Application for Refund by Unregistered Persons
CBIC has prescribed the manner of filing of application for refund by unregistered persons, i.e., manner in which an unregistered person, who has suffered the burden of GST, but the contract has been cancelled later (e.g. Construction contract or long-term Insurance policy, where the supplier is bound by the statutory time limit to issue credit note with GST), file application for refund of GST.
Applicability of section 75(2) on tax determination
As per section 75(2) of CGST Act, 2017, where the appellate authority or appellate tribunal or court concludes that the notice issued by proper officer under section 74(1) is not sustainable for reason that the charges of fraud or any willful-misstatement or suppression of facts to evade tax have not been established, then the proper officer shall determine the tax payable by the notice, deeming as if the notice was issued under Section 73(1).
Taxability of ‘No Claim Bonus’ by Insurance Companies
No Claim Bonus cannot be considered as a consideration for any supply provided by the insured to the insurance company.
Where the deduction on account of No claim bonus is provided in the invoice issued by the insurer to the insured, GST shall be leviable on actual insurance premium amount, payable by the policy holders to the insurer, after deduction of No Claim Bonus mentioned on the invoice [section 15(3) (a) of the CGST Act]. Exemption for e-invoicing for an Entity
CBIC has clarified on applicability of e-invoicing with respect to an entity, i.e., whether exemption from mandatory generation of E-invoice is available for the entity as a whole or available in respect of certain supplies.
It has been clarified that the exemption prescribed in Notification No. 13/2020-Central Tax dated 21.03.2020 is not restricted by the nature of supply made by the entity but available for the entity as a whole. Thus, exemption from generation of e-invoices is for the entity as a whole and not restricted by nature of supply being made by entity.
