Come Sunday, rules will be finalised to stop firms from cashing in on GST–Business Standard-16-06-2017

  1. Once the rules on ‘e-way bill’ are finalised it would be clear whether the GST Network alone would be developing the platform for it or National Informatics Centre (NIC) would be roped in.
  2. The GST Council had in April come out with the draft e- way bill rules that made it necessary for any movement of goods, within or outside the state, having value of more than Rs 50,000 to be registered with the GST-Network (GSTN) website.
  3. As per the draft, GSTN would generate e-way bills that will be valid for 1-15 days, depending on distance to be travelled — one day for 100 km and 15 days for more than 1,000 km transit. The tax officials can inspect the ‘e-way bill’ anytime during the transit to check tax evasion.
  4. Industry however has expressed concerns over this saying that the Rs 50,000 limit was too low and that the timeline for completion of transport operation was “impractical and removed from reality”.
  5. They also felt that the e-way bill would be applicable to movement of all kinds of goods without making any distinction between goods that were evasion prone or not.
  6. With regard to anti-profiteering rules, the final structure of the authority as also who will have the power to levy penalty would become clear.
  7. According to the draft rules agreed upon, when a complaint is received about any company or a trader making undue profit by not passing on the benefit of lower tax incidence because of GST, it would be referred to a standing committee appointed by the Council.
  8. The committee would decide whether an inquiry should be initiated on a complaint. The new anti-profiteering authority will carry out an investigation only when the committee recommends so.
  9. The inquiry report with recommendations would be referred back to the standing committee, and any penalty or action would be taken by either the committee or the Council.

via Come Sunday, rules will be finalised to stop firms from cashing in on GST | Business Standard News

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