Latest news with #GoodsandServicesTax
The Hindu
an hour ago
- Business
- The Hindu
Kerala's internal revenue generation tipped to cross ₹1 lakh crore in 2025-26, says Finance Minister
Kerala's own revenue is projected to cross the ₹ 1 lakh crore-mark in 2025-26, signalling that State finances will continue in recovery mode despite severe challenges on the fiscal front, Finance Minister K.N. Balagopal has said. Mr. Balagopal said the Finance department expected internal revenue generation, from both own tax and non-tax sources, to touch ₹1.05 lakh crore in the current fiscal. The estimated growth, he said, was the outcome of improved efficiency in tax collection enabled by a comprehensive overhaul of the Taxes department in the Goods and Services Tax (GST) regime. Under the present Communist Party of India (Marxist)-led Left Democratic Front government, the State's own tax revenues (SOTR) had steadily improved from ₹47,661 crore in 2020-21 to ₹76,656 crore in 2024-25. Non-tax revenues grew from ₹7,327 crore to ₹16,568 crore during the same period. The government, Mr. Balagopal said, had succeeded in pulling up the State from a Central policies-induced 'nosedive' to a position where it was equipped for 'take-off' to the next phase. 'We have achieved this in a situation where Kerala was deprived of about ₹50,000 crore annually due to the shrinkage of borrowing space and discontinuation of the revenue deficit grant and GST compensation,' he said. Mr. Balagopal said there was continued scope for finetuning tax collection. On the Integrated GST (IGST) front, systemic issues in the mechanism of its settlement with all States had deprived Kerala of ₹956.16 crore. Kerala had taken up the matter with the Centre, Mr. Balagopal said. Mr. Balagopal said the State expected to allocate ₹600 crore this year towards the Guarantee Redemption Fund (GDR). The GDR was meant to cover government guarantees offered for loans availed by public sector entities and cooperatives. According to Kerala, the Centre had reduced the State's borrowing limit by a further ₹3,300 this year citing the GDR as a requirement. Mr. Balagopal also swept aside reports that the State's debt would touch ₹6 lakh crore this year-end. It would increase to about ₹4.7 lakh crore, but the State had been able to reverse the previous trend where debt doubled every five years. As part of the drive against tax evasion, the State GST department was planning action against traders/businesses who evaded taxation by deploying street vendors to sell their products, the Minister said. 'Such practices take unfair advantage of the benefits enjoyed by genuine street vendors,' he said. In May, the SGST department had busted an organised racket engaged in the manufacture and sale of spurious diesel, he said.
Focus Malaysia
5 hours ago
- Business
- Focus Malaysia
Anwar: Time not right for GST re-implementation because rakyat's income still low
THE Goods and Services Tax (GST) is an efficient and transparent taxation system, but it is not yet suitable for re-implementation because the rakyat's income threshold is still low, said Prime Minister Datuk Seri Anwar Ibrahim. Anwar, who is also the Finance Minister, said the government did not completely reject the proposal to re-implement the GST, but the ability of low-income people must be taken into account first because the taxation system has a comprehensive impact. 'We postponed (GST) because the income of the people was still too low. My opinion at the time was that people with an income of RM2,000 were still affected although we gave some exemptions. 'Sugar and rice are not affected, but when people buy other goods or ride the bus, indirectly GST (is imposed) meaning it is comprehensive,' he said during the Finance Ministry's monthly assembly on Friday (June 20). Anwar said the government believes that the re-implementation of GST should only be considered when the average income of the people has increased to a more reasonable level of at least RM4,000 a month. 'Let the people's income increase first, let's say the minimum salary is RM4,000 (a month), maybe at that time we can (implement it). 'Right now, there are people earning RM1,700 or RM2,000… Maybe I was not wise in making this decision, but my intention is not to introduce taxes that will have a detrimental effect on the lower-class people, that's all,' he said. Based on this view, Anwar said the government chose to implement a more targeted Sales and Service Tax (SST) from which the revenue would be used to increase allocations to key sectors of the country such as education and health. 'So this is our reason, we are taking this tax to return it to the people. The allocation for the Education Ministry from RM58 bil in 2024 has increased to RM64 bil this year. 'Similarly, for the Health Ministry, RM41 bil last year, we are adding RM4 bil a year (making it) RM45 bil,' he said, stressing that the government's priority now is to strengthen critical sectors and ensure transparent and effective management. Anwar stressed that any national fiscal policy decisions, including tax implementation, must be viewed from a macro perspective and not just short-term effects. At the same time, he acknowledged the government's weakness in terms of policy communication to the people, thus he called on all parties to provide more active explanations about the policies implemented to avoid confusion and baseless accusations. 'I hope my friends (in the government) will please explain. Sometimes we are defensive, we just let people attack and we don't respond… Indeed, our weakness is also in explaining (policies) because we assume everyone understands,' he said. GST was first introduced in Malaysia on April 1, 2015 as part of fiscal reforms to replace SST with an initial rate of 6 per cent imposed across the board on almost all goods and services except those exempted. However, GST has received widespread criticism from various sections of society for allegedly burdening consumers, especially the low-income group. The tax system was officially abolished on Sept 1, 2018 and replaced with SST. On June 9, the government announced that it would implement a targeted review of the Sales Tax rate and expansion of the scope of the Service Tax effective July 1 in line with strengthening the country's fiscal position by increasing revenue and broadening the tax base without burdening the people the most. The Sales Tax rate remains unchanged for essential goods while a rate of either five or 10% will be imposed on non-essential or discretionary goods. ‒ June 20, 2025 Main image: Reuters/Liesa Johannssen
Indian Express
10 hours ago
- Business
- Indian Express
How to file GST returns online in 2025?
