All India Association of Chit Funds welcomes
the Goods and Services Tax (GST)
All India Association of Chit Funds welcomes the Goods and
Services Tax (GST) which is one of the biggest taxation reforms to take place
in India, as it will replace all indirect taxes levied on goods and services by
the Government, both Central and States.
Government’s effort to create a
single, cooperative and undivided Indian market to make the economy stronger
and powerful is highly laudable.
Though it is indeed a very bold step on the part of the
Government, our industry members have a mixed reaction to the levy of 12% on
the chit funds.
The good news is we are not bracketed with NBFCs and not
included in the 18% slab. The bad news, however, is that we are not in the 5%
slab which we are eligible for and expecting.
The announced rate of 12%, though with ITC, is not feasible to
absorb for the chit companies in view of the 5% cap on remuneration. Neither
can it be passed on to the subscribers as it would render the chit model
cost-ineffective. This is on account of the fact that majority of the subscribers,
especially in the lower and middle income households are savers.
The optimum rate of 5% alone would improve the compliance level of
the Act and thus enhanced revenue to the State. We are sad that we will not be
able to give our best to the financial inclusion cause on account of the higher
slab.
The rates apart, the Narendra Modi Government with specific reference to
the Finance Ministry, deserve all appreciation in finishing this massive
exercise in a time bound manner.
The next challenge is the implementation of the legislation with
simplified procedures and we look forward to hand-holding approach from the
Government.
Mr. P. J. Krishnamurthy
President
president@aiacf.com
Mr. T.S. Sivaramakrishnan
General Secretary
gensecy@aiacf.com
Mr. A. Chitrarasu
Organising Secretary
orgsecy@aiacf.com
Mr.Mohinder Aggarwal
Treasurer
treasurer@aiacf.com
All India Association of Chit Funds,
Bansi House - 1/24, Asaf Ali Road,
New Delhi - 110 002.
For more information please
contact:
Nikhil Mansukhani
Adfactors PR
9833552171 / 9820831932
சரக்குகள் மற்à®±ுà®®் சேவைகள் வரி - ஜிஎஸ்டி - அகில இந்திய சிட் ஃபண்ட்கள் சங்கம் வரவேà®±்பு
No comments:
Post a Comment