Major GST relief for exporters, small traders: Highlights
The GST Council on Friday introduced a slew of reforms amid the festive season to woo traders and consumers.
"Compliance burden of medium and small taxpayers in GST is being reduced," finance minister Arun Jaitley told reporters after the 22nd meeting of the Council.
Small and medium enterprises had complained of tedious compliance burden under the GST that was supposed to be a simple indirect tax regime which replaced over a dozen Central and state taxes.
Jaitley said the Council also decided to cut GST rate on 27 common use items.
In the meeting, it was discussed that PAN or Aadhaar Card details would not be required for buying jewellery above Rs 50,000.
Here are the other major decisions taken at the meeting
GST on unbranded ayurvedic medicines to reduced from 12% to 5%.
Man made yarn was taxed 18%, it has been put in 12% slab, will have effect on textiles.
The council will try to implement the e-way bill by April 1, 2018.
GST Council has agreed to allow SMEs with turnover of up to Rs 1.5 crore to file quarterly returns instead of monthly filings.
About 90 per cent of the taxpayers will be benefited by this change.
Traders will pay 1%, manufacturers 2% and restaurants 5% under the composition scheme.
Refund cheques for July exports will be processed by Oct 10 and refund cheques for August exports will be processed by Oct 18.
Those who have up to Rs 1.5 crore turnover will file quarterly returns, not monthly returns.
Compliance burden of medium and small taxpayers in GST being cut; eligibility of composition scheme raised to Rs 1 crore.
E-wallet for each exporter to be made and notional amount as advance refund will be given. It will be initiated on 1 April 2018.