North eastern states observe over 30% increase in Apr-Jul GST gathering

North eastern states registered more than 30 percent increase in GST collection during the initial four months of the current financial 2019-20, substantially more than the increased seen in bigger manufacturing states. Development in Goods and Services Tax (GST) collection recorded by a most of the seven sister states is more than three times the national average of 9 percent.

In absolute terms, the total tax collection during April-July of this financial year rise to Rs 3.56 lakh crore, according to the information access by .

Among the north eastern states, Nagaland registered highest increase of 39 percent at Rs 393 crore during April-July period, the information uncovered.

It was trailed by Arunachal Pradesh with 35 percent increase at Rs 514 crore and Sikkim with 32 percent increase to Rs 370 crore.

While Meghalaya timed a increase of 30 percent in GST collection at Rs 680 crore, Mizoram’s development was a bit lower at 27 percent with Rs 350 crore collection.

The laggard states of Tripura and Manipur also registered 16 percent development, more than twofold of large industrial states like Maharashtra, Haryana and Gujarat.

Out of 37 states and union territories, Delhi, Lakshadweep and Puducherry enrolled de-growth of 2 percent, 17 percent and 8 percent resp.

GST gathering of Delhi declined to Rs 12,700 crore during April-July 2019, contrasted with little under Rs 13,000 crore a year prior.

As indicated by specialists, Delhi has been unfavorably hit as the tax exchange on central sales tax (CST) has finished. Before, Delhi had a lower CST of 1 percent, inciting numerous organizations to dispatch products from the union territory by locating their offices here.

Large states like Maharashtra and Gujarat recorded a solitary digit growth of 6 percent in GST collection. Punjab timed 7 percent development, while Haryana’s development was at 9 percent.

Tamil Nadu and Karnataka recorded 10 percent and 11 percent development in GST growth, resp.

In contrast, consuming states like Bihar, Odisha, Uttar Pradesh and Madhya Pradesh are faring superior to the industrial states with double digit growth.

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Yearly returns filing under GST to be a tall task

Filling of yearly returns under Goods and Services Tax (GST) will be a tall assignment, feel tax practitioners. The figures of returns filed by the central government show that only 17% of returns for the financial year 2017-18 have been filed in more than five months, with just three weeks left, they wonder how the remaining 83% returns will be filed. They state expanding the date isn’t a choice. Just improvement of filing of returns can resolve the issue.

Businessmen under standard GST need to file annual return GSTR-9, while sellers who have opted Composition Scheme by paying lump-sum tax need to file GSTR-9A. Those filing GSTR-9 need to file audit return in form of GSTR-9C.

Central Board of Indirect Taxes (CBIC), in its ongoing note, conceded that only 14,85,863 have recorded GSTR-9, 4,33,144 sellers have filed GSTR-9A and 11,334 vendors ready to file GSTR-9C. Axat Vyas, member from the center committee of National Action Committee (NAC) of GST Practitioners said that there are an expected 89,11,797 vendors expected to file GSTR-9, 15,82,127 sellers expected to file GSTR-9A and 3,14,818 vendors expected to file GSTR-9C. This adds up to 16.67% compliance for GSTR-9, 27.38% compliance for GSTR-9A and just 3.6% compliance of GSTR-9C. Overall compliance is about 17.85%. CBIC has additionally asked its field staff to direct an outreach exercise to guarantee all returns are filed. But, tax practitioners see things in a different way.

“This information has been announced by CBIC. Over 17% of returns have been filed in more than five months. In what manner will remaining 83% returns be filed in the remaining three weeks,” asked a disturbed Lalit Ganatra, a tax practitioner. He accuses the issues in filing returns to complicated arrangements thus expanding the due dates won’t work. “We have time and again suggested that the government should make forms for returns simpler,” he said.

Ganatra disclosed to DNA that it isn’t simply complicated for tax practitioners to comprehend these forms and strategies, even the staff of Central GST and State GST fail to get things. “When they themselves, in what way will they eliminate the confusion for us?” he inquired.

GST was rolled out in the nation on July 1, 2017 and the due date for filing of yearly returns for the financial year 2017-18 has been reached out in past as a result of a host of issues. The due date for filing of Income Tax Returns has additionally been extended to August 31, overlapping with GSTR yearly returns, which has made things progressively troublesome, feel tax payers.

THE ISSUES:

  • Tax practitioners state expanding the date isn’t an alternative. Just simplification of filing of returns can solve the issue
  • Just 17% of returns for the financial year 2017-18 have been filed in more than five months

 

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Meeting of GST Council on 20th September in Goa

The Goods and Services Tax (GST) Council is probably going to meet next on September 20 in Goa, a senior government authority told Moneycontrol.

“The plan hasn’t been concluded at this point. But, the health care industry’s interest on input tax credit perhaps considered. In spite of the fact that it is too soon to remark on the final agenda,” the authority said.

Health care services suppliers have been pushing for a 5 percent GST, since missing of input tax credit, they wind up retaining taxes paid on goods obtained from merchants. Input tax credit isn’t permitted as health care services are exempt from GST, aside from cosmetic medical surgery and hair transplant. Tax is appropriate on inserts and fake limbs.

The Indian automobile sector has hit its most exceedingly terrible stage in light of a steady liquidity mash among India’s shadow banks, prompting a breakdown in sales. In July, the traveler vehicle industry recorded its most awful sales execution in about 19 years.

As per information discharged on August 13 by the Society of Indian Automobile Manufacturers, sales fell 31 percent to 200,790 vehicles a month ago from 290,931 units every year earlier. It was the most noticeably terrible sales performance since a 35 percent decrease in December 2000.

Delegates from the sector had as of late met the finance minister to talk about approaches to revive sales. “It’s unlikely that any GST relief would be possible for us to give as of now,” the authority said.

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