Goods and GST Bill passed

[Ganeshan Kalyani]

Dear All,

GST Bill is passed in Rajya Sabha on 03. 08.2016.

A panel under chief economic adviser Arvind Subramanian has recommended a revenue-neutral rate of 15-15.5%, with a standard rate of 17-18% be levied on most goods and all services.

But, there has been no agreement yet on rates of various goods and services, which remains a tricky issue. According to the Bill, passed in the Lok Sabha in May 2015, the rates were to be decided by a GST council headed by the central finance minister with state finance ministers as members.

Let us wait.

Thanks.

[Ganeshan Kalyani]

The Lok Sabha had already listed the Central GST Bill; the Integrated GST; and GST (Compensation for Loss of Revenue) for introduction, consideration and passing in current session of Parliament.

[Ganeshan Kalyani]

Government releases Revised Model GST Draft Law.

[Ganeshan Kalyani]

http://www.cbec.gov.in/htdocs-cbec/gst/revised-gst-laws

[Ganeshan Kalyani]

Pls find below the link to access the draft model GST law revised .

http://www.cbec.gov.in/htdocs-cbec/gst/revised-gst-laws

Thanks.

[Ganeshan Kalyani]

States will receive provisional compensation from Centre for loss of revenue from implementation of GST every quarter but the final annual number would be decided after an audit carried out by CAG.

 

[Ganeshan Kalyani]

Supplies made to SEZ units to be treated as zero rated supplies under GST.

[Ganeshan Kalyani]

The government is keen to ensure that the three legislations are approved in the ongoing winter session of parliament to meet the deadline of rolling out GST by April 1.

[Ganeshan Kalyani]

Taxpayers has to visit GSTN site and get provisional registration within the given time limit. Further those who are not registered within the time limit can get registered till 31st January 2017.

[Ganeshan Kalyani]

The provisional GSTIN issued is 15 digits PAN based number. The first two digits represent the State Code. The next 10 digits represent the PAN of the tax payer. The thirteenth digit represents the entity number of the same PAN holder in a state. The Fourteenth digit represents the alphabet ‘Z’ by default and the last digit represents – check sum digit.

[Ganeshan Kalyani]

The draft law would be taken up for consideration by the GST Council headed by Finance Minister and comprising all States representative at rhe next meeting in December .

[Ganeshan Kalyani]

Centre to pay ₹ 500 Crores a year to GSTN as service charge. GSTN is a not for profit organisation created as a special purpose vehicle to implement technology to run GST .

[Ganeshan Kalyani]

Government is making all efforts to implement GST by 01.04.2017. However, Union Finance Minister said that GST has to be implemented latest by September 16, 2017.

[Ganeshan Kalyani]

Union Finance Minister was speaking at the "Make in Odisha" conclave. He says GST will be a game changer. It is an efficient tax system . It will certainty help the consuming States.

[Ganeshan Kalyani]

GST provisional registrations are started only for those who are already registered with Sales Tax Department. The registrations has not been started for those taxpayers who provide only services.

[Ganeshan Kalyani]

The government is not in favour of restricting the administration of businesses up to ₹ 1.5 crore to state tax authorities. Both states and centre will administer taxpayers above ₹ 1.5 crore, according to a proposal by states.

[Ganeshan Kalyani]

Union Finance Minister today said it would meet again on December 11 and 12 to hammer out differences on which assessees will come under states' jurisdiction, and which ones will come under the Centre's.

[Ganeshan Kalyani]

There are two other laws - Compensation and IGST - which will be discussed in the next meeting on December 11, 12.

[Ganeshan Kalyani]

Confederation of All India Traders (CAIT) suggested that there should be one single return and single authority to control the taxation system and only then the tax net will be widen and revenue will be increased. However it seems that States would like to retain some administration control with them.

[Ganeshan Kalyani]

Punjab Pradesh Byopar Mandal (PPBM) says that the processig unit vanished from this border city. It reasoned that causes of its disappearance was imposition of multiple taxes, costly raw material etc. The sector is expecting tax benefit from GST .

[Ganeshan Kalyani]

Union Finance Minister said that there cannot be implementation without resolving all issues.

"My approach will be to resolve it by discussion or consensus. So far I have avoided division and I would like to avoid division to the extent it is possible," he explained.

Source : timesofindia.

AI Summary

Goods and Services Tax consolidation creates a dual GST framework with GST Council oversight and a shared IT platform for compliance.
Goods and Services Tax establishes a destination based, dual tax framework subsuming central and state indirect levies, administered through a GST Council and implemented via a shared IT platform (GSTN). The model law sets out registration and return regimes, HSN/SAC classification by turnover bands, input tax credit carry forward, composition and reverse charge rules, refund and valuation procedures, compensation to states during transition, and institutional arrangements for cross empowerment, adjudication and dispute resolution.