Important Keyword: Notification No. 45/2020 – Central Tax, GST transition Daman Diu Dadar Nagar Haveli, CBIC June 2020 notification, Section 148 CGST Act, GST migration Union Territories, DNHDD GST update, CGST Act Section 148 procedure, GST registration transfer India, GST ITC transfer Rule 41, Finodha GST compliance, GST return filing India.
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Table of Contents
[F. No. CBEC-20/06/03/2020-GST]
Government of India
Ministry of Finance
(Department of Revenue)
Central Board of Indirect Taxes and Customs
New Delhi, the 09th June, 2020
Notification No. 45/2020 – Central Tax: Seeks to extend the date for transition under GST on account of merger of erstwhile Union Territories of Daman and Diu & Dadar and Nagar Haveli.
[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]
G.S.R.....(E).– In exercise of the powers conferred by section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Government, on the recommendations of the Council, hereby makes the following amendment in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No.10/2020- Central Tax, dated the 21st March, 2020, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub- section (i), vide number G.S.R. 193(E), dated the 21st March, 2020, namely:-
In the said notification, in the first paragraph, for the figures, letters and words “31st day of May, 2020”, the figures, letters and words “31st day of July, 2020” shall be substituted.
2. This notification shall come into force with effect from the 31st day of May, 2020.
(Pramod Kumar)
Director,
Government of India
Note: The principal notification No. 10/2020-Central Tax dated the 21st March, 2020, was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 193(E), dated the 21st March, 2020.
📚 Frequently Asked Questions (FAQs): Notification No. 45/2020 – Central Tax
Q1: What is Notification No. 45/2020 – Central Tax about?
Answer:
This notification extends the deadline for taxpayers affected by the merger of Daman & Diu and Dadar & Nagar Haveli to complete their GST transition.
The original due date of 31 May 2020 was extended to 31 July 2020.
Q2: Why was this extension necessary?
Answer:
The merger of the two Union Territories required businesses to:
Migrate existing GST registrations,
Transfer input tax credits, and
Adjust records under the new jurisdiction.
Due to the COVID-19 pandemic and system-level adjustments, the government provided extra time for taxpayers to complete this transition.
📘 To simplify your GST migration process, explore Finodha GST Compliance.
Q3: Which earlier notification does this amend?
Answer:
It amends Notification No. 10/2020 – Central Tax, dated 21 March 2020, which first prescribed the GST transition process for businesses in the merged UTs.
Q4: What legal authority empowers the government to issue this notification?
Answer:
The government exercised powers under Section 148 of the CGST Act, 2017, which allows special procedures for certain classes of registered persons.
In this case, the procedure applies to taxpayers from the merged UTs.
Q5: Which Union Territories were merged?
Answer:
On 26 January 2020, the Union Territories of Daman & Diu and Dadar & Nagar Haveli were merged into a single Union Territory — Dadra and Nagar Haveli and Daman and Diu (DNHDD).
📘 Businesses from the merged UT can file fresh registrations through Finodha GST Registration.
Q6: What kind of transition does this notification refer to?
Answer:
The transition includes:
Migrating old GSTINs to the new UT jurisdiction,
Transferring ITC balances between old and new accounts,
Updating invoices and returns with the new GSTIN prefix.
Q7: Who are the beneficiaries of this extension?
Answer:
✅ Businesses registered in Daman & Diu or Dadar & Nagar Haveli before the merger.
✅ New businesses established post-merger requiring re-registration.
✅ Tax consultants handling transitional filings for affected entities.
Q8: Does this notification apply across India?
Answer:
No ❌.
It specifically applies to taxpayers located in or registered under the merged UTs of Daman & Diu and Dadar & Nagar Haveli.
Q9: What are the compliance requirements under this notification?
Answer:
Taxpayers were required to:
Amend their GST registration details,
Update business place and jurisdiction,
File returns (GSTR-1, GSTR-3B) reflecting the new UT code, and
Transfer ITC through Form GST ITC-02 as per Rule 41(1) of the CGST Rules.
Q10: What does Section 148 of the CGST Act specify?
Answer:
Section 148 empowers the government to notify special procedures for certain registered persons, such as:
Time limits for filing returns,
Transition rules,
Unique procedural requirements during structural changes like mergers.
Q11: What happens if a business misses the 31 July 2020 deadline?
Answer:
After the due date, taxpayers would face:
Disruption in GST compliance,
Ineligibility to claim transferred ITC, and
Potential penalties under Section 125 for non-compliance.
To avoid such issues, businesses can get professional help from Finodha GST Experts.
Q12: How did this merger impact GSTINs?
Answer:
Each business needed a fresh GSTIN under the new Union Territory “DNHDD”.
Example:
Old GSTIN: 26ABCDE1234F1Z2 (Daman & Diu)
New GSTIN: 25ABCDE1234F1Z3 (DNHDD)
Q13: When did the notification come into effect?
Answer:
Although issued on 9 June 2020, the notification took effect retrospectively from 31 May 2020 to ensure continuity of compliance.
Q14: Who issued and signed this notification?
Answer:
It was issued by the Ministry of Finance (Department of Revenue) and signed by Shri Pramod Kumar, Director, Government of India, under file number CBEC-20/06/03/2020-GST.
🏁 Conclusion
Notification No. 45/2020 – Central Tax provided timely relief to businesses in the merged Union Territories of Daman & Diu and Dadar & Nagar Haveli, allowing additional time to transition under GST seamlessly.
This proactive measure ensured that no business faced disruptions or penalties during the complex administrative merger process.
💡 Pro Tip: Keep your GST profile updated and stay compliant. File your returns and handle transitional formalities easily through:
👉 Finodha GST Return Filing
👉 Finodha GST Compliance Services
Download PDF: Notification No. 45/2020 – Central Tax
More Information: https://taxinformation.cbic.gov.in/
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