The Hush Post: The Central Government is planning to roll out a revamped GST, wherein people will be required to file their returns just once a month, sources said. Through this, an aim is being made to make the filing of returns easier in India, which currently is one of the most complex in the world.
However, the process might take a while, due to differences between officers and Infosys chairman Nandan Nilekani, who is advising the government on returns. The differences have risen on account of how the input tax credit will be given and whether it should be linked to actual tax payment or not. However, Bihar deputy Chief Minister, Sushil Modi said that it is possible that a blend of the two might be worked out.
Detailed discussions were held between the panel and stakeholders on Tuesday, and the feedback is to be given within seven days. After the completion of one week, the final draft will be sent to the GST Council, which consists of union and state finance ministers. Apart from reducing the number of annual returns from to 12 (from the current 36), a proposal is also being considered to move away from computer based matching of returns, since large mismatches are generated between claims of suppliers and buyers through this.
“The supplier will upload the details and the recipient will do the matching,” Modi said,. He further added that the buyer will be able to see what has been uploaded.
With returns being described as ‘the soul of GST’ and credit is based on this, it is also true that returns have been a sore point for businesses. Businesses from across the country had earlier complained about the burden, but the government dismissed these as excuses for wanting to avoid scrutiny. However, just before the Gujarat elections, the Central Government softened its stand in a bid to appease disgruntled Gujarati businessmen.