The GST has entered its last and critical phase: the determination of the GST’s rate structure
After the Constitutional Amendment Bill that midwifed it, and with the passage of the four laws that have given it elaborate flesh and substance, the Goods and Services Tax (GST) has entered its last and critical phase: the determination of the GST rate structure. Click to read more
Tax will be calculated on price of the new product and discounted amount will not be considered
Retailers and traders dealing with consumer durables items like televisions, refrigerators, air conditioners, washing machines and mobile handsets, among other things, are in a fix. If the government has its way, the much-awaited goods and services tax (GST) that kicks in later in the year will make exchange schemes for all major consumer electronics and home appliances unattractive. This could seriously jeopardise the business model that most dealers currently follow. Click to read more
THE decks have been cleared for the introduction of the pathbreaking GST in the country in July, with Parliament approving four supplementary GST legislation. These are the Central GST (CGST), Integrated GST (IGST), Union Territory GST (UTGST) and the compensation law. These impressive acronyms merely indicate that the much-vaunted new tax is being introduced in a manner that is not ideal. Instead of a single-level taxation, as the GST is levied all over the world, in this country, it will be in the form of several levies. Click to read more
The Centre has reiterated that rates will be closer to existing tax incidence, but industry says early knowledge of structure will help it undertake pricing of products commensurate with new taxation system
The passage of Goods and Services Tax (GST)-related Bills in the Lok Sabha last week enabled the government to secure legislative backing for the country’s ambitious indirect tax regime but the industry is still seeking an extension to the July 1 implementation deadline, as they grapple with the inherent complexities of the transition. A case in point being the government’s move to possibly announce the fineprint of the GST rate structure closer to the rollout date in order to discourage arbitrage. Click to read more
New Delhi, Apr 2 (PTI) The Finance Ministry today placed 8 set of rules in public domain, which will be applicable once the Goods and Services Tax (GST) is implemented from July 1.
The government has sought comments from industry on the 4 set of new rules on — GST Composition, GST Valuation, GST Transition and GST ITC.
These rules had received the “tentative” approval at the the GST Council meeting on March 31. Click to read more
What is being proposed is a highly complicated structure with four tax rates, in addition to exemption, a low rate on bullion and cesses on demerit goods.
The passage of four GST Bills on March 29 after a seven-hour debate in the Lok Sabha has been described as historic and game-changing. The passage of CGST, IGST, UTGST and GST (compensation to states) Bills sets the reform in motion and provides the legal framework for implementation. Once the states pass the SGST Bills, the reforms will be ready to be rolled out. Click to read more
The government is pushing for rolling out goods and services tax (GST) from July 1 and industry has been given sufficient time with the rules, law and basic structure in place for implementing the reform measure and now they must put in place the IT infrastructure for the roll-out, a top official said on Monday. Click to read more
With the passing of the main goods and services tax (GST) legislation by Parliament, the country is on the cusp of a truly transformational tax reform which began with the circulation of the first discussion paper on GST in 2009. Over the last eight years, there have been many discussions within the framework of sub-groups and committees in which representatives of the Centre and the states have jointly participated and interacted. Click to read more
Monthly instalments on home loans taken for under-construction houses will attract GST from July. So will land leasing and rented properties, including the currently-exempt residential housing.
The Lower House of India’s Parliament has cleared four bills in preparation of the upcoming rollout of the Goods and Services Tax (GST) regime:
Union Territory GST, and
This sets the stage for states to enact laws and implement the new tax regime from July. The tax rates applicable on products and services are expected to be announced by the government by April-end. Click to read more
Logistics players hope that Goods & Services Tax (GST) regime will ease inter-State movement, and ensure more online processes. Container train operators have sought a five per cent rate under the GST for all rail-related containerised movement services, an issue that has been agreed upon by the Railway Ministry, and suggested to the GST Council. Click to read more
Exchange offers may pinch the pockets of an individual buyer, going by the draft rules for valuation of supply under GST. This tax is triggered on supply of goods or services. Supply is a comprehensive term that includes not just sale, but also exchange and barter. The draft valuation rules, released on April 1, explicitly provide that in cases where the supply of goods is ‘not wholly in money’, the value of the supply will be its open market value. Click to read more
If the high rates and anti-profiteering provision wasn’t bad enough, taxman being armed with more powers.
At a time when the central government has still not been able to fully undo the tax-terror unleashed by the UPA, it is not clear why it is bringing in several worrying clauses into the GST statute. And this is at a time when, as Chief Economic Advisor Arvind Subramanian argues in his article in this newspaper today, many can legitimately ask whether, at the current rates of taxation, the proposed GST is even worth it. Click to read more
Government on Sunday released a new draft of norms, suggesting that in cases where the consumers buy any goods under the exchange offers, the tax calculation will not consider the discounted price.
With the new norms, the retailers and traders who have been adopting a business model involving the exchange offer deals, will now be in a fix. The new norms make the ultimate purchase price expensive and that may lead to a slowdown in demand. Click to read more