The movement of goods across state borders has become seamless, thanks to GST, and the introduction of IGST has further streamlined the taxation process for integrated trading.
According to Sanjay Kumar Aggarwal, a member of CBIC – Investigations/Compliance Management, the implementation of Integrated Goods and Services Tax (IGST) and a seamless Input Tax Credit (ITC) chain has simplified the lives of taxpayers and led to an expansion in the taxpayer base.
Speaking at the National Conference on GST – “Ease of Business and Challenges,” organised by the PHD Chamber of Commerce and Industry, Sanjay Kumar Aggarwal, the chief guest, highlighted the transformative impact of GST on indirect taxes in India. He mentioned that the movement of goods across state borders has become seamless, thanks to GST, and the introduction of IGST has further streamlined the taxation process for integrated trading. The filing of returns and registrations has also been shifted to the online platform GSTN, ensuring convenience and efficient communication between taxpayers and the tax administration.
Aggarwal acknowledged the efforts of the government in facilitating compliance for businesses and praised the dynamic approach adopted by the GST Council to address issues related to GST. He noted that the number of taxpayers has increased significantly under the GST regime compared to the previous centralised service tax and VAT regime. However, he also highlighted challenges such as fraudulent activities related to fake input tax credit (ITC), which the government is addressing through validation measures and risk-based approaches for registration.
Bimal Jain, Chairman of the Indirect Taxes Committee at PHDCCI, discussed the benefits of GST, including tax consolidation and the removal of cascading taxes. He proposed rate rationalisation and the inclusion of petroleum products in GST, as well as suggested measures to address the challenges faced by small taxpayers.
Saket Dalmia, President of PHDCCI, emphasised the need for a balanced approach to legislation considering India’s unique economic landscape and the role of cash transactions. He acknowledged the progress made in implementing GST but also called for addressing issues of overreach and promoting collaboration among departments and businesses of all sizes.
Mahesh Gupta, Former President of PHDCCI, praised the positive impact of GST on the industry but highlighted challenges regarding investigating authorities respecting the FAQs issued by the GST council and board, as well as finding effective solutions for utilising accumulated GST credits.
Sanjay Agarwal, Former President of PHDCCI, hailed GST as a game-changer in India, transforming taxation and infrastructure. He suggested improvements such as streamlining multiple agency proceedings and integrating or eliminating the E-way bill system.
