With the government aiming for easing compliance burden for small businesses and taxpayers under the Goods and Services Tax (GST) regime, it has undertaken several rounds of rate reductions and relaxations, especially after one year of completion of the rollout of the indirect tax regime. The measures, however, come amid concerns of declining revenues, which has also been highlighted by several state finance ministers.
January 18, 2018: Rate cuts on items such as used medium and large cars, diamonds and precious stones, biodiesel buses for use in public transport and packaged water in 20 litre bottles along with rationalisation for 54 categories of services. Estimated revenue loss of Rs 1000-1200 crore per year.
March 10, 2018: Nod for e-way bill system for inter-state movement of goods valued over Rs 50,000 from April 1 and staggered implementation at the intra-state level. Extension of tax exemptions for exporters till October 1 and reverse charge mechanism deferred till June 30.