October GST Collections Highest Till Date; Massive GST Changes Forthcoming!
Despite GST glitches, taxpayers are gradually embracing GST in a positive manner
Issues related to GST filing is not hidden: We have reported how traders body claimed mental torture due to complex GST filings, and how traders and Govt. employees are blaming Infosys for GST issues.
But now, it seems, that the GST issues are being resolved gradually.
As per latest numbers coming in, it has been found that October recorded highest GST collection, till date, starting from July when GST regime came into force.
Punjab taxpayers were leading the charge, as they deposited maximum GST in this period.
As per the numbers coming in, total of 43.67 lakh taxpayers filed their GSTR-3B in October, which is 56% of all taxpayers in India.
While 39 lakh taxpayers filed their GST within the last date in September, it was 28.46 lakh in August, which clearly showcases the increase.
Punjab was the #1 state to file GST returns, as total of 73% of all taxpayers in the state filed their GSTR-3B returns in October.
What Triggered More GST Returns In October?
Gradual changes in the format, and assistance from Govt. of India for small traders and SMEs have done the trick,it seems.
As per financial analysts, GSTR-3B is a simpler form, and more awareness propagated by the Govt. led to the amazing number of taxpayers filing returns.
Pratik Jain, leader, indirect tax, PwC India said, “One is greater awareness and the fact that GSTR-3B is a simpler form. The second is that the GSTN portal has been performing much better, especially [for] GSTR-3B and GSTR-1,”
Overall, GST registrations have crossed crore mark in October. But the Indian tendency to wait till the last day to file returns is still worrisome for the tax authorities.
September 30th, which was the last date for GST filing, saw 14.7 lakh taxpayers logging into the system to pay tax.
Massive GST Changes Coming Soon In January!
Once again proving that GST regime is a dynamic process, which is still evolving, Govt. of India has said that some big, massive changes would be soon incorporated in the GST structure, to make the process even more smooth and feasible.
If we believe the reports, then major amendments in the core structure of GST: Central GST (CGST), State GST (SGST), Integrated (IGST), Union Territory GST (UTGST) and GST (Compensation to states) would made once Budget is passed in February.
Tax Authorities are mulling whether reverse charge mechanism (RCM), tax deducted at source (TDS) and tax collected at source (TCS) should be continued or not, and more.
An unnamed Tax Official said, “The law review group will see what provisions need to be changed. Traders concerns will definitely be addressed. For example, how do we deal with TDS and TCS under GST? Do we need the concept of invoice-matching?”
This law advisory committee will submit their report on January 1st, and then decisions would be taken.
We will keep you updated as more information is received regarding GST changes.