Single GST Form for Service Providers
The GST Council is expected to consider on January 18 significant relaxation in the law and procedures, including a centralized registration facility to make compliance easier. It will also consider changes to input tax credit regime to allow credit for tax paid on rent a cab service, benefiting IT and ITES companies such as Infosys, Wipro, and Genpact.
“Council has a heavy-duty agenda lined up. A number of issues dealing with compliances are likely to be taken up,” said a government official privy to the deliberations. A panel set up by the GST Council has suggested modifications in the provisions of the law and relaxations in some procedures to ensure ease of compliance.
It has recommended centralized registration and centralized form for service providers who have registration in 10 states or more with an annual turnover of Rs 500 crore. At present, service providers have to register in each state and file separate returns, a major grouse of the industry that only had to deal with Centre earlier.
“Centralised registration is needed to reduce the compliance requirement of industry, given that mechanisms can be worked out to safeguard the revenue of individual states using the IGST mechanism,” said Bipin Sapra, partner, EY.
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