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Task force on GST to submit report in two weeks: CBEC
July, 25th 2011

The task force on Goods and Service Tax (GST) set up by the finance ministry will submit its report within two weeks, said Central Board of Excise and Customs (CBEC) Chairman S Dutt Majumder on Friday.

By mid-September, we hope to finalise business rules. A dispute settlement authority will be up and running when the proposed tax is introduced to resolve conflicts, he said at an Associated Chambers of Commerce and Industry of India (Assocham) event.
 
Majumder said it was possible to introduce GST from the start of the next fiscal, but even if the rollout was postponed it would not cause any harm. GST has already missed two deadlines April 2010 and April 2011 following differences between the Centre and states over its structure.

Interacting with journalists, earlier this week, Finance Minister Pranab Mukherjee had said his ministry will strive to synchronise the introduction of GST with the Direct Taxes Code. However, he had added that it might be difficult to roll out the proposed tax reforms from April 2012.

Majumder said work was on for a special IT platform for smooth implementation of GST. The special purpose vehicle (SPV) GST N (Network) will be owned by three stakeholders the Centre, the states and technology partner NSDL, he said. GST cannot be implemented unless it is supported by a robust IT infrastructure.

After prolonged opposition from BJP-ruled states over the present GST proposals, the way forward for the largest indirect tax reforms in India is expected to see the light of the day following Bihar Finance Minister Sushil Modis election to the chairman post at the empowered committee on GST earlier this week.

However, BJP leaders said it was difficult to implement GST from next fiscal. A constitution amendment bill to roll out GST is pending with the standing committee of Parliament. Majumder said the bill is likely to be taken up for consideration and passage during the winter session.

 
 
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