NEW DELHI: Service providers such as telcos, banks, insurers and airlines may need to file just one centralised form in respect of the goods and services tax ( GST ), which will substantially ease the compliance burden on service providers with a multi-state footprint.The GST Council is expected to consider on January 18 significant relaxation in the law and procedures, including a centralised registration facility to make compliance easier. It will also consider changes to input tax credit regime to allow credit for tax paid on rent a cab services, benefiting IT and ITES companies such as Infosys, Wipro and Genpact. At present, service providers have to register in each state and file separate returns, a major grouse of the industry that only had to deal with Centre earlier. Recommendations of this group were taken up by the law review committee.The law review committee has also suggested changes to the input tax credit framework to ensure that some of the inputs are allowed as a credit. Some of these include expenses incurred on employees such as rent a cab service used extensively by the IT and IT services sector "In an ideal GST system , input credit should be available with respect to all business expense.

Source: Economic Times January 16, 2018 02:01 UTC