GST relaxations are testimony of soft attitude of Govt: CAIT

Source: The Hitavada      Date: 11 Jan 2019 09:29:23


Business Bureau,

While appreciating the Union Finance Minister Arun Jaitley for leading the Goods and Services Tax (GST) reforms in the country, the decision of GST Council are remarkable and ample testimony of the fact that the Government is alive to the problems of small traders  and sincerely and seriously wish to resolve the same, said Confederation of All India
Traders (CAIT). CAIT said that decision of GST Council to give relaxation to small traders which will certainly take the taxation burden out from large number of small traders in the country.

CAIT National President B C Bhartia said that increasing the threshold limit from Rs 20 lakh to Rs 40 lakh is a welcome step and it is expected that nearly 10 lakh traders will be out from the clutches of Goods and Services Tax with this announcement.

He also said that raising the Composition Scheme limit from Rs 1 crore to Rs 1.5 crore is a much awaited decision and about 20 lakh small businesses will be benefitted as they fall under the bracket of Rs 1 crore to Rs 1.5 crore. It is also appreciated that they will be now required to file only one annual return relieving them from the cumbersome procedure though tax has to be paid quarterly which is quite in line.

Secretary General of CAIT Praveen Khandelwal said, the threshold limit for Composition Scheme for services has been decided at Rs 50 lakh which is fair enough and about 10 lakh small service providers will be benefitted with this scheme. It is also appreciated that they have put under tax bracket of 6 per cent which is quite reasonable.

He said, however, the issues pertaining of early refunds to traders, lowering the GST rate for auto parts, alluminium utensils and like items needs to be addressed at the earliest.  “Filing of returns from monthly to quarterly is also another area where GST Council has to work,”Khandelwal pointed out.