Sumit Jha

Articles By Sumit Jha

527 Articles

COVID-19 Fallout: Direct tax receipts decline after 20 years

The sluggish receipts also imply a fall in direct tax buoyancy to a multi-year low of (-)1 in FY20, a sharp slide from a creditable 1.6 in FY18 (thanks to demonetisation) and 1.2 in FY19.

The last time the Centre's direct tax receipts contracted was in FY99, when these were down 3.5%, on year. News

Covid-19 impact: Centre’s FY21 fiscal deficit seen at 5% or higher

Actual combined government deficit — Centre and states — could even reach double digit level next fiscal, frustrating FRBM mandate

Covid-19 impact, fiscal deficit,FY21, GDP size, FY21 deficit, nomura, PSUs, FCI, GDP growth, ACTUAL DEFECIT, FRBM News

Tax evaders fill coffers with empty beer bottles

Margin scheme is employed in such transactions to avoid double taxation, as the goods, having once borne the incidence of tax, re-enter the supply and the economic supply chain.

They are sold to breweries at a price which is almost always fixed for a specific buyer for a certain period under a contract. News

Growth pangs: Budget plans may go haywire as Covid-19 wreaks havoc

If buoyancy doesn’t improve — it likely won’t — growth slump to depress FY21 gross tax by a massive Rs 2.2 lakh crore

Supposing the buoyancy in FY21 to be 0.5, the same level as in FY20, and nominal GDP growth at 8%, the shortfall from the budgeted gross tax receipts in FY21would be a massive Rs 2.2 lakh crore. News

Centre’s FY20 revenue seen Rs 75,000 crore less than budgeted

Last year, the RBI gave an interim dividend of Rs 28,000 crore to the Centre in March, allowing it to prevent the deficits from enlarging from the RE levels. It is possible that RBI could issue an interim dividend by March 31

The Centre’s share from the indirect tax dispute resolution scheme, that was under implementation between October 2019 and January 15, 2020, is estimated to be Rs 20,000 crore. News

SGST short of FY20 target by a quarter

The states’ own GST revenues — SGST receipts minus the compensation from the Centre — were short of the aggregate protected level by `1.15 lakh crore or 23% in April-February this year, according to data reviewed by FE.

GST funds, GST slabs, GST launch, GST rates, GST Council, SGST, gst revenue, GST compensation, supreme court News

GST query: Vendors on e-commerce platforms get notices

Large-scale evasion is suspected as taxpayers seem to have under-reported sales and paid lower taxes in self-declared returns.

Economy News

More GST funds for states: New imposts, cess hikes preferred ways

As a comprehensive GST rates overhaul may be postponed for a later date — finance minister Nirmala Sitharaman recently said she preferred the system to stabilise before another major rates rejig.

GST funds, GST slabs, GST launch, GST rates, GST Council, SGST, gst revenue, GST compensation, supreme court News

GST receipts get a compliance boost as efforts to increase collections pay off

Despite slowdown and below-RNR rate structure, a slew of steps by govt help improve collections

This has aided collections from domestic transactions even as GST collections from imports have taken a hit from deep contractions in inward shipments since June. News

ITC-invoices mismatch: Huge sums sought as GST credit denied

An analysis by the GST department showed that as much as 39% or Rs. 2.5 lakh crore of ITC claimed by taxpayers in FY18 remained unmatched with the invoices uploaded by their suppliers.

In October, the government inserted a a clause in GST rule saying that a taxpayer filing GSTR-3B (monthly summary return) can claim provisional input tax credit only to the extent of 10% of the eligible credit available in GSTR-2A. News

Delayed GST payments: Unpaid interest alone stands at Rs 46,000 crore

The last date for filing GSTR-3B for any month is 20th of the subsequent month; an annual interest of 18% is payable on the gross tax amount for any delay.

The CBIC member added that GST Act provides for various methods by which the proper tax officer can recover any amount which is payable to the government. News

Vivad se Vishwas: Note ban cases to add over Rs 2.5 lakh crore to Income Tax disputes

Govt hopes a section of people with unexplained cash deposits might use Vivad Se Vishwas to escape costlier route of litigation

Vivad se Vishwas, Note ban, personal income tax disputes, Vivad Se Vishwas scheme, Income Tax Act, PAN holders, post-demonetsation News

Budget 2020: Rs1-lakh-crore shortfall in tax receipts likely

Budget 2020 India: Also, the GST collections seem to be rising (January mop-up was about Rs 1.11 lakh crore, the second highest in any month since the launch of the tax) and if the trend is sustained, the shortfall could be r

That could result in a decline of at least Rs 50,000 crore in Centre's net tax receipts News

Bolstered tax data to improve revenue collection, says CBDT chief Pramod Chandra Mody

Explaining the proposed ‘taxpayer charter’ proposed in the Budget, Mody said that it would provide statutory recognition to administrative framework and hence would be enforceable.

