Start of GST in Odisha by PM Modi from central hall to be implemented in Bhubaneswar, cuttack and all city in grocery, kirana store & hyper-local eCommerce startup. Now Goods and Service tax started all over india to have an aim to provide good and simple tax system in ecommerce, kirana and grocery market.
From 00:00 01-July-2017 , India has given green flag to a new tax system with the name of One Nation , One tax called G.S.T . From odisha startups community and Bhubaneswar startups community, we welcome the decision of Hounorable PM, Sri Narendra Modi. Previously e-commerce portal (maarketplace) were not collecting tax in any form. But in the GST, portal will collect tax at a fixed rate of 1 per cent while paying to the sellers listed on portal. For refund and return policy, ecommerce portal from different segment like grocery, hyperlocal may face some difficulty. As Returns and cancellations are going to be bit challeneging. At the time of collecting tax at source, e-commerce portal running companies will have to bear the tax amount of their own and will later get refund from the government .
GST is the biggest tax reform among all indirect taxation since Independence. The possitive side of GST is in bhubaneswar, cuttack, delhi, pune, jharkhand, Guwahati any city, the price for product will be same irrespective of location. All 23 diffierent tax is now combined and replaced by GST. the GST is finally becoming a reality after 17 years. Under the new regime, taxpayers will pay one consolidated tax instead of a variety of taxes. The GST Council has finalised tax rates of 0%, 5%, 12%, 18% , 28% for goods and services. The government has kept a large number of items under the 18% tax slab.
As per Finance Minister of India Sri Arun Jaitley has said, “As I said, we made sure that consumers don’t have to pay more. The net effect of goods and services is not going to be inflationary because once the system of input credits starts the actual incidence is going to be positively impacted.”
The government categorised 1,211 items under various tax slabs. Exceptions are education and healthcare, which will continue to be exempted from tax in the upcoming GST regime. Similarly, gold and rough diamonds do not fall under the current rate slabs and will be taxed at 3% and 0.25% respectively. for details refer the link http://www.thehindubusinessline.com/multimedia/archive/03166/GST_rate_schedule__3166109a.pdf
From ET source GST STRUCTURE is given below:
- transport services will be taxed at 5%, leading to a small drop in economy class air travel which currently attracts 6%. The 5% rate will also apply to cab aggregators like Ola and Uber, which currently pay 6% tax.
- Healthcare and education services will continue to be exempted from tax under the GST.
- Hotels and lodges charging INR 1,000 as per day tariff will be exempt from GST. Rate for hotels with a tariff of INR 1,000-INR 2,000 per day would be 12%, while those with INR 2,500-INR 5,000 would be 18%. The GST for hotels with tariff above INR 5,000 will be 28%.
- Ecommerce players like Flipkart, Snapdeal will have to deduct 1% TCS (tax collected at source) while making payments to suppliers. The Ministry of Finance has however delayed provisions related to TDS (Tax deducted at source) and TCS for ecommerce players yesterday in order to ensure the smooth rollout of the GST.
- Under the GST regime, businesses with a turnover exceeding INR 20 Lakhs will have to pay duty. Earlier this limit was INR 1.5 Cr. For the North Eastern States, the exemption limit has been set up at INR 10 Lakhs. This increase in the GST threshold limits will mean a sigh of relief for traders and service providers. This is because, currently, the threshold of VAT is INR 5 Lakhs in most states and INR 10 Lakhs for service tax, which will mean more taxpayers will be exempt from the GST. However, it also creates bad news for manufacturers because the previous excise threshold was INR 1.5 Cr. Hence, small manufacturers with a threshold more than INR 20 Lakhs will have to register under the GST.
Buy online vegetables, grocery, fruits online in bhubaneswar, cuttack. We support GST.