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GST Council constitutes 18 sectoral groups to sort out industry issues

12 Jun 2017 Evaluate

In order to ensure smooth transition into the new tax regime, The Goods and Services Tax (GST) Council has constituted 18 sectoral groups to interact with the sectors like telecom, banking and export and sort out their issues in a time-bound manner. The other sectors which would be looked into by the group include IT and ITes, textiles, gems and jewellery, food processing, e-commerce, oil and gas, pharma and MSME.

The Council in its fourteenth meeting had decided to set up these sectoral groups to better understand industry concerns as India moves towards the GST, which will subsume 16 different taxes including excise, service tax, VAT and other local levies. The groups formed, represent various sectors of the economy and contain senior officers of the Centre and the States to ensure smooth implementation of GST by giving a timely response to the issues and problems of their respective sector.

The sectoral groups ensure to interact and examine representations received from trade and industry associations/bodies of their respective sector, highlight specific issues for the smooth transition of the respective sector to the GST regime and prepare sector specific draft guidance.

As per the Finance Ministry statement, ‘concerned industry groups/associations or even individual industry representatives may approach the respective sectoral group officers with their problems relating to GST implementation who, in turn, will try to guide and help them in resolving the same’. It also said that this exercise will help in dealing with most of the sectoral problems and issues at the local/regional level. The new levy kicks in from July 1 and the government is hopeful that the sectoral groups will help in dealing with most of the issues at the local and regional levels.

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