[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)]

Government of India Ministry of Finance

(Department of Revenue)

Central Board of Indirect Taxes and Customs

Notification No. 10/2020 – Central Tax

New Delhi, the 21st March, 2020

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) (hereinafter referred to as the said Act), the Government, on the recommendations of the Council, hereby notifies those persons whose principal place of business or place of business was in the erstwhile Union territory of Daman and Diu or in the erstwhile Union territory of Dadra and Nagar Haveli till the 26th day of January, 2020; and is in the merged Union territory of Daman and Diu and Dadra and Nagar Haveli from the 27th day of January, 2020 onwards, as the class of persons who shall, except as respects things done or omitted to be done before the notification, follow the following special procedure till the 31st day of May, 2020 (hereinafter referred to as the transition date) as mentioned below.

2. The said registered person shall,-

(I) ascertain the tax  period  as  per  sub-clause  (106)  of  section  2  of  the  said  Act  for  the purposes of any of  the  provisions  of  the  said  Act for the  month  of  January,  2020 and February, 2020 as below:-

(a) January, 2020: 1st January, 2020 to 25th January, 2020;

(b) February, 2020: 26th January, 2020 to 29th February, 2020;

(ii) irrespective of the particulars of tax charged in the invoices, or in other like documents, raised from the 26th January, 2020 till the transition date, pay the appropriate applicable tax in the return under section 39 of the said Act;

(iii) who have registered Goods and Services Tax  Identification  Number (GSTIN)  in the erstwhile Union territory of Daman and Diu and the erstwhile Union territory of Dadra and Nagar Haveli till the  25th day of January, 2019 have  an  option  to  transfer the balance of input tax credit (ITC) after the filing of the return for January, 2020, from the registered Goods and Services Tax  Identification  Number  (GSTIN)  in  the erstwhile Union territory of Daman and Diu to the registered GSTIN in the new Union territory of Daman and Diu and Dadra and Nagar Haveli by following the procedure as below:-

a. the said class of persons shall intimate the jurisdictional tax officer of the transferor and the transferee regarding  the  transfer  of  ITC, within one  month  of obtaining new registration;

b. the ITC  shall  be  transferred  on  the basis  of  the balance in the electronic  credit ledger upon filing of the return in the erstwhile Union territory of Daman and Diu, for the tax period immediately before the transition date;

c. the transfer of ITC shall be carried out through the return  under  section  39  of the said Act for the tax period immediately before the transition date and the transferor GSTIN shall debit the said ITC from its electronic credit ledger in Table 4(B)(2) of FORM GSTR-3B and the transferee GSTIN shall credit the equal amount of ITC in its electronic credit ledger in Table 4(A)(5) of FORM GSTR-3B.

3. The balance of Union territory taxes in  electronic  credit  ledger  of  the said class  of  persons, whose principal  place  of  business  lies  in  the  Union  territory  of  Daman and Diu,  as on the 25th day of January, 2020, shall be transferred as balance of Union territory tax in the electronic credit ledger.

[F. No.20/06/03/2020-GST]

(Pramod Kumar)

Director, Government of India