LABOUR LAW NEWS  BULLETINFOR THE MONTH OF  
 Januay, 2018

GST Accounts and Records Rules (Updated), Maintenance of Accounts

December 26, 2017
1
GST Accounts and Records Rules (Final), Maintenance of Accounts by registered persons. GST Rules for Generation and maintenance of electronic records and rules for Records to be maintained by owner or operator of godown or warehouse and transporters. CBEC Release new GST Final Rules fro Accounts & Records under GST Regime, Here below we provide GST Accounts Maintenance & GST Accounting Record Rules. Now check more details from below….

GST Accounts and Records Rules

1. Maintenance of accounts by registered persons

(1) Every registered person shall keep and maintain, in addition to the particulars mentioned in sub-section (1) of section 35, a true and correct account of the goods or services imported or exported or of supplies attracting payment of tax on reverse charge along with relevant documents, including invoices, bills of supply, delivery challans, credit notes, debit notes, receipt vouchers, payment vouchers, refund vouchers and e-way bills.

(2) Every registered person, other than a person paying tax under section 10, shall maintain accounts of stock in respect of goods received and supplied by him, and such account shall contain particulars of opening balance, receipt, supply, goods lost, stolen, destroyed, written off or disposed of by way of gift or free sample and balance of stock including raw material, finished goods, scrap and wastage thereof.

(3) Every registered person shall keep and maintain a separate account of advances received, paid and adjustments made thereto.

(4) Every registered person, other than a person paying tax under section 10, shall keep and maintain an account, containing the details of tax payable (including tax payable in accordance with the provisions of sub-section (3) and sub-section (4) of section 9), tax collected and paid, input tax, input tax credit claimed, together with a register of tax invoice, credit note, debit notes, delivery challan issued or received during any tax period.

(5) Every registered person shall keep the particulars of –

• (a) names and complete addresses of suppliers from whom he has received the goods or services chargeable to tax under the Act;
• (b) names and complete addresses of the persons to whom he has supplied goods or services, where required under these rules
• (c) the complete address of the premises where goods are stored by him, including goods stored during transit along with the particulars of the stock stored therein.

(6) If any taxable goods are found to be stored at any place(s) other than those declared under sub-rule (5) without the cover of any valid documents, the proper officer shall determine the amount of tax payable on such goods as if such goods have been supplied by the registered person

(7) Every registered person shall keep the books of account at the principal place of business and books of account relating to additional place of business mentioned in his certificate of registration and such books of account shall include any electronic form of data stored on any electronic device.
(8) Any entry in registers, accounts and documents shall not be erased, effaced or overwritten, and all incorrect entries, otherwise than those of clerical nature, shall be scored out under attestation and there after correct entry shall be recorded and where the registers and other documents are maintained electronically, a log of every entry edited or deleted shall be maintained.

(9) Each volume of books of account maintained manually by the registered person shall be serially numbered.

(10) Unless proved otherwise, if any documents, registers, or any books of account belonging to a registered person are found at any premises other than those mentioned in the certificate of registration, they shall be presumed to be maintained by the said registered person.

(11) Every agent referred to in clause (5) of section 2 shall maintain accounts depicting the –

• (a) particulars of authorization received by him from each principal to receive or supply goods or services on behalf of such principal separately;
• (b) particulars including description, value and quantity (wherever applicable) of goods or services received on behalf of every principal;
• (c) particulars including description, value and quantity (wherever applicable) of goods or services supplied on behalf of every principal;
• (d) details of accounts furnished to every principal; and
• (e) tax paid on receipts or on supply of goods or services effected on behalf of every principal.

(12) Every registered person manufacturing goods shall maintain monthly production accounts, showing quantitative details of raw materials or services used in the manufacture and quantitative details of the goods so manufactured including the waste and by products thereof.

(13) Every registered person supplying services shall maintain the accounts showing quantitative details of goods used in the provision of services, details of input services utilised and the services supplied.

