GST enforcement not to be harsh during initial period: Teaotia

To allay the fears of the exporting community, the commerce ministry today said that enforcement would not be harsh during the initial period of GST implementation from July 1.
"Any transition will require some adjustment. Exporters will get an extended two months time for filing returns under the new tax regime. And also enforcement will not be harsh during the initial period," commerce secretary Rita Teaotia told exporters at a session organised by EEPC, FIEO and GJEPC here.
She said that review of the Foreign Trade Policy (FTP) was due for long. "With the GST coming into force from July 1, the FTP review will coincide with the launch of the new tax regime to make it relevant with the new system".

Teaotia said that the FTP, launched in 2015, would be calibrated in response to the needs of the exporters and it would be a continuous process.
Responding to the worries and concerns of most of the exporters, she said, "This is a well-needed reform and required for long".
The cascading effect of multiple taxes and its complexity needed to be done away with, she said, adding that with a positive approach, it would be good for both the exporting community and the country.
DGFT A K Bhalla said that any exporter bringing in unsold merchandise after participating in exhibitions abroad, would have to pay IGST after which they could claim refund.