On the eve of the first meeting of the Goods and Services Tax (GST) Council, the Central Board of Excise and Customs (CBEC) released a detailed set of FAQs for GST, specifying norms for e-commerce players and taxi aggregators under the new taxation regime.
With questions on 24 topics, the 268-page frequently asked questions booklet covers over 500 questions on 24 topics, including registration, valuation and payment, scope and time of supply, refunds, seizure and arrest. It has also clarified that taxi aggregators will have to register under GST and also, there will be no threshold exemption for them.
Similarly, e-commerce players such as Flipkart and Amazon will have to seek registration under GST irrespective of the value of supply made by them.
It also stated that companies, including Titan, which supply watches and jewels through their own websites will not be considered as e-commerce operators.
“A person providing any information or any other services incidental to or in connection with such supply of goods and services through electronic platform would be considered as an operator. A person supplying goods/services on his own account, however, would not be considered as an operator,” as per the FAQs.
The FAQs, which are based on the Model GST law, also stated the penal provisions, specifying that penalty could extend up to five years of jail with a fine if the tax evaded is more than Rs 2.5 crore, three years if tax evaded is between Rs 50 lakh and 2.5 crore and one year if it is between Rs 25-50 lakh.
It further said all offences where the evasion of tax exceeds Rs 2.5 crore shall be cognisable and non-bailable.