Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

Education, healthcare and pilgrimages will continue to be out of service tax even under the <keyword id="6354679" type="ORGANIZATION" weightage="20" keywordseo="GST">GST</keyword> regime as the Centre is against giving any shock in the first year of the rollout by bringing in new services, according to a <keyword id="6367495" type="COMPANY" weightage="20" keywordseo="PTI">PTI</keyword> news report. 
 Besides making a strong case to the <keyword id="6355040" type="ORGANIZATION" weightage="20" keywordseo="GST-Council">GST Council</keyword> for not touching services that are out of tax net currently, the Centre will also pitch for keeping concessional rate for services like transport at the current level, Revenue Secretary <keyword id="6377137" type="PERSON" weightage="20" keywordseo="Hasmukh-Adhia">Hasmukh Adhia</keyword> told PTI in an interview. 
 The GST Council, headed by Union <keyword id="6355261" type="POSITION" weightage="20" keywordseo="Finance-minister">Finance Minister</keyword> <keyword id="42575" type="PERSON" weightage="20" keywordseo="Arun-Jaitley">Arun Jaitley</keyword> and comprising representatives of all states, is scheduled to meet in <keyword id="41568" type="COMPANY" weightage="20" keywordseo="Srinagar">Srinagar</keyword> on May 18-19 to decide on rates various good and services will be charged in the new indirect tax regime that is being targeted for rollout from July 1. 
 <keyword id="265326" type="ORGANIZATION" weightage="20" keywordseo="Adhia">Adhia</keyword> said the endeavour would be to maintain the current tax incidence on a commodity or service at the same level in the new Goods and <keyword id="645517" type="COMPANY" weightage="20" keywordseo="services-tax">Services Tax</keyword> (GST) regime. 
 
GST will subsume central levies like excise duty on manufactured products and service tax on rendering of services as well as state VAT on sale, to make for a national sales tax that will be levied at the time of consumption of a product or service. 
 
Adhia said the approach for the GST rollout would be to avoid any shock in the first year and any review for inclusion of a service or change in rate could be done in the second or third year of the implementation based on revenue realisation. 
 
"Our entire purpose will be that we don't upset anything that is there now. We will try to do some smooth landing. So we will recommend to GST Council that whatever is the existing exemption list for service tax they should continue because we cannot do too many things at the same time," he said. 
 
Currently, there are 17 items in negative list of services on which service tax is not levied. 
 
On top of that there are over 60 services, like religious pilgrimage, healthcare, education, skill development, journalistic activities which are exempt from service tax. 
 Rajat <keyword id="1051" type="PERSON" weightage="20" keywordseo="Mohan">Mohan</keyword>, Director at tax consultant <keyword id="2632542" type="COMPANY" weightage="20" keywordseo="Nangia-Co">Nangia &amp; Co</keyword>, said: "GST is the biggest change that our country would see in last 50 years. I see that it was imperative that the government should continue exemptions on the current list of services which are tax neutral under the service tax regime." 
 
"I am ecstatic that there would be no levy of GST on services rendered by Government, Reserve Bank of India, public conveniences, educational institution, services relating to agriculture, transmission or distribution of electricity, renting of residential dwelling for use as a residence, burial, healthcare, specified schemes of general insurance etc," Mohan said. 
 
Mohan, however, felt that this might lead to cascading effect of taxes, but by maintaining the status quo government has ensured that neither the consumer nor the small and medium-sized companies are not in a state of shock. 
 
Asked if these services would be kept exempt from GST, Adhia said: "We presume so... We will recommend to the GST Council that whatever is in the exemption list they should continue in the first year." 
 
He said the main service tax rate will be standard rate of 18 per cent. 
 
"But there may be items of services where abatement (concessional rate) is given for valid reasons. So those items, because there will be no provision for abatements (in GST), we will have to fit them in the rates closed to the present incidence," he said. 
 
The GST Council has approved a four-rate tax structure of 5, 12, 18 and 28 per cent. 
 
Adhia said transport sector, for example, currently gets abatement of 60 per cent and only 40 per cent of the present service tax rate of 15 per cent is being collected. 
 
And so, the tax in the GST will be fixed in the closes bracket of 5 per cent, he said. 
 
Asked if rates for certain services will go up because current tax rate is 15 per cent and the nearest bracket that would not upset the revenue collections is 18 per cent, he said, "some services may become a little more expensive." 
 
The exact ones that become expensive or cheaper will be decided by the GST Council, he said. 
 On the issue of crude oil, petrol, diesel, aviation turbine fuel (<keyword id="44833" type="ORGANIZATION" weightage="20" keywordseo="ATF">ATF</keyword>) and natural gas being kept out of GST net for the time being by continuing with existing taxes of excise and VAT, Adhia said the GST Council decided that to give states comfort of revenue collections. 
 
"For them it is some kind of a risk insurer. That 30 per cent income is already assured. Now 70 per cent (of products and services) they are putting it into the common kitty," he said. 
 
States, he said, want to wait and see how much revenue is generated in the GST regime. 
 
"So, after a year or two if they find that the buoyancy (in tax revenues) is good, they could very well like to bring it (petroleum products) in GST," Adhia added.

