Haste created confusion in market
The implementation of GST envisaging a single tax system all over the country simplifying the present tax system, would have been a laudable paradigm shift. But I feel, hastily implemented, it has created much confusion in the market. Now the market is on a standstill. No billing, no selling and less buying. Earlier there was the delivery bill for transporting which can be sourced by the trader online and carried along the goods till its delivery point. Now they say there is the e-way bill. But even officials are confused about the system. Nothing is clear. Not even the officials are clear about what is happening on the taxing front.
The forms are not ready. The software is not at all empowered for the changes. Officials are incapable of sorting out the doubts of distributors and traders. To put it bluntly, a system brought to simplify the existing tax system has in fact complicated the procedures. Many of the companies stopped billing by June 20 itself. The tax fixed for many items are not at all finalized. The companies are not ready to send consumer goods citing complications in the system.
If one sources an e-way bill, the software also insists a time frame for transporting the goods within which the goods item should reach the destination, making the operations tougher for distributors and producers in transporting consumer goods. The traders are now slapping GST on all items in the remaining stock in an arbitrary manner. More over earlier a distributor or trader could file the income tax returns only once in a month. But, now a trader has to file the returns thrice in a month, on 10th, 15th and 20th. In case of any anomalies in the income tax returns it was easy for a trader to sort it out in person or through phone at the income tax office. But in the present e-filing system so far there is no option to sort it out.
(Author is state president, All-Kerala Consumer Goods Distributors’ Association)