The Federation of Indian Export Organisations (FIEO) organised a special meet on July 21 in Ahmedabad to discuss related to post GST compliances. The meet was attended by a large number of exporters from Gujarat and addressed by Dr Ajay Sahai, DG & CEO, FIEO; Mr D P Mohapatra, ITS, Addl DGFT, Ahmedabad; Mr Sunil Kumar Singh, IRS; Mr Bhargav Mankad, Jt Commissioner of State Tax, Gujarat and other dignitaries.
In his presentation Dr Sahai maintained that introduction of GST is a path breaking reform that would only bear fruits in the long run with initial hiccups. He, however, raised the concern that GST will severely dent the liquidity of the exporter in a big way and the compliance cost of merchant exporter may go up. Export competitiveness of India may contain by about two per cent and this will be a big blow for the exporters. He appraised that Government is looking into the various options to neutralise the effect under the new GST regime. During the presentation he elaborated about the details to be captured in Invoice, Shipping bill, Eligibility for LUT/Bond and the procedure to acquire, Factory stuffing permission, Refund of unutilized ITC procedure, Refund procedure for exports & Effect of GST on various incentive schemes under FTP.
He informed that the liquidity problem of the exporters, constraints in job work, delays in initial returns for exports in the months of July and August, procedural issues in LUT/Bond are being flagged by FIEO with concerned Ministries.
According to Mr Mohapatra GST will help exporters to be competitive as cascading effect of taxation will be removed and exporters will be at par with Global markets. He also highlighted that the major change is that now the PAN number will be considered as IEC number.
Mr Singh appreciated the efforts being taken by FIEO on export front. He told that Commissionerate of CCGST is always available to exporters if they have any doubts to be solved. He also informed that High Powered sectoral committees are also formed in order to help the entrepreneurs to sort out their queries.
“Once the GST system stabilizes life will be better and ease of doing business would be certainly realised. Dedicated efforts have been made by Central and State officials for GST implementation,” added Mr Bhargav.
Vote of thanks was proposed by Shri Vishwanth Sreenivasan, Conenor.