In the 27th GST meeting scheduled on Friday, simpler returns filing form and the amendments required in the indirect tax regime rules will be on agenda along with discussion on incentives for digital payments on retail transactions.
In the 27th GST meeting scheduled on Friday, simpler returns filing form and the amendments required in the indirect tax regime rules will be on agenda along with discussion on incentives for digital payments on retail transactions, The Indian Express reported. A discussion on change in ownership structure of GST Network in order to change it to government company is also on cards, the report added. The cess on sugar will also be discussed in the council meet led by Finance Minister Arun Jaitley. The GST council meeting will be held via videoconferencing.
The government is looking to change the GSTN Board composition by inducting four directors each from the Centre and the states and three other independent directors along with the Chairman and the CEO, The Indian Express reported citing unidentified sources. So, the government may discuss the proposal to acquire 51 percent of GSTN equity by the government is currently owned by non-government institutions.
At present there are five private financial institutions namely HDFC, HDFC Bank, ICICI Bank, NSE Strategic Investment Co and LIC Housing Finance Ltd which hold 51 percent stake in GSTN. Tyhe network was incorporated on March 28, 2013 during the UPA government.
It is expected that for digital transactions made for retail transactions for goods and services tax may be incentivised. Two prices may be offered to the consumers. One will be with normal GST rates for purchases made through cash payment.
The other will be with concessional 2 percent GST rate which is subject to a ceiling of Rs 100 per transaction for making digital payments. Some direct tax benefit for undertaking digital payments under GST may be offered to some businesses.
The 27th meeting of the Council is likely to have finance ministers of all states in attendance.