Praveen KhandelwalIt has been proposed that there will be two types of GST i.e. central GST and state GST and both CGST and SGST will have to be charged in each transaction and separate sales return needs to be filed with two separate departments by the traders
The Confederation of All India Traders (CAIT) has strongly opposed the proposed Goods and Services Tax (GST) in India which has dual tax and three monitoring authorities. “The proposed GST runs counter to ease in doing business vision of Prime Minister and therefore, the CAIT has launched a nationwide campaign to oppose GST proposals. We demand single tax GST with single authority coupled with uniform Act and tax rates across the country and develop India on a concept of ‘one Mandi’. “The stakeholders cannot be taken as granted and proposed form of GST is not acceptable to us”-said Praveen Khandelwal, Secretary General of CAIT.
As a part of its national campaign, the CAIT held a Traders Conference at New Delhi, which was attended by representatives of trade, transporters, SMEs, consumers, hawkers and other segments of trade, which were chaired by CAIT National President BC Bhartia. The CAIT intends to hold such conferences in 40 cities of different states within next two months’ time. Already similar conferences have been held at Mumbai and Navi Mumbai in past week.
It has been proposed that there will be two types of GST i.e. central GST and state GST and both CGST and SGST will have to be charged in each transaction and separate sales return needs to be filed with two separate departments by the traders. The inter-state sales will be governed by IGST, a third authority to be constituted by GST council. In present, VAT taxation system, there is only one authority, which regulates the entire taxation structure.
Levy of 1% additional tax on inter-state sales for which no input credit will be allowed to traders is another problematic issue which runs counter to principle of full transfer of tax. “Though traders are expected to perform as revenue getters with utmost efficiency but so far government has not initiated any step to hold consultations with stakeholders”-said BC Bhartia, National President, CAIT.
Both Bhartia and Khandelwal called upon the government to begin talks with stakeholders and said that on the pattern of National Academy of Direct Taxes, a National Academy of Indirect Taxes should be formed where tax officials should be trained. A separate civil services cadre for taxation like Indian Taxation Service like IAS or IPS may be formed to monitor taxation structure in India.