Submit :
News                      Photos                     Just In                     Debate Topic                     Latest News                    Articles                    Local News                    Blog Posts                     Pictures                    Reviews                    Recipes                    
CAIT calls for review of GST tax slabs & opening of Tax Facilitation Centres
CAIT National President Mr BC Bhartia and Secretary General Mr Praveen Khandelwal said that recent publication of classification of goods under different tax slabs has further aggravated the matter since many of the items which were earlier in lower tax slab have been categorised under higher tax rate resulting in disrupting of business economy of the trading community.

Items like auto parts which are under 5 per cent slab have been placed under 28 per cent. Though milk is exempted, but ghee and butter have been placed under 12 per cent. Items related to construction and infrastructure like cement, builders hardware, iron & steel have been placed under 28 per cent. General consumables like haldi, zeera, red chilly, dhania which are farming items have been placed under 5 per cent instead of exempted goods. Hand bags have also been placed under the slab of 28 per cent. Marble, stone etc used in construction of buildings have all been covered under 28 per cent.

Pickle, sauces, instant food mixes and some of the other processed food items have been placed under 18 per cent tax slab, though these are consumed by large number of people across the country.

CAIT has called for a review of different tax slabs under GST in consultation with Trade Associations. The compulsion of e-way bill even for intra-state supplies for transactions above Rs 50,000 will prove to be counter productive and a regressive step. For transferring goods from godown to sales office, sending goods for repairs and job work or even for making charity even within city will need an e-way bill.

The knowledge level of small businesses pertaining to GST and their equipping with necessary IT infrastructure is quite low. These steps will be giving teething trouble in making effective and timely tax compliance. Rural and semi-urban traders will be much more effected and they are in majority.

Though the trading community stands in solidarity with the government seeking early implementation of GST in the country but it has certain challenges as well and that is why the Confederation of All India Traders (CAIT) has called upon the government to declare first nine months of GST implementation as trial period.

CAIT has also urged the government to open Tax Facilitation Centres across the Country in partnership with Trade Associations. It is a known fact that Finance Minister Mr Arun Jaitley has burnt midnight oil in bringing GST at this stage but the pertinent question is still that there are many large gaps between the framed policies of GST and activities at the ground level. Lack of awareness about the basic fundamentals of GST, technological aspect and required doable for tax compliance are some of the major issues which needs to be sorted out before GST implementation.

Email Id
Verification Code
Email me on reply to my comment
Email me when other CJs comment on this article
Sign in to set your preference
merinews for RTI activists

Not finding what you are looking for? Search here.