4 Years of GST - CAIT Calls it a Colonial Taxation System

The CAIT circular further says that various amendments and introduction of Rules under GST in the recent past have made the taxations system much complicated and put much compliance burden on the traders. The CAIT has sought an appointment with the Finance Minister Nirmala Sitharaman to discuss current situation of GST and as to how it can be made more business friendly.

CAIT note states that it is not alone the Central Government but largely the State Governments are more responsible for distorting the taxation system and bringing disparities and anomalies in GST making it a more complex system and a big headache for the traders-said BC Bhartia, President, CAIT and & Praveen Khandelwal, Secretary General, CAIT.

CAIT National President BCBhartia and Secretary General Praveen Khandelwal said that even after 4 years of GST implementation in India, the portal is still struggling with many challenges. The rules are amended but the portal fails to update with said amendments timely. So far no National Appellate Tribunal has been constituted. No Central Advance Ruling Authority has been constituted giving a free hand to States to interpret the law in their own way distorting the fundamentals of "One Nation-One Tax". The taxation authorities are more interested in taxation compliances but never thought that large chunk of traders in the Country are yet to adopt computerization in their existing business. format and no step has been taken to equip the traders with computers etc.

Bhartia and Khandelwal said that in recent past, the GST Council has thrown all canons of natural justice by empowering the Authorities to cancel GST Registration of any trader without giving him any notice or an opportunity of hearing. Unfettered and arbitrary powers are given to officers without realising the misuse of such powers which may lead to corruption. The GST law has been greatly distorted by the Authorities which is evident from the fact that since the date of GST implementation till 31st May, more than thousand notifications have been issued and interestingly the traders have not been allowed to rectify their returns even for once. In such a situation how can we expect traders for timely  compliance of the taxation system.

Bhartia and Khandelwal said that they wish to resolve these and other core issues by way of dialogue with the Finance Minister. Similarly, the issue will also be taken up with State Chief Ministers and Finance Ministers. The CAIT statement concluded by saying, "We are more inclined to join hands with the Government in widening the tax base, increase in revenue but with simplification and rationalisation of tax structure."