Small business firms likely to be exempted from GST return filing

According to news reports, to ease out compliance burden, GST Council will be discussing ways to exempt small businesses having turnover below ₹ 2 crore from filing annual GST returns, even though the number of return filings has remained unsatisfactory despite extending the deadline thrice.

As per official data, close to 85 per cent of around 1.39 crore have a turnover of ₹ 2 crore or less. Tax experts are of opinion that, this move would reduce compliance burden and help tax bodies focus on large assesses.

CAIT, secretary general, Praveen Khandelwal has reportedly said, “This is a welcome step and will benefit crores of traders in the country. Up to 50 lakh traders in India have an annual turnover of Rs 2 crore and for them, it will be a major relief. If the limit can be increased to ₹ 5 crore then 70 per cent of the traders will be reprieved from return filing.”

Reports also claim that despite deadline extensions, the filings so far are ranging from 25-27 per cent only. It is likely that the GST Council will discuss the issue in its meeting which is likely to be held on September 20.

As per reports, the council is also expected to decide if the need for compulsory filing will be suspended for FY18 only or for subsequent financial years too. Meanwhile some reports indicate that there is also a view of waiting till November 30 to check if the number of filings increases.

 

Share:
Print Friendly, PDF & Email
×

No comments yet

Post a Comment

×

Leave a Comment

Your email address will not be published