Govt. considering changing overall GST Law for Industries like Travel, E-Commerce:

Govt. considering changing overall GST Law for Industries like Travel, E-Commerce The Centre is apparently aiming to streamline the Goods and Services Tax (GST) framework for service businesses such as e-commerce and travel that may not have offices in the states where they operate. According to report, the government is considering amending the entire GST law with an extra section or adjusting its definition with certain adjustments in business operations. The report said a reverse charge system may be contemplated for such service sectors, citing a senior government official. Under current laws, corporations must establish a physical office in the state of their activities in order for tax officials to perform audits and verifications as needed. However, ecommerce firms like as Flipkart, Meesho, and Amazon, as well as travel companies such as MakeMyTrip and EaseMyTrip, may not have offices in every state where they offer their services. The GST Council is now aiming to streamline the taxes procedure and enforcement, the official cited above said, as per the report. The move follows the Central Board of Indirect Taxes and Customs' (CBIC) crackdown on fake GST registrations, which caused issues for many enterprises in e-commerce and other industries that merely had virtual offices in several regions. As per the report, a government official stated that it is difficult to discern between fake and e-commerce operators in some circumstances, thus it is critical to specify qualities that separate legitimate organizations from fraudulent ones. The development is most likely part of the government's efforts to simplify taxation while also accommodating new and growing company types. Last year, the GST Council reduced the necessary registration procedures for small firms to list on e-commerce platforms as part of this initiative.