Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
App\Controller\ArtileDetailController::index() - APP/Controller/ArtileDetailController.php, line 151
Cake\Controller\Controller::invokeAction() - CORE/src/Controller/Controller.php, line 610
Cake\Http\ActionDispatcher::_invoke() - CORE/src/Http/ActionDispatcher.php, line 120
Cake\Http\ActionDispatcher::dispatch() - CORE/src/Http/ActionDispatcher.php, line 94
Cake\Http\BaseApplication::__invoke() - CORE/src/Http/BaseApplication.php, line 235
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Routing\Middleware\RoutingMiddleware::__invoke() - CORE/src/Routing/Middleware/RoutingMiddleware.php, line 162
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Routing\Middleware\AssetMiddleware::__invoke() - CORE/src/Routing/Middleware/AssetMiddleware.php, line 97
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Error\Middleware\ErrorHandlerMiddleware::__invoke() - CORE/src/Error/Middleware/ErrorHandlerMiddleware.php, line 96
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Code Context
            if (Configure::read('debug')) {

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                            <p style="text-align:justify">-ThePrint.in</p><p style="text-align:justify"><em>GST was supposed to create a unified market. The opposite is happening with small businesses being harassed with invoice and payments.</em></p><p style="text-align:justify">The introduction of the Goods and Services Tax or GST was supposed to create a unified market of 1.4 billion people and encourage entrepreneurship and job creation. The other aim was to bring more and more firms into the formal sector of India&rsquo;s economy, which will help expand the tax base needed to raise the country&rsquo;s tax-to-GDP ratio that has been hovering around 10-11 per cent for a long time.</p><p style="text-align:justify">However, multiple rates and never-ending filing and reporting requirements have turned the GST regime against smaller businesses and first-time entrepreneurs. No wonder, out of 6.3 crore enterprises (the latest available data from NSSO 2015-16), only 1.34 crore have joined the GST network. There is no official data on how many firms have cancelled their GST registrations. But anecdotal evidence suggests that an increasing number of small businesses are either de-registering, and/or trying to remain small by not letting their sales turnover increase the threshold of Rs 20 lakh for services firms and Rs 40 lakh for manufacturing entities, above which GST registration is mandatory.</p><p style="text-align:justify">The current discourse on GST is mostly about how unscrupulous elements are using fake invoices to claim more input tax credits (ITC) than they should. That&rsquo;s true. However, the major reason for that is too many rates and wide gaps between rates (0-28 per cent) for different inputs that facilitate over-claim of ITC. For instance, cement attracts 28 per cent GST while steel bars 18 per cent. Obviously, real estate firms will use more cement (on paper) than steel to claim more ITC than they should. The solution is to cut multiple rates into fewer ones and reduce the rate differentials. However, the regulators responded by dis-allowing input tax credit for real estate players, which defeats the purpose &mdash; to check cascading effects of tax on tax.</p><p style="text-align:justify">What is not getting serious attention but should is how suffocating compliance burden and unchecked inspector raj are discouraging smaller business entities and first-time entrepreneurs from turning formal by joining the GST network.</p><p style="text-align:justify">Please <a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" title="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA">click here</a> to read more.</p>                                                           
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    <br><a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" class="re" target="_blank">ThePrint.in, 7 March, 2022, https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA</a><div class="clear"></div>
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    <h1 class="cat-box-title">How GST is killing small businesses with inspector raj and suffocating compliance -Ritesh Kumar Singh</h1>
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                            <p style="text-align:justify">-ThePrint.in</p><p style="text-align:justify"><em>GST was supposed to create a unified market. The opposite is happening with small businesses being harassed with invoice and payments.</em></p><p style="text-align:justify">The introduction of the Goods and Services Tax or GST was supposed to create a unified market of 1.4 billion people and encourage entrepreneurship and job creation. The other aim was to bring more and more firms into the formal sector of India&rsquo;s economy, which will help expand the tax base needed to raise the country&rsquo;s tax-to-GDP ratio that has been hovering around 10-11 per cent for a long time.</p><p style="text-align:justify">However, multiple rates and never-ending filing and reporting requirements have turned the GST regime against smaller businesses and first-time entrepreneurs. No wonder, out of 6.3 crore enterprises (the latest available data from NSSO 2015-16), only 1.34 crore have joined the GST network. There is no official data on how many firms have cancelled their GST registrations. But anecdotal evidence suggests that an increasing number of small businesses are either de-registering, and/or trying to remain small by not letting their sales turnover increase the threshold of Rs 20 lakh for services firms and Rs 40 lakh for manufacturing entities, above which GST registration is mandatory.</p><p style="text-align:justify">The current discourse on GST is mostly about how unscrupulous elements are using fake invoices to claim more input tax credits (ITC) than they should. That&rsquo;s true. However, the major reason for that is too many rates and wide gaps between rates (0-28 per cent) for different inputs that facilitate over-claim of ITC. For instance, cement attracts 28 per cent GST while steel bars 18 per cent. Obviously, real estate firms will use more cement (on paper) than steel to claim more ITC than they should. The solution is to cut multiple rates into fewer ones and reduce the rate differentials. However, the regulators responded by dis-allowing input tax credit for real estate players, which defeats the purpose &mdash; to check cascading effects of tax on tax.</p><p style="text-align:justify">What is not getting serious attention but should is how suffocating compliance burden and unchecked inspector raj are discouraging smaller business entities and first-time entrepreneurs from turning formal by joining the GST network.</p><p style="text-align:justify">Please <a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" title="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA">click here</a> to read more.</p>                                                           
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    <br><a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" class="re" target="_blank">ThePrint.in, 7 March, 2022, https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA</a><div class="clear"></div>
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GST was supposed to create a unified market. The opposite is happening with small businesses being harassed with invoice and payments.

