Know About The 4 GST Bills Cleared By The Cabinet, Could Become Part Of Taxation From July 1

The Logical Indian

March 20th, 2017

GST Bills

Source: The Times of India | Image Courtesy: livemint | intoday

The Union Cabinet has cleared four bills related to the Goods and Services Tax (GST), ahead of their introduction in Parliament this week to enable roll out of the tax reform from July 1.

Approval of the bills by Parliament and a separate one by all state Assemblies will complete the legislative process for roll out of the GST, the one-nation-one-tax system that merges central taxes like excise duty and service tax and state levies like VAT.


The GST

The GST is an indirect tax that brings most of the taxes imposed on goods, services, manufacturing, and consumption of goods and services under a single domain at the national level. It will change the taxation that is levied separately on goods and services and will introduce a consolidated tax based on a uniform rate of tax fixed for both goods and services. It will be payable at the final point of consumption.

Under GST, all the taxes will be integrated, hence, it will be possible to bring a transparency in the levying of taxes and the burden of taxation will be shared equally between manufacturing and services. According to experts, by implementing the GST, India will gain $15 billion a year. This is because, it will promote more exports, create more employment opportunities and boost growth.

The entire Indian market will be a unified market which may translate into lower business costs. It can facilitate seamless movement of goods across states and reduce the transaction costs of businesses. Companies that are under unorganised sector will come under the tax regime.


What were the four bills approved by the Cabinet today?



The Cabinet approved the following bills:

  1. The Integrated Goods and Services Tax Bill 2017: Levy and collection of tax on inter-state supply or goods or services or both by the Central Government;
  2. The Goods and Services Tax (Compensation to the States) Bill 2017: Compensation to the states for loss of revenue arising on account of implementation of the GST for a period of five years;
  3. The Union Territory Goods and Services Tax Bill 2017: Levy and collection of tax on intra-UT supply of goods and services in the Union Territories without legislature;
  4. The Central Goods and Services Tax Bill 2017: Levy and collection of tax on intra-state supply or goods or services or both

The GST legislations were the only agenda in the meeting of the Union Cabinet, chaired by Prime Minister Narendra Modi.

A source told The Times of India, “The GST legislations have been cleared by the Cabinet. These would be introduced in Parliament this week, could be even today.”

The four legislations would be taken up for discussion in Parliament. Once approved by Parliament, the states would start taking their SGST bill for discussion and passage in the respective state assemblies.

Approval of the bills by Parliament and a separate one by all states will complete the legislative process for roll out of the GST.

The GST would be the biggest tax reform since independence and is expected to be rolled out by July 1.

Share your thoughts..

Propelled by

VOLVO

Make Your City Safe

Related Stories

GST

GST Rate On Over 70 Items Expected To Be Cut In Today’s GST Council Meeting

Bill

Five Bills Tabled Yesterday At Parliament Winter Session; Know About Them

Non-Registered Restaurants Duping Customers By Charging Them GST; Here’s How You Can Verify Your Bill

Tamil Nadu & Maharashtra To Have Their Own Taxes Outside GST; Centre Approves

GST

Taxes That Still Exist After The Goods And Services Tax (GST)

22 States Abolish Border Commercial Tax Check Posts After GST, 8 More State In Process

Latest on The Logical Indian

News

No Salary For Last Five Months, Bengaluru Sanitary Workers Struggle To Survive

Environment

The Water Crisis In Punjab: Illegal Industrial Discharge Destroying Rivers, Threatening Human Lives

News

Caught On Camera Asking Money To Peddle Hindutva; Cobrapost Exposes The Newspapers You Read

My Social Responsibility

My Story: How A Vigilant Customer Got Refunded From A Vendor With The Help Of National Consumer Helpline

My Social Responsibility

She Mortgaged Her Gold Jewellery To Help Educate Street Kids And They Are Making Her Proud

Legal

Thousands Of Students’ Futures At Risk; Petition Of Aggrieved CLAT Aspirants Heard By Supreme Court