Multiple tax slabs, higher tax rates and procedural complexities had made India’s Goods and Services Tax (GST), the most complex tax system in the world, said a press release from the Tamil Nadu Chamber of Commerce and Industry.
The press release also stated that business people were finding it tough to sustain the compliance cost to seek guidance from the tax consultants for filing returns under GST. Hence circulars and notifications must be implemented prospectively, said the release.
The press release also sought for abolition of 28% GST slab and to remain sin and luxury goods in the highest slab rate of 18%. There should be only three other GST rates of 15%, 12% and 5% besides the exempted category.
The government must introduce a system wherein businesses above a certain turnover threshold could generate e-invoice on GST Portal for every sale, thereby effectively reducing room for tax evasion.
