As many as 3 lakh new companies has been registered under the newly implemented GST (Goods and Services Tax) at the GSTN (Goods & Services Tax Network). The numbers are fresh and new and were reported as of 6th of September 2017. Also, it was informed that these companies were not a part of any tax paying exercise before the start of GST on 1st July 2017.
The Goods and Services Tax Network (GSTN) has predicted that the tax revenue is expected to rise by approximately 10% in the coming future. The government has asked the tax authorities to make the process of filing returns glitch free and try to bring at least half of the six crore private businesses under the purview of GST. The targets were set at a recent two–day conference of the tax officers, which was addressed by the prime minister.
The PM’s focus at the two days Rajaswa Gyan Sangam was more towards the integration of the CBDT (Central Board of Direct Taxes) and CBEC (Central Board of the Excise & Customs). Mr. Modi said that the key would be to achieve a real time data exchange mechanism between various departments that handle direct tax, income and corporate tax and the indirect tax. Though he said this is not going to happen immediately, that was the ultimate goal to make things operational and more real time. Once this happens, then it would be very easy for the CBEC and CBDT to analyze whether the corporate income tax numbers match the turnover that has been shown in the GST returns.
Once this happens, then it would be very easy for the CBEC and CBDT to analyze whether the corporate income tax numbers match the turnover that has been shown in the GST returns.
Maharashtra saw the maximum number of registrations under the most number of new registrations from businesses. 181,224 number of registrations happened across the three zones of Maharashtra namely, Mumbai, Pune, and Nagpur with Mumbai having a share of 87,652 new entrants of the GST. Under the GST now the rule says that companies that have a turn over greater than ₹ 20 lakh need to have a registered GSTN.
The PMO is also tracking the number of GST registrations and the process of implementation in the states on a weekly basis, and the GST officials are also expected to conduct fairs from 8th to 10th of September across the country. The PMO reviewed the network systems as GSTN prepares itself for handling the invoices in return to be filed by 10th of September, which is the last date. Also, the central and state ministers have joined hands at the point of discussion to organize these fairs in all the states with the help of the GST officials.
As a part of the tax widening practice where the government tries to bring everyone under the ambit of GST, the Prime Minister asked the tax officials to try and bring at least three crore businesses under the GSTN net. Currently, India has less than one crore businesses under the GST.
Over 72 lakh existing excise, service tax, and VAT players have moved towards the GST since 1st July. The sales return GSTR-1 for July can be filed till 10th September and the purchase return GSTR-2 can be filed by September 25th. GSTR-3 which is the match for GSTR-1 and GSTR-2 can be filed till 30th September 2017.