CA Sudhir Halakhandi
Quick Summary
It has been more than 5 years since GST has been implemented in India and now this tax should be completely established in India but according to the news coming continuously from the business sector, problems are still there. GST was first discussed mainly in India in the year 2006 when the then Fi
Daily Limit Reached
You have reached your daily limit of 2 Free Articles
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Broadcasts
- Daily E-Newsletter
- Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits
Already a PRO member? Login here for an ad-free experience.
FAQ :
From the government's perspective, GST is considered successful as revenue from it is continuously increasing year after year, suggesting a satisfactory situation.
Taxpayers and professionals still face complexities in GST laws, particularly with input tax credit, the Reverse Charge Mechanism (RCM), and other procedural aspects. The increasing number of GST notices indicates that procedures are not yet simple or stable.
The expert suggests that once tax is collected, the responsibility should lie with the collector to pay it to the government. This would satisfy purchasing dealers and resolve the real problem of ITC, making it seamless as initially promised.
The main advantages include the availability of input tax credit on trade between states, relief from collecting C-forms, a reduction in the number of taxes, increased taxpayer knowledge of IT systems, and growth in government revenue and taxpayer numbers.
The annual return is not practical for taxpayers to disclose their turnover and tax liability accurately, especially since there's no provision for rectifying mistakes in GSTR-3B. Its purpose is diminished, and professionals still struggle to understand it annually.
The expert recommends removing RCM provisions that have no financial effect, introducing a mechanism for rectifying mistakes in GSTR-3B, and extending the time limit for dealers to claim input credit until their annual return is filed. Recovery for input credit should be pursued from those who collect tax but don't deposit it.
CAclubindia
