Government is all in praise for the taxation reform which is started in India from 1st of july. Modi at the launch event of GST referred it as “GOOD AND SIMPLE TAX”. But there are still many myths and rumors revolving around this newly implemented tax.
Revenue secretary hasmukh Adhia cleared the myths about GST. In a series of tweets on twitter Adhia also said that the process around the implementation and execution will be transparent.
Mentioned below are the seven myths and realities surrounding GST:
Myth 1: I need to generate all invoices on computer/ internet only
Reality 1: invoices can be generated manually also
Myth 2: I need internet all the time to do business under GST
Reality 2: Internet would be needed only while filing monthly return of GST
Myth 3: I have provisional ID but waiting for final ID to do business
Reality 3: Provisional ID will be your final GSTIN number. Start business
Myth 4: My item of trade was earlier exempt so I will immediately need new registration before starting business now
Reality 4: You can continue doing business and get registered within 30 days
Myth 5: There are three returns per month to be filed
Reality 5: There is only one return with three parts, out of which first part filed by dealer and two other parts auto populated by computer.
Myth 6: Even small dealers will have to file invoice wise details in the return
Reality 6: Those in retail business (B2C) need to file only summary of total sales.
Myth 7: New GST rates are higher compared to earlier VAT
Reality 7: It appears higher because excise duty and other taxes which were invisible earlier are now subsumed in GST and so visible now.