The industry said on Friday that the GST Council has the right time to increase the scope of indirect taxes and to bring all areas under it and rationalize the tax slab. Some things like alcohol for petroleum products, electricity and human consumption are out of the purview of goods and services tax (GST).
Industry director, CII Director General Chandrajit Banerjee said, “With the coming up of the concerned institutional system, it is a suitable time for the GST Council to bring all the sectors under the purview of the goods and services tax and improve the tax slab.” The GST Council has extended the tenure of the National Profit Prohibition Authority (NAA) for two years from November, 2021.
At the same time, the council has also been sanctioned to impose a fine of up to 10 percent on the companies who did not give benefits to the consumers of GST registration as a proof of the basis and the benefits of reduction in rates. In addition, the council has sent a committee of officials to the matter of reduction of GST rates on electric vehicles and their chargers.
FICCI said, “The government has taken the views in terms of simplifying the GST rules and bringing the goods in the realm of goods and services tax, including rationalizing rates and in fact, it is in fact the right direction. This will clear the path of simplification and stability under GST. ” Banerjee also said that decision to present the GST Council e-Invoice will bring efficiency in tax payment and strengthen the economy. He also said that it is the right step to increase the time-limit for filing annual returns.