Empowered Committee of State Finance Ministers on June 14, 2016 upload MODEL GST LAW on website. Now Practising Company Secretary is part of GST LAW.
What is the GST ? What does it mean to you and me?
The Good and Services Tax is the biggest indirect tax reform since 1947. This will be levied on manufacture sale and consumption of goods and services.
In the words of the Finance Minister Arun Jaitley, the GST will lead to the economic integration of India.
The main function of the GST is to transform India into a uniform market by breaking the current fiscal barrier between states. Thus the GST will facilitate a uniform tax levied on goods and services across the country.
Inclusion of PCS and PCMA
A long awaited demand of the Institute of Company Secretaries of India (ICSI) and the Institute of Cost Accountants of India (ICWAI) is going to come into reality.
Role of PCS under the GST law envisaged for India
A company secretary is well versed in laws subject without any doubt by virtue of his academic knowledge and practical training and particularly master to understand the laws subjects. Indirect taxes/GST would be more laws compared to computation to tax, it is easiest for the Company Secretary to understand and be an expert in the subject of Indirect Taxes/ GST. Company secretary can play an important role being an advisor and facilitator for due compliance of laws relating to Indirect Taxes/goods and Service Tax( GST) to the general business community and corporate world as well. The company secretary can perform the following types of services to clients:-
(i) Advisory services or strategic advisor – A company secretary can better interpret the law of Indirect taxes or proposed GST law and provide comprehensive guidance and advisory to the business. Company secretary are more suited for the services because for their knowledge of laws and good communication skills
(ii) Tax Planning – Company secretary is competent to understand the impact of laws and its various alternatives based on the proper tax planning of indirect taxes/GST.
(iii) Procedural Compliances – Procedure Compliance includes registration, filing of returns, payments of taxes, assessment etc. the procedure compliance is the easiest task because Company Secretary is already playing a role of Compliance Officer under various other laws.
(iv) Book/Record Keeping Like other tax laws indirect taxes/ GST would require proper record keeping and accounting systematic records of credit of input/input service and its proper utilisation is necessary for this REFERENCER ON GOODS AND SERVICES TAX 103 success of GST. Company secretary must learn and equipped to perform this tasks and it is easy because CS course have all the subjects.
(v) Representation – Company Secretary can provide this service with confidence because of practical exposure with various competent authorities. Company secretary can better justify this service.
(vi) Appellate work Because of legal drafting skill, the Company Secretary can provide better service in the appellate work.
At present, our members are already recognized under various state VAT legislations to perform various functions. An illustrative list is as under:-
1. West Bengal Value Authorized to appear before Appellate and Revisional Added Tax Rules, 2005 Board, the Commissioner, the Special Commissioner, the Additional Commissioner or any person appointed to assist the Commissioner on behalf of a dealer [Rule 2 (1)(a)(iv)].
2. Bihar Value Added Tax Authorised to appear before VAT authorities appointed Act, 2005 under Section 10 or the Tribunal or an Officer of the Bureau of Investigation constituted under Section 86 of the Act [Section 87(d)].
3. Daman and Diu Value Authorised to appear before any VAT authority in Added Tax Regulation, connection with any proceedings under this Regulation. 2005 [Regulation 82(1)(b)].
4. Goa Value Added Tax Authorised to appear before any VAT authority including Act, 2005 the Tribunal in connection with any proceedings under this Act [Section 82(1)(b)].
5. Jharkhand Value Added To conduct VAT Audit under section 63(1) To appear before Tax Act, 2005 VAT authorities under Rule 51(1)(c).
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