Major changes expected in New Model GST Law

Since Model GST Law has been uploaded on the public portal, each one of us had been deliberating on the same to understand the mindset of the law makers. Although MGL sets a background about the expectation of the law makers, it is set to change drastically by incorporating the changes recommended by the states, professional bodies and business communities.

A government official had already announced that the new law is being prepared in consultation with the states and once the law is finalized it shall be put on the public domain. In this period of time when we are expecting new law to come, we should restrain ourselves from going into the details of the old law. From the concept of supply, time of supply, place of supply to assessment and audit procedures all is going to change to a large extent. The anomalies which were found in MGL are expected to be done away once the new law comes in. We can expect a major change in the definition of goods and services. As contested earlier, goods might exclude shares and securities and hence not chargeable to GST. Also amendments to the concept of Input tax Credit as recommended by various bodies is likely to be incorporated by the legislature.

Looking at the changes expected in the new law, one should wait and watch before going into the deep discussion on issues and problems as per the Model GST Law put on public domain on 14.06.2016.

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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