With the Goods and services tax (GST) collection falling to a 19-month low in September 2019, the government has formed a committee of officers to suggest urgent measures to boost collections, expand the tax base and check evasion. The panel comprises state GST commissioners of Maharashtra, Tamil Nadu, Uttar Pradesh, West Bengal and Punjab besides central government officials including Principal Commissioner of GST and Joint Secretary (Revenue).
The committee has been asked to consider a wide range of reforms so that a comprehensive list of suggestions may emerge. It has been asked to look into systemic changes in GST including checks and balances to prevent misuse. Also, it has been tasked to suggest measures to improve voluntary compliance as well as policy measures and changes in law needed.
GST collections dropped sharply to a 19-month low of Rs 91,916 crore in September, reflecting a widening slowdown in the economy triggered by shrinking consumer demand. This was the second straight month of decline in GST collections, which from July 1, 2017, amalgamated 17 different central and state levies, including excise duty, service tax and VAT.