‘Increased threshold of GST’s Composition scheme to benefit SMEs’
Industry and other stakeholders on 11 June hailed the Goods and Services Tax (GST) Council’s move of bringing traders, manufacturers and restaurants below Rs.75 lakh turnover under the Composition Scheme, saying that it will boost small and medium enterprises in the country.
“This is a big decision in favour of traders. Its a people-centric decision, will benefit the common people. The biggest win is for SMEs today. Biggest development for small and medium enterprises (SMEs) and small businesses that contribute on a large scale to the GDP and job sector of the country,” West Bengal Finance Minister Amit Mitra told reporters here after the 16th GST Council meeting here.
“The purpose of GST is to protect SMEs, protect states’ revenues and benefit people. By stimulating SMEs, which are labour intensive, taxes will go up, impact on GDP will go up and if implemented in appropriate manner, it can lead to greater revenues,” he said.
The Council on Sunday allowed traders, manufacturers and restaurants with turnover of up to Rs 75 lakh to avail of the composition scheme, against Rs.50 lakh earlier.