It appears that the much-awaited GST would be a reality soon.
Milestones achieved
The 122nd Constitutional Amendment Bill to make amendments in the Indian Constitution for the introduction of Goods and Services Tax (GST) has been passed by the Rajya Sabha on 3rd Aug., 2016.
The Bill has already been passed by the Lower House (Lok Sabha) on 6th May 2015; however, certain changes made in the Bill as passed by Lok Sabha would require further approval by Lok Sabha.
Further, the Empowered Committee of the State Finance Ministers has released Model GST Law in June 2016.
PLEASE GO THROUGH GST MENU ON THIS WEBSITE TO FIND OUT ALL REPORTS ON GST & MODEL GST LAW
Further Steps to convert GST a reality : In order to have GST, following steps need to be followed:
Constitutional Amendment Bill related :
The Bill has already passed by the Lower House (Lok Sabha) on 6th May 2015; however, certain changes made in the Bill as passed by Lok Sabha would require further approval by Lok Sabha.
122nd Constitutional Amendment Bill to be ratified by at least 50% of the State Legislatures under Article 368 of the Constitution.
Assent by President of India to the 122nd Constitutional Amendment Bill will be required.
GST Council (GSTC)
After Constitutional amendment, GSTC to be constituted within 60 days under Section 279A of the amended Constitution.
GSTC to recommend GST Law and procedure : IGST and CGST bill for Parliament/Centre and Model SGST bill for State Legislature.
GST Bills
CGST and IGST Laws to be introduced in Parliament and will have to be passed by simple majority.
SGST Laws to be passed by concerned state legislatures.
Once Approval from Parliament and States is received, GSTN (GST network a Section 8 Company will launch the IT Platform for implementation of GST).