Role of GST Advisory Services

GST Advisory is a guidance provided by a government or regulatory body on the implementation and compliance with the Goods and Service tax system. It can be in written form through documents or guidelines or question-answers forms or interactive channels like webinars, conferences, etc. 

The advisory has given an aggregate turnover of up to Rs. Five crores where the number of digits of HSN code reported in GSTR 1 is four and an aggregate turnover of more than Rs. 5 crores where the number of digits of the HSN code reported in GSTR 1 is six.

The following are the essential features of GST Advisory:

1. Evaluating an Impact

The research is conducted for evaluating the impact on business. It provides various opportunities for improving the scope of GST.

2. Overview of Evaluation

The business needs to identify the opportunities after the evaluation is completed.

3. Assistance in Execution

The relevant changes are made after understanding the evaluation. It needs to be reviewed with the process, documents, and policies made with the requirements of GST. 

4. Management of transition or evolution

An analysis is completed after execution with the application of compliances in transitioning the tax credits and liabilities with addressing an individual requirement.

Role of GST Advisory Services

The role of advisory services on GST are as follows:

• Implementation of GST

The Advisory services provide assistance in the registration process and guidance in the recovery of tax from customers. It evaluates the eligibility for GST and transferability of existing ITC. It also assists in the preparation and updating of manuals. 

• Training in GST

Training is provided for finance, taxation, legal, sales and marketing departments. It also gives training for vendors, suppliers and customers.

• Functionary Advisory

The examination of an existing IT system for providing taxation triggers and mapping for customers' business transactions. The guidance for making credit, debit notes and invoices and other functions. It also introduces changes in the transition of credits.

• Tax Efficiency

It advises the relevant cost system used for additional savings. Timely precautions must be adopted. It can represent in front of regulatory authorities for anti-profiteering. 

• Impact Assessment on Business

The changes in tax rates on onward supplies. There can be changes in the time and place of supply of goods and services.

The Goods and services tax network has published an advisory for GST composite taxpayers on negative liability. The composition taxpayers are required to file the liability with Form GST CMP-08 on a quarterly basis in Form GSTR-4 after closing of the year.

The GST advisory and compliance has issued a notification for changes in the system with respect to AD code registration in exports. 

The changes made by a number of CBIC advisory 10/2022 dated ICES advisory 06/2022 are given in the following points:

• AD code with an associated bank account is required to get registered in the system at only one port. The AD code is available at the location of customs. The request for registration can be online through ICEGATE or at the customs house. The approval by an officer at every port is required wherever there is registration of the AD code.
• The new AD code registration is the same to be registered through online request at ICEGATE. The option to add or modify the AD code and account against an IEC is disabled.
• There is no requirement for separate registration at other ports for filing documents.
• The ICES advisory 13/2022 states that there can be multiple AD codes associated with registered against an IEC.
• The existing AD code registered for an IEC where the last shipping bill was filled has been taken for registration for the AD code in the system. The details of the port for the registered AD code are available on the ICEGATE login ID under the option of bank management option.

Conclusion

GST Services on advisory include analyzing the impact of GST on businesses with alternative business models, and guidance for implementation at the business level.