Panaji : Post cuts in goods and service tax (GST) rates, industries and trade establishments in the state are heading for greater scrutiny on their tax records with the office of the Commissioner of State GST (SGST) is planning to strengthen compliance and enforcement across taxpayers.
Commissioner SGST Sarpreet Singh Gill on Monday said, “it is time for compliance now,” as the Union government has taken all steps to bring down tax rates to minimum and simplify the payment system.
Saloons, registered with online travel aggregators, dealers of goods, and even hospitality establishments in Goa are disinclined for GST compliance, he di closed.
“Large dealers in the state doing business running into lakhs of rupees pay little GST,” he remarked, pointing out that in the days to come GST officials will be working closely with the income-tax department to home in on tax eva ders.
“Once the two departments work together there is no escape for the business which is not paying tax. Whosoever is required to register for GST must register and pay up,” advised Gill.
Speaking at a Goa Chamber of Commerce & Industry (GCCI) function on the topic ‘GST 2.0: Gearing up for next generation reforms’, he revealed that the SGST department is already in close communication with the excise department to plug leakages in value-added tax (VAT.)
Goa has about 5,000 GST payers. The commissioner said it is early days to comment on whether the state will gain or lose revenue due to the tax cuts.
“We expect the reduction to increase demand. It is going to be good for consumers as well as industry. It will benefit the economy,” he reckoned.
The GCCI event revealed that most businesses in the state are worried over their inventory which has a higher markup of GST rate. The deadline to switch to the lower tax rate is from September 22.
Gill maintained that virtually all sectors have benefitted from the GST rate reduction.
“GST on food items was confusing with multiple rates. It is now five per cent excluding few food items,” he said.
