GST Bill to be passed in assembly today, Uttarakhand becomes 6th Indian state to do so

Uttarakhand government tabled the Goods and Services Tax (GST) bill in the assembly on Monday, which is expected to be passed today. The 2-hour assembly session was convened specially for the purpose of passing the proposed legislation. With this, Uttarakhand will become the 6th state in the country after Bihar, Telanagna, Chhattisgarh,  Jharkhand and Rajasthan to adopt the bill. Trivendra Rawat government expects to implement the GST bill before Prime Minister Narendra Modi’s Kedarnath visit on May 3.

The GST will combine 17 different taxes into one, thus making it easier for the people to do business. (Image Source)

At present, the businesses and industries in the country have to pay at least 17 different taxes to the government. The GST will combine all these taxes into one, thus making it easier for the people to do business. Rawat expects that Uttarakhand, being a consumer-oriented state, will benefit significantly by Goods and Services Tax amendment bill, which will be put into effect nationwide  from July 1.

GST will add extra Rs. 1,000 crore to Uttarakhand revenue: FM Prakash Pant

State Finance Minister Prakash Pant believes that with the implementation of GST bill in Uttarakhand, the state revenue will increased by additional Rs. 1,000 crore. In the year 2015-16, the state received Rs. 6,096 crore in revenue in the form of VAT whereas it has increased to Rs. 7,143 crore in 2016-17. More than 75,000 traders and business entities have registered under GST while around 20,000 are still remaining.

5 Key Points of Goods and Services Tax (GST)

1. If a merchant or trader moves his goods worth 50,000 or more from one godown to another within the state, he/she will be liable to pay e-way bill online. This will be mandatory for merchants with more than Rs. 10 lakh turnover. In this way, tax officials can audit the e-way bill anytime during the transit to check tax evasion.
2. However, for bringing goods into the state from another state, all merchants and traders, irrespective of turnover, have to pay e-way bill online.
3. According a provision in GST, it is mandatory for every merchant have to pay tax return thrice a month. The sales, purchase and overall tax return is to be submitted in the next 10, 15 and 20 days respectively.
4. All tax return will be paid online with the help of e-payment. For the merchants without internet access, he/she can visit the GST office to file return.
5. More than 5,000 merchants and traders have been chosen for the GST trial according to which, merchants will be file their tax in compliance with GST guidelines from May 1 – one month before actual implementation of GST. Central government chose around 100 merchants from Uttarakhand for the trail.

Inputs from Hindustan