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    <h1 class="cat-box-title">How GST is killing small businesses with inspector raj and suffocating compliance -Ritesh Kumar Singh</h1>
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                            <p style="text-align:justify">-ThePrint.in</p><p style="text-align:justify"><em>GST was supposed to create a unified market. The opposite is happening with small businesses being harassed with invoice and payments.</em></p><p style="text-align:justify">The introduction of the Goods and Services Tax or GST was supposed to create a unified market of 1.4 billion people and encourage entrepreneurship and job creation. The other aim was to bring more and more firms into the formal sector of India&rsquo;s economy, which will help expand the tax base needed to raise the country&rsquo;s tax-to-GDP ratio that has been hovering around 10-11 per cent for a long time.</p><p style="text-align:justify">However, multiple rates and never-ending filing and reporting requirements have turned the GST regime against smaller businesses and first-time entrepreneurs. No wonder, out of 6.3 crore enterprises (the latest available data from NSSO 2015-16), only 1.34 crore have joined the GST network. There is no official data on how many firms have cancelled their GST registrations. But anecdotal evidence suggests that an increasing number of small businesses are either de-registering, and/or trying to remain small by not letting their sales turnover increase the threshold of Rs 20 lakh for services firms and Rs 40 lakh for manufacturing entities, above which GST registration is mandatory.</p><p style="text-align:justify">The current discourse on GST is mostly about how unscrupulous elements are using fake invoices to claim more input tax credits (ITC) than they should. That&rsquo;s true. However, the major reason for that is too many rates and wide gaps between rates (0-28 per cent) for different inputs that facilitate over-claim of ITC. For instance, cement attracts 28 per cent GST while steel bars 18 per cent. Obviously, real estate firms will use more cement (on paper) than steel to claim more ITC than they should. The solution is to cut multiple rates into fewer ones and reduce the rate differentials. However, the regulators responded by dis-allowing input tax credit for real estate players, which defeats the purpose &mdash; to check cascading effects of tax on tax.</p><p style="text-align:justify">What is not getting serious attention but should is how suffocating compliance burden and unchecked inspector raj are discouraging smaller business entities and first-time entrepreneurs from turning formal by joining the GST network.</p><p style="text-align:justify">Please <a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" title="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA">click here</a> to read more.</p>                                                           
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    <br><a href="https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA" class="re" target="_blank">ThePrint.in, 7 March, 2022, https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA</a><div class="clear"></div>
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How GST is killing small businesses with inspector raj and suffocating compliance -Ritesh Kumar Singh

Published on Mar 7, 2022   Modified on Mar 7, 2022

-ThePrint.in GST was supposed to create a unified market. The opposite is happening with small businesses being harassed with invoice and payments. The introduction of the Goods and Services Tax or GST was supposed to create a unified market of 1.4 billion people and encourage entrepreneurship and job creation. The other aim was to bring more and more firms into the formal sector of India’s economy, which will help expand the tax base needed to raise the country’s tax-to-GDP ratio that has been hovering around 10-11 per cent for a long time. However, multiple rates and never-ending filing and reporting requirements have turned the GST regime against smaller businesses and first-time entrepreneurs. No wonder, out of 6.3 crore enterprises (the latest available data from NSSO 2015-16), only 1.34 crore have joined the GST network. There is no official data on how many firms have cancelled their GST registrations. But anecdotal evidence suggests that an increasing number of small businesses are either de-registering, and/or trying to remain small by not letting their sales turnover increase the threshold of Rs 20 lakh for services firms and Rs 40 lakh for manufacturing entities, above which GST registration is mandatory. The current discourse on GST is mostly about how unscrupulous elements are using fake invoices to claim more input tax credits (ITC) than they should. That’s true. However, the major reason for that is too many rates and wide gaps between rates (0-28 per cent) for different inputs that facilitate over-claim of ITC. For instance, cement attracts 28 per cent GST while steel bars 18 per cent. Obviously, real estate firms will use more cement (on paper) than steel to claim more ITC than they should. The solution is to cut multiple rates into fewer ones and reduce the rate differentials. However, the regulators responded by dis-allowing input tax credit for real estate players, which defeats the purpose — to check cascading effects of tax on tax. What is not getting serious attention but should is how suffocating compliance burden and unchecked inspector raj are discouraging smaller business entities and first-time entrepreneurs from turning formal by joining the GST network. Please click here to read more.

ThePrint.in, 7 March, 2022, https://theprint.in/opinion/how-gst-is-killing-small-businesses-with-inspector-raj-and-suffocating-compliance/861816/?fbclid=IwAR3B0sjp7sbDlbkA8egc1AbQMSiv9xSPdc6w5XdPbPKdnhWhfX-gsLZgUBA

Tagged with: GST Goods and Services Tax small businesses

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