53rd GST Council Meeting Recommendations

The GST Council held it’s meeting on 22^nd June 2024. Following key recommendations are made by the Council:

1. Interest and penalty waiver for the fiscal years 2017-18, 2018-19 and 2019-20, if the full tax demanded is paid upto 31.03.2025.
2. Reduction of the quantum of pre-deposit required to be paid for filing of appeals under GST.
3. Recommends certain exemptions related to accommodation services, providing relief to students and working professionals.
4. Clarification regarding valuation of supply of import of services by a related person where recipient is eligible to full input tax credit.
5. Clarification on valuation of corporate guarantee provided between related persons after insertion of Rule 28(2) of CGST Rules, 2017.
6. Clarification regarding applicability of provisions of Section 16 (4) of CGST Act, 2017, in respect of invoices issued by the recipient under Reverse Charge Mechanism (RCM).
7. Clarification on taxability of re-imbursement of securities/shares as ESOP/ESPP/RSU provided by a company to its employees.

Please find attached the press release of the council meeting issued by the Ministry of Finance. The recommendation contains only highlights. The recommendations have to be implemented by issuing the suitable notifications and circulars. We shall update with the detailed analysis immediately on issue of such notifications/circulars.

Please click the below link to read/download the press release.

53rd Council Meeting

Kindly reach in case of any clarifications required.