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Govt plans GST lottery offers of Rs 10 lakh-Rs 1 cr for encouraging customers to ask for bills

Feb 4, 2020, 15:03 IST
PTI
New Delhi, Feb 4 () The government is planning to introduce lottery offers between Rs 10 lakh and Rs 1 crore under the GST to encourage customers to take bills while making purchases.

Central Board of Indirect Taxes and Customs (CBIC) member John Joseph said every bill under the goods and services tax (GST) regime will provide a chance to the customers to win a lottery and that would act as an incentive for them to pay the tax.

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"We have come with the new lottery system. Every bill under GST is supposed to be a price-winning lottery ticket. It will go for a draw and price are so high that people will say that by not saving 28 per cent, I have a chance of winning Rs 1 crore or Rs 10 lakh. It is a question of changing the consumer behaviour," Joseph said at an Assocham event here.

As per the plan, the purchase bill would be uploaded on a portal and a draw would be held automatically and the winners would be informed.

Under the four-tier GST, goods and services are taxed at 5, 12, 18 and 28 per cent. Besides, cess is levied on luxury, sin and demerit goods on top of the highest tax rate.

The GST Council, chaired by Finance Minister Nirmala Sitharaman and comprising state counterparts, would vet the proposed lottery scheme.

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The Council would also decide on the minimum threshold for bills that would be included in the lottery. As per the plan, the money for the lottery would come from the consumer welfare fund, where the proceeds of anti-profiteering are transferred.

To plug leakages in GST revenue, the government is considering various options in business-to-consumer deals, including lotteries and incentivising QR Code-based transactions.

The government has constituted a committee of officers to suggest measures to augment GST revenue collections.

The panel has been tasked to suggest systemic changes in GST, including checks and balances, to prevent misuse and measures to improve voluntary compliance.

Also, it has been tasked to give inputs on measures for the expansion of the tax base.

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The committee, which made presentation before the GST Council on December 18, suggested pruning of exempt list for raising resources. JD HRS

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