(14) Every registered person executing works contract shall keep separate accounts for works contract showing –

• (a) the names and addresses of the persons on whose behalf the works contract is executed;
• (b) description, value and quantity (wherever applicable) of goods or services received for the execution of works contract;
• (c) description, value and quantity (wherever applicable) of goods or services utilized in the execution of works contract;
• (d) the details of payment received in respect of each works contract; and
• (e) the names and addresses of suppliers from whom he received goods or services.

(15) The records under these rules may be maintained in electronic form and the record so maintained shall be authenticated by means of a digital signature.

(16) Accounts maintained by the registered person together with all the invoices, bills of supply, credit and debit notes, and delivery challans relating to stocks, deliveries, inward supply and outward supply shall be preserved for the period as provided in section 36 and shall, where such accounts and documents are maintained manually, be kept at every related place of business mentioned in the certificate of registration and shall be accessible at every related place of business where such accounts and documents are maintained digitally.

(17) Any person having custody over the goods in the capacity of a carrier or a clearing and forwarding agent for delivery or dispatch thereof to a recipient on behalf of any registered person shall maintain true and correct records in respect of such goods handled by him on behalf of the such registered person and shall produce the details thereof as and when required by the proper officer.

18) Every registered person shall, on demand, produce the books of accounts which he is required to maintain under any law in force.

58. Records to be maintained by owner or operator of godown or warehouse and transporters.

(1) Every person required to maintain records and accounts in accordance with the provisions of sub-section (2) of section 35, if not already registered under the Act, shall submit the details regarding his business electronically on the common portal in FORM GST ENR-01, either directly or through a Facilitation Centre notified by the Commissioner and, upon validation of the details furnished, a unique enrolment number shall be generated and communicated to the said person.

(2) The person enrolled under sub-rule (1) as aforesaid in any other State or Union territory shall be deemed to be enrolled in the State or Union territory.

(3) Every person who is enrolled under sub-rule (1) shall, where required, amend the details furnished in FORM GST ENR-01 electronically on the common portal either directly or through a Facilitation Centre notified by the Commissioner.

(4) Subject to the provisions of rule 56

• (a) any person engaged in the business of transporting goods shall maintain records of goods transported, delivered and goods stored in transit by him along with the Goods and Services Tax Identification Number of the registered consigner and consignee for each of his branches.
• (b) every owner or operator of a warehouse or godown shall maintain books of accounts with respect to the period for which particular goods remain in the warehouse, including the particulars relating to dispatch, movement, receipt and disposal of such goods.

(5) The owner or the operator of the godown shall store the goods in such manner that they can be identified item-wise and owner-wise and shall facilitate any physical verification or inspection by the proper officer on demand

General:

1. The Government of India is likely to provide India with its first National  Employment Policy (NEP), which may be announced  in the upcoming Budget. It will have a comprehensive roadmap outlined for all the employers and workers in a bid to create quality jobs across all sectors through economic, social and labourpolicy  interventions.
2. The ESI Corporation during its 172^nd meeting have taken decisions for  formation of Employees State Insurance Society in States,  and Upradation of ESI Dispensaries in 6 bedded units in  phased manner.
3. The President Shri. Ram NathKovind on 15^thDecember,2017 while addressing the convocation of theBabasahebBhimraoAmbedkar  University at Lucknow, urged students community  to become job creators rather than remain just job seekers  and advise them to follow the path of ethics and principles to attain true success in whichever walk of life they choose.
4. EPF Organisationwill go paperless by August,2018 as part of Digital India Initiative which will improve delivery of services for its five crore subscribers, according to  Dr V.P. Joy, IAS, Central Provident Fund Commissioner. The PFO has already launched a host of online services such as EPF withdrawals.
5. As a part of the “Vigilance Awarness week 2017”, organized nationwide to promote transparency and probity in Public governance, EPFO Organizeda national seminar on “Fraud risk Management – The New Initiatives”.
6. The EPS-95 National Agitation Committee of nearly 1 lakh members is pushing for a minimum monthly pension of Rs.7,500 from the present Rs.1,000.00.
7. EPFO has opened a new facility for its members that will allow consolidation or merger of their multiple PF Account with the current  Universal Portable  Account Number (UAN) instead of filing Transfer applications for transfer of Account from earlier Account Number to present Account number.

