GST Compliance Score Card: Kerala Government Plans to Create a Rating System for Tax Paying Traders

Kerala’s government is preparing to adopt a special ‘rating score’ for state traders who file accurate annual returns on time and pay their income taxes on time.

The Kerala State Goods and Services Tax administration is implementing the project, dubbed “Tax Payer Card,” for those traders who are registered under the GST Act. As per the Government sources, this program will be online on February 3rd.

The one-of-a-kind card would inform people whether traders are filing their monthly and annual GST returns on time and whether the information they provide is accurate. According to them, the rating score will benefit both taxpayers and the general public. In terms of ordinary people, the card would assist them in purchasing items from stores with a good reputation, as well as preventing traders from imposing excessive taxes on them.

They added that the selection of stores with strong ratings for availing B2B services would help to acquire the input tax credit on time, and that the move would be a blessing to tax payers in terms of getting rapid, effective, and transparent tax payment services. The timely filing of GSTR 1 returns receives 50 points out of a possible 100.

Official sources said that thirty points are awarded for accuracy in filing and twenty points are awarded for timely filing of annual returns (GSTR 9).