Trust Bloomberg Tax for the international news and analysis to navigate the complex tax treaty networks and global business regulations.
By Siri Bulusu
The Indian government granted a five-day extension to the first goods and services tax payment deadline, one day before the original deadline.
The Central Board of Excise and Customs announced Aug. 19 that the original deadline of Aug. 20 for GST payments would be extended to Aug. 25 due to requests from taxpayers, technical issues, and unexpected flooding during the monsoon season.
The new deadline for the transitional credit form is Aug. 28, 2017, while taxpayers not availing any credits will have to file form GSTR 3B by Aug. 25, 2017.
“The taxpayers and tax practitioners have requested for few more days to file their Return,” the Aug. 19 CBEC release stated.
The CBEC announced the extension on Twitter on August 19 where dozens of followers commented that the return filing website was crashing and not loading.
Practitioners said the extension is a move to deflect blame for a lack of government preparedness.
“The government is saying the taxpayers are not ready, but on [Aug. 20] the website was not working over the weekend indicating that their IT infrastructure is not up to the mark,” Vispi T. Patel, head of Mumbai-based accounting firm Vispi T. Patel & Associates, told Bloomberg BNA Aug. 21.
Patel said taxpayers are likely also struggling to adjust to the new return filing system, but that the government is not providing enough time for those genuine issues taxpayers are facing.
“I’m not sure why the government delayed by five days when it should have been delayed by 10 working days—people want to comply, so give them time to comply,” Patel said.
The last-minute decision to postpone the date has practitioners wondering how the next round of return filings will be handled, since it will involve a more complicated filing process.
“Basically the systems are not ready to take on the load, and this is only the summary return—they’ve not tested the system for the invoice level reporting that is due in September,” Santosh Sonar, executive director of indirect tax and BSR & Affiliates, told Bloomberg BNA Aug. 21.
Sonar said the government has “attributed this problem to the taxpayer while not accepting that the government system is not working” which is worrying to his clients who are preparing for the next round of invoice-level returns that are due in September.
The current filing dates for the GST return forms for the month of July are:
To contact the reporter on this story: Siri Bulusu at email@example.com
To contact the editor responsible for this story: Penny Sukhraj at firstname.lastname@example.org
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)