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Union Territory Goods and Services Tax Act, 2017 | Chapter IX - Miscellaneous

Section 21 of UTGST Act - Application of Provisions of the CGST Act

Section 21 of the Union Territory Goods and Services Tax Act, 2017 applies specified provisions of the Central Goods and Services Tax Act, 2017 to Union territory tax, with necessary changes in terminology and statutory references. This enables shared GST rules and procedures to operate under the UTGST law.

Section 21 - Statutory provisions

Subject to the provisions of this Act and the rules made thereunder, the provisions of the Central Goods and Services Tax Act, relating to,-

  1. (i) scope of supply;
  2. (ii) composition levy;
  3. (iii) composite supply and mixed supply;
  4. (iv) time and value of supply;
  5. (v) input tax credit;
  6. (vi) registration;
  7. (vii) tax invoice, credit and debit notes;
  8. (viii) accounts and records;
  9. (ix) returns;
  10. (x) payment of tax;
  11. (xi) tax deduction at source;
  12. (xii) collection of tax at source;
  13. (xiii) assessment;
  14. (xiv) refunds;
  15. (xv) audit;
  16. (xvi) inspection, search, seizure and arrest;
  17. (xvii) demands and recovery;
  18. (xviii) liability to pay in certain cases;
  19. (xix) advance ruling;
  20. (xx) appeals and revision;
  21. (xxi) presumption as to documents;
  22. (xxii) offences and penalties;
  23. (xxiii) job work;
  24. (xxiv) electronic commerce;
  25. (xxv) settlement of funds;
  26. (xxvi) transitional provisions;
  27. (xxvii) miscellaneous provisions including the provisions relating to the imposition of interest and penalty,

shall, mutatis mutandis, apply,-

so far as may be, in relation to Union territory tax as they apply in relation to central tax as if they were enacted under this Act;

subject to the following modifications and alterations which the Central Government considers necessary and desirable to adapt those provisions to the circumstances, namely:-

  1. (i) references to "this Act" shall be deemed to be references to "the Union Territory Goods and Services Tax Act, 2017";
  2. (ii) references to "Commissioner" shall be deemed to be references to "Commissioner" of Union territory tax as defined in clause (2) of section 2 of this Act;
  3. (iii) references to "officers of central tax" shall be deemed to be references to "officers of Union territory tax";
  4. (iv) references to "central tax" shall be deemed to be references to "Union territory tax" and vice versa;
  5. (v) references to "Commissioner of State tax or Commissioner of Union territory tax" shall be deemed to be references to "Commissioner of central tax";
  6. (vi) references to "State Goods and Services Tax Act or Union Territory Goods and Services Tax Act" shall be deemed to be references to "Central Goods and Services Tax Act";
  7. (vii) references to "State tax or Union territory tax" shall be deemed to be references to "central tax".

Meaning and effect of Section 21

Mutatis mutandis means that the relevant CGST provisions apply with the changes necessary to fit the Union territory tax framework. The imported provisions operate as though enacted under the UTGST Act, subject to its own provisions, rules and the express adaptations listed in Section 21. It does not mean that every reference to central tax retains its original meaning in a UTGST matter.

Important areas covered

Supply, value and tax liability

The CGST rules on the scope of supply, composite and mixed supplies, time and value of supply, composition levy, and liability in specified cases apply to Union territory tax with appropriate adaptations. The UTGST levy itself is addressed by Section 7 of the UTGST Act.

Input tax credit and payment

The CGST framework for eligibility, restrictions, invoices, returns, payment, tax deduction at source and tax collection at source also governs corresponding UTGST obligations, subject to applicable rules. UTGST Section 9 and Section 10 contain specific provisions on payment and credit transfer.

Registration, enforcement and remedies

Registration, accounts, refunds, assessment, audit, inspection, demands, recovery, advance rulings, appeals, offences and penalties follow the applicable CGST procedures as adapted. In applying any procedure, check both the underlying CGST section and the UTGST-specific references, notifications and jurisdictional rules.

Job work, electronic commerce and transition

Section 21 also extends the CGST framework on job work, electronic commerce, settlement of funds and transitional provisions. For historic migration issues, see Section 17, Section 18, Section 19 and Section 20.

Seven statutory adaptations explained

The seven substitutions in the provision ensure that references to the Act, Commissioner, tax officers, the nature of the tax, and the corresponding Central or Union territory enactments are read in the correct legal context. In particular, the substitution of central tax and Union territory tax operates in both directions where Section 21 so provides. The text above should be consulted for the exact statutory wording of each adaptation.

Interpretation: Section 21 is a cross-application provision, not an independent tax rate or general exemption. Read it together with the particular CGST provision being applied, the UTGST Act and rules, and relevant amendments or notifications.

Official Acts, rules and notifications

Consult the Union Territory Goods and Services Tax Act, 2017 (India Code), India Code for the Central Goods and Services Tax Act and amendments, CBIC Tax Information Portal for updated notifications and circulars, CBIC GST and the GST Council.