The Tamil Nadu Chamber of Commerce and Industry has come out with a charter of 10 demands for simplification of tax procedures and appealed to the union finance ministry and GST council for the implementation of the same.
According to the president of the TNCCI, N Jegatheesan, and senior president, S Rethinavelu, the demands include fixing revenue-neutral rate (RNR) under GST at 15% and excluding the exempted category, the tax rates should be fixed at 5, 10, 15 and 18 % only. The high 28% tax rate which is higher than what is levied in most countries should be withdrawn. Essential food products, both branded and unbranded, should be exempted from tax.
For services apart from exempted services, the tax rates should be fixed at 5,10 and 15 % according to the nature of services. The maximum rate of GST should not exceed 15%, the organisation demanded. The H.S.N code structure under GST contains 21 chapters with broad product groups like food products, textiles, etc.
In those chapters, there are 199 schedules with 1244 headings and 5224 sub-headings. GST rates were fixed based on those headings and sub-headings of the products leading to the uncertainty about the exact rate of tax for many products. To clear this ambiguity the government should fix a single rate of tax for all the products covered in a chapter. In conformity with the basic principle of GST, there should be no levy of tax on goods and services without prior tax credit benefit.
Tax returns should be simplified as much as possible to enable taxpayers to fill in the required details themselves, without the assistance of tax consultants. Taxpayers with an annual turnover of up to Rs 5 crore should be exempted from filing annual returns and auditor’s certificate.
It should be mandatory for the taxpayers with annual turnover above Rs 5 crore to generate and use only e-invoice for their sales and option may be given to the taxpayers for the mandate for a certain period. Those who generate e-invoice should be exempted from the e-way bill requirement for transportation of goods.
Source : https://retail.economictimes.indiatimes.com/news/industry/tn-chambers-10-demands-for-simplifying-tax-procedures/71124214
Begin typing your search above and press return to search. Press Esc to cancel.
[contact-form-7 id="7374" title="subscribe"]