Published: Tue, June 20, 2017
World | By Carl Welch

India's middle-market companies say new GST will boost business

India's middle-market companies say new GST will boost business

"Relaxation for filing transaction-wise returns in July, August. will provide relief to the industry", Harishanker Subramaniam, head of indirect tax at EY India, told Reuters.

As per the revised return filing timeline decided by the Council, for July, the sale returns will have to be filed by September 5 instead of August 10.

Following concerns raised by the trade and industry, the GST Council said that taxpayers need to file only simple returns comprising a summary of outward and inward supplies for July and August, while the invoice-based details can be filed from September.

Finance and Commercial Tax Minister Jayant Malaiyya met Union Finance Minister and GST Council Chairman Arun Jaitley at New Delhi on Saturday.

Addressing the media, Jaitley said hotel rooms costing Rs 2500-Rs 7500 will be taxed at 18% while those above Rs 7500 will attract levy of 28%. This would mean that an 18 per cent GST will be levied on bills of Rs2,500-7,500.

CREDAI also highlighted that availing input tax credit may not be feasible under GST, thus limiting the capacity of developers to absorb the additional tax burden or pass on the benefits to homebuyers. "I hope we are not compelled to use it", he said.The Council chose to put a two-year sunset clause for the anti-profiteering provision, Revenue Secretary Hasmukh Adhia said. The GST Council has taken sensibly allowed room for some flexibility in implementation. GST is an initiative to create "one nation, one tax, one market", he says.

GST will improve a web of charges, controls and fringe requires by subsuming a variety of center and state demands including extract obligation, benefit assessment and Value-Added Tax. The Council has made a decision to put a two-year sunset clause for the anti-profiteering provision under GST, Revenue Secretary Hasmukh Adhia said.

The GST will require firms to file three online returns each month.

Also, the rules issued pertaining to e-way bill has been complex and cumbersome to implement, hence, against ease of doing business. He further announced that the official launch of GST shall take place at midnight on June 30. "GST is not just a tax, it is an initiative to unite the Indian market", the actor is seen speaking in the video.

"I must candidly state that there was no consensus on the e-way bill".

A four-rate structure that exempts or imposes a low rate of tax 5% on essential items and top rate of 28% on cars and consumer durables has been finalised.

Like this: