Friday, February 23, 2018

The government sees three models to replace the current GST return filing process; Nilekani's model is simple, experts say

After the GST Council decided to eliminate the method of registering three returns a month, the council is now considering three models, one of which should replace the existing system. Two other models have been recommended by GST Network Chairman Ajay Bhushan Pandey and Infosys Chairman Nandan Nilekani.

While the details of the GSTN chairman's model are sketchy, it is necessary to distribute the transaction-level monthly returns (GST-1,2 and 3) and to issue a comprehensive summary return on a monthly basis. It annually revises the monthly on a monthly basis (with a combination of sustainability and annual basis), on a monthly basis, and suggests GSTR 3b and quarterly GSTR 1,2 and 3.

Information about Nileki's model is more detailed and tax experts suggest that it is very likely that the government will accept this model from the model suggested by GSTN Ajay Bhushan Pandey.

Nileki's model talks about the simplification of tax filing process by filing a return, and instead requires invoices upload and acceptance. It suggests replacing GSTR1 with easy invoice uploads; The seller must be required to upload the invoice and the buyer will accept it.
It recommends invoices upload and acceptance as a continuous activity instead of a time-limited process with acceptance of a double process - the seller accepts the invoices uploaded by the buyer and vice-versa.

Nileki's model claims on the InVoice grounds on input tax credit (ITC) and tax payers. ITC will be provided for "matching" invoices, while ITC is being uploaded when the supplier has uploaded the invoice. If the supplier does not upload, the buyer can also upload After uploading by the buyer, sellers can accept invoices.

Nilekani also indicates that invoices automatically flow from GSTN Portal to E-way Bill Bots.

Tax experts say Nileki's models are easy to see from three models.

"The model of Nilekani, which has the validity of invoice-wise matching and compensation, which makes auto-draft by GSTN Portal, makes it easy and it is likely to reduce the tax payer burden," says Harpreet Singh, an indirect tax partner. , KPMG

An official of the Central Board of Excise and Customs (CBEC) told Business Today that if the model of Nilekie looks simple, then it should be kept in mind that Nileki is a technology person, and if her model is simple, then she has to comply with all. . GST Rules

Harpreet Singh of KPMG says that some changes may need to be made in the rules to incorporate the model of Neklala, but there are not any significant changes to make.

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