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Shri Sanjay Malhotra, IAS
Revenue Secretary
Ministry of Finance
Government of India
North Block
New Delhi- 110001
Sir,
Sub: Representation on Provisions w.r.t. Waiver of Interest and Penalty [Amnesty Scheme] under GST
The Bombay Chamber is India’s premier Chamber of Commerce and Industry situated in Mumbai, the industrial, financial and commercial capital of India. Established in 1836, it is the oldest Chamber in the country and has a long and illustrious history of 188 years of continuous service to trade and industry. It is registered under Section 8 of the Companies Act, 2013 (Section 25 of The Companies Act, 1956) a non-profit organization. With a large member base, the Chamber represents various industries in different sectors including SMEs.
Based on the recommendations of the GST Council made in its 53rd meeting, Section 128A has been inserted vide Finance Act, 2024, in the Central Goods and Services Tax Act, 2017 (CGST Act) with effect from 1 November 2024 to provide for waiver of interest or penalty or both, relating to demands under section 73 of the CGST Act pertaining to Financial Years 2017-18, 2018-19 and 2019-20, subject to certain conditions.
Subsequently, based on the recommendations of the GST Council made in its 54th meeting, Rule 164 has been inserted in Central Goods and Services Tax Rules, 2017 (CGST Rules) with effect from 1 November 2024, vide notification No.20/2024- Central tax dated 8 October 2024, providing for procedure and conditions for closure of proceedings under section 128A of CGST Act.
To facilitate implementation of the Amnesty scheme, CBIC has also issued a Circular No. 238/32/2024-GST dated 15 October 2024 clarifying the provisions of Section 128A read with Rule 164 and answering various doubts raised by Trade and Field formations, in the form of FAQs.
Apart from the clarifications issued by CBIC, Members of the Bombay Chamber have raised several issues concerning the Amnesty Scheme which they may face once it is implemented from 1 November 2024. In the attached document, we have listed key issues of concern of the members and the respectful suggestions to address them and make the scheme more effective.
Bombay Chamber would be glad to facilitate the dialogue and assist both the government and taxpayers in effectively navigating implementation of the Amnesty scheme.
We will be pleased to provide any further information that may be required for consideration of this representation.
Thanking you,
Yours sincerely,
Sandeep Khosla
Director General
