Government to defer the GST Bills

Looking at the aggression of the opposition on demonetization, the Government is likely to defer the presentation of GST to late winter session. The government would bring GST Bill in form of money bill which will get passed only upon the consent of lok sabha in which the ruling party already has the majority. Despite introducing the bill as money bill, it is long drawn process of parliamentary discussion and other issues which may crop up once the bill is presented. The Government is likely to enforce GST on 01.04.2017 for which it has already set the deadlines so that proper infrastructure is in place before the biggest indirect tax reform.

GST is likely to have far reaching impact on consumers, business units, e-commerce and other stakeholders. Demonetization will prove to be a big plus, once GST rolls out. Cash-less Economy, transactions through banking channels, technology driven all make the foundation for the new tax regime. It is to be ensured that the task of demonetization is carried out properly so that the real target could be achieved.

Also before GST actually rolls in the government should put all its efforts in synchronize and digitize revenue departments. Also there is need to bring the behavioral change in the mindset of the revenue authorities. This can be done only with regular training, group discussions, and interaction with public on regular basis. The government first needs to understand the issues of the stakeholders and then work on finding remedies.

It is also expected that the government may announce the change of financial year from April-March to January-December. This will bring huge change for the business units in maintenance of their books of accounts. If this happens the difference of the calendar year and financial year will go away it will certainly end the point of debate for most of the business concerns.

by:

Keshav R Garg

(B.Com, FCA, CS, ISA(ICAI))

Faculty for GST: Indirect Tax Committee of ICAI

Author: Bharat's GST Ready Reckoner

A Handbook on GST

Adviser for GST: Industries Association of Chandigarh

Member: Indirect Tax Committee of CII, PHDCCI, MyGst.MyTax Foundation

Address: 3328, Sector 27 D, Chandigarh, India - 160 019

Phones: +91-172-461-3328, +91-98880-90008

Mails: mygst.mytax@gmail.com, keshavgarg@kdai.in

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