New Delhi: There has been a cut in the prices of LPG cylinders in the new year. Oil and gas companies gave the good news to the consumers of ELPG, while on the other hand, they also gave a big blow to the lovers of delicious food. Buying food items online has become expensive. Companies like Swiggy and Zomato, which make online delivery of food items, will now have to collect five percent tax from customers and deposit it with the government.
Food vendors who are currently out of the purview of Goods and Services Tax, if they take online orders from customers and deliver food to their homes, then they will now have to pay GST. Currently, restaurants registered under GST collect tax from customers and deposit it with the government.
It is too expensive to walk in a cab
From Saturday, app-based cab service companies such as Uber and Ola will also have to collect 5% GST on bookings of two-wheelers and three-wheelers.
Now 12 percent tax will have to be paid on footwear
From today, 12 percent GST will have to be paid on all footwear. That is, a GST rate of 12 percent will be applicable on all footwear. These changes are being implemented in GST from the beginning of the new year.
Amendment in GST law to prevent tax evasion
The GST law has been amended to prevent tax evasion. Under this, Input Tax Credit (ITC) will now be available only once. It will be paid after the ‘credit’ is entered in the GSTR 2B (Purchase Return) of the taxpayer. Earlier, a ‘temporary’ credit of five percent was given under the GST rules. This will not be allowed from January 1, 2022.
Vipin Sapra, tax partner, EY India, said the change will have an immediate impact on the working capital of taxpayers, who were till now enjoying ‘credit’ of 105 percent. With this change, it will now become necessary for the industry also to procure from the right and compliant vendors.
Aadhaar is also necessary for GST Refund
Aadhaar verification has also been made mandatory for GST refunds as part of measures to prevent tax evasion or tax evasion from the new year. In this, such units who have not paid tax and have submitted GSTR-3B for the previous month, will not have the facility to file GSTR-1.
Till now, under the GST law, if companies or entities failed to submit GSTR-3B for the last two months, they were not allowed to file returns for outward supplies or GSTR-1. Apart from this, the powers of the GST officers have been increased by amending the GST law.
This is how tax evasion happens
GST officers can collect the outstanding tax by visiting the premises of the tax-paying units by showing short sales through GSTR-3B without any show-cause notice. Sapra said that with this step, fake bills will be stopped. Till now sellers used to show higher sales to pass on the benefit of higher ITC to the buyer and under-report sales in GSTR-3B to reflect lower GST liability.
LPG prices reduced
On the occasion of the New Year, gas companies have cut the prices of LPG cylinders. The price of a 19 kg commercial gas cylinder has been cut by Rs 102. According to IOCL, on January 1, 2022, the price of commercial gas cylinders in Delhi has gone up to Rs 1998.5. There is no change in the prices of domestic cylinders.
