You are here: Home » News-ANI » Business
Business Standard

Govt. looks for timely implementation as GST Council clears State, Union Territory GST

ANI  |  New Delhi [India] 

The Goods and Services (GST) Council, in its 12th meeting, has approved the State and Union Territory GST, thus paving way for tabling of the Bills in the current session of

The clearance comes as an indicator to industry players to begin the documentation process in order to avoid a time crunch closer to the implementation date of July 1, 2017.

Stressing on this, Sachin Menon, National Head, Indirect Tax, KPMG stated that the state governments must ensure timely implementation of the state laws.

"The clearance of SGST and UTGST bills by the council is a resounding reiteration from the about their seriousness to introduce by July 1. It is warning bell for those who have not yet commenced their preparations for introduction of GST. It will be too short a time for the industry for preparation if the states are not passing GST latest by second half of April," Sachin said.

Echoing a similar opinion, Archit Gupta, founder and CEO, said that the council is yet to approve rules around composition, value addition, input credit and transitions under the existing act. Following this, marginal changes may be required which will be drafted by March 25.

"13th meeting of the will be on March 31st and may likely initiate GST rates discussion. GST rates discussion is crucial next step," added Gupta.

Meanwhile, the has capped sin on luxury goods at 12 percent with room for another three percent, but sin tax not to exceed 15 percent. The cap on this tax is prohibitive and meant for state compensation. It remains to be seen which category of goods will be covered in this, however it seems there will be only 5 commodities which will attract this sin tax.

Earlier, the GST Council, chaired by Finance Minister Arun Jaitley, had approved the draft CGST Bill and the draft IGST Bill as vetted by the Union Ministry. It cleared the deck for the Central to take these two Bills to the for their passage in the ongoing Budget Session.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, March 17 2017. 15:36 IST