GST Return Filing Online 2025: All the taxpayers in India needs to submit returns regularly under the Goods and Services Tax (GST) system. To file GST returns, businesses must hand over details about their sales, purchases, taxes they've paid, and input tax credits (ITC) they're claiming in specific formats. One of the most significant aspects of GST compliance is the timely and accurate submission of GST returns. Along with standard monthly and yearly return forms such as GSTR-1, GSTR-3B, and GSTR-9, the GST system includes a number of alternative return types for a number of reasons. Step 1: Visit the official GST portal at Step 2: Enter the GSTIN (GST Identification Number), username, password, and the captcha code to log in. Step 3: After logging in, you will reach the dashboard and go to the returns dashboard: Services > Returns > Returns Dashboard. Step 4: Choose the financial year and month or quarter you want to file the return for. Step 5: This opens up the right return forms for you based on how you're registered. Choose the form you need to file and click 'Prepare Online'. Keep in mind: Different GST Return Forms apply to different taxpayers. It depends on their turnover, type of supply, or registration category. Step 6: Fill out all the needed personal details, save the form, and hit 'Submit'. Step 7: After submitting, use 'Track Return Status' to check where things stand and to pay. Step 8: Head to 'Payment of Tax' and click 'Check Balance' to see your available credit and cash balances. Step 9: Choose 'Offset liability' and pay cash for any amount left after using your input tax credit. Step 10: After payment, file the GST return by checking the declaration box, choosing the authorised signatory, and clicking 'File Form with DSC'/'File Form with EVC', as suitable. Please note: Readers must note that this is simply general guidance on filing GST returns. However, there are other GST returns on the GST system based on the forms, some of which may need fewer or more procedures than those described *This article is written by Amrit Prakash, who is an intern with
Sinar Daily
12 hours ago
- Business
- Sinar Daily
GST not suitable for implementation yet because Rakyat's income still low
Anwar, who is also the Finance Minister, said the government did not completely reject the proposal to re-implement the GST, but the ability of low-income people must be taken into account first because the taxation system has a comprehensive impact. 20 Jun 2025 10:40am Anwar said the government believes that the re-implementation of GST should only be considered when the average income of the people has increased to a more reasonable level of at least RM4,000 a month. - Bernama file photo PUTRAJAYA - The Goods and Services Tax (GST) is an efficient and transparent taxation system, but it is not yet suitable for re-implementation because the rakyat's income threshold is still low, said Prime Minister Datuk Seri Anwar Ibrahim. Anwar, who is also the Finance Minister, said the government did not completely reject the proposal to re-implement the GST, but the ability of low-income people must be taken into account first because the taxation system has a comprehensive impact. Anwar, who is also the Finance Minister, said the government did not completely reject the proposal to re-implement the GST, but the ability of low-income people must be taken into account first because the taxation system has a comprehensive impact. - Bernama photo "We postponed (GST) because the income of the people was still too low. My opinion at the time was that people with an income of RM2,000 were still affected although we gave some exemptions.' "Sugar and rice are not affected, but when people buy other goods or ride the bus, indirectly GST (is imposed) meaning it is comprehensive,' he said during the Finance Ministry's monthly assembly here today. Anwar said the government believes that the re-implementation of GST should only be considered when the average income of the people has increased to a more reasonable level of at least RM4,000 a month. - BERNAMA More Like This
The Sun
14 hours ago
- Business
- The Sun
GST not suitable for implementation yet because rakyat's income still low
PUTRAJAYA: The Goods and Services Tax (GST) is an efficient and transparent taxation system, but it is not yet suitable for re-implementation because the rakyat's income threshold is still low, said Prime Minister Datuk Seri Anwar Ibrahim. Anwar, who is also the Finance Minister, said the government did not completely reject the proposal to re-implement the GST, but the ability of low-income people must be taken into account first because the taxation system has a comprehensive impact. 'We postponed (GST) because the income of the people was still too low. My opinion at the time was that people with an income of RM2,000 were still affected although we gave some exemptions.' 'Sugar and rice are not affected, but when people buy other goods or ride the bus, indirectly GST (is imposed) meaning it is comprehensive,' he said during the Finance Ministry's monthly assembly here today. Anwar said the government believes that the re-implementation of GST should only be considered when the average income of the people has increased to a more reasonable level of at least RM4,000 a month.
