You are here: Home » Economy & Policy » News » GST
Business Standard

CII calls for greater clarity, no ambiguity in GST anti-profiteering rules

The anti-profiteering clause of GST law should provide clarity on rules and regulations: CII

Press Trust of India  |  New Delhi 

GST
GST

Industry body has called for a greater clarity in the rules to avoid discretionary bias. Practical implementation of the regulations without ambiguity and untoward scrutiny is required, particularly in the initial days of implementation till the system stabilises, the said in a statement. The clause was brought in the (GST) to ensure that businesses pass on the benefit of tax rate reduction to consumers. "The rules say benefit of should have been passed on to the recipient by way of commensurate reduction in prices.

However, as this definition is not clear, discretionary bias may creep in," said. The clause of should provide clarity on rules and regulations regarding the assessment of valuation and impact of taxes, it added. The clause could lead to hardship for small enterprises, in particular, the said, adding practical and procedural challenges may arise during the initial implementation period of the clause. "Tax authorities will need to be sensitive to natural business outcomes and avoid undue harassment. Also, the clause gives relatively less time for preparation and adoption of the new provisions," the said. The GST was rolled out from July 1 and the government had constituted the National Authority in November.

First Published: Sun, January 07 2018. 13:35 IST
RECOMMENDED FOR YOU