A spectacular 53% increase in the number of income-tax returns filed electronically till July 31 has given the government renewed hope of continued high-paced growth in compliance and taxpayer base, even 21 months after demonetisation. The goods and services tax (GST), launched in July 2017, seems to have contributed to the government’s project to expand the I-T base to a much higher degree than the note ban itself. According to official data, e-returns of 3.43 crore were filed between April 1 and July 31, 2018, compared with 2.24 crore in the year-ago period. Last year saw one of the sharpest increases (28%) in total I-T returns — electronic and otherwise — to 6.74 crore (returns mostly pertaining to 2016-17, the demonetisation year) although the growth in e-returns by the initial deadline of July 31 was a just 18%. Click to read more
The central government has exempted the basic customs duty and goods and services tax (GST) on goods imported or supplied to support the relief operations in flood-hit Kerala. The devastating Kerala floods have claimed the lives of 223 people till August 20. Finance Minister Piyush Goyal tweeted about the relaxation on taxes on goods imported to Kerala on Monday. “India stands with Kerala in this hour of need. Central Government is exempting basic customs duty and IGST for the consignments of aid and relief materials being despatched or imported from abroad for the affected people,” said Mr Goyal on microblogging site Twitter. Click to read more
With India’s trade and current account deficits widening, the finance ministry is ‘not in favour’ of reducing the import duty and GST on gold as was suggested by a panel set up by the NITI Aayog. The panel, headed by NITI Aayog’s principal economic adviser Ratan P Watal, recommended reduction in the import duty and GST, which is now being levied at the rate 10% and 3%, respectively, to double gold’s contribution to the GDP by 2022 and create jobs. In an inter-ministry consultation on the report held on August 10, the finance ministry conveyed that reducing the import duty on gold was not feasible at this juncture. Click to read more
The central government is exempting basic customs duty and Integrated Goods and Services Tax (IGST) for the goods imported or supplied for flood relief operations in Kerala, Finance Minister Piyush Goyal said on Monday.
A notification to this effect is likely to be issued on Tuesday, according to sources.
“India stands with Kerala in this hour of need. Central Government is exempting basic customs duty and IGST for the consignments of aid and relief materials being despatched or imported from abroad for the affected people,” Goyal said in a tweet. Click to read more
Fears of administrative policing, absence of guidelines and opaque definition of profiteering appear to have made India’s ecommerce industry uncomfortable about a nascent government body’s plan to examine etaliers’ books to check for possible GST evasion.
Ecommerce companies that Moneycontrol spoke to said that Indian etailers run on a marketplace model—online platforms that do not hawk their own products directly to customers but aggregate buyers and the sellers under one platform— that doesn’t allow them to control prices on sellers’ behalf. Click to read more
Differences have emerged between the centre and states over who will foot the bill for a big tax break for micro, small and medium enterprises (MSME) that is in the works—partial tax exemption from the Goods and Services Tax (GST) for entities with up to ₹1.5 crore sales.
The proposal which is now being examined by a ministerial panel led by Union minister of state for finance Shiv Pratap Shukla seeks to share the financial burden between the centre and states, which the states are opposing. Click to read more
The speakers at a seminar on Tax Audit and GST Vs ITR, held at the Andhra Bank Seminar Hall in Ongole advised the income tax assesses to pay the income tax in time, but after comparing it with the GST returns.
The Andhra Bank AGM Ajay Paul, CAs TG Suresh, Vignesh from Chennai participated in the seminar, which was held for the first time in Andhra Bank. Ajay Paul, who inaugurated the session, said that the seminar will be helpful to the chartered accountants in the district, while CA RLN Ramaprasad, chairman of Ongole CA chapter presided over the meeting. Click to read more
Keeping in view the poor financial condition of airlines, the government has decided to move further to bring the aviation turbine fuel (ATF) under the GST.
Officials said that finance ministry and petroleum ministry are of the view that ATF should be under GST. However, some States which earn a lot of revenue through the tax on ATF has not given consent for this. Now, the government will talk to the States on this issue and it will further be kept under consideration in the next GST council meeting in September. Click to read more