Skip to main content

Council to finalise rules for new tax regime today

By

With goods and services tax (GST) rollout looking imminent from July 1 after the Lok Sabha´s approval, the Centre and states will on Friday sit together to finalise rules and regulations of the new indirect tax regime.
The Lok Sabha on Wednesday cleared four supplementary GST legislations —Central GST (CGST), Integrated GST (IGST), Union Territory GST (UTGST) and the Compensation law.
These laws would have supporting rules, which would be notified by the Centre and states before the new tax regime is implemented.
The GST Council has already approved five sets of rules relating to registration, payments, refund, invoice and returns.
However, these rules would still require some minor tweaking as the legislations were approved by the Council earlier this month and the five set of rules were framed before that.
There are four more rules on composition, valuation, input tax credit and transitions, which will be discussed in Friday´s meeting of the Council.
Before the formal meeting of the GST Council, the officers committee will meet and deliberate on the rules.
Officials said that the similar set of rules for registration, payment of tax, returns, invoice, filing of refund could be clubbed together and presented before the Council.
The GST will subsume excise, service tax and other local levies.
Existing service tax, excise and VAT assessees would have to migrate to the new tax regime by registering on the GSTN portal.
As many as 60 per cent of those assessees have already migrated to the Goods and Services Tax Network.
The GST Council has recommendedafourtier tax structure —5, 12, 18 and 28 per cent.
On the highest rate,acess will be imposed on luxury and demerit goods to compensate states for revenue loss in the first five years of GST implementation.
A15 per cent cess cap would apply on luxury cars and aerated drinks.
On pan masala, the cess has been capped at 135 per cent ad valorem.
Tobacco cess will be capped atamixture of Rs.4,170 per 1,000 sticks or ad valorem of 290 per cent.
Cess on coal would be at Rs.400 per tonne.
However, the Central GST (CGST) law has pegged the peak rate at 20 per cent andasimilar rate has been prescribed in the State GST (SGST) law, which takes the peak rate to 40 per cent which will come into force only in financial exigencies.
The GST Council has already approved five sets of rules relating to registration, payments, refund, invoice and returns

Business Standard New Delhi,31st March 2017

Comments

Post a Comment

Popular posts from this blog

Data storage norm splits digital payments industry

By
Data storage norm splits digital payments industry  India’s nascent digital payment industry could be thrown into disarray due to the demand by the Reserve Bank of India (RBI) that all user data be stored within the country, fears an industry grouping, which has termed the decision as “heavy-handed”, even as others, including the country’s largest digital payment provider Paytm, have hailed the move.  In a bid to narrow the growing schism, the industry is planning to send a formal representation to the regulator highlighting its concerns, a top official told ET.  “We are trying to build a consensus on the issue," said the person adding that the representation to the central bank will be ready this week.  RBI on April 6, mandated all payment companies—global and local—to set up data storage facilities within India by October. The stringent six-month deadline has attracted the ire of several sections of the industry that fear it will lead to a disruption of wel...
18 comments
Read more

Offer’s for all of you

By
Great Bumper Dhamaka Offer’s for all of you... It's Time to see your Business Online, WebeCreator Offer Website Designing with domain & Email @ nominal charges. For a year For More information visit us http://goo.gl/KlpppF call on 9890151261/9773197533  drop a mail to sales@webecreator.com
Post a Comment
Read more

Sebi to finalise options in commodities today

By
The Commodity Derivatives Advisory Committee of the Securities and Exchange Board of India ( Sebi) will meet on Friday with senior officials of the latter, to give a final shape to the rules on options trading in commodity futures, beside revising the warehousing norms to ensure good delivery on settlement. The decision taken, after discussing with the advisory committee, will be placed before the regulator’s board, to finalise the regulations. According to knowledgeable sources, three commodities in each segment, agricultural and non- agricultural, have been proposed for introducing options. It appears commodities from the soya and guar segments are preferred in the former. From the non- agri segment, it is likely that gold, silver and crude oil will be finalised. All these These have better liquidity and both the National Commodity and Derivatives Exchange and the Multi Commodity Exchange, respectively, will be able to introduce the options. In the equity segments, options ar...
17 comments
Read more