July 1st more realistic deadline for GST: Arun Jaitley


NEW DELHI: F.M. Arun Jailtey-led Goods and Services Tax (GST) council, on Monday, again failed to achieve consensus on contentious dual control or cross empowerment issue that deals with assessee jurisdiction, deferring target for its roll-out to July 1.

“I am trying my best (on deadline of April 1). There was a broad view that July 1 appears to be a more realistic date for the implementation,” Jaitley said at a press briefing after today’s GST Council meet ended.

“We discussed cross empowerment issue whole day but…,” Jaitley said.

He, however, said there were agreements on some other issues, including an “agreement that integrated GST (law) will be mutually empowerment model”. Also, “territorial waters, taxation powers will be delegated to the states”, he said.

The Council has been deadlocked for the fifth meeting in a row, with states seeking sole powers to control assessees with an annual turnover of up to Rs 1.5 crore.

The Centre, however, is not in favour of a horizontal split as it feels states do not have the expertise to administer levies like service tax.

“GST turnover of above Rs 1.5 crore will be assessed in the ratio of 50:50 by States and Centre,” Jaitley said.

The Council, in its previous meeting, had agreed on most of the clauses of the draft IGST law, which along with central GST (CGST) and state GST (SGST) have to be passed by Parliament and state legislatures, respectively, before the new indirect tax regime can be rolled out.

IGST deals in levy on inter-state supply (including stock transfers) of goods or services.

“Power to levy and collect IGST tax is with centre but by special provision in law states to be cross empowered in same manner as ratio mentioned,” the finance minister said.

Parliament passed the landmark constitutional amendment in August last year and more than half of state legislatures ratified it by mid-September.

GST will subsume a host of indirect taxes levied by the Centre and states, including excise duty, VAT, service tax, entry, luxury and entertainment levies.

GST is expected to transform India into a single market, boost revenues through better compliance and simpler procedure.

Source : PTI

2 Replies to “July 1st more realistic deadline for GST: Arun Jaitley”

  1. Dr.A.Gopalakrishnan says:

    GST is a powerful mechanism to stimulate the national growth by increasing the export. In the international market our product price
    become cheap. It is an another extension of digital – economy as Modiji’s vision lead to” Digital India”.Banking policy also streamlined
    promptly together with aggressive interactions and analysis by planing,review by RBI, on time to time in the manner of budget and standard..

    Dr.A.Gopalakrishnan Thelakkattu

  2. shiva prasad says:

    Pls implement chit company act &money laundering business.relise circular immediately sir.

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