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The Central Board of Indirect Taxes and Customs has issued Notification No. 18/2022, dated September 28th, 2022 to give effect to the amendments proposed in Finance Budget (Annual) 2022-23. The said amendments are applicable with effect from October 1st, 2022. It is the objective of this bill to reform existing tax laws in order to prevent further instances of tax evasion and ensure more effective implementation of GST.

Few of the Amendments are:

1. Amendment in Input Tax Credit ( Section 16):In section 16(2) of The Act, clause ‘ba’ has been inserted which states that information on the input tax credit for a specific supply (which is sent to the registered person in accordance with section 38 and not otherwise restricted by other provisions) may be disclosed.
2. Cancellation or suspension of Registration: The amendment to section 29(2)(b) now allows the proper officer to cancel a person's registration if that person fails to file their tax return beyond three months from its due date.
3. Credit Notes: Sections 34(2)(a) and (b) of the Central Goods and Services Tax Act, 2017 prescribe that a registered person must declare in his tax return details of credit notes issued by him to other persons. The deadline for such disclosure has been extended to November 30th of the year following the end of financial year.
4. Rectification of Omission and Incorrect Particulars in GSTR-3B: Section 39(9) of the Central Goods and Services Tax Act, 2017 lays down a time limit within which registered persons can rectify omissions or incorrect particulars furnished in their GSTR-3B. The new amendment will allow to rectify the same by 30th November following the end of the respective Financial Year or the actual date of furnishing of relevant annual turn.
5. Refund of Tax (Section 54) Sub-section 2 has been amended. For tax refund claims involving an agency of the United Nations or one of its Multilateral Financial Institutions, taxpayers now have up to 2 years rather than 6 months to file. Consulate or Embassy of foreign countries or any other person or class of persons, as notified under section 55, entitled to a refund of tax paid by it on inward supplies of goods or services or both.

6.     Direction Issued: Section 38(2) and 151(1) now provide that the term 'Commissioner' shall not include a Commissioner or Joint Secretary posted on the Board. This means that no power in these sections to issue any instruction or direction.

7.     Collection of Tax at Stores: No correction for omissions or incorrect information will be allowed if the tax authorities do not notice it within 30 days of November.

8.     Goods and Services Tax Practitioners: For GST purposes, a registered person can authorize an approved tax practitioner to furnish details of outward supplies under section 37 (details of inward supplies under section 38 have been omitted) and the return under sections 39, 44, 45.

9.     Sections 42, 43, and 43A of the Principal Act relating to the matching, reversal or reclaiming of input tax credit have been omitted

10.  Section 47, Subsection 1 has been amended. Late fees will now be levied only on failure to furnish details of outward supplies under Section 37 or returns under Sections 39 and 45—not Section 52 as previously

11.  Interest on Delayed Payment of Tax (Section 50) Sub-section 3 has been substituted. The new version is effective from 1st July, 2017 and it applies to all pending cases as well.]It now provides that if the input tax credit has been wrongly availed or utilized, the registered person will have to pay interest (no more than 24%).