Thursday, May 23, 2019

"GST after new government".

"It is not an unknown fact that stability of Government is desired factor for any FDI and FII in the economy – as it leads to consequent stability in policy implementations. Undeniably, today’s election results appear to have created an euphoria and rested the fears that a new Government in power may lead to revamping of GST law/ tax policies for industry and markets. Expectations also seem to surge that the return of the Modi Government will resolve and simplify various pending GST issues.

If we refer to the BJP election manifesto 2019, it has harped upon 4 key aspects on tax/ GST front namely‘..simplification of GST process by engaging in dialogue with all stakeholders’,‘Targeting time spent for tax compliance at 1 hour per month’ for start-up ecosystem’, setting up an committee to work in reforming‘..citizen’s interface with Government across domains such as taxes, business compliance, rules and regulations for greater simplicity and ease’,and ‘Strive to ensure reduced tax rates, higher tax collection and greater compliance.’

If one reads this Manifesto with the upcoming changes to GST compliance process [i.e. new return forms and e-invoicing facility] and interim Budget speech on automation for ease of doing business – a prediction could be that once in power the Government’s next step on GST front will be continued to be focused towards better GST/ tax compliance through automation and ease of doing business in India. 

Subsequently, in lines with their manifesto and practice in the previous term, the BJP Government may also open channels for more to strike dialogue with industry stakeholders and hear more representations on GST simplification."

1 comment:

  1. Please add the name of the spokesperson. This quote is written by Mr Jigar Doshi, Executive Director, SKP Business Consulting LLP