Big Analysis of GST

CA in Jalandhar Jun 26 2017 9:32AM GST Registration at Jalandhar Punjab, GST Notifications

GST was first announced in 2000 by the then government. Seventeen years later it is now a reality with the date for implementation set for July 1, 2017. Since 3rd August, 2016, when the Rajya Sabha first passed the bill introducing GST in the 122nd Amendment of the Constitution, there have been many changes in the proposed GST bill and the rules and regulations pertaining to it. Here is a repository of all the important GST news:

News on GST Model Law

The Model GST Law is the guideline on which the entire framework of GST is based. It was devised by the GST Council, which is a committee consisting of the Union Finance Minister (Chairperson), the Union Minister of State, the minister in-charge of finance or taxation or any other minister nominated by each State Government.The revised version of the model law was tabled in November 2016.

News on Roadblocks in Implementation

Though it is widely accepted that GST will bring in changes in the Indian taxation which will be beneficial for all, the GST Council did encounter some resistance to the change. Many states are worried about a possible revenue loss, and some businesses too, have concerns over the timeline of implementation and the tax rates they may encounter under the new regime.

News on Technology for GST

With the GST, the government of India is trying to create a digitally healthy economy. When taxpayers use digital means to file taxes, it leads to an open and transparent system and creates accountability. The GST Council has appointed a non-profit, non government, private limited company called the GSTN (Goods and Services Tax Network) to help create the necessary technology for transition from current tax structure to the GST structure, and also to help businesses adopt new technologies and process for taxation.

News on Rule Changes

The GST is a constitutional amendment, and any change in the law will also affect the rules therein. Rules for invoicing, rules for penalty, rules defining the point of taxation – these are just some of the examples of any rule change in the model law.