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GST though a significant change for country is a compound of all the subsumed acts and has become mix of this subsumed taxes.  A very clear and simple tax was expected unlike the present complicated tax structures which are in state of multiple fractures.

Though every one wants to walk with the change, they too want to breath easy and be in peace. It is most welcome that our Beloved Prime Minister launched GST from 01-07-2017 which was very simple but the Good (GUD) part did not follow.  This is evident from the past two months where business & consultants struggled to cope with GST.

There are several  experts in the country who can really help to make this Good & Simple Tax even now, with modification to existing GST.  One Truth of GST is that whatever tax is charged is vatable ( ITC is allowed).  This reduces the cascading effect of taxes.  Based on this simple principle, make the law friendly.

For Eg: The following can be suggested for ease of doing business.

1) All supplies of goods and services be made liable to get registered under GST with link to the PAN.

2) There will be only TWO schedules  ~ Exempted categories of goods and supplies and  Taxable category of Goods and supplies @ 18% (with ITC allowed till the end, where it reaches consumer). And the rate can be reviewed for reduction.

3) Registered persons can file single page return every month and discharge their tax liabilities.  ( Karnataka Vat has simple return and tax payment methods.  The return is hardly 3 pages ~ it has also facility to upload the sales and purchases details, with matching facilities).  The sales return should be evidenced by Tax Invoice only and for corrections in invoice Debit/Credit Note be used.  Single rate of GST be charged in the bill and in the return the same can be split into 50: 50.

4) Exports are zero tax and imports can be monitored separately as it is done at present.

5) Registered persons with turnover below Rs.20,00,000/- lakhs to pay annual fee of  Rs.5000/-  and file one annual return in a year.

6) E Way bill can be continued as at present.  (Karnataka has e sugam at present )

7) The reverse charge mechanism can be done away as there will be no unregistered dealer.

8) The composition scheme also can be done away as the person with turnover of Rs. 75 lakhs can claim entire input of tax.

These are the few suggestion and may be the GST council take call on this in consultation with the Prime Minister and Finance Minister, Finance Secretary.

Aab ayenge Achhe Din.

Thanking you all in advance.

Lots of Love n Take Good Care of Yourself.

BIO ~ I am accounting Technician working as freelance accountant in Bangalore from nearly 36 years.

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May 2024