The Government of Karnataka has notified Karnataka Goods and Services Tax (Amendment) Act, 2021 vide notification dated October 11, 2021, further amending the Karnataka Goods and Services Tax Act, 2017.
Key highlights of the amendment are:
- Section 35(5) – Auditing of accounts by a chartered accountant or a cost accountant and submission of a copy of the audited annual accounts has been omitted.
- Section 44 dealing with Annual return has been substituted as under:
Every registered person, other than an Input Service Distributor, a person paying tax under section 51 or section 52, a casual taxable person and a non-resident taxable person shall furnish an annual return which may include a self-certified reconciliation statement, reconciling the value of supplies declared in the return furnished for the financial year, with the audited annual financial statement for every financial year electronically, within such time and in such form and in such manner as may be prescribed:
Provided that the Commissioner may, on the recommendations of the Council, by notification, exempt any class of registered persons from filing annual return under this section: Provided further that nothing contained in this section shall apply to any department of the Central Government or a State Government or a local authority, whose books of account are subject to audit by the Comptroller and Auditor-General of India or an auditor appointed for auditing the accounts of local authorities under any law for the time being in force.
- In Section 50, the proviso under sub-section (1) has been substituted as under:
Provided that the interest on tax payable in respect of supplies made during a tax period and declared in the return for the said period furnished after the due date in accordance with the provisions of section 39, except where such return is furnished after commencement of any proceedings under section 73 or section 74 in respect of the said period, shall be payable on that portion of the tax which is paid by debiting the electronic cash ledger.
*Tanvi Singh, Editorial Assistant has reported this brief.