Amit Mitra urges FM to simplify GST rules for MSMEs

ENA MSME 2023-08-01 16:46:58 New Delhi, Aug 1 (KNN) Dr Amit Mitra, principal chief advisor to West Bengal Chief Minister Mamata Banerjee has reached out to Union Finance Minister Nirmala Sitharaman to convene a GST Council meeting to discuss the issues concerning GST frauds and web of regulations impacting MSMEs. Mitra, a former state finance minister, referred to the central government's admission in the Lok Sabha that Rs 1.15 lakh crore of fraud have been detected from GST invoices between 2018-19 and 2022-23. <a href="https://bit.ly/3B9mZSj"><img alt="FOLLOW US on GOOGLE NEWS" src="https://knnindia.co.in//uploads/gallery/GoogleNews.jpg" style="border-style:solid; border-width:1px; height:95px; margin:1px; width:299px" /></a> I write this letter with great anguish and deep concern. On one hand, GST frauds are proliferating across the country penetrating each and every state. On the other, the web of regulations is so overpowering for the MSMEs, that they are on the verge of deregistering back to their informal status, Mitra said. The 'humongous' fraud taking place in the country and the suffering of the MSME in the current GST system require a total rethink by the Centre and the GST Council on the structure and GST, he added. In the letter, he also stated that out of 69,426 GST identification numbers verified during the last two months, 20,893 were found to be non-existent, and the amount of GST evasion detected in that period came to the tune of Rs 19,638 crore. The economist also drew the union finance minister's attention to the complex web of GST that has been thrust upon the MSMEs and said that till date 770 notifications have been issued. He said, The rates of more than 400 items of goods and around 100 categories of services have been changed till date. How do you expect that an MSME company would be able to cope with this gargantuan regulatory structure? I therefore, humbly urge you to convene a GST Council meeting that exclusively focuses on these two big issues, rather than tinkering with the nitty-gritty, to find holistic and sustainable solutions to control frauds & simplify regulations, keeping the MSMEs in mind, Mitra concluded. (KNN Bureau) 34295 https://knnindia.co.in/news/newsdetails/msme/amit-mitra-urges-fm-to-simplify-gst-rules-for-msmes 2023-08-01 16:46:58 knnindia.co.in Amit Mitra urges FM to simplify GST rules for MSMEs