Mutual Funds as people believe them to be a commodity or asset management tools may get a price hike, as speculated by the Association of Mutual Funds in India (AMFI). The association leading body meets up with GST Commissioner Upender Gupta and discussed with him about the concerned issues regarding this matter.
The association told and at the same time asked that the GST Model law should provide for centralized registration and reflect details of all the places of business. The current provisions of the law “would impose an enormous burden of compliance on the assessees. Even if the assessee operates from a single place of business, they would be required to file one annual return and four monthly returns, namely, statement of input supplies, statement of output supplies, regular return and TDS return,”
“It needs to be noted that in the MF sector, the branches undertake marketing of the schemes, maintain a relationship with unit-holders and distributors, etc, which are only auxiliary to the investment management services provided by an AMC. They do not undertake any supply of investment management service and hence, they may not be required to be registered under the GST law,” it added
