Page 27 - Quick Insights Book 2022

5 Goods and Services Tax

GOODS AND SERVICES TAX (GST)

Goods and Services Tax, a comprehensive indirect tax levy on
supply of goods as well as services, was implemented in India
from 1st July 2017 (in Jammu & Kashmir, was implemented
from 8th July 2017) with the main objective to consolidate
various indirect taxes in a single tax so as to overcome the
limitations of earlier indirect tax structure and create efficiencies
in tax administration. A number of existing indirect taxes which
were earlier levied by the Central and State Governments
including Central Excise duty, Service Tax, VAT, Purchase Tax,
Central Sales Tax, Entry Tax, Local Body Taxes, Octroi, Luxury
Tax etc. have been subsumed in GST.

PROFESSIONAL OPPORTUNITIES FOR CHARTERED
ACCOUNTANTS

• GST, a paradigm shift from origin based tax to destination
based tax, has been introduced in India with one of the
objectives to provide an uninterrupted and seamless flow
of input tax credit, and a mechanism to avoid cascading
of taxes. Thus, to ensure this smooth flow of credit and
also authencity of credit claimed by the tax payers, in
some cases they are required to make declarations in
Form GST ITC-01, Form GST ITC-02 etc. Government
has given the responsibility of certifying aforesaid
declarations to Chartered Accountants. Following are
the certificates which is to be issued by a Chartered
Accountant as per GST law:

i. Certificate under Section 18(1)(a) of the CGST Act
ii. Certificate under Section 18(1)(b) of the CGST Act
iii. Certificate under Section 18(1)(c) of the CGST Act
Goods and
iv. Certificate under Section 18(1)(d) of the CGST Act
v. Certificate under Section 18(3) of the CGST Act

vi. Certificate under Section 54 of the CGST Act Services Tax
vii. Certificate under Section 29(5) of the CGST Act
viii. Certificate under Section 18(4) of the CGST Act-
Composite Tax Payer
ix. Certificate under Section 18(4) of the CGST Act-
Taxable supplies by registered person become
wholly exempt

x. Certificate under Internal Circular 02A of 2022
dated 25.02.2022.

14 Quick Insights on Professional Opportunities for Chartered Accountants