Skip to main content

Call on GST e-way bill on Saturday

Call on GST e-way bill on Saturday
Early implementation a possibility in view of slowing tax collectionsAfter reducing tax rates on over 200 items in the last meeting, the goods and services tax (GST) Council is set to meet again on Saturday to discuss early implementation of the electronic way bill, or e-way bill, from January amid slowing revenue collections.
If implemented, the move could be a setback to the industry, which has been seeking the e-way bill’s deferment, citing increased compliance burden.The meeting, chaired by Finance Minister Arun Jaitley, will take place through video conferencing to discuss the advancement of the e-way bill implementation from April to January to check tax evasion, officials said. Tax collections in October touched their lowest, to Rs 83,000 crore, since the roll-out of the GST on July 1.
The e-way bill is a compliance mechanism wherein by way of a digital interface the person causing the movement of goods uploads the relevant information prior to the commencement of movement of goods and generates a bill on the GST portal. “The GST Council will meet on Saturday and discuss the implementation of the e-way bill from January onwards, as revenues seem to have come under pressure. 
There are reports of dealers avoiding the GST as there are no checks and barriers,” said an official. He added there were three months with the government to make up for revenue shortfall, making a case for tightening enforcement-related loopholes. The government had attributed the decline in revenue collections to the deferment of GST features like matching of returns, e-way bill, and reverse charge mechanism. According to sources, five states, including Karnataka, are ready with the e-way bill mechanism.
The system is being developed by the National Informatics Centre, along with the GST Network. E-way bills will help central and state tax authorities track interstate and intrastate movement of goods. Tax commissioners or an officer empowered by him will be authorised to intercept any conveyance to verify the e-way bill or the number in physical form for all supplies. The Council had, in its October meeting, decided to put off the e-way bill issue for the time being. It had decided to put it in place in all states by March 31, 2018. But the e-way Bill has been notified.

The Business Standard, New Delhi, 15th December 2017


Popular posts from this blog

RBI rushes in to prop up falling rupee

RBI rushes in to prop up falling rupee India’s central bank reportedly intervened in the currency markets on Monday to prevent a further slide in the local unit, which breached the 67 mark to a dollar for the first time in 15 months amid a widening trade gap and runaway import bills fuelled by high crude-oil prices. Some state-owned banks were seen selling dollars aggressively, interventions that market dealers attributed to the central bank’s strategy to stem the decline of the Indian rupee against the US currency. The rupee is the worst performing among a dozen Asian monetary units in the past three months. It lost 4.25 per cent to the dollar during the period, show data from Bloomberg. On Monday, the Reserve Bank of India (RBI) is said to have sold about Rs 800 million collectively on the spot and exchange traded futures markets, dealers said. An email sent to RBI remained unanswered until the publication of this report. The currency market has seen such a strong central bank interven…

GST Refund of Rs 20,000 Cr Pending: Exporters’ Body

GST Refund of Rs  20,000 Cr Pending: Exporters’ Body Refund of over Rs 20,000 crore on account of Goods and Services Tax (GST) is pending with the government with more than half the amount stuck as input tax credit, Federation of Indian Export Organisations said on Tuesday. While claims over Rs7,000 crore were cleared in March, the amount was Rs 1,000 crore in April.However, after exporters’ request, the GST council and tax department are organizing a second phase of Special Refund Fortnight starting May 31, which will enable exporters to draw their refunds at a speedy pace. Many exporters have been unable to file the refund of input tax credit due to technical glitches, exports and claim happened in different months. The major challenge lies on ITC refund especially because the process is partly electronic and partly manual which is cumbersome and add to the transaction cost, the exporters’ body said. On IGST, refunds are getting delayed due to airline and shipping companies not submitt…

Shrinking footprints of foreign banks in India

Shrinking footprints of foreign banks in India Foreign banks are increasingly shrinking their presence in India and are also becoming more conservative than private and public sector counterparts. While many of them have sold some of their businesses in India as part of their global strategy, some are trying to keep their core expertise intact. Others are branching out to newer areas to continue business momentum.For example, HSBC and Barclays Bank in India have got out of the retail business, whereas corporate-focused Standard Chartered Bank is now trying to increase its focus on retail “Building a retail franchise is a huge exercise and takes a long time. You cannot afford to lose it,” said Shashank Joshi, Bank of Tokyo-Mitsubishi UFJ’s India head.According to the Reserve Bank of India (RBI) data, foreign banks’ combined loan book shrunk nearly 10 per cent from Rs 3.78 trillion in fiscal 2015-16 to Rs 3.42 trillion last financial year. The banking industry, which includes foreign banks…