Officials of the Commercial Taxes Department firm on enforcement.
In a fortnight from now, dealers and traders will have to display the GST registration number on their signboards and the registration certificate on their premises.
The rule will be implemented strictly from November to ensure that the consumers will not be taken for a ride under the garb of the Goods and Services Tax (GST).
The Commercial Taxes (CT) Department will initially focus on the traders and businesses that have opted for composition scheme. The composition dealers have to invariably mention on their business premises that they are “availing of the composite scheme and are not entitled to collect taxes from people.” The department officials, of late, have noticed that the dealers are collecting GST from the consumers. The objective of the optional composition scheme is to bring in simplicity and reduce the compliance cost for the small taxpayers.
The composition dealers/businesses, however, are found to be collecting GST or frightening the customers that they would have to pay GST if they demand a bill.
So, the department has decided to implement the rule strictly. “That is the legal requirement. Citizens can find out whether the person from whom he is buying is entitled to collect tax from him or not,” says a senior official on condition of anonymity. The composition levy is an alternative method of levy of tax designed for small taxpayers with turnover of up to ₹75 lakh. It enables the taxpayers to make payments at a flat rate under the GST, without input credits.
The GST Council, at its recent meeting, decided to increase the limit to ₹1 crore.
With this, the dealers, with a turnover of up to ₹1 crore, are eligible to opt for composition scheme. The last date for switching to the composition scheme or opting out of it is October 31.
There are about 20,000 registered composition dealers across the State. These dealers have to pay 1%, 2%, and 5% tax, depending up on their businesses. The rate is 1% if it is a dealer, 2% for manufacturing units, and 5% for restaurants.
Source : http://www.thehindu.com/news/national/andhra-pradesh/display-of-gst-number-must-from-november/article19856653.ece