The All India Tax Advocates’ Forum (AITAF) has urged Finance Minister Arun Jaitley to completely scrap the proposed E-way bills under the new tax regime of the Goods and Service Tax (GST) for convenience of small time traders as well as prevention of their probable harassment.
“The proposed E-way bills, which will be required for movement of goods will make transport of goods a cumbersome, delayed and costly affair under the GST regime,” the AITAF President M K Gandhi said in a statement issued here.
The entire multi-layered process will require participation by the supplier, the transporter and even the recipient, who have to communicate its acceptance or rejection of the consignment covered by the e-way bill within a very short period. This will cause untold inconvenience and cumbersome digital work for small time businessmen, Gandhi—a noted tax consultant—said.
Pointing out that the introduction of E-way bills will defeat the design of GST, which is proposed to be trader-friendly, Gandhi cautioned the proposed system of E-way bills will lead to unwarranted harassment of trade and industry—especially small time businessmen–at the hands of the tax officials.
“The proposed draft rules also permit physical verification of the goods in transit at any stage. A stale E-way bill could result in the detention of the vehicle. Such harsh provisions can give rise to Inspector Raj and the proverbial cure may prove worse than the disease,” Gandhi warned.