The government has decided to re-open registrations for small businesses under the composition scheme, after the plan received lukewarm response, with only 10 percent of total taxpayers under Goods and Service Tax (GST) opting for it.
“We (GST Council) have decided that those who have migrated as well as new (taxpayers) can up to September 30 migrate further to the composition scheme,” Finance Minister Arun Jaitley had said after the GST Council meeting on Saturday. Click to read more
The GST Council’s statement over the weekend on applying tax on branded food items has left most of the trade confused.
Even though the council has not changed the rates on food — 0% on unbranded stuff and 5% on brands — many small traders who didn’t levy GST earlier said they could come under the 5% slab after the clarification. While they predicted some increase in consumer prices as a result, large players said they could absorb the GST in various ways and keep the prices steady. Click to read more
A little over two months after the launch of goods and services tax (GST), the Centre has reiterated its plan to shift to a single rate of 18 per cent, or a dual slab of 12 per cent and 18 per cent in the future, while advising states against seeking too many exemptions and periodic reduction in rates for products and services as it would impact the long-term objective. Click to read more
The roll-out of the goods and services tax (GST) has hit a few bumps on the road, and it is essential that the government stays alert and responds swiftly if needed to ensure that the promise of the GST is not dissipated in its implementation. For example, of the Rs 95,000-crore revenue collected in July, around Rs 62,000 crore has been claimed as input tax credit. If only about Rs 33,000 crore, once input credits are disposed of, is indeed collected in the first month of the new indirect tax, then it might be seen as a problem going forward. However, it is important not to overreact; Click to read more
India’s export-to-GDP (gross domestic product) ratio slid to a multi-quarter low in June. Concerned over this, the new commerce and industry minister Suresh Prabhu has assured that the government will try to revive exports at the earliest. But that is a tough task in the current scenario.
The strong rupee and an ambiguous goods and services tax (GST) is giving sleepless nights to exporters.
Like small and medium enterprises, the working capital needs of exporters too have increased. Under GST, they first have to pay integrated GST and seek a refund only after the goods are exported. Smaller exporters are required to furnish bonds and a letter of undertaking to the local commissioner, which is a financial burden, especially for service exporters. Click to read more
GST is implemented in India and people are still confused with this new tax regime. Critics are wearing their opinion for an ideal GST by differentiating between its Indian and global versions. Generally, when GST is implemented in any country, a single rate of interest is levied all over that specific country to develop a perfectly unified indirect tax system. But in the case of India there are five GST tax slabs levied to all goods and there is especially service tax as well. This article will discuss the roadmap towards an ideal GST. Click to read more
Hyundai Motor India (HMIL) today hit out at the frequent changes in tax rates on automobiles saying investment for new products and technology will be adversely impacted in the absence of consistent and long term policy.
The GST Council last week decided to hike cess on mid- size cars by 2 per cent, on large cars by 5 per cent and on SUVs by 7 per cent to bring tax rates on these cars at pre-GST levels. Click to read more
India runs three online systems on a scale unrivalled heretofore. Its IRCTC portal is robust enough to take on a crushing burden including the peak and festival eve bookings but for occasional glitches. Some 15 lakh tickets are booked online through IRCTC portal every day on an average. Its Aadhaar portal run by UIDAI also responds fairly well to online verification queries from authorities and online changes in Aadhaar details even though during the course of a busy day, there is sometimes delay in getting OTP from UIDAI by those seeking to make changes online. For those who are statistically inclined, more than 1.12 billion Indians — 88.2 percent of the population — have now been enrolled for Aadhaar, the controversial biometric national identity programme as of March 2017. Click to read more
Industrial unsorted rough diamond imports, which had stopped due to a three per cent Goods and Services Tax (GST) since July this year, may resume after rate revision to 0.25 per cent, say industry representatives.
Harmonising tax rates across different grades of rough diamonds, the GST Council on September 9 had revised the three per cent tax on industrial and unsorted rough diamonds of HS code 7102.10 and 7102.21 to 0.25 per cent. Click to read more
Congress Vice President Rahul Gandhi on Tuesday criticised Prime Minister Narendra Modi for demonetisation and the hastily implemented Goods and Services Tax (GST) regime. Both he said caused “tremendous damage to the Indian economy”.
Gandhi, who is on a two-week visit to the US to interact with political leaders, global thinkers and overseas Indians, spoke on the political environment in the country, the Congress party, the effects of demonetisation among other issues. Click to read more