Committees to facilitate implementation of GST get nod

Government seems to be quite serious about the implementation of Goods and Services tax (GST) from April 2016. In this direction Finance minister Aurn Jaitley has approved the formation of two high powered committees to facilitate the implementation of GST. First committee will monitor the progress of IT preparedness of Goods and service tax network, CBEC and Tax authorities, finalisation of reports of all the Sub-Committees constituted on different aspects relating to the mechanics of GST and drafting of laws and rules.  It will also monitor the progress on consultations with various stakeholders like trade and industry and training of officers. 

As far as constitution of this committee is concerned, it is headed by Additional Secretary, Department of Revenue and Member Secretary, Empowered Committee of State Finance Ministers as co-chairman. It will also have members from Department of Revenue, Central Board of Excise & Customs, Goods and Services Tax Network (GSTN) and representatives of State Governments.

On the other hand another committee under the chairmanship of Chief Economic Advisor has been formed which will recommend possible tax rates under GST that would be consistent with the present level of revenue collection of Centre and States. For doing so it will take into consideration expected levels of growth of economy, different levels of compliance and broadening of tax base under GST. This committee will also be entrusted with the job of analyzing the sector-wise and state-wise impact of GST on the economy and will give its report within two months.

Important to note that government is gearing up itself and various processes and systems is being setup to implement GST. Also various aspects of GST design like business processes, payment systems, matters relating to dual control, threshold, exemptions, place of supply rules and laws and rules is under implementation. Government has also formed Goods and Services Tax Network (GSTN) that is taking steps for preparing the IT infrastructure for roll out of GST across the country.  The IT infrastructure shall enable online registration, filing of returns and getting refunds.