Amendment in GST Law w.e.f 01.01.2022

Last Updated On: Dec. 29, 2021, 9:43 p.m.



As we are begining with a new year, there is also new amendments in GST Act.In this article, you will see the list of amendments which will be effective from 01.01.2022


1. GSTR 2A or 2B matching made mandatory

The requirement for matching of Input Tax Credit (ITC) claimed in GSTR 3B with ITC available a per GSTR 2A / 2B has always been argued as there was no such condition in law. There was only a restriction provided in Rule 36(4) which allowed a taxpayer to claim maximum ITC of 105% of GST as per GSTR 2A / 2B of that month, and this restriction has been challenged before various High Courts also.

Now section 16(2) of the Act is being amended to insert Clause (aa) according to which a taxpayer is eligible to claim ITC only if it is communicated to him in GSTR 2A / 2B.


2. Changes in provision related to Detention, Seizure and Confiscation of Goods.

  • Demand made under Section 129 & 130 which relates to detention, seizure and confiscation of goods has been separated from demand made under section 74 of the Act;
  • Time limit of 7 days is being specified for issuance of notice from date of detention and further time limit of 7 days for issuance of order;
  • Time limit of 15 days is being specified for disposal of goods, from the receipt of order;
  • Provision for release of goods on furnishing of Bond / security as per section 67(6) is done away with;
  • Proviso is inserted to sub-section (6) which allows transporter to release its conveyance on payment of penalty as above or one lakh rupees, whichever is less;
  • Section 130 which deals with confiscation of goods has been made independent of section 129.
  • Appeal against the order issued as above (u/s 129) shall be filed on payment of pre-deposit of 25% of the Penalty demanded.



3. Attachment of Property and Bank Accounts

As per the current provision, section 83 allows attachment of Property, including Bank Accounts of taxpayer in case of pendency of any demand under specified sections.

However now the amendment shall allow attachment of Property including bank accounts on initiation of any proceeding. It further allows attachment of property and bank accounts of the Beneficiary [u/s 122(1A)] also.


4. Filing of GSTR 1 not allowed if GTSR 3B not filed

Currently a taxpayer who has not filed GSTR 3B for preceding 2 months was barred from filing of GTSR 1. However, by virtue of amendment in Rule 59(6), a taxpayer who has not filed his GSTR 3B for the preceding month shall be not allowed to file GSTR 1


5. Adhaar Authentication made mandatory

  • New rule 10B is being inserted to make Adhaar authentication mandatory in case of following situation:
  • For filing of application for revocation of cancellation of registration in FORM GST REG-21 under Rule 23
  • For filing of refund application in FORM RFD-01 under rule 89
  • For refund under rule 96 of the integrated tax paid on goods exported out of India


6.Recovery of tax where GSTR 3B not filed

Explanation inserted to section 75(12) by virtue of which department shall have power to recover tax where a taxpayer has furnished GSTR 1 but not filed its GSTR 3B.


7. Power to call for Information

Section 150 and 151 of the Act is being amended to provide power to the Jurisdictional Commissioner to call for Information from any Person in connection with this Act.

Further the information received as above can been used for further proceeding only after providing the concerned person with opportunity of being heard.


8. Taxability of services provided by AOP, Partnership firm:

Long dispute on taxability of services provided by an AOP, Partnership Firm, etc to its members. This matter has been under litigation since service tax regime. In order to avoid any future litigation, the GST law is being amended to include this service under the definition of ‘supply’ by making a specific insertion of clause (aa) in section 7(1) of the CGST Act, 2017. 



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