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GST Network Glitches Courtesy Infosys, Say Government Officials

GST Network Glitches Courtesy Infosys, Say Government Officials Time taken for IT co to come up with solutions irks govt; Infy rejects contention Infosys, for long the face of India's software sector, finds its management of the GST information technology backbone under scrutiny at the highest levels of the government. It had won the . 1,380-crore deal for developing and ` running GST's backend in 2015.

Three top government functionaries expressed strong disappointment with the company over frequent glitches that have beset the Goods and Services Tax Network (GSTN), leading to extension of deadlines for returns several times “It has been a disappointing experience,“ said one of the officials, adding that the software provider is now expected to improve service delivery.Infosys rejected the contention that its work had been regarded as unsatisfactory.

“The information you have received is completely inaccurate,“ the company said in an email to ET.The government on October 30 again…

Good Days may Follow Goods in Highest Tax Slab

Good Days may Follow Goods in Highest Tax Slab DIPP feels lower rate for select items under 28% slab will boost demand, help MSMEs India could review the application of the highest 28% slab under the goods and services tax (GST) and consider imposing a lower rate on items of frequent use, with policymakers supporting a move along these lines.Such a move will reduce prices of many goods, thus helping to boost demand. The Department of Industrial Policy and Promotion (DIPP) has pitched for such a shift to revive industry, especially small businesses that are regarded as engi nes of employment generation. “There is a need to relook at the 28% slab,“ said a senior government official. “Some of the goods placed in that bracket are manufactured by MSMEs (micro, small and medium enterprises) and they are feeling some pressure.“ Items in the 28% slab include washing machines, refrigerators, electrical fittings, cement, ceiling fans, watches, automobiles, tobacco products, nutritional drinks, aut…

Sebi speeds up adjudicating proceedings to clear backlog of cases

Sebi speeds up adjudicating proceedings to clear backlog of cases Cases expedited after finance bill, 2017 cleasr air over its discretionary powers The Securities and Exchange Board of India (Sebi) has begun hastening the passing of adjudicating orders to clear the backlog of cases that had piled up over the past couple of years, following uncertainty over its powers to impose discretionary penalties.The market watchdog has also expanded its team of adjudicating officers (AOs) to 11, from five less than a year ago, said a person familiar with the matter “More AOs will help clear the backlog created on account of the Roofit matter. Additional AOs may also expedite the process of passing orders. But, to provide impetus to the whole process of disposal, the regulator needs to lay stress on settlement of proceedings as well," said R S Loona, managing partner, Alliance Law.The Supreme Court (SC), in the matter of Roofit Industries in November 2015, had said Sebi had no discretionary powe…

India Scores a century

India Scores a century Jumps 30 spots to 100 in world  Bank's Ease of Doing Biz Rankings India has for the first time broken into the club of the 100 nations easiest to conduct business in, driven by ease of paying taxes, resolving the insolvency problem, access to credit, and protection of minority investors.The World Bank´s ´Doing Business 2018: Reforming to Create Jobs´ report, released on Tuesday, showed India´s rank in ease of doing business jumped 30 places to 100 among 190 countries. India´s rank was 130ayear ago. India has also been adjudged the fifth bestperforming nation globally in reforming the business environment.The country improved its rankings in six of the 10 subcategories used by the World Bank to judge the climate of business.The report, covering the period from June 2 last year to June 1 this year, ranked India top among the South Asian nations. India´s distance to frontier ratio, which tells how similaracountry´s economic practices are to global best practices, h…

GoM suggests making GST inclusion in MRP mandatory

GoM suggests making GST inclusion in MRP mandatory Maximum retail price of goods must include the GST component to effectively address consumer complaints that some retailers charge the new indirect tax on MRP of products, a high-level panel of state finance ministers has recommended. The group of ministers, headed by Assam Finance Minister Himanta Biswa Sarma, has in its recommendation to the GST Council on easing compliance burden on small and medium enterprises suggested that the government make it amply clear in the present law that MRP is the maximum price of a product to be sold in retail and charging anything above this is an offence. The Mint, New Delhi, 31th October 2017

Customs duty on polyester fabric raised to 20%

Customs duty on polyester fabric raised to 20% The central government has decided to increase the basic customs duty on polyester fabric to 20 per cent, from 10 per cent, with effect from last Friday. In the Goods and Services Tax regime, countervailing duty has been replaced with Integrated GST and Special Additional Duty (SAD) has been scrapped. Polyester fabric attracted 10 per cent basic customs duty, 12.5 per cent countervailing duty and four per cent SAD in the pre-GST regime. After scrapping of the SAD and levy of five per cent GST on the fabric, the imported variety attracted 10 per cent basic customs duty and five per cent IGST. This was a significant drop and the domestic manufacturing industry had petitioned in alarm, to stop cheaper import, especially from China. The industry had represented to the government and the GST Council to increase the basic customs duty. P Nataraj, chairman, The Southern India Mills’ Association said the price of man-made fibre in India was higher by…

E tailers global warehouses may come under tax net

E tailers  global warehouses may come under tax net Warehouses of e-commerce companies based in countries such as Australia, Japan, Italy, Spain, the Netherlands, and Russia may not be exempted from paying the income tax in India once the multilateral instrument (MLI) to prevent base erosion and profit shifting (BEPS) comes into force. BEPS refers to the reporting framework mooted by the Organisation for Economic Co-operation and Development (OECD) and signed by over 100 countries, including India, to prevent exploiting gaps and mismatches in tax rules to shift profits by multinational companies (MNCs) artificially to low-tax regimes. The representatives of 68 countries on June 7 this year signed an agreement (MLI) in Paris to amend their tax treaties to bring them in alignment with measures to prevent BEPS.  However, there is still time for synchronising tax treaties with the multilateral instrument. India has submitted only provisional lists of reservations. Under most of the current bil…