The two-year period for keeping petroleum products outside GST is almost over.
New Delhi: Industry body Assocham on Thursday sought inclusion of petroleum products in GST and subsuming of some local and state taxes like stamp duty.
"The two-year period for keeping petroleum products outside GST is almost over. Also, these products being outside GST lead to increase in cost for businesses. Therefore, these products should be brought under GST," stated a memorandum by the chamber to the GST Council.
Besides, it said, subsuming mandi tax, stamp duty, road tax and vehicle tax in GST would help streamline businesses and facilitate seamless credit of Input Tax Credit (ITC), which will reduce cascading impact of taxes.
The chamber also suggested to the GST Council that sale of scrips issued for different duty drawbacks and market promotion should not be subjected to levy of Goods and Services Tax (GST).
Other suggestions include cross-utilisation of CGST and IGST credits, flexibility on GST to restaurants and real estate sectors and streamlining and clarity in the levy of such tax on international transactions.