04.09.2023: ‘Buoyant collections will help GST Council lower tax rates’

Buoyant GST collections will create room for the GST Council to lower tax rates, Haryana Deputy Chief Minister Dushyant Chautala, the convenor of a ministerial group of the Council tasked with analysing revenue trends, said on Friday. 

“Last year, GST revenues were around ₹1.5 lakh crore a month and this year, the average revenues have been around ₹1.6 lakh crore. I believe if this trend persists, the GST Council would be inspired to further cut the average tax rate which is less than 12% now,” Mr. Chautala said.    

Revenue Secretary Sanjay Malhotra, who spoke after Mr. Chautala at an event in Gurugram to introduce a new reward scheme for consumers who upload their GST-paid invoices on an app, said it was the GST Council’s endeavour to keep rates minimal. 

Mr. Chautala said replicating the lottery-like system, which many States operated earlier to popularise the Value-Added Tax (VAT) regime, was discussed in the Council three years ago, and would help monitor business-to-consumer transactions better. 

“It was decided to start it as a pilot in Haryana, Gujarat, Assam and three Union Territories with ₹30 crore set aside per year to reward taxpayers directly by a draw of lots for uploading invoices under the ‘Mera Bill Mera Adhikaar Scheme’,” Mr. Chautala added.  

Source: The Hindu 

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