Section 22 of The Integrated Goods and Services Tax Act, 2017
- (1)The Government may, on the recommendations of the Council, by notification, make rules for carrying out the provisions of this Act.
- (2)Without prejudice to the generality of the provisions of sub-section (1), the Government may make rules for all or any of the matters which by this Act are required to be, or may be, prescribed or in respect of which provisions are to be or may be made by rules.
- (3)The power to make rules conferred by this section shall include the power to give retrospective effect to the rules or any of them from a date not earlier than the date on which the provisions of this Act come into force.
- (4)Any rules made under sub-section(1) may provide that a contravention thereof shall be liable to a penalty not exceeding ten thousand rupees.
Summary
- The Central Government has the power to make official rules to help implement and carry out this law.
- The Government must get recommendations from the Goods and Services Tax Council before making these rules.
- These rules must be published through an official public announcement called a notification.
- Rules can be given a backward-looking start date, but this date cannot be earlier than the date this tax law first came into force.
- If anyone violates these rules, the rules can set a penalty or fine of up to ten thousand rupees.
Practical examples
FAQ
1. Who has the authority to make rules under this section?
The Central Government is authorized to make the rules.
2. Does the Government need anyone else's approval or input before making rules?
Yes, the Government must make these rules based on the recommendations of the Goods and Services Tax Council.
3. Can a rule be applied to past transactions before the rule was actually written?
Yes, the Government can give a rule retrospective effect, which is a backward-looking start date. However, this start date cannot be earlier than the date this entire Act came into force.
4. What is the maximum fine that can be charged for breaking these rules?
The rules can state that breaking them will result in a penalty, but this penalty cannot be more than ten thousand rupees.
Test yourself
Q1.Under Section 22 of The Integrated Goods and Services Tax Act, 2017, who is authorized to make rules for carrying out the provisions of this Act?
Q2.Under Section 22 of The Integrated Goods and Services Tax Act, 2017, whose recommendations must the Government obtain before making rules?
Q3.Under Section 22 of The Integrated Goods and Services Tax Act, 2017, can the rules be given a retrospective, or backward-looking, effect?
Q4.Under Section 22 of The Integrated Goods and Services Tax Act, 2017, what is the maximum penalty that can be imposed for violating any rule?
Q5.How does Section 22 of The Integrated Goods and Services Tax Act, 2017, interact with the commencement rules in Section 1 of the same Act regarding retrospective rules?