Members of the Tamil Nadu Vanikar Sangangalin Peravai, a traders’ association in Coimbatore, have furnished a petition to the District Collector asking for a rollback of 18% GST imposed under the Reverse Charge Mechanism on rents paid for commercial properties used for business objectives.
Regarding the financial load on small-scale retailers who face distinct taxes and regulatory fees, including municipal taxes, trade licenses, agricultural product sales allows, weight and measure certifications, and food safety registrations, S. Lingam, president of the association, expressed their concern. Such charges were once handled Lingam marked that they have surged, placing strain on business owners.
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For the filed 18% GST the businesses with a turnover under Rs 1 crore are eligible to claim a refund, Mr. Lingam inclined that in the existing economic circumstances, a turnover of Rs 1 crore can be achieved easily for most traders. Consequently, many small retailers discover it problematic to claim a refund.
A GST rate reconsideration is been sought by the association claiming that the high tax makes it difficult for small-scale businesses to remain feasible.
