Current Affairs

GST Day celebrated on 1st July

1st July is celebrated as GST (Goods & Services Tax) Day.
GST Day celebrated on 1st July
  • This year marks the 2nd anniversary of the implementation of the historic tax reform of Goods & Services Tax.

History:

  • First GST Day was celebrated on 1st July 2018, to mark the first anniversary of new indirect tax regime i.e. Goods and Services Tax (GST).
  • GST was rolled out in the intervening night of 30th June and July 1st 2017 in a ceremony held in the Central Hall of Parliament.

About GST Day 2019:

  • Finance Ministry introduced a new return system on a trial basis from 1st July 2019 and will make it mandatory from 1st October 2019.

Reforms proposed by the Union Ministry of Finance:

  • New Return System: Sahaj & Sugam returns for small taxpayers.
  • Rationalisation of Cash Ledger System: With regards to single cash ledger, Centre will rationalise ledger in a manner that earlier 20 heads are merged into 5 major heads. There is only 1 cash ledger for tax, penalty, interest, fee among others.
  • Single Refund-Disbursing Mechanism: It will come into play wherein government which sanctions refund, disburses all four major heads of refunds namely Central Goods & Services Tax (CGST), State Goods & Services Tax (SGST) or Integrated Goods & Services Tax (IGST) and Cess.
  • Introduction of Composition Scheme: As per the FinMin threshold limit of Rs.40 lakh is offered of suppliers of goods as per the choice of states. Thus ministry proposes to introduce composition scheme for small service providers up to an annual turnover of Rs.50 lakh with a tax rate of 6%, an electronic invoicing system in a phase-wise manner for B2B (Business to Business) transactions.
  • GST Appellate Tribunals: are being established at various state headquarters and also in area benches.

Question:

Q. When is GST (Goods & Services Tax) Day celebrated?
a. 1st July
b. 2nd July
c. 3rd July
d. 4th July
GST Day celebrated on 1st July GST Day celebrated on 1st July Reviewed by Neha Verma on July 02, 2019 Rating: 5

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