Section 22 of UTGST Act 2017: Power to Make Rules

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

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

(1) The Central 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 Central 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 UTGST Act, 2017

Section 22 of the Union Territory Goods and Services Tax (UTGST) Act, 2017 outlines the “Power to Make Rules” and provides the Central Government with the authority to create rules to implement the provisions of the Act. Here’s a brief commentary on each subsection:

Section 22(1) of UTGST Act, 2017

Subsection (1) allows the Central Government, upon the recommendation of the Council, to create rules for carrying out the provisions of the UTGST Act, 2017 through notifications.

Section 22(2) of UTGST Act, 2017

Subsection (2) emphasizes that the Central Government has the power to create rules for any matter that requires or permits rules to be prescribed or made under the Act. This provision demonstrates the broad scope of the Central Government’s rule-making authority.

Section 22(3) of UTGST Act, 2017

Subsection (3) grants the Central Government the ability to give retrospective effect to rules made under this section. However, this retrospective effect cannot predate the commencement of the UTGST Act, 2017. This ensures that new rules can be applied to past situations, but only after the Act has been in effect.

Section 22(4) of UTGST Act, 2017

Subsection (4) establishes that any rules created under subsection (1) may include penalties for contraventions. These penalties cannot exceed ten thousand rupees, setting an upper limit to deter non-compliance with the rules.

In summary, Section 22 of the UTGST Act, 2017 empowers the Central Government to create rules for implementing the provisions of the Act, with the possibility of applying them retrospectively and imposing penalties for violations. This section is crucial for the effective implementation and enforcement of the UTGST Act, 2017.

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Note: The UTGST Act 2017 has been notified vide GOI Notification dated 12/04/2017, which has subsequently been amended  through UTGST (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 UTGST/ 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.