In a GoM panel which has been set by the union tax body and GST council has been sorting to view upon issues and complications regarding the micro, small and medium enterprises (MSME) sector in the second meeting scheduled for 29 October. The meeting will discuss easier compliance for the sector in order to offer betterment.
A discussion knowing officials stated that “The issues small traders were facing in the GST regime have been taken care of by the relaxations already announced at the last Council meeting. A lot of MSMEs with sales up to Rs. 1.5 crore, who, in the earlier regime had enjoyed excise duty exemption, have come under GST because of the Rs. 20 lakh sales threshold for GST registration. We want to consult small manufacturers on the issues they face in the new tax regime.”
The GST council is also considering various facts which leads to the complex procedure of MSME sector and has been researching various methods to make it easier. The consideration is on the behalf of the contribution that the MSME sector makes to the economy. A data research mentioned that the sector has been performing around 33 percent of manufacturing output for the economy in which 36 million of establishment participated and employing around 80 million people on hand.
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The GoM meeting represented minister including Assam finance minister Himanta Biswa Sarma, Bihar deputy chief minister Sushil Kumar Modi, Jammu and Kashmir finance minister Haseeb Drabu, Punjab finance minister Manpreet Singh Badal and Chhattisgarh commercial taxes minister Amar Agrawal.
