New Delhi, July 1 (KNN) From being very new to two years old, the Goods and Service Tax (GST) regime has been marked by never ending changes and is still going through the numerous transformations. First, introduced on July 1, 2017, the historical GST is now two years old.

The introduction of GST is a game changer for Indian economy as it has replaced multi-layered, complex indirect tax structure with a simple, transparent and technology–driven tax regime. It has integrated India into a single, common market by breaking barriers to inter-State trade and commerce.

However, the journey of GST has not been without challenges especially in the early months and traders and industrialists including Micro Small and Medium Enterprises (MSMEs) are trying their level hard to adjust with the new tax reform which is two years old now and expecting more simplification in the near future.

Speaking with KNN India, President of Bari Brahmana Industries Association (BBIA), Lalit Mahajan said “The GST regime has benefitted large number of genuine businesses and has controlled unaccounted good.”

The introduction of GST regime was a good move of the government but it requires more simplifications on part of the Government, he added.

He further stated that government should not take any harsh steps against the tax payers as the regime is still new for them and they are still learning the process. For at least 3 years, there should not be any penalty on any tax payers for any sort of errors.

The Delhi President of Confederation of All India Traders Association (CAIT), Ramesh Khanna said “The GST is one of the powerful moves of Government which has made the entire tax regime simple and transparent.

Initially there were some challenges in the system but with time the process has become little smooth and near future it will become smoother and simplified.

The President of Jharkhand Small Industries Association (JSIA), SK Aggarwal told KNN India that the MSME sector is very happy with the GST regime but simplification is required at various points.

Unnecessary documentation should be removed to make the process more simplified, he added.

He also added that, “The government is trying its best to make the entire regime simple and easy.”

On GST, President of Federation of Punjab Small Industries Association (FOPSIA), Badish Jindal said “The GST regime is very complicated for MSME sector due to which corruption is rising.”

The multiple returns are making it more costly and multiple tax rates requires a look, he added.

President of Coimbatore district small industries association, R. Ramamurthy said “GST exemption limit to be increased from Rs.40 lakhs to Rs.1 crore. Currently, the job worker is charged at 18% GST. The big companies take 3 months to pay the workers. Hence, GST of 18% is an added burden on the MSME Sector. Online invoicing in GST portal should not be implemented for MSMEs.”

Former finance minister Arun Jaitley, who introduced the GST on July 1 in 2017, stated that the new tax regime proved to be both consumer and assessee friendly.

In a blog, he wrote: "After two years, one can confidently argue, without fear of contradiction that GST proved to be both consumer and assessee friendly. The high taxation of pre GST era pinched the consumers’ pocket and acted as a disincentive against tax compliance. The last two years have seen each of the meetings of the GST Council reducing the tax burden on consumers as the tax collections improved." (KNN/YV)