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The Central Goods and Services Tax Act, 2017 Notification
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Body Corrigendum Notification No. 3/2019-Central Tax (Rate) F.No.354/32/2019-TRU Dated 25th April, 2019

In the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No.3/2019- Central Tax (Rate), dated the 29th March, 2019, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 250 (E), dated the 29th March, 2019, -

(a) at page 34,

in line 42, in column (5) of the table, for "tax" read "central tax"; and

in line 45, in column (5) of the table, for "eighteen" read "nine".

(b) at page 51, in line 26, for "18" read " 18 (9 + 9)".

(Ruchi Bisht)

Under Secretary to the Government of India

INSTAVAT COMMENT

(a) In Condition of entry entry 1 to 1(e) para read prior to corrigendum as under:

Provided also that where value of input and input services received from registered suppliers during the financial year (or part of the financial year till the date of issuance of completion certificate or first occupation of the project, whichever is earlier) falls short of the said threshold of 80 per cent., tax shall be paid by the promoter on value of input and input services comprising such shortfall at the rate of eighteen percent on reverse charge basis and all the provisions of the Central Goods and Services Tax Act, 2017 (12 of 2017) shall apply to him as if he is the person liable for paying the tax in relation to the supply of such goods or services or both;

In Condition of entry entry 1 to 1(e) para after corrigendum read as under:

Provided also that where value of input and input services received from registered suppliers during the financial year (or part of the financial year till the date of issuance of completion certificate or first occupation of the project, whichever is earlier) falls short of the said threshold of 80 per cent., Central tax shall be paid by the promoter on value of input and input services comprising such shortfall at the rate of Nine percent on reverse charge basis and all the provisions of the Central Goods and Services Tax Act, 2017 (12 of 2017) shall apply to him as if he is the person liable for paying the tax in relation to the supply of such goods or services or both;

(b) In Annexure III Illustration 3 last para read prior to corrigendum as under :

In this example, the promoter has procured 50 per cent. of goods and services from a GST registered person. However, he has procured sand, cement and aluminum windows, ply and commercial wood etc. from an unregistered supplier. Thus, value of goods and services procured from registered suppliers during a financial year falls short of threshold limit of 80 per cent. To fulfill his tax liability on the shortfall of 30 per cent. from mandatory purchase, the promoter has to pay GST on cement at the applicable rate on reverse charge basis. After payment of GST on cement, on the remaining shortfall of 15 per cent., the promoter shall pay tax @ 18 per cent. under RCM.

In Annexure III Illustration 3 last para read after corrigendum as under :

In this example, the promoter has procured 50 per cent. of goods and services from a GST registered person. However, he has procured sand, cement and aluminum windows, ply and commercial wood etc. from an unregistered supplier. Thus, value of goods and services procured from registered suppliers during a financial year falls short of threshold limit of 80 per cent. To fulfill his tax liability on the shortfall of 30 per cent. from mandatory purchase, the promoter has to pay GST on cement at the applicable rate on reverse charge basis. After payment of GST on cement, on the remaining shortfall of 15 per cent., the promoter shall pay tax @ 18 (9+9) per cent. under RCM.