Mody said that the revised estimates for direct tax collection were realistic, adding he felt pretty confident of meeting the target based on the information flows from third party as well as reporting entities. News

Budget 2020: New income tax regime will appeal to most, says revenue secretary

Union Budget 2020 India: Pandey said it was difficult to estimate how many taxpayers would switch to the new regime as many factors played a part

Budget 2020 India, Budget 2020-21 News

Budget 2020: Amnesty to net a tidy sum in FY 20 itself

Budget 2020 India: Given that the indirect tax scheme appealed mostly to smaller taxpayers in the cost-benefit analysis, the same could replicate for the scheme resulting in personal income tax disputes getting resolved.

Budget 2020 News

Budget 2020: Big tax shortfall in FY 21, GST shortfall likely to boost receipts

Budget 2020-21: On the personal income tax front, the government has cut the RE by only about Rs 9,500 crore and the BE for next fiscal has been pegged to grow at 14% over the RE of the current fiscal.

Budget 2020 News

Budget 2020: Not just changes in tax slabs, Modi govt may unveil amnesty scheme for taxpayers

Budget 2020-21: The relief was 60% of the outstanding amount if it was Rs 50 lakh or less and 40% if it was more than Rs 50 lakh.

Budget 2020 News

Centre should infuse Rs 1.5-2 lakh crore into the economy: FICCI president Sangita Reddy

Reddy, who is also the joint managing director of Apollo Hospitals, has batted for a higher Budget allocation, at least 2.5% of GDP, to the healthcare sector.

FICCI president, fiscal deficit target, Sangita Reddy, Apollo Hospitals, RBI, GDP, GST for healthcare News

MDR waiver: Govt turns down banks’ compensation demand, know why

MDR charges were earlier charged by banks subject to a cap of 0.60% of card-based transactions for payments over Rs 2,000.

The waiver, effective January 1, is aimed at incentivising digital payments and is in sync with the policy objective of moving towards a less-cash economy. (Representative image) News

Sabka Vishwas Tax Amnesty Scheme: Big taxpayers stick to legal fight

Over 87% of 1.8 lakh eligible taxpayers applied for the leniency scheme by Monday, according to officials. The government had earlier said 1.6 lakh taxpayers committed to pay Rs 35,094 crore of Rs 79,968 crore claimed by the

Sabka Vishwas Tax, Amnesty, Sabka Vishwas Tax Amnesty Scheme, Big taxpayer, legal fight, Sabka Vishwas scheme  News

States facing GST trouble? Buffer data tell different story

States posted barely 8% revenue growth from relevant taxes in FY14-FY17 against 14% assured in GST regime

GST, GST Network, GST collection, GST Council, GST revenue, 15th Finance Commission, Arun Jaitley, GDP growth rate News

GST woes: Nearly 250 Star Export Houses denied refunds

FIEO has estimated that about 5,000 relatively small exporters have been red-flagged so far which account for about 7% of MSMEs.

Economy News

Loyalty & Sacrifice: How values of loyalty can apply to business

The author, however, manages to dissect these facets to reveal the underlying dynamic of loyalty and sacrifice.

Lifestyle News

Rampant GST evasion? Gap between ITC claimed, suppliers’ data foxes taxman

An analysis by the goods and services tax (GST) department showed that as much as 39% or Rs. 2.5 lakh crore of input tax credit (ITC) claimed by taxpayers in FY18 remained unmatched with the invoices uploaded by their supplie

Economy News

Major rejig of GST slabs unlikely for now

Several states against rates overhaul; cess, rates on some items may go up.

Economy News

GST evasion? Rampant under-reporting of online sales detected

Sales shown by vendors in monthly returns far lower than that computed from TCS data

GST evasion, GST, ecommerce portals, Amazon, Flipkart, TCS data, Amit Mitra, Form GSTR-9, GSTR-9C, ITC News
Income Tax Calculator, Budget 2019, How to Calculate Income Tax


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