Government to ease GST compliance norms for MSMEs in the forthcoming 26th GST council meeting
It would be no exaggeration if said that the GST registration is the key to all the boon and prosperity for the MSMEs in India. Since its inception in 2017, the GST regime has assured many budding entrepreneurs, guaranteed escalation in profits through the removal of superfluous rates and taxes. Nonetheless, there are certain challenges that government is facing while completely implementing this indirect tax mechanism in India, just as the people who are a novice to this tax policy and digital media continue to face snags while assessment.
The fact is that the technical hitches are posing serious hindrances to the regular operations of the businesses. To some extent, rigid compliances intensify the concerns of small businessmen. As to do away with such holdups, the GST Department has decided to address these issues in the upcoming 26th GST meeting that is to be held on 1st March 2018 via video conferencing.
The core target of the Department is of liberalization of the compliance procedure as to mitigate the worries of the MSME and SSI sectors and augment the government revenue. Currently, these two sectors constitute a large chunk of corporate taxpayers of India.
As groundwork for easing the tax compliances, the government has decided to give a transition period of 6 to 7 months to all the MSMEs with Udyog Aadhaar certificate to migrate to the newly initiated GST Return filing system. Additionally, it has been decided to discard the obligation to undergo the GST return filing procedure with respect to every purchase and purchase return. Instead, the tax assessees can go about it by filing the summary return GSTR-3B, the information on which will be complemented by the sales invoices uploaded with the tax return. With that, the traders will be able to avail the input credit as the details of all transactions will be auto-populated in the GSTR-3B return.
Furthermore, it has been decided to set separate deadlines for the large businessmen and the MSMEs. According to the proposed scheme, the due date of filing GST Return online should be 7th or 8th of every month, while the MSMEs can go on with the current deadline, which is 20th of every month.
Apart from that, the meeting will also announce the final date for the E-Waybill mandate. Very importantly, it has been proposed that the upper threshold limit for the value of goods for their interstate transit via E-Waybill to be more than INR 50,000/-. To know more about E-Waybill, .
No doubt, these relaxations are sure to amplify the ease of doing business. However, if you have any inquiry regarding GST registration process in India or GST Return Filing online process, feel free to contact us at 8881-069-069.