August 6, 2021

The World Stock Markets Tips & Targets, News, Views & Updates

The World Stock Markets Tips & Targets, News, Views & Updates

Govt conducts review of legal issues in GST system: Report

The official said the industry has made representations to the Centre and state governments on the issues.

Since its implementation on July 1, 2017, the GST system has faced issues related to assessment and disputes, and what items to bring under the system's purview.

Since its implementation on July 1, 2017, the GST system has faced issues related to assessment and disputes, and what items to bring under the system’s purview.

The Centre has begun a comprehensive review of the Goods and Services Tax (GST) law to examine issues that have emerged in the system.

The review will also examine whether services provided by back offices of multinational companies in India qualify as exports, which currently have a GST rate of zero, The Economic Times has reported.

There is also confusion over whether GST is applicable on discounts, which are reimbursed by FMCG and consumer durables companies to their dealers. The review is expected to simplify the law and reduce disputes related to the indirect tax, the report said.

Moneycontrol could not independently verify the report.

Also read – Four Years of GST: Council should now fulfill unfinished agenda, say experts

A government official told The Economic Times that the issues will be taken to the officials’ committee of the GST Council for discussion. A detailed report will be prepared after feedback and sent to GST Council for a final decision.

“The idea is to iron out any legal issues to make the regime simpler, as was intended,” the official told the publication.

The official said the industry has made representations to the Centre and state governments on the issues.

“It was felt that some of the issues that have been flagged should be examined and necessary clarification or changes to laws should be taken up to address them to bring down litigation,” the official said.

Since its implementation on July 1, 2017, the GST system has faced issues related to assessment and disputes, and what items to bring under the system’s purview.

Moneycontrol News

<!–

–>

Share This :