Federal indirect tax body, the GST Council will continue to prune the list of items in the highest tax slab of 28%, but merging of the 12% and 18% slabs will have to wait till tax compliance increases, finance minister Arun Jaitley said on Tuesday.
Addressing business leaders at the India-Korea Summit organized by the Department of Industrial Policy and Promotion and Confederation of Indian Industry (CII), Jaitley said India has been significantly tax non-compliant, a situation which needs to change. Click to read more
Exporters have been made the whipping boy for delays in goods and services tax (GST)-related exports refund. An exporter who is hard-pressed for liquidity and burdened with high cost of credit would like to claim his refund as early as possible. Instead, exporters refusing orders are now unable to pay their suppliers and are being compelled to cut jobs because of an extreme liquidity crunch. A young entrepreneur, with over a year’s hard work, finally gets an order of $400,000. Click to read more
The goods and services tax (GST)—which subsumed multiple indirect taxes at the central and state levels—completes eight months on 1 March. How has it impacted consumers and the companies that service them? To answer this, we looked at prices of goods that make up an average middle-class shopping cart, at five points of time after GST, for the five main metros.
We sourced prices from India’s largest online grocer BigBasket’s website for 71 items, covering 18 categories of the consumer price index. GST was applicable on 47 of these items, and the total billed amount for this basket was around Rs7,000, of which GST was between Rs1,300 and Rs1,700 depending on the city. Click to read more
Hindustan Unilever Limited (HUL) will offer another tranche of GST benefits to the government it could not pass on to customers for the month of January.
The fast moving consumer goods (FMCG) major has so far offered ₹60 crore for the month of November and another ₹59 crore for the month of December to be deposited into the Consumer Welfare Fund.
The DG Safeguards had asked HUL to explain the methodology behind the ₹119 crore profiteered sum, after the government referred its case to the agency. Click to read more
Moody’s Investors Service on Wednesday said Indian economy is starting to recover from the negative impact of demonetisation and disruption caused by GST roll out, but kept GDP growth estimates unchanged at 7.6 % for 2018.
In its global growth forecasts for 2018 and 2019, Moody’s said the Budget for fiscal year beginning April 1 (2018-19) includes some measures to stabilise rural economy that was disproportionately hit by scrapping of high denomination 500 and 1000 rupee notes. Click to read more
While not many Indian meals are complete without a pickle, manufacturers both in the state and other parts of the country are grappling with the GST fallout. To articulate the problems faced by the industry, the Karnataka State Pickle Manufacturers Association has taken the initiative to start an all-India association, bringing makers from across the country under one umbrella. Click to read more
India’s third quarter gross domestic product (GDP) data will be reported today and according to CNBC-TV18 poll the number could come in at 6.82%.
Revenue collection from Goods and Services Tax (GST) touched Rs 86,318 crore in January, falling marginally from previous month’s mop-up, data released by Finance Ministry on Tuesday showed.
The GST numbers are just about okay, does not suggest an improvement in the trend, said Upasna Bhardwaj, Senior Economist at Kotak Mahindra Bank. Click to read more
The Department of the Excise and Taxation has issued around 100 more notices to shop owners, who were covered under the Composition Scheme and not following the GST norms.
Sources said the violations were found during checking carried out by different teams of the department over the last 15 days. Four teams randomly visited shops in different sectors. Click to read more
The latest figures of the Accountant General show that the state’s GST growth rate till November 2017 was barely above 5 percent. Finance minister Dr T. M. Thomas Isaac was expecting at least a 20 percent growth post-GST regime. The only tax component that has shown a substantial rise is that of motor vehicles, which has grown by nearly 22 percent; the growth in motor vehicle tax is attributed to the state government’s crackdown on the tax evasion of luxury car owners. Click to read more
The road transport and highways ministry will pitch for a lower goods and services tax (GST) or a waiver as an incentive for vehicles bought under the government’s ambitious Voluntary Vehicle Fleet Modernization Programme (V-VMP) popularly called vehicle scrapping policy.
At present a GST rate of 28% is applicable for new commercial vehicles.
A person familiar with the development confirmed the move. “We plan to move a proposal to the GST Council requesting a low goods and services tax amounting to 5% or a complete GST waiver,” the person said, speaking on condition of anonymity. He said the GST council would decide the percentage of waiver tax and its division between the state and centre. Click to read more