On the impact of COVID-19 on oil demand, Looney said it was too early to say what the true impact was but there would be some impact in the medium to long term.
After the previous GST Council meeting, the Centre said 21 states were in favour of borrowing the amount of shortfall arising out of GST implementation.
A pathway was leased to the original owner for 35 years for a consideration. Chennai Metro Rail Limited sought an advance ruling on whether GST shall be charged for leasing the pathway to grant access to both the parties.
Outdated data may be leading into some problems for India when fixing the Goods and Services Tax rates, said the senior economist. Meanwhile, contrary to other estimates, he expects nominal growth to be positive as demand recovers.
The technical failure of the GST portal caused #gstnfailed to trend on Twitter. October 20 was the last day for filing the GSTR-3B for September
The clarity in the government announcement should help in reducing uncertainties and anchoring market sentiment over the coming weeks, especially given the intelligent selection of the maturity buckets for the additional borrowing that enjoy strong demand
Most economists have welcomed the decision saying it is a cleaner way of raising the necessary funds swiftly.
The Finance Ministry said that it would borrow Rs 1.1 lakh crore and give that amount as loan to states under a special borrowing window, rather than states do it on their own. A legal battle with states is something the political leadership wanted to avoid with regards to the GST Council, sources told Moneycontrol.
Finance Minister Nirmala Sitharaman while addressing the press after the GST Council meeting insisted that there were differences within the GST Council on the borrowing issue, but they cannot be termed as a dispute
Besides getting the facility of a special window for borrowings to meet the shortfall arising out of GST implementation, states are also entitled to get unconditional permission to borrow the final instalment of 0.50 percent of GSDP out of the 2 percent additional borrowings permitted by the Centre, under the terms of Option-1
"Additional borrowing permission has been granted at 0.5 percent of the Gross State Domestic Product (GSDP) to those states who have opted for option 1 out of the two options suggested by the Ministry of Finance to meet the shortfall arising out of the Goods & Services Tax (GST) implementation," the government said
Some states like Bihar want the issue of pending compensation dues worth over Rs 2 lakh crore to be settled at the earliest.
E-invoicing is currently mandated for the businesses having annual turnover more than Rs 500 crore.
The RBI’s decision to purchase state bonds in the secondary market through open market operations will provide a boost to the states’ finances at a time when they, just like the centre, are having to deal with a massive revenue crunch and rising expenditure commitments
The matter concerned a partnership firm based in Ahmedabad that had secured the bid for a commercial plot through an e–auction conducted by the Ahmedabad Urban Development Authority
At the beginning of the 42nd GST Council meeting, the Centre was confident that it had the numbers to have a favourable result on the borrowing options. However, things changed during the discussions, and the government officials were soon found to be trying to force the meeting to a close
Small taxpayers having aggregate annual turnover of less than Rs 5 crore will be able to file returns on a quarterly basis with monthly payments from January 1, 2021
The gap in compensation arising due to the extraordinary situation due to COVID-19 will be paid out of the cess which gets collected after 5 years.
The Centre late last month gave two options to the states to borrow either Rs 97,000 crore from a special window facilitated by the Reserve Bank of India or Rs 2.35 lakh crore from market, and had also proposed extending the compensation cess levied on luxury, demerit and sin goods beyond 2022 to repay the borrowing.
Moneycontrol analyses some indicators that have shown substantial improvement since the lockdown months, with some even exceeding 2019 levels.
Integrated GST (IGST) was Rs 47,484 crore, including Rs 22,442 crore collected on import of goods and Rs 7,124 crore collected as cess (including Rs 788 crore collected on import of goods)
The government had in May extended the last date for annual GST return filing for FY18-19 by three months till September 2020
Total revenue for 2019-20 was Rs 17.5 lakh crore, compared to revised estimates of Rs 19.32 lakh crore. Net tax revenue for 2019-20 was seen at Rs 13.56 lakh crore, which was 90 percent of revised estimates
Time taken in reconciliation of compensation receipts can't be termed as diversion of GST cess fund when the dues to states were fully released by the central government, finance ministry sources said.
Not only was the revenue/fiscal deficit understated due to the non-transfer of money collected through various cesses to reserve funds, failure of the finance ministry to create or operate essential reserve funds makes it difficult to ensure that the cesses had been utilised for the specific purposes intended by Parliament, said the CAG.