Notification No 07/2025-CT
The Government has issued Notification No 07/2025-CT in which it used its power under section 164 of CGST Act,2017 has made some changes to CGST Rules 2017. These updated rules will be called the Central Goods and Services Tax (Amendment) Rules,2025. They will take effect from the date they are officially published in the Official Gazette.
Recommendation has been made in 55th GST Council meeting to insert the Rule 16A related to provide individuals or entities who are not required to registered under GST as they are not liable for GST Registration, still to comply with the law if they need to make GST related payment. If such person needs to make Payment under GST Act , a proper officer will issue Temporary Identification Number to them. The proper officer will grant this TIN and issue an order using Part B of Form GST REG-12. However, there has been also proposed the amendment in to Rule 87(4) which ensures that TIN holders can easily deposit payments in to GST system like registered taxpayers.
The Government has accept the above recommendations by issuing this Notification No 07/2025-CT effective from 23-01-2025. It means Now with effect from 23th January 2025, Unregistered Person can provide the TIN under rule 16A which allow them to make GST Payments without requiring full registration under GST. The officer will issue an order using Part B of GST REG-12 which is used for temporary registration and identification purpose.
The Government has also update the Rule 87A to include a reference to Rule 16A, which ensures the person with TIN are explicitly allowed to make payments in to electronic cash ledger using this temporary identification. Form GST REG -12, currently used for temporary registration which is updated to reflect the process and details related to generation of TIN under Rule 16A.
CBIC has further amend the Rule 19(1) of CGST Rules,2017 related to situation where a registered person under GST need to amend their registration details. However, Form GST CMP-02 is used to Opt In to Composition Scheme. Now if taxpayers later need to update their Category of registred person, the process is unclear the current rule. Moreover FORM GST REG-14 also not allowed to updates the category of registered person for Composition taxpayers using Form GST CMP-02.
By issuing this notification, the government has amend the Rule 19(1) to specifically reference Form GST CMP-02. So now the taxpayer who have opted for the composition scheme can now modify their category of registered person in Table 5 of GST CMP -02 by using Form GST REG-14.
