sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Service Tax »
 How to get registered under goods and services tax
 Service Tax can’t be Levied on Activity of Collection of VAT on behalf of Commercial Tax Dept
 Why you should worry about June 15 advance tax date
 Five reasons why you should start your investments in tax saving funds now
 Income Tax Department Releases All 7 ITR Forms Check Details About New IT Forms
 Income tax benefits for senior citizens: Here is all you need to know in brief
 12 ways to avoid paying more for bank services
 I-T return filing: Income Tax offices, Ayakar Seva Kendras to remain open from March 29-31
 Top 5 money matters you must settle before March 31 From income tax returns to LTCG,
 Steep fines for missing March 31 income tax deadline
 CBEC clears some air on refunds under GST, central excise, service tax laws

GST loss to be reduced by slice of service tax
April, 28th 2017

Even as the Jharkhand assembly on Thursday ratified the state Goods and Services Tax Bill, 2017, experts said the state will suffer significant losses under the new tax regime expected to be rolled out on July 1.

Under the GST regime, taxes will be levied at the place a particular commodity is consumed instead of the place where it is produced. Jharkhand being a production-centric state in terms of iron and steel, aluminium, copper, heavy motor vehicles and cement, will not be benefited whereas the destination states where the finished products reach would gain in terms of tax.

The state hopes to compensate for this loss from a share of the service tax worth around Rs 2,700 crore that it is likely to be received from the Centre. Additional chief secretary, planning and finance-cum-development commissioner Amit Khare said the Centre has also agreed to compensate the states suffering losses for the first five years.

"The exact volume of losses or the rate at which the Centre will be required to compensate is not known because the list of items to be placed against the five tax slabs of 5%, 12%, 18% and 28% is yet to be finalised," he said. Khare also added that since the state governments would now get a share of the service tax, which was earlier solely collected by the Centre, job contracts and other service sectors would add to the kitty of the state exchequer.

While royalty on coal, iron ore and other minerals obtained by the state will remain unaffected, the state would be at its liberty to levy taxes on petrol, diesel, crude oil, natural gas, aviation fuel and liquor as these items have been kept out of the purview of GST. The state will also be able to levy taxes on goods and services brought into Jharkhand through e-commerce.
Addressing the media, urban development minister C P Singh said that for effective implementation of GST, the state has constituted a GST advisory committee comprising members of Federation Chamber of Commerce, chartered accountants and the bar association. "PWC has been appointed as consultants for the GST implementation and training of stakeholders which includes chartered accountants and government officials," he said.

The minister ruled out apprehensions of traders in registering for the GST saying that of around 1.25 lakh people registered under the prevailing system of sales tax, more than 55,000 have registered for the new tax system. "It is because the GST registration has been made mandatory for those having an annual turn over of over Rs 20 lakh whereas it was fixed at Rs10 lakh under the previous system," Singh said.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Work Flow Workflow Software Software Automation Workflow automation Software Design Workflow Design Business Work Flow Workflow automation tools

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions