7th October 2017
GST Council meeting has brought a relief for the small business from filling GST returns every month. Another relief on the purchase of Rs.50,000gold.Big relief to small traders, getting rid of filling returns every month, not necessarily pan over 50 thousand purchase GST Council Committee constituted under the chairmanship of Revenue Secretary Hasmukh Adhia to look at issues related to exporters could present their initial report today.
Goods and Services Tax Council meeting on 6th October chaired by Union Finance Minister Shri Arun Jaitley. While giving relief to the small traders in the meeting, it has been decided to exempt them every month from GST return filing.
GST Return filing has to be done by there was a provision for returning returns on the turnover of 1.5 Crore rupees every month, which has now been made quarterly. The government has removed GST from Gems& Jewellery. The government has given a big relief to the small and medium enterprises (SMEs) in the goods and services tax (GST) system soon.
GST Council has increased the limit of business from Rs. 75 lakh to Rs. 1 crore for companies who have adopted GST composition scheme. Under this scheme, SMEs have been given the facility of tax payment in the range of one to five percent without fulfilling strict formalities. There was a complaint about the compliance burden in the GST system of small units and traders.
The Council has decided to increase the limit under the composition scheme for SMEs in the 22nd meeting held today. The exporters will get IGST (integrated goods and service tax) relief and e-wallet facility. GST Council has constituted a committee to consider rationalizing the GST rate for the restaurant. Of the total nine million registered units so far, 15 lakhs have opted for composition scheme. The rate of tax for commodity traders in the composition scheme is one percent. On the other hand, for exporters, two percent, food or beverages (without alcohol) have been kept for 5 percent.
The composition plan allows small companies including the restaurant to pay tax at a fixed rate of one to five percent without following the process of filing a three-level return. This allows small taxpayers to pay GST at a fixed rate and they do not have to go through complex GST formalities. Apart from restaurants related services, ice cream, pan masala or tobacco makers, casual taxpayers or migrant taxpayers and companies that supply commodities through e-commerce operator, no other service provider can opt for this scheme. Whichever companies opt for Composition Plan, they cannot claim 'Input Tax Credit'. Also the taxpayers can supply in one state and cannot supply goods from one state to another.
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