GST will be soon actualized in the nation with having seamless opportunities for the business community, but it seems that Jammu and Kashmir business community will be having a tough time to deal with the upcoming tax regime due to its autonomy rode financial state.
As it is speculated that a hefty amount of loss will be incurred without the proper knowledge of GST and also it may be compromised on the grounds of various other issues. In the upcoming meeting of GST council in Srinagar which will be organized on May 18 will be crucial for the state to see any opportunity on behalf of its business community. The business chamber of Jammu and Srinagar is also seeking to have a personalized appointment with union finance minister Arun Jaitley to discuss some emerging issues which are unique to the state.
Currently, Jammu and Kashmir enjoys special privilege under the constitution of India and on the basis of this it has to draft GST laws from its own and will have to comply with other states accordingly. In this direction, the Jammu and Kashmir government has also figured out to initiate a special assembly session to clear the bill and laws related to the regulations before the July 1st, a deadline decided by the apex authorities of India.
Apart from this, the business community is blaming the government for not paying attention to the community and has not provided any knowledge sharing platform to introduce goods and services tax in the state. Mushtaq Ahmad Wani, president of Kashmir Chamber of Commerce and Industry said that “The government is doing nothing to allay fears of the business community. If they finalize the rates in an upcoming meeting, what will be left to the state legislature? We cannot compromise our financial autonomy.”
Javed Burza, president Kashmir Hotel and Restaurant Owners Federation mentioned in the press that, “We have no idea about GST. We just understand that things will be expensive. But I don’t think we have any financial autonomy left.” other minister of the state like Srinagar-based Assistant Commissioner of Customs and Central Excise, Jayapal J also told that “Flexible band of the rates decided by the GST council can satisfy the special status of the state. As per the reports, GST law would increase the revenue of J&K which is largely a consumer state.”
While on the other hand, president JCCI, Rakesh Gupta said that “There would be great chaos and losses. Nobody knows what to do. We have to see how industries would be compensated under the new law.” And a senior tax authority cleared that, “We are lagging behind in awareness campaign especially in Kashmir. All our staff is ready but the state legislature has to do pass the law and then things would be clear.”
