The entire country has been figuring out how GST works since its implementation about 6 months back. The concept of GST, which stands for Good and Service Tax was first introduced by the government in the year 2000. This new idea on tax implementation finally came into function on the 1st of July 2017. Since then, GST has undergone several changes as the nation slowly accepts this new system of taxation.
The last council meeting with respect to GST was held on the 16th of December 2017, and a number of changes have been made regarding GST payment.
Some of the fresh updates include-
• The E-way bill with respect to GST online payment, will be introduced for trial on the 16th of January 2018. The rule of the bill will come into implementation from the 1st of February 2018, and the states of the country will have to start following this bill system before the 1st of June 2018.
• The council has brought down the list of goods and products in the 28% tax slab from 228 items to about 50 items only. Among the 50 items in the list most are luxury goods and products. Items which are used daily have been shifted to the 18% tax slab.
• The high GST rates on restaurants and hotels has been lowered. Now a GST of only 5% minus the input tax credit benefits will be charged. Although in case of starred hotels that have rooms costing more than Rs7, 500, the GST levied will be 18% along with input tax credit benefits.
• The GST rate on about 12 items has been brought down to 12% from its former 18%.
• The council after the meeting has even extended the due date for some related forms.
• The council has also reduced late fees in case there is a delay while filing NIL returns. The late fee has been brought down to Rs200/day to Rs20/day.
• Small and medium sized businesses that have a turnover of less than Rs1.5crore, can now file their taxes quarterly instead of monthly. Thus, they can now make their GST payment quarterly. This switchover will begin from October, the taxes for the months of July, August as well as September will have to be done on a monthly basis.
• Provisions for TDS/TCS have now been postponed till the 31st of March 2018.
GST payment is quite new, and the government is making a great effort in bringing about changes so as to make this new tax system business and consumer friendly. GST online payment is also a feature that has simplified the method of clearing taxes.
The last council meeting with respect to GST was held on the 16th of December 2017, and a number of changes have been made regarding GST payment.
Some of the fresh updates include-
• The E-way bill with respect to GST online payment, will be introduced for trial on the 16th of January 2018. The rule of the bill will come into implementation from the 1st of February 2018, and the states of the country will have to start following this bill system before the 1st of June 2018.
• The council has brought down the list of goods and products in the 28% tax slab from 228 items to about 50 items only. Among the 50 items in the list most are luxury goods and products. Items which are used daily have been shifted to the 18% tax slab.
• The high GST rates on restaurants and hotels has been lowered. Now a GST of only 5% minus the input tax credit benefits will be charged. Although in case of starred hotels that have rooms costing more than Rs7, 500, the GST levied will be 18% along with input tax credit benefits.
• The GST rate on about 12 items has been brought down to 12% from its former 18%.
• The council after the meeting has even extended the due date for some related forms.
• The council has also reduced late fees in case there is a delay while filing NIL returns. The late fee has been brought down to Rs200/day to Rs20/day.
• Small and medium sized businesses that have a turnover of less than Rs1.5crore, can now file their taxes quarterly instead of monthly. Thus, they can now make their GST payment quarterly. This switchover will begin from October, the taxes for the months of July, August as well as September will have to be done on a monthly basis.
• Provisions for TDS/TCS have now been postponed till the 31st of March 2018.
GST payment is quite new, and the government is making a great effort in bringing about changes so as to make this new tax system business and consumer friendly. GST online payment is also a feature that has simplified the method of clearing taxes.
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