New Delhi [India], December 25 (ANI): The Confederation of All India Traders (CAIT) on Friday sent a communication to Finance Minister Nirmala Sitharaman raising strong objections against the recent notification of the incorporation of Section 86-B in Goods and Services Tax (GST) rules which mandates levying of 1 per cent tax to be deposited by businesses whose monthly turnover is more than Rs 50 lakh.
"The recent notification of GST incorporating Section 86-B, which levies a mandatory payment of 1 per cent tax to be deposited where the monthly turnover is more than Rs 50 lakh is a counter-productive step which will load the traders further with burden of compliance and also much financial obligation," the letter read.
The country's apex trade body said that in the light of the current scenario when the internal trade is "highly disturbed" due to repercussions of coronavirus pandemic and traders are fighting for the survival of the business. "It is strongly urged that Rule 86-B may please be deferred to be implemented from January 1, 2021," it added.
CAIT also requested the Finance Minister to extend the date of filing GST and Income Tax audit returns from December 31, 2020, to March 31, 2021.
"We strongly lodge our protest for certain amendments including above amendment which in itself is a killing provision and request you to extend the date of filing GST and Income Tax audit returns from December 31, 2020 to March 31, 2021," the trade body said.
The central government on Wednesday inserted a rule regarding GST where businesses with a monthly turnover of over Rs 50 lakh will have to mandatorily pay at least one per cent of their GST liability in cash. (ANI)