Goods and GST Bill passed, Goods and Services Tax - GST

[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.

Posts / Replies

[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.

 

[YAGAY AND SUN]

Anti-profiteering provision in GST law is retrograde.

Section 4 of the Competition Act, 2002, provides for action against abuse of dominant position

 

[YAGAY AND SUN]

Revenue Department prepares draft recommendations for GST rates: Report

The Revenue Department has prepared draft recommendations for GST rates on services. According to the draft, GST on telecom, banking, financial services, aviation is proposed to be pegged at 18%, according to a report.

[YAGAY AND SUN]

Meeting Apple’s demands for tax concessions to be difficult under GST, says revenue secretary

Apple has asked for 15-year CVD on imported components to begin manufacturing in India.

[YAGAY AND SUN]

Concessions to Apple under GST regime not feasible: Hasmukh Adhia

[YAGAY AND SUN]

Cesses set to go with GST see increase in Budget

Budget pegs the cess and surcharge collections for FY18 at ₹ 2.96 lakh cr

[YAGAY AND SUN]

Startup Oasis organised awareness session on ‘Impact of GST on Startups’

Startup Oasis, a Jaipur based incubation center which is developing an ecosystem in Rajasthan, and KDK Softwares have organised a brain storming and awareness session on ‘Impact of GST on Startups’ . About 20 Startups attended this and interacted on their queries on GST with expert panels including CAs.

[YAGAY AND SUN]

Apple's India plans may face a fresh roadblock: GST Revenue Secretary Hasmukh Adhia says it would be difficult to give Apple a 15-year exemption on countervailing duty on imported components, as GST does not allow for individual exemptions.

[YAGAY AND SUN]

Centre assures realty sector of revenue neutral GST rate.

[YAGAY AND SUN]

Credai, the apex body of private real estate developers, today said that it is expecting a revenue-neutral GST rate without any adverse impact on realty prices, a relief for the sector.

[YAGAY AND SUN]

Credai expects GST rate to be neutral for housing sector.

[YAGAY AND SUN]

GST to create ₹ 36,000 crore software market in MSME segment.

[Ganeshan Kalyani]

The implementation of the Goods and Services Tax (GST) can add 1.5-2.0 percent to the country’s GDP feels Adi Godrej, Chairman of Godrej Group. "Sectors lagging right now due to various reasons, including demonetisation, will pick up strongly, and the last 3 quarters of this financial year will be very good for the economy," he told CNBC-TV18 in an interview on the sidelines of the Edelweiss India Conference.

[YAGAY AND SUN]

CAIT to train 5,000 traders as 'Master Trainers' for GST The Confederation of All India Traders (CAIT) today said it will prepare 5,000 trade leaders across the Country as 'Master Trainers', who will be responsible to empower and educate the trading community about Goods and Services Tax (GST).

[YAGAY AND SUN]

GST positive for fiscal consolidation but hostility in Parliament could delay passage of bill: Research

[Ganeshan Kalyani]

Author says, "The CESTAT for the purposes of service tax, central excise and customs will be continuing. Customs will not subsume in GST. As such, CESTAT will continue and will clear all the pending cases of service tax and excise duty in near future. Likewise Tribunals were established by the respective State Governments to deal with the appeal cases of respective State VAT. They may also continue and will clear all the pending cases of VAT in near future and after that they may cease to function."

[YAGAY AND SUN]

Realty will pick up post GST implementation, says Adi Godrej

Adi Godrej, Chairman, Godrej Group on Wednesday said that realty will pick up post implementation of Goods and services tax (GST). "GST can add 1.5-2% to GDP," he said.

[YAGAY AND SUN]

Blue Star J&K plant awaits clarity on GST compensation

Air conditioning and commercial refrigeration major, Blue Star Ltd today said it was awaiting greater clarity on Goods and Services Tax (GST) compensation for their proposed greenfield plant at Jammu before moving ahead any further constructing the factory.

[Ganeshan Kalyani]

“We are very close to finalisation of law. The Model law will be finalised by the end of this month. Currently, Model CGST and SGST law are being vetted by the law ministry, and these will be taken before the GST Council meeting on February 18, said Ram Tirath, Member, Central Board of Indirect Taxes.

[Ganeshan Kalyani]

Model Goods and Services Tax (GST) law, which is presently being examined by the department of law, is likely to be finalised by the end of this month, said a senior official from the Finance Ministry. The model law will set the path for rolling out of the GST from July 1, 2017.

[Ganeshan Kalyani]

In the second leg of Budget session, which is starting from March 9, the Model GST laws that include IGST are likely to be tabled before the Parliament.