Latest news with #CBEC
Time of India
4 hours ago
- Business
- Time of India
Uncertainty Over Trade Deal With US, Malnutrition In Gaza & More
GST Revolution Ahead: Experts Decode PM Modi's Plan To Simplify India's Tax Structure Prime Minister Narendra Modi's Independence Day promise of next-generation GST reforms has triggered strong expert responses. Economist Ved Jain highlights that after eight years, India is ready to move from multiple slabs to a simpler two or three-rate system. Former CBEC Chairman Najib Shah says merging current slabs could free up consumer spending and fuel demand. Pankaj Mohindroo of ICEA believes GST rationalisation is essential for 'Viksit Bharat @ 2047' and will help both industry and consumers. Experts agree the shift is not just about tax, but about a structural reform that could shape India's economic future. 12.1K views | 1 day ago
Time of India
5 hours ago
- Business
- Time of India
Hundreds March In NYC Urging Trump To Stop U.S. Arms To Israel Amid Gaza Starvation Crisis
GST Revolution Ahead: Experts Decode PM Modi's Plan To Simplify India's Tax Structure Prime Minister Narendra Modi's Independence Day promise of next-generation GST reforms has triggered strong expert responses. Economist Ved Jain highlights that after eight years, India is ready to move from multiple slabs to a simpler two or three-rate system. Former CBEC Chairman Najib Shah says merging current slabs could free up consumer spending and fuel demand. Pankaj Mohindroo of ICEA believes GST rationalisation is essential for 'Viksit Bharat @ 2047' and will help both industry and consumers. Experts agree the shift is not just about tax, but about a structural reform that could shape India's economic future. 12.1K views | 1 day ago
India.com
a day ago
- Business
- India.com
GST Reforms To Increase Disposable Income Of Consumers: Expert
New Delhi: The government's plan to overhaul the Goods and Services Tax (GST) structure will give Indian consumers more disposable income, potentially boosting demand and overall consumption in the economy, said Najib Shah, former Chairman of the Central Board of Excise and Customs (CBEC) on Saturday. The Central government has mulled reducing the current four-slab structure into two primary rates -- 5 per cent and 18 per cent -- while introducing a special 40 per cent slab for luxury and sin goods. The proposal came after Prime Minister Narendra Modi, during his Independence Day address from the Red Fort, said that the next generation reforms in GST will be unveiled by Diwali, which will provide "substantial" tax relief to the common man and benefit small businesses. (Also Read: SBI Offers Exclusive Personal Loan Up To Rs 4 Lakh For Agniveers) In an interaction with IANS, Najib Shah suggested that 'current slabs could be merged into new slabs -- 5 per cent slab with 12 per cent slab merged into a middle slab of roughly 7-8 per cent'. 'The 12 per cent with 18 per cent can be merged into a 15-16 per cent slab, and the 28 per cent rate possibly moving to 30 per cent once the cess is removed in March 2026,' he added. Shah said that the reduced multiplicity of rates and lower tax slabs should leave more disposable income with consumers, potentially boosting demand and overall consumption in the economy. (Also Read: Only 1 Month Left For ITR Filing — What Happens If You Miss Deadline?) The expert noted that 'GST reforms should lead to lower prices, smoother credit flow, resolution of tax inversion issues, and reduced disputes, ultimately cutting costs for producers and consumers alike'. Government collections should not be adversely affected while still offering relief to consumers. Further, small and medium enterprises stand to gain significantly from simplified tax rates, lower compliance burdens, and improved access to seamless credit within the GST framework. Calling the GST reforms 'long overdue', Shah told IANS that he sees them as 'a transformative step that will strengthen the tax system, stimulate growth, and reinforce India's position as a prime investment destination'. As per the government proposal, likely, around 99 per cent of items currently taxed at 12 per cent are expected to shift to the 5 per cent bracket, while 90 per cent of goods in the 28 per cent slab, including white goods, will move to 18 per cent. "Finalising these new rates will require crucial GST Council meetings, followed by GST Network readiness to ensure smooth and seamless execution nationwide," Shah said. Shah also exuded optimism at S&P's and RBI's positive outlook on India's stable GDP growth projection of 6.5 per cent, the highest among major economies. "While US tariffs could affect certain labour-intensive exports, their overall impact on GDP will be minimal as exports to the US constitute only about 2 per cent of India's economy," he told IANS. India must seek alternative export destinations and enhance competitiveness to offset any impact from US tariffs, supported by targeted policy measures. India's multiple FTAs and CEPAs -- UK already finalised and EU nearing completion -- will not only reduce trade barriers but also attract significant foreign investment, he noted.
Time of India
a day ago
- Business
- Time of India
GST Revolution Ahead: Experts Decode PM Modi's Plan To Simplify India's Tax Structure
/ Aug 16, 2025, 12:27PM IST Prime Minister Narendra Modi's Independence Day promise of next-generation GST reforms has triggered strong expert responses. Economist Ved Jain highlights that after eight years, India is ready to move from multiple slabs to a simpler two or three-rate system. Former CBEC Chairman Najib Shah says merging current slabs could free up consumer spending and fuel demand. Pankaj Mohindroo of ICEA believes GST rationalisation is essential for 'Viksit Bharat @ 2047' and will help both industry and consumers. Experts agree the shift is not just about tax, but about a structural reform that could shape India's economic future.
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Business Standard
26-05-2025
- Business
- Business Standard
Duty drawback on inputs used in export products shouldn't be denied
The standard input-output norms (SION) for our product are already fixed but they do not fully meet our requirements. So, we had applied for review of the norms under Para 4.06 of the HBP, which is still under consideration. Meanwhile, we have received an order for export of the same product. Can we now apply for advance authorisation under SION or under Para 4.07 of the HBP to meet our immediate requirement? Yes. There is no bar on applying for advance authorisation under SION or Para 4.07 of HBP while your request for review of the SION under Para 4.06 of the HBP is pending. We have obtained an advance authorisation under SION, which allows 4 inputs. We want to import only 3 of the inputs. We are holding duty paid stocks of the 4th input. We will make the export product using all the 4 inputs. Can we file DEEC-cum-Drawback shipping bill and adjust the exports against the export obligation and also claim the drawback of the duty paid on the 4th input? In my opinion, you can do that, because there is nothing in Section 75 of the Customs Act, 1975 or the Customs and Central Excise Duties Drawback Rules, 2017 to deny the drawback of the duty paid on the inputs except under specified circumstances. However, you better get the duty paid input removed from the advance authorisation because the CBEC Circular no.89/2003-Cus dated 6th October 2003 says that (relevant extracts) 'brand rates can be fixed for rebating duties on such inputs which do not figure in relevant Advance Licence/DEEC Book and which have been procured by exporters indigenously or through import under the cover of proper duty paying documents i.e. Central Excise invoices or bills of entries, as the case may be'. Also, you may take careful note of Para 4.15 of the FTP which says that 'drawback as per rate determined and fixed by Customs authority in terms of DoR Rules shall be available for duty paid imported or indigenous inputs (not specified in the norms) used in the export product. For this purpose, applicant shall indicate clearly details of duty paid input in the application for Advance Authorisation. As per details mentioned in the application, Regional Authority shall also clearly endorse details of such duty paid inputs in the condition sheet of the Advance Authorisation'. In my opinion, the restriction that drawback will be available only for 'duty paid inputs not specified in the norms' makes no sense. You may represent to the DGFT to remove that irrational restriction.
