Oct 12, 2020
Govt may consider allowing GST deposit on cash basis: PwC report
The government may consider allowing India Inc to deposit GST on cash basis to help them tide over the liquidity woes during the COVID-19 pandemic, a PwC report said. It said while formalising its support strategy for the industry in the next phase, the government could also consider suspending GST payments for select sectors during the COVID-19 period.
In its report titled ‘Reimagining GST@3’,”PwC said cash liquidity support schemes that advance business continuity are the need of the hour.” “The government has announced a timely budgetary support scheme in line with the relief packages of various developed nations. Despite these steps, much ground remains to be covered,” it said.
The report said that some key issues which require immediate attention of the government before taxpayers get entangled in long-drawn litigation include eligibility of ITC on expired stock, intermediary services and taxability of discount schemes.