 A.D.){XII of 1989}" substitute "Indian Penal Code (45 of 1860)".

Section 158.- (i) In sub-section (2), for "Evidence Act, Samvat 1977(1920 A.D.){XIII of Samvat 1977}" substitute "Indian Evidence Act, 1872(1 of 1872)";

(ii) In sub-section (3), in clause (a) for "Jammu and Kashmir State Ranbir Penal Code, Svt. 1989(1932 A.D.){XII of 1989}" substitute "Indian Penal Code (45 of 1860)" and for "the Prevention of Corruption Act, Svt. 2006 (1949 A.D){XIII of 2006) substitute "the Prevention of Corruption Act, 1988 (49 of 1988).

Section 168.- In sub-section (2), for "sub-section (5) of section 66, sub-section (1) of section 143", substitute "sub-section (1) of section 143, except the second proviso thereof".

Insertion of new section -After section 168, insert-

168A. Power of Government to extend time limit in special circumstances.

(1) Notwithstanding anything contained in this Act, the Government may, on the recommendations of the Council, by notification, extend the time limit specified in, or prescribed or notified under this Act in respect of actions which may not be completed or complied with due to forcemajeure.

(2) The power to issue notification under sub-section (1) shall include the power to give retrospective effect to such notification from a date not earlier than the date of commencement of this Act.

Explanation. -For the purposes of this section, the expression "force majeure" means a case of war, epidemic, flood, drought, fire, cyclone, earthquake or any other calamity caused by nature or otherwise affecting the implementation of any of the provisions of this Act."

Section 171.- After sub-section (3), insert,-

"(3A) Where the Authority referred to in sub-section (2) after holding examination as required under the said sub-section comes to the conclusion that any registered person has profiteered under sub-section (1), such person shall be liable to pay penalty equivalent to ten per cent, of the amount so profiteered:

Provided that, no penalty shall be leviable if the profiteered amount is deposited within thirty days of the date of passing of the order by the Authority.

Explanation.- For the purposes of this section, the expression "profiteered" shall mean the amount determined on account of not passing the benefit of reduction in rate of tax on supply of goods or services or both or the benefit of input tax credit to the recipient by way of commensurate reduction in the price of the goods or services or both.".

Section 172.- In sub-section (1), in the proviso, for "three years", substitute "five years".

Section174.- In sub-section (3), for "the Jammu and Kashmir General Clauses Act, Samvat 1977(1920 A.D.)(XX of 1977)" substitute "the General Clauses Act, 1897."

Insertion of new section -After section 174, insert:-

"174A. Retrospective exemption from or levy or collection of State tax in certain cases.

(1) Notwithstanding anything contained in the SRO notification SRO -GST-1,dated the 8th July, 2017, issued by the Finance Department Government of Jammu and Kashmir, on the recommendations of the Council, in exercise of the powers under sub-section (1) of section 9 of the Jammu and Kashmir Goods and Services Tax Act, 2017,-

(i) no State tax shall be levied or collected in respect of supply of fishmeal (falling under heading 2301), during the period commencing from the 8th day of July, 2017 and ending with the 30th day of September, 2019 (both day sinclusive);

(ii) State tax at the rate of six per cent. shall be levied or collected in respect of supply of pulley, wheels and other parts (falling under heading 8483) and used as 10 parts of agricultural machinery (falling under headings 8432, 8433 and 8436),during the period commencing from the 8 th day of July, 2017 and ending with the 31stday of December, 2018 (both days inclusive).

(2) No refund shall be made of all such tax which has been collected, but which would not have been so collected, had sub-section (1) been in force at all material times

174B. Retrospective effect to notification issued under clause (ii) of proviso to subsection (3) of section 54 of Jammu and Kashmir Goods and Services Tax Act.

The notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R. 708(E), dated the 30th September, 2019, issued by the Central Government, on the recommendations of the Council, in exercise of the powers under clause (ii) of the proviso to sub-section (3) of section 54 of the Jammu and Kashmir Goods and Services Tax Act, 2017, read with subsection (2) of section 9 of the Goods and Services Tax (Compensation to States) Act, 2017, shall be deemed to have, and always to have, for all purposes, come into force on and from the 8 th day of July, 2017.

Schedule I.- In paragraph 4, for "taxable person", substitute "person".

Schedule II.- (i) In the heading, after the word "ACTIVITIES", the words "OR TRANSACTIONS" shall be inserted and shall always be deemed to have been inserted with effect from the 1st day of July, 2017.

(ii) In paragraph 4, the words "whether or not for a consideration," occurring at both the places, shall be omitted and shall be deemed to have been omitted with effect from the 8th day of July, 2017.

Schedule III.- (i) After paragraph 6, insert,-

"7. Supply of goods from a place to another place without such goods entering into India.

8. (a) Supply of warehoused goods to any person before clearance for home consumption;

(b) Supply of goods by the consignee to any other person, by endorsement of documents of title to the goods, after the goods have been dispatched from the port of origin located outside India but before clearance for home consumption.";

(ii) number the Explanation as Explanation 1 and after Explanation 1 as so numbered, insert-

'Explanation 2.- For the purposes of this paragraph, the expression "warehoused goods" shall have the same meaning as assigned to it in the Customs Act, (52 of 1962).'