Is Service tax complicated or is GST complicating?
Just curious - there is so much discussion on GST and those who pay Service Tax seem to be having a tough time with GST procedures and filing. I am a small service provider and am feeling the pain of having to file returns and other forms every month. Previously (before GST), I used to pay the Service tax and my auditor used to take care of the returns. He never asked me for any documents other than the invoices, no OTPs nothing.
Now, there are 3 to 4 forms, specific dates for each of these forms to be filed, the portal not working.....
Just picking the thoughts of the seasoned professionals - has the process of GST been complicated by the government or is it the way it should be? Were the end users - chartered accountants and business people (those who invoice and take input credits for the tax) involved in the formulation of the process, or was it only the politicians, the bureaucrats and the so called "experts"?
As for the portal part, it is clear that the end users of the system, business analysts (those who understand the GST process, the technology and how users would use them) and implementation specialists were not involved.
Today, I went to the GST site, but could not login (no message nothing). more
Now, there are 3 to 4 forms, specific dates for each of these forms to be filed, the portal not working.....
Just picking the thoughts of the seasoned professionals - has the process of GST been complicated by the government or is it the way it should be? Were the end users - chartered accountants and business people (those who invoice and take input credits for the tax) involved in the formulation of the process, or was it only the politicians, the bureaucrats and the so called "experts"?
As for the portal part, it is clear that the end users of the system, business analysts (those who understand the GST process, the technology and how users would use them) and implementation specialists were not involved.
Today, I went to the GST site, but could not login (no message nothing). more
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I your turnover is less than Rs 50 lakhs per annum, you can opt for composition tax which is 1 per cent on your sales. But you will not get the benefit of innput tax creit and output tax. more
Sep 24
If tax is on annual basis why file return monthly. Government must give acceptable explanation. more
Sep 23
The GST is not on annual basis, but on monthly basis, hence we need to file monthly retyrns more
Sep 24
comparatively GSt will be more easier as soon as system starts working efficient;y more
Sep 23
Actually, GST requires regular accounting so that filing of returns are easy. The main return is GSTR-1, which details out the sales made. GSTR-2 would be auto-populated based on GSTR-1 filed by your suppliers. A proper accounting system would enable you to reconcile the purchases and claim Input Tax Credit. Both these returns will then be summarised in GSTR-3. more
Sep 24
Sure it is creating problems for small businesses like us. the cost of accounting would increase as we are bound to take help of ca. I dont think it is simpler. You have file return every month. Small businesses are mostly managed by the owner himself.
Now he has to keep himself free for 3 days during the month. more
Now he has to keep himself free for 3 days during the month. more
Sep 23
The best tax system ever.the initial teething problems are bound to happen more
Sep 23
I am talking of those who file returns. I have filed Service tax returns earlier and it was a simple process (e-filing). Now, with specific months and dates for specific returns, how much can one remember. The system does not send any alerts or reminders.
As for this being the 'best tax system' (not sure in what respects, since everthing is in the air), the first exposure of the user was to the portal. And this flunked badly. The group formed to look into the issues (group of ministers) do not have any exposure to how to make systems work. In today's world of technology and processes, such teething problems should be have taken care of before it was given to the users.
As for those do not file taxes (the simple citizen), almost everyone is debating about GST in hotel bills, provision bills etc.
GST may be good for the government, but it has made life miserable for the citizens (simple or complex). more
As for this being the 'best tax system' (not sure in what respects, since everthing is in the air), the first exposure of the user was to the portal. And this flunked badly. The group formed to look into the issues (group of ministers) do not have any exposure to how to make systems work. In today's world of technology and processes, such teething problems should be have taken care of before it was given to the users.
As for those do not file taxes (the simple citizen), almost everyone is debating about GST in hotel bills, provision bills etc.
GST may be good for the government, but it has made life miserable for the citizens (simple or complex). more
Sep 23
The "professionals" who have developed the portal have not taken into consideration the most important part for such applications - usablity. The funcationality has not been tested (I tried to add 2 invoices for the month of August in GSTR2 - could not find a provision for the same, only one can be added. When I logged out and logged in, even the one that i had entered disappeared). The usablity is pathetic - in login, everytime enter login details with the captcha (no provision to save the password), every time go to the dashboard, select the month, year to get to the high level details (why is it called a dashboard then?). GST registration has been converted from Temporary to Permanent. But, the emails that are sent (on payment of GST), still says Temporary. AS for the support, no responses to emails. Looks like this has been developed by some Tier III college students or institute and managed by people who have no experience in release and implementation. and who suffers - the tax payer - not the government, not the organization that developed this. more
Sep 22
I agree with you. I cite a simple problem under GST. GST is payable based on the date of the bill normally. The government clarification state that advance payment date, delivery date, date of invoice or payment date whichever is earlier is the criterion. Now imagine a case where advance was paid in June 2017 when GST was not implemented, delivery took place in July in part and balance in August and bill was prepared in August what would be the accounting procedure to comply with GST procedures. Similarly in the case of co-operative housing societies they follow the simple procedure of accounting on payment basis. Now they will have to keep separate of set of registers to cope up under the GST regime. Where lies the remedy? more
Sep 23
Dear sir,Many of the people who do not pay tax , is not mean that they don't want to pay tax or hide something, it is because of systems only.Not his but earlier also more
Sep 23
It appears that by and large Shri Padmanabhan does not like GST. Maybe he has something to Hide? Maybe the system seems complicated presently, as it is a system just started. Give some time and you will find changes, but do not criticise for the sake of criticism. It takes time even for good things to get understood. more
Sep 23
