India VAT returns and payments improvements
- Feb 1, 2014 | Richard Asquith
A number of improvements to the Indian VAT compliance and administration procedures have been announced to help traders. India VAT is a state-level tax on the sale of goods. These latest simplifications have come from the Delhi government.
The changes include:
- The withdrawal of the length annual Audit Report filing
- A higher annual turnover threshold for the simplified VAT reporting scheme for input VAT
- Plans to reduce the number of Indian VAT audits
- A potential higher exemption from VAT for the smallest of traders. The current limit is INR 20.
There are plans to reform the complex, and overlapping Indian consumption tax regime. The plan is to introduce a new Goods and Services Tax, replacing VAT, CENVAT, Service Tax CST and Professional Tax. The latest indication if that GST will be introduced after the 2014 Indian elections.