Improved GST collection in first month shows positivity in Economic reforms

0
45
Jaitley

India’s GST collection first month data were made public with collection of taxes in the amount of Rs 92,283 told by Finance Minister Arun Jaitley describing the economic reforms as the best way moving forward in India’s development.
These collection estimates were found to be more than the estimated by the Finance Ministry internal prediction of Rs 91,000 crore. As the new rollout Goods and Services Tax were implemented taking over the dozen taxes that levied before by Central and State departments like VAT, excise duty, Service tax, entertainment tax etc.
Jaitley told the reporters with complete information, “The 64.42 per cent taxpayers have paid Rs 92,283 crore in taxes for July,”
Centre will also compensate for the state on the base year 2015-16 for any revenue loss assuming there is 14 percent growth attached to it. He further added, “In sum total we seem to be comfortable, but we will have to break up the figures finally to see if any specific state has not had that 14 per cent in which event, out of this compensation cess that particular state will have to be compensated. At least the red line seems to have been crossed,” 
This is huge victory for center government after their GST reforms as this total will increase with late tax submission by few more businesses as well. “You will have to wait for few more months to study the pattern… A more efficient taxation system checks evasion, brings in non-filers into the system; (now it is) more difficult to evade (taxes) — that seems to be the initial first reaction,” as Arun Jaitley explained. Late payment will be allowed with nominal Rs100 every day on Central and state GST equally.
Out of 72.33 Lakh businesses 58.53 Lakh businesses have migrated to GST with still 13.80 have not undergone the GST formality. There are also 18.83 new registrations attributed to this whole GST era.

LEAVE A REPLY