CAIT hails GST council's decision for extending GST relaxation to small traders
New Delhi, Jan 10 (KNN) Confederation of All India Traders Association (CAIT) has hailed the decision of GST Council for increasing the threshold limit for Micro, Small and Medium Enterprises (MSMEs) from Rs.20 lakhs to Rs.40 lakhs.
While welcoming the decisions, CAIT said that decision of GST Council made today to give relaxation to small traders which will certainly take the taxation burden out from large number of small traders in the country.
National Secretary General of CAIT, Praveen Khandelwal said that increasing the threshold limit from Rs.20 lakhs to Rs.40 lakhs is a welcome step and it is expected that nearly 10 lakh traders will be out from the clutches of GST with this announcement.
On composition scheme, CAIT said “Raising the composition scheme limit from Rs. 1 crore to Rs. 1.5 crore is a much awaited decision and about 20 lakhs small businesses will be benefitted as they fall under the bracket of Rs.1 crore to Rs.1.5 crore.”
It is also appreciated that they will be now required to file only one annual return relieving them from the cumbersome procedure though tax has to be paid quarterly which is quite in line, said traders body.
The association said “Threshold limit for composition scheme for services has been decided at Rs. 50 lakh which is fair enough and about 10 lakhs small service providers will be benefitted with this scheme.”
The association also appreciated the council move of putting under 6% tax bracket.
However, CAIT said that the issues pertaining of early refunds to traders, lowering the GST Rate for Auto Parts, Alluminium Utensils and like items needs to be addressed.
Filing of Returns from monthly to quarterly is also another area where GST Council has to work, pointed CAIT.
Appreciating the decision of GST council, CAIT said “GST relaxations are ample testimony of the fact that the government is alive to the problems of small traders and sincerely & seriously wish to resolve them.”