No GST for education and health
care this year

<keyword id="2665691" type="UNKNOWN" weightage="20" keywordseo="Niti-Aayog">Niti Aayog</keyword> member <keyword id="105648" type="PERSON" weightage="100" keywordseo="Bibek-Debroy">Bibek Debroy</keyword> said on Friday any suggestion that GST would boost GDP growth by 1-1.5% was "utter rubbish", adding that the current form of the regime was "imperfect" following alterations in the "ideal structure" originally proposed, according to <keyword id="6367495" type="COMPANY" weightage="20" keywordseo="PTI">PTI</keyword> news report . The noted economist, however, quickly added that he will not "contradict" <keyword id="25455" type="ORGANIZATION" weightage="20" keywordseo="finance">finance</keyword> minister <keyword id="42575" type="PERSON" weightage="20" keywordseo="Arun-Jaitley">Arun Jaitley</keyword> and revenue secretary <keyword id="6377137" type="PERSON" weightage="20" keywordseo="Hasmukh-Adhia">Hasmukh Adhia</keyword>, when pointed out that they have been maintaining a similar boost to the GDP from the GST regime. Debroy also said the number of countries with GST is not more than six or seven, even as some "rubbish" figures of about 140-160 countries having GST are floating around. The Niti Aayog is a government think-tank mandated to advise on policy matters. Debroy said the Indian GST is not an "ideal" one because of the country's federal structure while a multiple rate structure was also a problem to the new tax. "When you see figures floating around, there will be 1-1.5 per cent increase in GDP after implementation of GST. For God's sake, that is utter rubbish," Debroy said while speaking at a session during the GST Conclave organised by Hindi news channel Aaj Tak. "For an imperfect GST, I have no idea what the figure is. It might be even more, it might be less, but this particular figure (1.5 per cent) was for ideal GST," he said. "That figure was based on the model that the <keyword id="132873" type="ORGANIZATION" weightage="20" keywordseo="NCAER">NCAER</keyword> did in the course of the 13th <keyword id="74136" type="ORGANIZATION" weightage="20" keywordseo="finance-commission">Finance Commission</keyword> report for an ideal GST. We are nowhere near that ideal GST, this is just the beginning of a process," Debroy said. The moderator pointed out to him that Jaitley and <keyword id="265326" type="ORGANIZATION" weightage="20" keywordseo="Adhia">Adhia</keyword> have also talked about such a boost to GDP from the GST, to which, Debroy said, "I won't contradict them." "That's rubbish. There are many countries in the world which have VAT, a VAT is not the same as GST. VAT is the stepping stone towards GST.

Niti Ayog member Bibek Debroy refuses to buy ‘GST would boost GDP’ theory

<a href="http://www.businessinsider.in/searchresult.cms?query=Apple&amp;sortorder=effectivedate">Apple</a> earlier asked the government for a 15-year exemption on countervailing duty (CVD) on imported components, but as the country plans to roll out the <a href="http://www.businessinsider.in/searchresult.cms?query=goods+and+services+tax&amp;sortorder=effectivedate">goods and services tax</a> (<a href="http://www.businessinsider.in/searchresult.cms?query=GST&amp;sortorder=effectivedate">GST</a>) in the coming financial year, it seems the company’s demands will remain unfulfilled. 
 "There is no way we can give individual exemptions under GST regime. All of them (CVD exemptions) will go. Make in India will ga big boost. We have been unfair to local industry. I don't know what exactly is <keyword id="6354427" type="CITY" weightage="100" keywordseo="Apple">Apple</keyword>'s demand as DIPP (Department of Industrial Policy and Promotion) is dealing with them. But we have limitations on giving exemptions under GST," revenue secretary <keyword id="6377137" type="PERSON" weightage="20" keywordseo="Hasmukh-Adhia">Hasmukh Adhia</keyword> told ET. 
 
<a href="http://www.businessinsider.in/searchresult.cms?query=Prime+Minister+Narendra+Modi&amp;sortorder=effectivedate">Prime Minister Narendra Modi</a> earlier tweeted a media report on Saturday that Apple would start making <a href="http://www.businessinsider.in/searchresult.cms?query=iPhones&amp;sortorder=effectivedate">iPhones</a> in <a href="http://www.businessinsider.in/searchresult.cms?query=Bengaluru&amp;sortorder=effectivedate">Bengaluru</a> soon. However, people familiar with the matter have said the company is still in talks with the government over concessions regarding local manufacturing. 
 
When asked about the final call on IGST exemption, Adhia said the decision would lie with the GST Council.

