KSA Infomatrix

After its muted performance in the June quarter due to the transition to GST, India Inc is getting back to form, going by the September quarter results of 700-odd companies. Net profit (adjusted) for these companies grew 13.45 per cent in the three months ended September 2017, over the September 2016 quarter (year-on-year). The disruptions caused in the run-up to GST resulted in only 1.08 per cent year-on-year growth in net profit for these companies in the June 2017 quarter. Restocking of inventory post GST as well as the onset of the festival season helped consumer-oriented sectors such as apparel, durables, auto, gems and jewellery deliver much higher profit growth than in the previous quarter. Improving rural sentiments thanks to a good monsoon and higher MSPs also saw agrochemical companies emerge on top. Refineries, too, did well, backed by better refining margins and inventory gains from rising crude oil prices. Select companies in the real estate, infrastructure and m...

The Goods and Services Tax Council may consider merging triplicate comprehensive tax return forms (GSTR-1, 2 and 3) into one consolidated form as it meets here on January 18 in a bid to reduce hassles for taxpayers while also enabling the crucial invoice-matching process, which it reckons is necessary to check tax evasion. Though compliance with these forms has been deferred to April to accommodate taxpayer’s concerns over it being cumbersome, the government is keen that the system is streamlined without any further delay. According to sources, the merging of the forms is among several recommendations made by a committee headed by Ajay Bhushan Pandey, GST Network chairman, which was formed to suggest changes in rules, laws and formats for filing returns. Another major suggestion of the committee is simplifying the return process for nil-tax filers to ensure that they can file their returns with just one click on the GSTN portal. Nearly 40% of the existing tax filers have claimed ...

It literally took the country by storm six months back when dozens of taxes and levies were rolled into one, but as the new goods and services tax (GST) stabilises, its ambit is now likely to be increased by including  natural gas  in next couple of months. On July 1, when the new national sales tax was implemented, it was decried as technologically tedious and expensive and had potential to torpedo political prospects of the ruling  BJP. However, the government made numerous changes, including easing the tax filing process and reducing rates on over 200 items, to save the day for the party in Prime Minister Narendra Modi's home state Gujarat. While  GST  transformed India into 'one nation, one market' at the "stroke of midnight" on June 30,  real estate  as well as crude oil, jet fuel or ATF, natural gas, diesel and petrol were kept out of its purview. This meant that the products continued to attract duties like central excise and  VAT. ...

With revenue concerns surfacing, a reduction in  goods and services tax  (GST) rates for consumer durables in the 28 per cent slab may take longer than expected.  With almost three months to go for the fiscal year to end, pruning the 28 per cent slab again may not happen in the next  GST  Council meeting in January. The reduction in rates for more than 200 items in the November meeting had raised expectations that white goods would be taken out of the 28 per cent slab. According to officials, the January meeting will not discuss rate reduction and the focus will be on stabilising revenue collection. “The meeting in January is unlikely to look at reducing rates. A decision will be taken after the  Union Budget  is presented in February. The revenue position will become clear after that,” a senior official in the Council told Business Standard. The focus was to meet the revenue collection target, he added.  The formula is taken from the co...

A panel of industry representatives is set to recommend a fresh set of changes in the  goods and services tax  ( GST ) to make life easier for businesses. The six-member committee was set up by the government to provide inputs to the GST law review committee, comprising officers, to overhaul the legislation and remove irritants in the new regime that kicked in from July. The government has already undertaken massive changes, including pruning the list of items in the highest bracket of 28% to 50 from over 200 products earlier. Sources told  TOI  that the group has completed its work and identified at least a dozen areas where changes are required for smoother implementation. While several changes have been brought as temporary relief measures, such as quarterly filing of returns, the panel wants them to be made permanent. This is in addition to suggesting simplification of forms, an issue that is also being dealt with by a committee headed by  GST Networ...