Seeking new GST, FAIVM sends memorandum to PM

STATE TIMES NEWS

JAMMU: Disappointed with day-to-day changes in GST, tough compliance in GST and increasing punitive action, the leading trade organisation viz Federation of All India Vyapar Mandal (FAIVM) has urged theGovernment of India to replace the existing GST with a new GST law. On Monday, a letter present to ADDC Ramesh Sharma by FAIVM J&K President Sanjay Bansal along with Vice-president Sandeep Mengi, General Secretary Subash Nanda, Secretary Arun Sabharwal and Media In charge Puneet Arora, for onward submission to Prime Minister Narendra Modi. Similar letters were sent through more than 400 District Magistrates and Dy Commissioners across the nation, demanding that the Government should bring a new version by making structural changes in GST for self-reliant India.
In the memorandum, FAIVM mentioned that as the biggest tax reform of the century, in July 2017 when GST was introduced, the country enthusiastically welcomed the new tax system and expected that it would be simplistic and liberal, the tax evasion would be checked and the input tax credit would be received without any hindrance, etc. The current GST system has become a major problem for small traders. It is a well-known principle that tax compliance is enhanced simultaneously tax collection is always higher under a simple tax regime.
V K Bansal, National General Secretary, FAIVM said that it has become necessary to reassess and evaluate present GST provisions that were amended in past 42 months and have become imperative need for an updated version of GST.
“The new version of GST should be written in such a way that it can prevent tax evasion, the government gets more revenue, and the trader segment should be encouraged to discharge their tax liability with minimal compliance. The updated version should be formulated in such a way that it could counter tax evasion, enhance tax collection and encourage the taxpayers willingly to comply with the rules and regulations with minimal stress,” he added.