GST: Centre extends suspension of reverse charge mechanism by one year

New Delhi, Aug 7

In a commerce-accurate pass, the Centre has extended the suspension of the reverse price mechanism on purchase of products or products and companies by registered dealers from unregistered dealers at some level of the enlighten till September 30.The suspension was once earlier official till September 30 this year. Alternatively, this has been extended by 365 days. The suspension would now be official till September 30, 2019, the Central Board of Indirect Taxes and Customs (CBIC) has talked about.Right here’s now not essentially the most major time such dispensation is being extended. This suspension was once earlier on hand till March 31, 2018, and then extended to June 2018 and then to September 30, 2018. It has now been extended to September 30, 2019.With this, any registered seller need to purchase goods or products and companies from unregistered dealers without forking out GST under reverse price till September 30 next year, tax experts talked about.This pass will elevate critical compliance reduction to tall companies and support them to grab from unregistered dealers, they added.EXPERT TAKEM S Mani, Associate, Deloitte India, talked about the decision to defer reverse price on transactions with unregistered dealers to September 2019 would sever the compliance burden for companies. It would possibly perhaps probably perhaps furthermore lead to diminish collections because it was once a key anti-evasion measure at some level of the long-established GST structure, he talked about.Srivats.kr@thehindu.co.in

Published on

August 07, 2018

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