While appreciating the Union Finance Minister Arun Jaitley for leading the GST tax reforms in the Country todays decision of GST Council are remarkable and ample testimony of the fact that the Government is alive to the problems of small traders and sincerely & seriously wish to resole the same-said the Confederation of All India Traders (CAIT)
While welcoming the decisions, the CAIT said that decision of GST Council made today to give relaxation to small traders which will certainly take the taxation burden out from large number of small traders in the Country.
CAIT National President B.C.Bhartia and Secretary General Mr. Praveen Khandelwal said that increasing the threshold limit from Rs.20 lakhs to Rs.40 lakhs is a welcome step and it is expected that nearly 10 lakh traders will be out from the clutches of GST with this announcement.
Both Bhartia and Khandelwal also said that raising the Composition Scheme limit from Rs. 1 crore to Rs. 1.5 crore is a much awaited decision and about 20 lakhs small businesses will be benefitted as they fall under the bracket of Rs.1 crore to Rs.1.5 crore. It is also appreciated that they will be now required to file only one annual return relieving them from the cumbersome procedure though tax has to be paid quarterly which is quite in line.
Threshold limit for Composition scheme for services has been decided at Rs. 50 lakh which is fair enough and about 10 lakhs small service providers will be benefitted with this scheme.It is also appreciated that they have put under tax bracket of 6% which is quite reasonable.
Both Bhartia & Khandelwal said that however, the issues pertaining of early refunds to traders, lowering the GST Rate for Auto Parts, Alluminium Utensils and like items needs to be addressed. Filing of Returns from monthly to quarterly is also another area where GST Council has to work.