Key Highlights from GST Notification No. 30/2023: New Procedures for Tobacco and Pan Masala Manufacturers

Simplified Explanation of Notification No. 30/2023-Central Tax

Purpose: Notification No. 30/2023 introduces a special procedure for registered manufacturers of certain specified goods. The notification outlines the requirements for reporting and maintaining records related to manufacturing processes, particularly focusing on packing machines.

Key Points:

1. Scope and Applicability:
   • The special procedure applies to registered persons engaged in manufacturing specific goods listed in the Schedule of the notification.
   • These goods include items like pan masala, unmanufactured tobacco, and various types of smoking tobacco, all of which are detailed in the Schedule.
2. Special Procedures for Manufacturing:
   • Existing Machines:
     • Manufacturers must report details of their packing machines using FORM SRM-I within 30 days of the notification date.
     • Details to include: make, model, purchase date, installation address, packing capacity, and electricity consumption.
   • New Registrations:
     • Newly registered manufacturers must report their packing machines within 15 days of registration using FORM SRM-I.
   • Additional Machines:
     • For any new packing machines installed, details must be reported within 24 hours using FORM SRM-IIA.
   • Removal of Machines:
     • Details of any machines removed from the business must be reported within 24 hours using FORM SRM-IIB.

3. Record Maintenance:
   • Daily Records:
     • Manufacturers must maintain daily records of inputs, waste, and electricity usage using FORM SRM-IIIA.
     • They must also keep daily shift-wise production records, including machine-wise and brand-wise details, using FORM SRM-IIIB.
   • Monthly Statement:
     • Manufacturers must submit a monthly statement detailing inputs used, production, and other relevant data using FORM SRM-IV.

Examples:

1. Reporting Existing Machines:
   • Business Name: XYZ Tobacco Ltd.
   • Situation: XYZ Tobacco Ltd. is a manufacturer of tobacco products listed in the Schedule.
   • Action: Within 30 days of the notification, XYZ Tobacco Ltd. submits FORM SRM-I reporting details of all packing machines used in their manufacturing process.
2. New Packing Machines Installed:
   • Business Name: ABC Pan Masala Co.
   • Situation: ABC Pan Masala Co. installs a new packing machine on January 5, 2024.
   • Action: They must report the details of the new machine within 24 hours using FORM SRM-IIA, providing all required specifications and installation details.
3. Removal of Packing Machines:
   • Business Name: DEF Manufacturing Pvt. Ltd.
   • Situation: DEF Manufacturing Pvt. Ltd. removes an old packing machine from their facility on February 10, 2024.
   • Action: They need to report the removal within 24 hours using FORM SRM-IIB, including the reason for removal.
4. Daily Record Keeping:
   • Business Name: GHI Hookah Ltd.
   • Situation: GHI Hookah Ltd. keeps detailed records of inputs, waste, electricity consumption, and production output daily.
   • Action: They use FORM SRM-IIIA for inputs and electricity records, and FORM SRM-IIIB for production records.
5. Monthly Submission:
   • Business Name: JKL Snuff Co.
   • Situation: JKL Snuff Co. manufactures snuff and other tobacco products.
   • Action: They submit FORM SRM-IV by the 10th of each month, detailing the monthly inputs used, production quantities, and other required information.