Two proposals to deal with GST dual control issue: Sources

The GST Council meet which happened last week was inconclusive on the rate structure, though issues over cess were thrashed out. Now, CNBC-TV18 learns from sources that there are two proposals that are on the anvil. One of them includes both Centre and states getting the freedom to prepare a list of tax payers on the basis of risk assessment. The list will be shared then by both the Centre and states. Everyone gets their share of assesses whom they can audit and check for a possible evasion so that powers remain with both the Centre and States.

According to the second proposal, there should be a division of tax payers below the Rs 1.5 crore turnover threshold and above this threshold. In both these cases, Centre and states will divide the tax payers in a ratio of 50:50. Below the threshold limit will remain with state, and those above it will remain with the Centre. If there is assessment, the audit will be done by both Centre and States. Both these authorities have a seizeable number of tax payers under their ambit so that their authorities don’t get compromised.Watch video for more...