Meeting Apple's demand is going to be tougher under GST

If you are earning Rs 20 lakh annually from renting or leasing commercial property, you’ll have to pay tax. Under the new norms, GST will be levied on commercial rental income beyond Rs 20 lakh. Revenue Secretary Hasmukh Adhia said that if the house property is rent out for shop or office purpose, no Goods and Service Tax (GST) will be levied up to Rs 20 lakh. "Rental income received from residential house is exempt. But if you have given your unit to commercial enterprise, then it is taxable if you are getting more than Rs 20 lakh as rent," said Adhia. The taxpayers will have to register themselves with the GST Network and pay taxes. So far, nearly 69.32 lakh registered excise, service tax and VAT payers have migrated to the GSTN portal. There are over 80 lakh such assessees in the earlier indirect taxation regime. GSTN Chief Executive Prakash Kumar said out of the 69.32 lakh, as many as 38.51 lakh have completed the entire registration process and registration certicate is being issued to them. The remaining 30.8 lakh taxpayers are being sent SMS and emails by GSTN so that they complete the registration process by giving the details of the business like main place of business, additional place of business, promoters details. Besides, over 4.5 lakh new assessees have registered on the GSTN portal since June 25. Adhia further said that the facility to amend the details of businesses provided to the GSTN portal at the time of registration will open on July 17. Also, registration for GST practioners will open on the same day. Besides, cancellation of registration can be done online.

Earning income by renting commercial properties? Be ready to shell out GST. Here are the details

All purchases made online will attract a uniform Goods and <keyword id="645517" type="COMPANY" weightage="20" keywordseo="services-tax">Services Tax</keyword>, likely to take effect from April next year, according to the model <keyword id="6354679" type="ORGANIZATION" weightage="20" keywordseo="GST">GST</keyword> law approved by state finance ministers headed by West Bengal finance minister, Dr <keyword id="107244" type="PERSON" weightage="100" keywordseo="Amit-Mitra">Amit Mitra</keyword> today. 

	Dr Mitra had served as Secretary General of the Federation of Indian Chambers of Commerce and Industry before his avatar as Bengal finance minister. 
 

	The tax, in lieu of local levies, will be imposed at the first point of financial transaction. This clears the air on applicability of GST in e-commerce in cases where goods were being sold in one state but was being bought in another state. 
 

	The model GST law, which has 162 clauses and 4 schedules, has also suggested a jail terms of up to 5 years and fine for violation of the provisions of the statute. 
 

	It prescribes a threshold of Rs 9 lakh annual turnover for applicability of the new levy and Rs 4 lakh for businesses in North Eastern states including Sikkim. 
 

	Revenue Secretary Hasmukh Adhia said the Empowered Committee of State Finance Ministers at their meeting today in Kolkata approved the model GST law. 
 

	"We request all stakeholders to give their suggestions/ comments to secretariat of Empowered Committee of FMs and or to finance ministry," Adhia tweeted. 
 

	Government is hoping to get the Constitution Amendment Bill passed by Parliament in the upcoming Monsoon Session. It plans to roll out GST from April 1, 2017 that will subsume excise, service tax and all local levies.
 Virtually all states have supported the idea of GST except Tamil Nadu which has "some reservations", Finance Minister <keyword id="42575" type="PERSON" weightage="20" keywordseo="Arun-Jaitley">Arun Jaitley</keyword> said after the meeting of Empowered Committee on the long awaited indirect tax reform. The model law also provides for Authority for Advance Ruling (AAR) to be located in every state. 

	There is also a provision of Appellate Authority to be formed in each state. The Appellate Authority shall comprise the Chief Commissioner of CGST and the Commissioner of SGST. 
 

	The GST model law has also provided for 'Composition Levy', on the lines of presumptive taxation scheme. 
 

	It provides for a levy of not less than 1 per cent tax on a person whose annual turnover on sale of goods and services in a single state is less than Rs 50 lakh. 
 

	The law provides for setting up of a Consumer Welfare Fund, which will be utilised by the Centre or States for the welfare of consumers. 
 

	"The Central/State Government shall maintain proper and separate account and other relevant records in relation to the Fund in such form as may be prescribed in consultation with the CAG," said the model law. 
 "The objective guidelines may carve down the potential for any abuse of discretion provided to the States in implementation of the GST in India," Nangia &amp; Co Partner Indirect Taxation) <keyword id="1430503" type="PERSON" weightage="20" keywordseo="Nitish-Sharma">Nitish Sharma</keyword> said. 

	The empowered Committee has also cleared the model Integrated GST law which has to be approved by both Centre and states. iGST will apply on inter-state sale of goods and services. 
 

	Besides, the CGST law has to be approved by the Centre and each state will pass its own SGST law. 
 

	The law provides that every registered taxable person shall himself assess the taxes payable under this Act and furnish a return for each tax period. 
 

	Any tax payer who fails to furnish the details of outward or inward supplies or returns by the due date will be liable to a late fee of Rs 100 for every day, subject to a maximum of Rs 5,000. 
 

	Also, any registered tax payer who fails to furnish the return by the due date, will be liable to a late fee of Rs 100 for every day, subject to a maximum of 25 per cent of his aggregate turnover.

You Searched For "gst adhia" and got 5 results

No GST for education and health care this year

BI India Bureau

Niti Ayog member Bibek Debroy refuses to buy ‘GST would boost GDP’ theory

BI India Bureau

Meeting Apple's demand is going to be tougher under GST

BI India Bureau

Earning income by renting commercial properties? Be ready to shell out GST. Here are the details

BI India Bureau

All online purchases to attract GST soon: Amit Mitra panel

BI India Bureau

Popular Keywords

Buying Guides