CASE LAWS:

1. EMPLOYEES’ PROVIDENT FUNDS AND MISCELLANEOUS PROVISIONS ACT, 1952:

1. An order by the Regional Provident Fund Commissioner  relying upon the report of the Enforcement Officer is not legal. (Bombay High Court)

2. Reviewing authority must hear the aggrieved party. (Kerala High Court)

3. An appeal before Tribunal beyond limitation is not tenable (Bombay High Court)

4. Transferee  liable for damages for the default  of delayed remittance by the transferor (Bombay High Court)

5. Financial crises due to labour unrest is a factor for reduction of Damages for delayed deposit of E.P.F dues (Delhi High Court)

6. Clubbing of units for applicability of EPF Act  when there is financial integrity. (Kerala High Court)

7. A principal employer will be liable to pay E.P.F Contributions if contractors fail to remit (Punjab & Haryana High Court)

8. Mens rea/actusreus  of employer would be he determinative factor in imposing damages (Chhattisgarh High Court).

2. FACTORIES ACT,1948.

Proceedings in respect of a complaint filed under Section 92 and 9 of the Factories Act,1948, before the Chief Judicial Magistrate, for violation of provisions of Factories Act, cannot be quashed by way of a petition under  Section 482 Cr.PC, only on the ground  that Inspector inspected the Factory alone since  the Inspector has cited certain violation of provisions of Factories Act and it cannot be said that prima facie no offence is made out from the complaint. (Madhya Pradesh High Court)

3. EMPLOYEES’  COMPENSATION ACT,1923.

1. A driver is to be taken as skilled worker (Supreme Court of India)
2. Relationship of employer-employee cannot be denied only in the absence of written contract of employment between the employer and the deceased.(Delhi High Court)
3. Settled proposition of law is that in case the accident has occurred on account of the risk which is an incident of employment, such an accident would be taken as having arisen out of employment and in the course of employer (Kerala High Court)
4. If the deceased employee was sleeping in the cabin  only to resume his next duty in the next turn, he would be deemed to be in the employment of the employer. (Kerala High Court)
5. As per section 16 of the Apprentices  Act, 1961, an apprentice even unpaid is entitled to claim compensation under the Employees’ Compensation  Act,1923, for the injury suffered by him during the course of his employment (Madras High Court).

4. INDUSTRIAL DISPUTES ACT,1947.

   1. Labour Court / Industrial  Tribunal has no power to modify the quantum of minor punishment imposed by the disciplinary authority, under Section 11A f the Act. (Karnataka High court)
   2. Proceedings under Section 33C(2) of the Industrial Disputes Act, 1947, are in nature of execution proceedings. (Madras High Court)
5. MINIMUM WAGES ACT, 1948

The workers engaged through the Contractor under Contract Labour (R & A) Act, have to be paid their wages which would not be less than the minimum rate of wages. (Jharkhand High Court)

6. EMLOYEES’ STATE INSURANCE  ACT,1948:

   1. Mode of piece rate payment is ‘wages’ under Section 2(220 of the ESI Act, 1948. (Supreme Court of India)
   2. A Limited Company and a proprietorship firm, being run by a Director of the Limited Company, both having separate  entities, the proprietorship firm would not be liable for the default on the part of the Limited Company in remittance of ESI dues. (Delhi High Court)

7. PAYMENT OF GRATUITY ACT, 1972:

   1. Section 13 of the Act protects gratuity payable under the Act from attachment in execution of any decree or order of any Civil, Revenue or Criminal Court (Calcutta High Court)
   2. Under Section 7 (3-A)of the Act, the employer is liable to pay simple interest  if the employer has not paid the amount of gratuity within 30 days from the date it becomes payable. (Chhattisgarh High Court)