Traders body CAIT on Friday proposed that the government should waive penalties on compliance errors during the first three years of rollout of the goods and services tax (GST) regime. "GST will be a complex structure of taxes and we have asked the tax department to exempt traders from penalties in the transition period of first three years," CAIT Secretary General Praveen Khandelwal said. To educate traders about the new indirect tax set-up, the Confederation of All India Traders (CAIT) has entered into an MoU with Tally Solutions to train them on GST compliance and adoption. So by under-reporting of sales, if stocks start piling up, the tax department will ask why are you purchasing? He said last-mile disposal by an importer will come under the tax lens through Integrated GST and hence, under-billing will become difficult.

Source: dna October 14, 2016 10:18 UTC