Navin Kumar said, ‘We are working on the assumption that 50% of the people will come on last day’
Millions of companies in India are still not ready to file their first IT return under the new Goods and Services Tax (GST) ahead of 20 August deadline, a top official told Reuters, urging them not to leave things to the eleventh hour.
Navin Kumar, chairman of the GST Network, also said barely half of the 34 service providers accredited to help firms bulk-file invoices online had received approval to go live.
Yet he gave an assurance that the huge IT back end that is designed to crunch up to 3 billion invoices a month and calculate companies’ taxes would be stable, even if there is a last-minute rush to file. → Efiling Of Income Tax ←
“It will not crash,” he told Reuters in an interview. “We are working on the assumption that 50 per cent of the people will come on the last day.”
Billed as India’s biggest-ever tax reform, the GST has replaced a slew of federal and state levies. It has also cleared barriers between India’s 29 states, uniting its 1.3 billion people into a common market for the first time. → Income Tax Efiling ←
Yet the complexity of the tax – which has main rates of 5, 12, 18 and 28 per cent and multiple exceptions – has raised concerns that companies will struggle to comply and file their monthly returns on time.
Even before the GST filings kick in, business surveys showed both the services and manufacturing sectors contracting at their fastest rate in years, heralding a likely dip in indirect tax revenues…….Read Full Article