Section 22 of IGST Act 2017: Power to Make Rules

Provisions under Section 22 of the Integrated Goods and Services Tax (IGST) Act, 2017 relating to “Power to Make Rules”, are as under:

Section 22 of IGST Act 2017: Power to Make Rules (CHAPTER IX – MISCELLANEOUS)

(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.

Amendments History:

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Commentary on Section 22 of the IGST Act

Section 22 of the Integrated Goods and Services Tax (IGST) Act, 2017, titled “Power to Make Rules,” establishes the Government’s authority to create rules for implementing the provisions of the Act. It consists of four sub-sections:

Section 22(1) of the IGST Act

Section 22(1) empowers the Government to create rules based on the recommendations of the GST Council. This is done by issuing a notification that specifies the rules intended to carry out the provisions of the IGST Act, 2017.

Section 22(2) of the IGST Act

Section 22(2) clarifies that the Government’s power to create rules is not limited. It can create rules for any matter that the Act requires or permits to be prescribed or regulated by rules. This allows the Government to address various aspects of the IGST Act, ensuring its effective implementation.

Section 22(3) of the IGST Act

Section 22(3) allows the Government to give retrospective effect to the rules it creates. However, this retrospective effect cannot be earlier than the date on which the provisions of the IGST Act, 2017, came into force. This provision is significant because it enables the Government to address issues that may have arisen in the past and provides a legal basis for resolving them.

Section 22(4) of the IGST Act

Section 22(4) states that any rules created under section 22(1) can include a penalty for contravention, with a maximum fine of ten thousand rupees. This provision serves as a deterrent to ensure compliance with the rules established under the IGST Act, 2017.

In summary, Section 22 of the IGST Act, 2017, grants the Government the authority to make rules for implementing the Act’s provisions. This includes the ability to create rules for various matters, give the rules retrospective effect and impose penalties for contraventions.

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Note: The IGST Act 2017 has been notified vide GOI Notification dated 12/04/2017, which has subsequently been amended through IGST Extension to J&K Act 2017, IGST (Amendment) Act 2018. Finance Act 2019, Finance Act 2020, Finance Act 2021, Finance Act, 2022 and Finance Act, 2023, including various Notifications issued by the Govt./ CBIC from time to time, relating to the commencement dates of various Sections/ Provisions in the respective IGST/ Amendment Acts, wherever required. Information on this page is a Section-wise compilation of the Amendments made by various Notifications issued by CBIC from time to time, with best possible efforts for accuracy. In any case, E&OE. For official/ updated information, please visit CBIC website.