{"id":4833,"date":"2020-03-13T17:21:48","date_gmt":"2020-03-13T11:51:48","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=4833"},"modified":"2021-06-09T16:58:44","modified_gmt":"2021-06-09T11:28:44","slug":"39th-gst-council-meet","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/39th-gst-council-meet\/","title":{"rendered":"39th GST Council Meeting: Expected Changes"},"content":{"rendered":"\n<p>The 39th GST Council meeting is to be held on this coming Saturday, i.e. March 14, 2020, at Vigyan Bhawan New Delhi. The Union Finance Minister Nirmala Sitharaman will chair the meeting. The Council in its 38th meeting is expected to deliberate on crucial issues under <a href=\"https:\/\/corpbiz.io\/gst-registration\"><strong>Goods and services tax<\/strong><\/a> including <strong>rationalization of tax rates<\/strong><sup><a href=\"https:\/\/pib.gov.in\/newsite\/PrintRelease.aspx?relid=136993\"><strong>[1]<\/strong><\/a><\/sup> on various sectors, deferment of implementation of the new return filing system and e-invoicing etc.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Issues to be Discussed in 39th GST Council Meeting<\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"580\" height=\"341\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/image-29.png\" alt=\"39th GST Council Meeting\" class=\"wp-image-4834\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/image-29.png 580w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/image-29-300x176.png 300w\" sizes=\"(max-width: 580px) 100vw, 580px\" \/><\/figure><\/div>\n\n\n\n<ul><li>The\nGST Council is expected to discuss operational glitches on the GST Network\nportal and seek a resolution plan from Infosys which had won the contract for\nmanaging back-end for GSTN in 2015.<\/li><li>The\nCouncil would also be discussing ways to increase revenue collection.<\/li><li>In\nit&#8217;s meeting the Council would also discuss the integration of the GST e-way\nbill system with the NHAI&#8217;s FASTag mechanism from April to keep track of the\nmovement of goods and prevent tax evasion.<\/li><li>The\nplanned lottery scheme under GST, which is proposed to be launched from April\n1, 2020, will also be discussed in the meeting. The Council will decide on\nlottery offers by conducting lucky draws every month for invoices of all\nbusiness-to-customer (B2C) transactions.<\/li><li>Inverted\nDuty Structure causes an annual revenue loss of Rs 20,000 crores. The GST\nCouncil in its meeting is expected to <strong>correct\ninverted Duty Structure<\/strong> to create a balance between the duty levied on the\nfinished product and that on the raw material. <\/li><\/ul>\n\n\n\n<p>The inverted\ntax structure is a situation where tax rates are higher on inputs than on the\nfinished product.<\/p>\n\n\n\n<ul><li>The Council would discuss <strong>rationalization of GST rates<\/strong> in sectors which see duty inversion, leading to high input credit refund claims. <\/li><li>Currently, mobile phones attract 12 per cent duty while mobile parts and batteries attract an 18% tax rate causing an inverted tax structure. Similarly, fabric attracts 5% <a href=\"https:\/\/corpbiz.io\/learning\/impact-of-gst-rate-on-indian-economy\/\"><strong>GST rate<\/strong><\/a> while several categories of yarns are taxed at 12%. Likewise, the GST rate on chemical fertilizers is 5 per cent while inputs are taxed at 12 %. GST Council is expected to rationalize the tax rates of these sectors to increase revenue collections.<\/li><li>The GST Council is also expected to discuss the <strong>deferment of e-invoicing and QR code benefits<\/strong>, along with exemption on certain sections of the industry from undertaking e-invoicing.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Take Away<\/h2>\n\n\n\n<p>GST Council in its 39<sup>th<\/sup> meeting is expected to correct the inverted duty structure and increase GST rates on mobile phones, footwear, fertilizer and textiles. Besides, GST Council will also deliberate upon the operational glitches on GST Network portal. All these expected moves of increasing GST rates would augment revenue collection. Moreover, the GST Council is also expected to discuss the measures to avoid tax evasion. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/impact-of-gst-registration-on-indian-economy\/\">Pragmatic Impact of GST Rate on Indian Economy<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The 39th GST Council meeting is to be held on this coming Saturday, i.e. March 14, 2020, at Vigyan Bhawan New Delhi. The Union Finance Minister Nirmala Sitharaman will chair the meeting. The Council in its 38th meeting is expected to deliberate on crucial issues under Goods and services tax including rationalization of tax rates[1] [&hellip;]<\/p>\n","protected":false},"author":15,"featured_media":4835,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[16,152],"tags":[397],"acf":{"service_id":"132"},"authorName":"Shubham Chauhan","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/02\/shubham-chauhan.jpg","authorDescription":"A passionate legal content writer, a nature enthusiast, an avid reader, and a part-time thinker. By means of conducting in-depth research on industry related topics, Shubham often builds flawless and intelligible legal content for populace from all walks of life.","postViews":6783,"readingTime":2,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4833"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=4833"}],"version-history":[{"count":9,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4833\/revisions"}],"predecessor-version":[{"id":31667,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/4833\/revisions\/31667"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/4835"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=4833"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=4833"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=4833"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}