Income Tax Bar Association and AGFTC Submits Suggestions to FinMin for Improving GST Policy and Procedures [Read Suggestions]

The Income Tax Bar Association (ITBA) and the All Gujarat Federation of Tax Consultants (AGFTC) have jointly sent a detailed list of suggestions to the Finance Ministry. They have requested changes to make the Goods and ITBA and AGFTC have submitted detailed suggestions to the Finance Ministry to simplify GST laws, ease compliance, and improve the GST portal.

Services Tax (GST) simpler, fairer and easier for businesses. The suggestions were addressed to Finance Minister Nirmala Sitharaman and senior tax officials.

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Both organisations represent thousands of tax experts, advocates and chartered accountants in Gujarat. They said that while GST has helped unite the tax system since its launch in 2017, many businesses still face problems because of complex rules, technical issues and lengthy procedures. These problems affect small and medium enterprises the most.

The representation focuses on two areas:

1. Changes in GST law and policy
2. Improvements in the GST online portal

Important policy suggestions include:

• Starting a one time amnesty scheme under Section 74 of the GST law to settle old disputes from the early years of GST and reduce court cases.
• Raising the GST registration limit for service providers from 20 lakh rupees to 40 lakh rupees so that it matches the limit for goods suppliers.
• Setting up the GST Appellate Tribunal quickly to hear appeal cases faster.
• Allowing micro and small businesses to pay GST when they actually receive payment from customers instead of at the time of invoicing.
• Removing interest charges on reversal of input tax credit when the supplier has already paid tax but the buyer delays payment beyond 180 days.
• Simplifying GST rates to avoid confusion and reduce disputes.

Important GST portal suggestions include:

• Increasing the size limit for documents uploaded during GST registration to 5 MB.
• Allowing taxpayers to download annual data for GSTR 2A, GSTR 2B, e way bills and e invoices instead of downloading them month by month.
• Showing all notices and orders on one notification screen after login to avoid missed communication.
• Allowing taxpayers to refile refund applications in the same category if the earlier one was rejected due to correctable mistakes.
• Automatically filling HSN wise details in GSTR 9 from GSTR 1.
• Extending the time limit to cancel an e-invoice from one day to two days.

The ITBA and AGFTC said these changes will make compliance easier, improve the ease of doing business and strengthen the GST system. They also promised to continue supporting the government in building a better tax system.

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