UP to amend state GST Act to simplify input tax credit process

Lucknow, Sept 7 (KNN) The Uttar Pradesh government has decided to amend the state Goods and Services Tax Act to simplify the input tax credit process and to make it transparent.

The chief minister Yogi Adityanath led cabinet on Tuesday approved the draft bill that will provide relief to small tax payers (using settlement scheme) who fail to file tax returns.

The amendment provides for extending the period of cancellation of registration up to three months after the end of respective financial year.

Minister for finance Suresh Khanna, in a press statement, said through amendment to sections 37 and 39 of the Uttar Pradesh (UP) Goods and Services Tax (GST) Act, the state government proposes to simplify and rationalise provisions for filing details of return and outward supply.

“Sections 42, 43 and 43 (a) of the act will be done away with. The procedure had been simplified by doing away with dual information system in Input Tax Credit (ITC) matching and reversal,” he said.

As per reports, through the amendment to section 47 of the Act, the provision for late fee for delay in filing details of inward supply will be scrapped.

The state government aims to get the draft bill passed in the monsoon session of the state legislature that is scheduled to commence on September 19.  (KNN Bureau)