Traders' body CAIT suggests measures to broaden GST

Trers' body CAIT on Wednesday suggested a host of measures, like technical audits and waiver of late fees, to broen GST base and make taxation system simple. Confederation of All India Trers (CAIT) has me suggestions to Finance Minister Nirmala Sitharaman as Goods and Services Tax (GST) regime completes three years of implementation.

" debut of GST in 2017 was a big reform. It was introduced/ implemented with an aim of one nation one tax and with a view of removing cascing effect of taxes and providing seamless input tax credit. Government of all states are working hand in hand with each or and with Centre in order to make this law more assessee friendly," said CAIT in a communication to Sitharaman.

trers' body congratulated government on completion of three years of GST implementation and also appreciated it for bringing grual changes as and when suggested by tre.

"We are of view that country requires two more years to make GST a stable taxation system provided GST Council takes stakeholders into confidence and draw ways and means to simplify system, remove technical glitches, avoid penal actions except on wilful avoidance of tax and make attempts to encour more and more people to embrace GST taxation system," it said.

It also stressed that " fear of GST cobweb is needed to be removed" as it suggested measures to broen tax base. CAIT said first and most important issue to be dressed is technical glitches which a trer faces on a regular basis.

"At present because of technical issues, law is being changed. For example initially three GSTR Forms were introduced however, due to technical issues till date, those forms never became a reality and a new Form GSTR-3B h to be introduced," it ded.

So, technical audits should be done at regular intervals and technical team should be given proper training about law to make system glitch free, industry body said. CAIT said trer is facing business challenges due to various reasons, refore, late fees and any of penalties with regard to procedural compliances should be waived at least for ar two years.

Or suggestions include, implementation of recommendations given by various committees set up by GST Council and setting up of a National vance Ruling Tribunal at earliest. CAIT also suggested that date of challan should be treated as date of payment inste of date of filing Form GSTR-3B and date of payment received should be treated as time of supply for 2020-21 and input tax credit (ITC) should be unconditional.