Expected Scheme of GST – Rate, Refund, Return, Assessment, Invoice. GST Scheme. Hi Friends Here we are providing complete details for Expected Scheme of GST. In this article you can all details for Expected Scheme of GST like – Can Carry forwards of CENVAT and VAT credit is Available or Not, Details for Common Threshold Limit, GST Registration, GST Invoice, Return of GST, GST Payment, GST Rate, GST Refunds Assessment etc. Recently we provide complete details for Introduction, Meaning and Purpose of GST and Salient Features of GST. Now you can scroll down below and check complete details for “Expected Scheme of GST “
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Expected Scheme of GST
It can be understood in following points
GST shall have two components Central GST and State GST. The rates of which will be prescribed separately keeping in view revenue considerations, tax burden and acceptability of the tax.
Input CGST and SGST can be utilized for payment of CGST and SGST. Cross Utilization between these two will not be allowed except in case of Inter-state supply of goods and services.
Carry forwards of CENVAT and VAT credit:
It is expected that in transition phase, the credit is allowed to be carried forward
Common Threshold Limit:
This shall apply to both CGST and SGST. Dealers with a turnover below it, would be exempt from tax. A compounding option (i.e. to pay tax at a flat rate without credits) would be available to small dealers below a certain threshold. The exemption and Compounding provision would be optional.
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It is expected that each taxpayer would be allotted a PAN-linked taxpayer identification number with a total of 13 to 15 digits. Thus , a combination of PAN being 10 digit number, two digits for state code and one or two check number for disallowing of fake numbers may be used.
Click Here to following link to check more details about GST Registration
Invoice is essential part of imposing and enforcing GST Regime. It should be standardized across all state so as to contain a minimum of information about the supply being invoiced
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The taxpayer would need to submit common format for periodical returns, to both the Central and to the concerned State GST authorities
Collection of GST being dominant source of revenue therefore it should be designed in such a periodic manner that it ensures proper flow of revenue to both Centre and State and at the same time minimize the burden on the taxpayer
Combined GST rate is being discussed by the Government. The Revenue neutral rate is expected around 16 %. After the total GST rate is arrived the centre and state will decide on the CGST and SGST rate
Refund of unutilized CGST and SGST is to be completed in time bound manner. The procedure and timeline are yet to be clarified.
The function of assessment, enforcement, scrutiny and audit would be undertaken by the authority collecting the tax with information sharing between Centre and State.
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