New Delhi : Gearing up to roll out goods and services tax (GST) from April 1, 2016, the Finance Ministry set up two committees to suggest tax rates and look into IT preparedness for the new indirect tax regime.
The committee formed under the Finance Ministry’s Chief Economic Advisor would “recommend possible tax rates under GST that would be consistent with the present level of revenue collection of Centre and states,” Finance Ministry in a statement said.
While making recommendations, it would take into account expected levels of growth of economy, different levels of compliance and broadening of tax base under GST.
“The Committee would also analyse the sector-wise and state-wise impact of GST on the economy. The Committee is expected to give its report within two months,” it said. The statement added, Steering Committee has been formed under the Co-Chairmanship of Additional Secretary of Revenue Department and Member Secretary of Empowered Committee (EC) of State Finance Ministers. The panel has members from Revenue Department, Central Board of Excise and Customs, Goods and Services Tax Network (GSTN) and representatives of state governments.
It would monitor the progress of IT preparedness of GSTN/CBEC/Tax authorities, finalisation of reports of all the sub-committees on different aspects relating to the mechanics of GST and drafting of CGST, IGST and SGST laws/rules. Also, the Committee would monitor the progress on consultations with various stakeholders like trade and industry and training of officers. The committee were announced a day after Chairman of EC K M Mani submitted states’ views on the GST to the Rajya Sabha Select Committee scrutinising the GST bill.
