Notification: Amendments to CGST Rules, 2017

CGST (Fourth Amendment) Rules, 2018. Effective Date: Enforced upon publication in the Official Gazette. Refund Formula Enhancement: Rule 89 revised for refund on inverted duty structure. Formula: Max Refund = {(Turnover of inverted rated supply) x Net ITC ÷ Adjusted Total Turnover} - tax payable on such supplies.

Creation of Consumer Welfare Fund: Rule 97 replaces the former rule. Establishes a Consumer Welfare Fund credited with specified taxes and income. Fifty per cent of integrated tax determined under section 54 credited to the Fund. Utilization Committee: Constitutes a Standing Committee to recommend Fund utilization for consumer welfare. Empowered to demand registration, audit accounts, and conduct inspections.

Consumer Welfare Initiatives: Committee authorized to grant funds, invest, and reimburse legal expenses. Allows up to 50% of annual Fund for GST awareness campaigns. Definitions Clarified: Clearly defines 'applicant,' 'consumer,' 'duty,' and 'Fund.' Provides detailed explanations for terms used in the rule.

Form Modification: FORM GST ITC-03 amended to include instructions on capital goods valuation. Issued By: Dr. Sree Parvathy S.L., Under Secretary to the Government of India. Objective: To streamline refund processes and ensure proper utilization of the Consumer Welfare Fund for consumer welfare initiatives.