Page 10 - Banking Finance December 2017

GST UPDATE

GST

NEWS
NEWS
NEWS
NEWS
NEWS

Waiver of late fees on GST returns GST to be reduced on
The late fee for delay in filing of GST returns has been waived off, whereas there white goods
is no waiver in the interest amount. Businesses were
required to file the maiden Goods and Services Tax (GST) The Government now plans to re-
returns for July and pay taxes by August 25 by filing duce goods
GSTR 3B. The final returns for sales for July are to be and services
tax on con-
filed by September 5 and returns for purchases by Sep-
sumer
tember 10. A circular was issued to waive off the late
durables like
fee on delayed filing of GSTR-3B for July. As per the CGST and SGST Acts, an in-
washing ma-
terest at the rate of 18 per cent will be levied for delayed payment of tax.
chines and refrigerators from the
"Since the payment was not made on or before the due date, the registered current level of 28% as part of the
person shall be liable for payment of interest on delayed payment of tax starting next round of rationalisation.
from August 26, till the date of debit in the electronic cash and/or credit ledger,
The reason for lower levy on restau-
but will not be liable to pay any late fee," the CBEC said. The GST law provided
rants was also to free women from
for a nominal fee of Rs 100 per day on Central GST and an equivalent amount on
household chores, which begin with
State GST in case of late filing of returns and payment of taxes.
packing lunch for children in the
MRP to include GST component morning and extend till late at night.
Globally, products such as dish wash-
The maximum retail prices of goods shall cover the goods
and service tax component so that the consumer knows ers and washing machines are seen
whether the right amount is being charged, a panel of to be items which have unburdened
state finance ministers has recommended. The same is women, leaving them with more
applicable to restaurants, eateries and malls that sell packaged goods such some time for themselves or other produc-
tive work.
of them are charging a GST over and above the MRP.
Besides, products such as dish wash-
Karnataka GST council asks for lower rates on items ers are largely imported into India
of mass consumption and lower local levies through GST
may also provide an incentive to
Karnataka minister in the GST council, Byre Gowda, said that the Centre should
companies to manufacture them in
lower tax on 100 items of mass consumption like Upma, India, instead of shipping them from
petro products etc. Gowda mentioned that the recent over- South Korea and other countries.
haul in the 28 % tax bracket benefits the middle and upper Numerous white goods are already
middle class. There is a strong need for revision in the 18 % in the 12% and 18% brackets.
and 12 % tax brackets to provide relief to the poor.

10 | 2017 | DECEMBER | BANKING FINANCE

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