Broke breaks down income from GST, raises Rs 87 thousand crore in December

According to a senior finance ministry official, due to the implementation of measures of tax evasion, it was possible to break down the earnings from GST in the month of December

New Delhi: Before the budget, there is good news on the front of GST of goods and services tax for the government. After two months of sharp decline, earnings from GST increased in December. In December, the government is expected to earn about 87 thousand crore rupees.

December figures
due to the implementation of measures of tax evasion, according to a senior finance ministry official could be possible braking reduction in revenue from the GST in the month of December. It is also important here that the earnings of the government increased after one month of decreasing the GST rate on more than two hundred goods and services. Now the government thinks that when the e-bill is implemented from 1st February, the situation will improve and the government will be able to get more tax. Keep in mind that by now, more than 10 million traders-traders have registered under GST.

At present, the government has a problem composition scheme. Under the scheme, those who make an annual turnover of 1.5 crore rupees have to pay GST at the rate of 1 and 5 per cent (restaurants only) and they do not get the benefit of input tax credit, ie the benefit of GST which is paid on raw material. So far, under the scheme, a total of 17 lakh returns were filed and a tax of just Rs 307 crores was received. That is, an average of 5 lakh rupees. It is feared that businessmen here are stealing tax.

Considering this, the idea of ​​introducing reverse charge mechanism (RCM) under composition scheme is being considered. Under the RCM, the registered businessman, if the non registered business-traders buy goods from the registered trader, then the registered businessman is responsible for repaying the tax liability of the non registered businessman. Government believes that it will be possible to keep an eye on business thanks to RCM and tax evasion can be prevented.

Now the eyes of the government are also on businessmen-traders who have registered under GST but are not filing returns. There is hope for action on such traders, traders.

What is GST? Tax
system and commodity tax service, which constitutes a market for the entire country ie GST, was implemented from 1st July. Under this, a tax has been imposed by the 17 different types of indirect taxes and 23 types of cesses of the Central and the States. However the rate of tax is not one. Currently, different types of goods and services are taxed at the rate of 5, 12, 18 and 28 per cent, whereas for precious metals such as gold and silver there is a special rate of 3 per cent. At the same time, cess of 28 percent is also applied on motor vehicles and luxury goods.

GST is mainly divided into two parts, CGST (Central Goods and Services Tax) and SGST (State Goods and Services Tax). On the other hand, IGST (Integrated Goods and Services Tax) is levied on trade between two states. But keep in mind that IGST is not taxed separately and when IGST sounds, CGST and SGST is not separately installed on it. One more thing is that half of the revenue earned by GST goes to the Center and the rest of the states, while compensation from those states is compensated by earning from Ces, where earnings have come down after GST is implemented.