Govt. to celebrate 2 years of GST on July 1st
On the second anniversary of Goods and Services Tax (GST) on July 1, the Ministry of Finance will launch some reforms in the indirect tax regime, including a new return system, rationalisation of cash-ledger system and a single refund-disbursing mechanism, among others. Minister of State for Finance and Corporate Affairs Anurag Thakur will also give a presentation on the occasion. At the event, a book on ‘GST for MSME’ will also be released. The Central Board of Indirect Taxes and Customs’ officers who played a crucial role in the GST implementation will also be awarded.
One of the key reforms, which will be introduced tomorrow, is the pilot on ‘new return filing’ system, which will enable traders to file returns in a single format once a month instead of multiple ones. The new return system will be enabled on trial from July 1, following which it will be made mandatory from October 1. It will replace the current GSTR-3B (summary returns) and GSTR-1 (supplies return) systems.
Earlier, when the GST was designed, there were three return formats and one had to file 36 returns per month. Then there was another return and audit report too. However, in the new return, one will have to file returns once in a month, said Bihar Deputy Chief Minister Sushil Modi.
“For big tax payers, it is 12 returns a year and for small taxpayers, it is only four returns a year,” he said. Further, Sahaj & Sugam returns for small taxpayers are also in line. With regards to single cash ledger, the government will rationalise it in such a manner that earlier 20 heads will be merged into five major heads, he added. The GST, which subsumed 17 local levies, was rolled out on the in July 1, 2017.
About GST – History
Goods and Services Tax (GST) is an indirect tax which is levied on the consumer when buying goods or services.
It is the single tax levy on goods and services from the manufacturing stage until its delivery stage.
GST came into effect throughout India on 1 July 2017
It replaced several cascading indirect taxes levied by the central and state governments.
Goods and Services Tax is a comprehensive nationwide indirect tax on the manufacture, sale, and consumption of goods and services.