GST introduction may be delayed by up to a year
The lack of preparedness for the new tax regime may delay the introduction of GST by by up to a year.
By PTI |
NEW DELHI: The government may not have come out clearly on the introduction of the proposed indirect tax structure GST, but the lack of preparedness for the new tax regime hints at a possible delay by up to a year.
Implementation of the new tax regime would require constitutional amendments to empower states for levy of service tax, GST on imports and others — the draft bill for any of these amendments were not tabled in this session of Parliament.
Now, Parliament will meet for the budget session in February when the draft bills for the introduction of GST may be tabled.
The Task force of Thirteenth Finance Commission in its report on Goods and Services Tax had said, "On account of lack of adequate preparedness, the implementation of the GST scheduled for 1 April 2010 should be postponed by six months to 1 October 2010."
However, the Empowered Committee of State Finance Ministers in its draft paper on the GST said the committee would work with the Centre to implement GST with effect from 1 April 2010.
Earlier this month, Bihar Finance Minister Sushil Modi said that the introduction of GST should be delayed by a year as there is not enough preparedness to implement it on the scheduled date.
Implementation of the new tax regime would require constitutional amendments to empower states for levy of service tax, GST on imports and others — the draft bill for any of these amendments were not tabled in this session of Parliament.
Now, Parliament will meet for the budget session in February when the draft bills for the introduction of GST may be tabled.
The Task force of Thirteenth Finance Commission in its report on Goods and Services Tax had said, "On account of lack of adequate preparedness, the implementation of the GST scheduled for 1 April 2010 should be postponed by six months to 1 October 2010."
However, the Empowered Committee of State Finance Ministers in its draft paper on the GST said the committee would work with the Centre to implement GST with effect from 1 April 2010.
Earlier this month, Bihar Finance Minister Sushil Modi said that the introduction of GST should be delayed by a year as there is not enough preparedness to implement it on the scheduled date.
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