Key Highlights of the CGST Circular No. 89/08/2019
<p><span>In Circular No. 89/08/2019-GST, issued on February 18, 2019, the Indian Ministry of Finance provided crucial guidelines on reporting inter-State supplies under the CGST Act, 2017. Here are the key highlights:</span></p><ol start="1"><li><span><strong>Mandatory Reporting of Inter-State Supplies</strong>: Registered suppliers must report details of inter-State supplies made to unregistered persons, composition taxable persons, and UIN holders in Table 3.2 of FORM GSTR-3B and Table 7B of FORM GSTR-1.</span></li><li><span><strong>Apportionment of IGST</strong>: Failure to report these details in Table 3.2 of FORM GSTR-3B results in non-apportionment of the due amount of IGST to the State where such supply takes place. This misalignment impacts the quantum of goods or services supplied and the integrated tax apportioned between the Centre and the State.</span></li><li><span><strong>Penal Consequences</strong>: Non-compliance with these reporting requirements can attract penal action under Section 125 of the CGST Act.</span></li><li><span><strong>Trade Notices and Implementation</strong>: Suitable trade notices should be issued to publicize the contents of this circular, and any difficulties in implementation should be brought to the notice of the Board.</span> <a href="https://cms.plasament.com/storage/nisha/circular-cgst-89.pdf">circular-cgst-89</a><br> </li></ol>