Many large companies to move Appellate Authority against GST demand notices
In recent days, an increasing number of GST notices have been sent to many companies mainly on account of alleged discrepancy in input tax credit (ITC).
GST rates will not be revised unless there is an anomaly or the rates are unjustified, CBEC Chairperson Vanaja Sarna said on Wednesday.
Her comments came in the wake of textile traders' demand of lowering five per cent GST on textiles.
“It is an issue that has snowballed but it is not something which cannot be settled… The issue is that textile sector is taxed for the first time. So anybody who comes into the net would feel the pinch,” Sarna said at a CII event here.
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Yesterday, the traders in Surat called off their two- week-long strike against five per cent GST following the Centre's assurance to look into their demand of rollback.
She further said: “Unless there is something not fully justified. ..unless there is an anomaly, I don't think there is a reason to look at any rates at the moment.”
The Central Board of Excise and Customs (CBEC) has received representations from textile traders and is looking into their demands, Sarna said.
She said industry will have issues relating to GST rates, laws and rules and there is still time for industry to present its wish list as July one was not the end date.
But, it would not be possible to meet the demand for GST rate reduction unless there is an anomaly, or there is a need for correction, or something has been left out.
“July one doesn't close everything and the kind of fitment of commodities that has taken place is kind of doing five budgets in one,” she said.
GST was rolled out on July one and has four tier tax slab of 5, 12, 18 and 28 per cent.
Over 1,200 goods and 500 services have been fit into these tax slabs.
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