Raids unearth Rs 470 crore fraudulent GST claims

Raids unearth Rs 470 crore fraudulent GST claims

In a massive nationwide search operation carried out on exporters and their suppliers covering 336 locations on Wednesday, nearly 1,200 officers from the Directorate of Revenue Intelligence and Directorate General of GST Intelligence unearthed fraudulent claims of over Rs 470 crore of Integrated Goods and Services Tax (IGST) and seized fake invoices of Rs 3,500 crore. The searches showed that some exporters were exporting goods on payment of IGST, using credit for taxes paid on inputs. While there is no…

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Select states not in favour of GST rate cut for auto, fear revenue loss

Select states not in favour of GST rate cut for auto, fear revenue loss

The automobile sector, which is already undergoing one of its worst phases, may further take a hit amid reports that several states including West Bengal, Bihar, Punjab and Kerala are against the GST rate cut. An ET Now report said that these states believe high taxation is not a reason behind the crisis in the auto sector. “States claimed that GST is not behind the slump,” ETNow said. These states are afraid of the loss of revenue in case GST rates are slashed….

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Firms with annual income upto Rs 2 crore could get GST return relief

Firms with annual income upto Rs 2 crore could get GST return relief

The all-powerful GST Council is set to discuss a proposal to exempt small businesses with annual turnover of less than Rs 2 crore from filing annual returns. Senior officials said that despite three extensions for filing the returns, the number has been unsatisfactory. “It is ranging from 25-27 per cent despite extension of deadlines. The GST Council will discuss the issue in its meeting on September 20,” said an official. He further said that the Council will decide if the mandatory return…

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NPCI clears GST sops for UPI QR code payments

NPCI clears GST sops for UPI QR code payments

Consumers and merchants might be able to avail tax incentives for digital payments through QR code on Unified Payments Interface (UPI) from next year. This is because a proposal to this effect has been approved by members of the National Payments Corporation of India (NPCI), which manages the platform. According to people present in the last steering committee meeting in August, consumers and merchants can get tax benefits upon sharing their PAN and GSTIN details respectively. This comes at a time when UPI has emerged as a popular…

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At Sept 20 Goa meet, GST Council to look into inverted duty structure issue

At Sept 20 Goa meet, GST Council to look into inverted duty structure issue

The Goods & Services (GST) Council is expected to resolve issues related with inverted duty structure for various sectors in its 37th meeting scheduled to take place in Goa on September 20. The inverted duty structure, where there is higher duty on input(s) and lower duty on output, has caused two problems. First is the refund in the GST regime, and second such a structure encourages imports hurting the domestic industry. There are at least seven industries including textiles and…

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No GST if maintenance paid to housing society is less than Rs 7,500 every month

No GST if maintenance paid to housing society is less than Rs 7,500 every month

The GST exemption on maintenance charges paid to a housing society by a member is available only if it doesn’t exceed Rs 7,500 per month, the Authority for Advance Rulings (Tamil Nadu) has ruled. If the charges exceed the sum, the entire amount is taxable. In its order, the AAR bench provides a numerical illustration. If the maintenance charges are Rs 9,000 per month per member, GST shall be payable on the entire amount of Rs 9,000 at the rate of 18%. It shall not be payable…

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GST rate cut on auto, other products to be political call

GST rate cut on auto, other products to be political call

A decision to reduce goods and services tax (GST) on automobiles and other products will be a political call even as finance ministry officials remain unconvinced of the utility of bowing to the clamour for a rate cut. They point out both – lack of fiscal space and doubts whether such a measure will really address the causes for the slowdown in the sectors. Already, collections from automobiles are down from around Rs 15,000 crore a month to Rs 10,000-11,000 crore, and the compensation…

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GST Council yet to reach, decide on rate cut for auto sector: Anurag Thakur

GST Council yet to reach, decide on rate cut for auto sector: Anurag Thakur

The GST council is yet to reach a consensus on 10 per cent rate (from 28 per cent to 18 per cent) cut for automobiles, as some of the state Finance Ministers are against the proposal. “We are open to taking it to the Council but most decisions there are taken unanimously. I would like the industry to also reach out to individual State finance ministers who are also part of the GST council,” Minister of State, Finance, Anurag Thakur…

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Govt. looking at export sops, GST incentives for auto sector

Govt. looking at export sops, GST incentives for auto sector

Offering some solace to the crisis-hit auto industry, Road Transport and Highways Minister Nitin Gadkari on Thursday assured ‘full’ support from the government to help overcome the free fall in vehicle sales. He said the Centre was looking at steps, including export sops and GST incentives, to help create demand in the sector. “As far as the present economic data is concerned, automobile sector is facing a slowdown because of the global economy… because of demand and supply. The government…

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GST shortfall may turn into next worry for the Centre

GST shortfall may turn into next worry for the Centre

The sluggish growth in goods and services tax (GST) revenue receipts, unless reversed quickly, could poke a ₹40,000 crore hole in central government finances by the end of this fiscal, analysts warned on Wednesday, even as a private survey showed India’s services sector growth lost steam in August from a month ago. An analysis of GST revenue trend Credit Suisse shared on Wednesday said growth in collections in the first five months of the fiscal has been 6.4%, well below the 10%…

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