{"id":15859,"date":"2020-07-24T06:06:08","date_gmt":"2020-07-24T06:06:08","guid":{"rendered":"http:\/\/plyinsight.com\/?p=15859"},"modified":"2020-07-24T06:31:38","modified_gmt":"2020-07-24T06:31:38","slug":"editorial-july-2020","status":"publish","type":"post","link":"https:\/\/plyinsight.com\/hi\/editorial-july-2020\/","title":{"rendered":"Editorial July 2020"},"content":{"rendered":"

Three years of GST: Still a long way to go for ‘Good and Simple Tax’<\/strong><\/span><\/p>\n

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At the launch of goods and services tax (GST) in 2017, then finance minister Arun Jaitley had hoped that the historic indirect tax reform would meet five broad objectives: Checking inflation, easing the compliance burden, making tax evasion difficult, boosting GDP, and bolstering government resources.<\/p>\n

Since then, three of those are on shaky ground, but hopes on the other two \u2014 inflation control and curbing tax evasion \u2014have not been entirely belied. However, experts say it has not turned out to be what Prime Minister Narendra Modi called it \u2014 \u201cgood and simple tax\u201d.<\/p>\n

To add to the structural complexities related to technology and multiple tax rates, the pandemic has thrown a new challenge, with business activity at a historic low. In the fourth year of GST, key areas of emphasis will revolve around strengthening the IT infrastructure, rationalising multiple GST slabs and rates, easing the compliance burden, and reworking the compensation mechanism for states, experts say.<\/p>\n

M S Mani, partner, Deloitte India, said while three years of GST had brought down several complications of multiple taxes such as tax cascading for businesses, some intended benefits such as tax simplicity, lowering the compliance burden etc should possibly be taken up.<\/p>\n

GST compliance has turned out to be a key trouble spot for taxpayers, causing loss of revenue for the government. In view of technical glitches on the GSTN portal, the government had suspended the detailed return forms \u2014 GSTR 2 (purchase) and GSTR 3 (sales purchase return) \u2014 in November 2017.<\/p>\n

Union Finance Minister Nirmala Sitharaman has acknowledged there have been technical glitches on the GST Network.<\/p>\n

\u201cWe are aware of issues of the system not being able to bear the load, and when more than 100,000 people tried to access the system, it either stalled or delayed or just did not respond,\u201d she had said.<\/p>\n

Infosys Chairman Nandan Nilekani was called to a meeting of the GST Council in March to explain the technical glitches. The company provides the technology backbone for the GSTN. Expected to be introduced in July 2019, the proposed simplified GST form has been deferred many a time to later this year due to lack of technical preparedness.<\/p>\n

With e-invoicing, the new return mechanism, the centralised Advance Ruling Appellate Authority, etc, on the anvil, there is a lot to look forward to under GST 4.0. Industry would hope the implementation strategy of the government is well thought through.\u201d
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Three years of GST: Still a long way to go for ‘Good and Simple Tax’ At the launch of goods and services tax (GST) in 2017, then finance minister Arun Jaitley had hoped that the historic indirect tax reform would meet five broad objectives: Checking inflation, easing the compliance burden, making tax evasion difficult, boosting […]<\/p>","protected":false},"author":1,"featured_media":15860,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[680],"tags":[232,683,684,685,688,689,686,687],"class_list":["post-15859","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-july-articles-2020","tag-editorial","tag-editorial-2020","tag-editorial-july-2020","tag-july-2020-editorial","tag-july-issue-editorial-2020","tag-july-issue-editorial-ply-insight","tag-ply-insight-editorial-2020","tag-ply-insight-editorial-july-issue"],"yoast_head":"\nEditorial July 2020 - PLY INSIGHT<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/plyinsight.com\/hi\/editorial-july-2020\/\" \/>\n<meta property=\"og:locale\" content=\"hi_IN\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Editorial July 2020 - 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