GST, DTC Bills likely next week

The government is planning to introduce Bills on the Direct Taxes Code (DTC) and the Goods and Services Tax (GST) by August 26. The two legislation are likely to be taken up by the Cabinet early next week.

The finance ministry is racing against time to introduce the Bills during the ongoing monsoon session, scheduled to end on August 27. It has to seek Union Cabinet approval and also refer the matter to the President before tabling the Bills. Normally, the Cabinet meets every Thursday. However, officials told Business Standard, that may not be time enough for the ministry to be ready with the Cabinet notes, especially on GST.

Official sources said the government might postpone the Cabinet meeting to Tuesday or hold another meeting in the early part of the week. The option of seeking an extension in the monsoon session is also not being ruled out by ministry officials.

“We have planned out everything on how to go about tabling the Bill in Parliament. After the meeting with states on Wednesday, the finance minister will decide whether he wants to take it for Cabinet approval and in what form,” said one.

The government is planning to introduce both DTC and GST by April 1, 2011. It has already missed one deadline on the rollout of GST.