Thread by @harshit1810

🔎Unlocking the Mysteries of Section 60: Provisional Assessment! 🧵

💡 Are you struggling to determine the value or rate of tax for goods or services? Fear not! Section 60 of the GST Act offers a solution: provisional assessment. Let's dive into the key points:

📝 If you find yourself in this predicament, write a formal request to the proper officer, explaining why you need to pay tax on a provisional basis

📑 Submit an application (FORM GST ASMT-01) along with supporting documents electronically through the common portal or a designated Facilitation Centre.

📨 Upon receipt of your application, the proper officer may issue a notice (FORM GST ASMT-02), requesting additional information or documents to support your request.

📄Respond to the notice (FORM GST ASMT-03) and, if necessary, you can even choose to appear in person before the officer.

✍️ Within 90 days, the proper officer will issue an order (FORM GST ASMT-04) allowing provisional tax payment. The order will specify the value or rate (or both) on which the assessment will be based

💰 The officer will also indicate the amount for which you need to execute a bond and the value of security (not exceeding 25% of the bond amount).

🔐 Execute the bond as per the prescribed format (FORM GST ASMT-05) and provide security in the form of a bank guarantee for the indicated amount

⚖️ Notably, if you've already furnished a bond under the State Goods and Services Tax Act or Integrated Goods and Services Tax Act, it will be considered valid under the CGST Act

💼 The term "amount" includes integrated tax, central tax, state tax, union territory tax, and cess payable for the transaction

📋 The officer will issue another notice (FORM GST ASMT-06) to gather necessary information and records for finalizing the assessment. Subsequently, a final assessment order (FORM GST ASMT-07) will be issued, specifying the amount payable or refundable.

⏳ The final assessment order must be issued within six months from the date of the provisional assessment order issued. In exceptional cases, this period may be extended by the Joint or Additional Commissioner by 6 months and by 4 years by Commissioner.

💸 If you choose provisional assessment, remember that you'll be liable to pay interest at a rate of 18% per annum on any tax payable but not paid by the due date of payment of tax until date of actual payment.

💰 In case of a refund resulting from the final assessment, you'll be entitled to an interest at a rate of 6% from the 61st day after the refund application is received until the date of refund.

📥 If you wish to release the security provided, file an application (FORM GST ASMT-08) after receiving the Final Assessment order.

🔓 The proper officer will release the security after ensuring the payment specified is made. An order (FORM GST ASMT-09) will be issued within seven working days of receiving your application.

🔍 Keep in mind these provisions to navigate the world of provisional assessment smoothly! Stay informed and compliant with Section 60. 💼

✨ If you found this thread informative, don't hesitate to follow me @harshit1810 for more insightful content on GST-related topics.
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