Latest Expert Exchange Queries
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) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: list of goods taxed at 4% :: form 3cd :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: Central Excise rule to resale the machines to a new company :: VAT RATES :: ACCOUNTING STANDARDS :: cpt :: articles on VAT and GST in India :: ACCOUNTING STANDARD :: TDS :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment
« Service Tax »
 Service tax officials transferred for favouring realtor
 GST, a challenge and opportunity for accounting professionals’
 Service Tax On Hotels And Restaurants – Recent Delhi High Court Judgment
 GST Council discusses 4-tier tax rate, cess on demerit goods
 Why you shouldn’t miss these three simple tax saving options beyond Section 80C
 Determination of value for transactions between the Related parties under GST Laws.
 Higher collections can offset GST losses
 GST to subsume over a dozen Central, State taxes
 Incidence of indirect taxes won't go up under GST
 Advanced Budget date: Absence of a GST rate may present estimation challenges
  Tax queries answered by Dilip Lakhani, Senior Chartered Accountant

Goods and service tax one step closer to final approval
September, 12th 2012

The Goods and Service Tax (GST) Bill is nearing final approval after the Attorney General of India, Goolam E Vahanvati, answered the constitutional queries raised by former finance minister Yashwant Sinha in his capacity as the Chairman of the Parliamentary Standing Committee on Finance.

The value-added tax, expected to be implemented by 2013 once the Committee has handed over its report, will replace all indirect taxes levied on goods and services, and is expected to integrate state economies and boost growth.

While examining the bill, which is also a Constitutional Amendment Bill, Mr Sinha asked whether or not Parliament and State Legislative Assemblies have the option to not approve the proposal mooted by the Finance Minister of India who presides over the GST Council, which arrived at certain conclusions and tabled its proposals in Parliament. And if Parliament has the option to not approve, then the entire Council unravels. Mr Sinha also asked for clarifications on the role of State Legislative Assemblies in this case.

The Department of Revenue studied the queries and asked the Attorney General for his opinion.

In his response, the Attorney General said it is certainly open to Parliament to approve any recommendations but it does not mean the Councils recommendations will have no value. The Council will make recommendations, but the ultimate prerogative lies with Parliament and Legislative Assemblies. The setting up of the Council does not adversely affect the root of the legislative powers over finance, which are sacrosanct, he added.

Mr Sinha had also raised a question on the dispute settlement authority being set up under the council, saying, Not a single rupee can be spent without the approval of Parliament or the State Legislature. This is the constitutional position. In this particular case, you are setting (up) a joint mechanism between (the) Centre and the states through the GST Council and the dispute resolution will be through a dispute settlement authority.

If there is a difference of opinion or a state is doing something which is not in consonance with that, and strikes at the root of the GST, then you have the DSA (dispute settlement authority) which will decide. The state legislature and Parliament have no joint body. So if the state and the Centre come to a conclusion, then Parliament and the state legislatures will be mute spectators, he added.

To this, the Attorney General said this situation will never arise as Legislative Assemblies will always have the ultimate control over finance.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Publishing Management System PMS News Management System Publishing Management System Development Online News Management System for media company custom Publishing management system development Survey management system Market Res

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