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.

[YAGAY and SUN]

Services are likely to be taxed at a single rate, except some like transport: Revenue Secretary

[YAGAY and SUN]

Five Indians charged on GST fraud claims in Singapore .

[YAGAY and SUN]

Scope of black money generation will be difficult once GST is implemented: Arun Jaitley

[YAGAY and SUN]

Govt may table GST draft Bills in House next month

Next council meet on Feb 18 | Rates may be decided in May or June

[YAGAY and SUN]

GST migration Seva Kendra opened

[YAGAY and SUN]

GST To Smoothen Taxation, Bring In Transparency: Experts

At an interactive awareness programme for start-ups, the experts said the government is expected to resolve the queries of entrepreneurs regarding GST.

[YAGAY and SUN]

GST roll out next fiscal: Is the govt looking at changing the financial year?

[YAGAY and SUN]

GST decisions under states' pressure, reverse them: IRS

[YAGAY and SUN]

Vehicle scrap policy to go to GST Council post Cabinet nod: Gadkari

V-VMP policy to push 28 million decade-old vehicles off the roads

[YAGAY and SUN]

Smartphone buyers beware: GST may lead to 25% hike in prices CyberMedia Research estimates that with imposition of goods and services tax (GST), the price of smartphone handsets would increase by around 25 percent.

[YAGAY and SUN]

Many issues need to be resolved to make ideal GST: Amit Mitra

[YAGAY and SUN]

‘GST to simplify tax structure, boost revenue mop up’

[YAGAY and SUN]

All cesses, barring petroleum, to be merged in GST: Hasmukh Adhia

It was decided that even though all other cesses would be subsumed in the GST, the Centre would continue to levy clean environment cess on coal, peat and lignite.

[YAGAY and SUN]

IT and technology companies want relaxation of manufacturing norms as GST approaches.

[YAGAY and SUN]

GST: CBEC officials oppose ceding taxpayer base to states

Over 50,000 officers are planning to protest on 30 January against the decision which they estimate will leave as many as 40% of CBEC employees without work.

[YAGAY and SUN]

July 1 more realistic deadline for GST: Arun Jaitley

Finance Minister Arun Jailtey-led Goods and Services Tax (GST) council, on Monday, again failed to achieve consensus on contentious dual control or cross empowerment issue that deals with assessee jurisdiction, deferring target for its roll-out to July 1.

"I am trying my best (on deadline of April 1). There was a broad view that July 1 appears to be a more realistic date for the implementation," Jaitley said at a press briefing after today's GST Council meet ended. "We discussed cross empowerment issue whole day but...," Jaitley said.
He, however, said there were agreements on some other issues, including an "agreement that integrated GST (law) will be mutually empowerment model". Also, "territorial waters, taxation powers will be delegated to the states", he said.

[YAGAY and SUN]

GST Bill: Narendra Modi govt’s push to pass legislation, how it will help businesses and common man

GST would be beneficial for all the stakeholders and would provide a much needed boost to the reform agenda of the government.

[YAGAY and SUN]

Potential benefits of GST:

Smooth credit mechanism by decreasing the cascading effect of multiple indirect taxes.	Broadening of the tax base with reductions in exemptions/concessions.
Creation of a unified common market.	Simplified/uniform tax compliance and administration across India.

[YAGAY and SUN]

As GST may be introduced at a short notice owing to political compulsions, the time available for businesses to analyse the impact of GST and make changes across business functions will remain a significant challenge. An effective and seamless transition to the new GST regime mandates that organisations adopt a 'business transformation' approach, rather than merely consider it a 'tax change' project. It would involve multiple stakeholders in an organization including the tax, finance, IT, supply chain, procurement and sales and marketing departments.

Past experiences suggest that though several organisations with complex operations/wide-geographical spread could take 8 to 12 months for a successful transition to the new regime, it is expected that they are likely to get a shorter window to prepare for the transition. Hence, businesses need to accord high priority on the transition in order to realise the full-scale benefits of GST.

[YAGAY and SUN]

Time is of the essence - act now

As GST may be introduced at a short notice owing to political compulsions, the time available for businesses is less.

 

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.