AMNESTY SCHEME (Syllabus: GS Paper 3 - Economy)

News-CRUX-10     4th November 2023        
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Context: The finance ministry recently introduced an amnesty scheme for filing appeals against Goods and Services Tax (GST) demand orders.

Amnesty Scheme

  • About: The amnesty scheme allowing appeals, missed to be filed against jurisdictional orders due to technical or administrative errors, while requiring a tax demand, strikes a balance between relief to taxpayers and maintaining the integrity of tax collections.
  • This approach can help reduce the burden of litigation benefiting both taxpayers and tax authorities.”
  • Coverage: Only covers orders passed under sections 73 and 74 of CGST Act

Goods and Services Tax (GST)

  • History: The idea of a Goods and Services Tax (GST) for India was first mooted during the Prime Ministership of Shri Atal Bihari Vajpayee.
  • Introduced: The Constitution (122nd Amendment) Bill was introduced in 2014.
  • Effective from: It was launched with effect from 1st July 2017. It is completely transformed the indirect tax structure of India.
  • It subsumed: GST was born out of subsuming of 17 taxes and 13 cesses levied by the Central and State governments.
  • New Structure Slab: 5%, 12%, 18 and 28%.
  • GST Council: The GST Council is a joint forum of the Centre and the States which makes recommendations to the Union and the States on GST.
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