New Delhi: From January 1, taxpayers whose annual turnover is less than Rs 5 crore will not need to file monthly returns like GSTR 3B and GSTR1. They only have to file quarterly returns. However, payment has to be made through challan every month. This decision has been taken in the 42nd meeting of the Goods and Services Tax (GST) Council. After the meeting, Finance Secretary Ajay Bhushan Pandey gave this information in the press conference.
However, despite the whole day’s meeting, there was no consensus on the options provided by the central government on the issue of GST compensation in the center and all the states. This issue will now be attempted to be resolved in the next GST Council meeting. The next meeting will be held on 12 October.
The GST Council has decided to continue the compensation cess even after June 2022. One of the other decisions of the GST Council has also been that now states will be provided 1.1 lakh crore rupees as a loan instead of 97000 crores under the first of the two options provided under GST compensation.
In the last GST Council meeting held on August 27, a shortfall of Rs 2.35 lakh crore was estimated in GST revenue in the current financial year. To compensate for the decline in this revenue, the Center gave two options. Under the first option, states can take a loan of Rs 97,000 crore from RBI under a special window. Under the second option, the Center should borrow Rs. 2.35 lakh crore from the market and give it to the states. The Finance Minister has also said that it is not the case that those who do not choose any of the two options given by the Center will remain empty-handed. Solutions will also be found for them.
In the conference, Finance Minister Nirmala Sitharaman said that the Compensation Cess that came this year is 20000 crores. It will be distributed to the states on Monday night only. Apart from this, by the end of next week, IGST arrears of Rs 24000 crore will be released to those states, which have received less before. Extra funds will be given to other states later.
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