{"id":279712,"date":"2024-01-25T19:29:14","date_gmt":"2024-01-25T13:59:14","guid":{"rendered":"https:\/\/forumias.com\/blog\/?p=279712"},"modified":"2024-01-25T19:29:14","modified_gmt":"2024-01-25T13:59:14","slug":"on-gst-dispute-settlement-how-to-make-gst-less-taxing","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/on-gst-dispute-settlement-how-to-make-gst-less-taxing\/","title":{"rendered":"On GST Dispute Settlement \u2013 How to make GST less taxing"},"content":{"rendered":"

Source:<\/strong> This post on GST Dispute Settlement has been created based on the article \u201cHow to make GST less taxing\u201d<\/strong> published in \u201cIndian Express\u201d<\/strong> on 25th<\/sup> January 2024.<\/p>\n

UPSC Syllabus Topic: <\/strong>GS Paper 3 Indian Economy \u2013 Indian Economy and issues relating to mobilization of resources.<\/p>\n

News:<\/strong> The article discusses the various issues arising regarding GST implementation and how they can be tackled.<\/p>\n

A detailed article on GST <\/strong>can be read here<\/a>.<\/p>\n

What are the issues arising regards to GST implementation?<\/strong><\/h2>\n
    \n
  1. Substantial increase in the number of show-cause notices<\/strong> and other recovery proceedings in the last few years. This is due to a lack of understanding of the new law and procedures, numerous amendments<\/strong> and the impact of frequent portal glitches<\/strong>.<\/li>\n
  2. Classification disputes arising out of differential rates of tax<\/strong> because of multiple notifications.<\/li>\n
  3. There is no GST Appellate Tribunal<\/strong> in place for obtaining relief. The GST Tribunal is yet to be formed.<\/li>\n
  4. The strength of the existing Customs, Excise and Service Tax Appellate Tribunal (CESTAT) <\/strong>has not been increased.<\/li>\n<\/ol>\n

    What should be done?<\/strong><\/h2>\n
      \n
    1. GST settlement scheme: <\/strong>This will enable assessees to pay a percentage of the disputed tax and bring thousands of pending proceedings to a close.
      \nThe author suggests that the scheme should provide for a flat payment of 33% <\/strong>of the disputed tax amount with a complete waiver of interest and penalty.<\/li>\n
    2. Keeping Fines Low: <\/strong>The percentage of taxes to be paid under the scheme should not be high and there should be a complete waiver of interest and penalty<\/strong>.
      \nFor instance,       Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019<\/strong><\/a> was a huge success because it provided for waiver of interest and penalty subject to payment of a reasonable percentage of taxes demanded or disputed.<\/li>\n<\/ol>\n

      This would make GST adoption more attractive and lead to the closure of several disputes. It would also greatly reduce the number of appeals filed before the proposed Tribunal.<\/p>\n

      Read more about the Direct Tax Vivad Se Viswas Act, 2020<\/strong><\/a>.<\/p>\n

      Question for practice:<\/strong><\/p>\n

      What are the various issues arising regarding GST implementation? How can they be tackled?<\/p>\n","protected":false},"excerpt":{"rendered":"

      Source: This post on GST Dispute Settlement has been created based on the article \u201cHow to make GST less taxing\u201d published in \u201cIndian Express\u201d on 25th January 2024. UPSC Syllabus Topic: GS Paper 3 Indian Economy \u2013 Indian Economy and issues relating to mobilization of resources. News: The article discusses the various issues arising regarding… Continue reading On GST Dispute Settlement \u2013 How to make GST less taxing<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,167,9],"tags":[216,8184,10500],"class_list":["post-279712","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-economy-subject","category-public","tag-gs-paper-3","tag-indian-economy","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/279712","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=279712"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/279712\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=279712"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=279712"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=279712"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}