New Delhi, Apr 21 (KNN) While the GST is expected to roll out from July 1st, there are industry bodies that fear the complexities that MSMEs might face to comply with the new tax policy.
The Ahilya Chamber of Commerce and Industry (ACCI) raised concern in this regard. Looking at the way in which the GST is going to be implemented in the country, the industry fears that it might prove to be a nightmare for the MSME sector.
Talking to KNN, Sushil Sureka, General Secretary at ACCI said that already there are a lot of complexities in compliance , the recently proposed rule regarding e-waybill will further add to the complications.
The memorandum highlights certain key issues regarding the E-Way bill, which the industry body wants the GST council to take into consideration.
Questioning the government’s plan to start mobile check post at multiple levels, ACCI speculates that this is going to be against the ‘Smooth movement of Goods in the country” and might lead to tax terror which is contrary to the government’s ‘Ease of doing business’.
In GST, the industry is asked to switch from quarterly returns to 3 returns monthly. They are mandated to submit entry of each invoice which includes debit note, credit note and delivery challan. Industry is already facing issues complying with these norms as it involves additional costs. In addition to this, the rule to submit invoice in real time might force small scale industries to shut down due to the lack of dedicated workforce to manage.
The memorandum further states that in many cases goods are to be transported for purposes other than sale. Raising e-way bills for such transactions and reversing entries might be very difficult for the industry.
Questioning the efficiency of the department the memorandum speculates that it will not be easy for the government to implement the legislation.
Sureka also informed that along with the GST Council and FM, the ACCI have sent the memorandum to PM., CBDT, Economic Advisor, Various Commissioners of Excise and Commercial (Sales) taxes, all other chambers in M.P., Bhartiya Udyog Vyapar Mandal and other concerned officials. (KNN/ DA)