Union Budget 2023: 'Custom duty proposals are largely aligned to government's vision of Make in India'
All eyes were on the Hon’ble finance minister as she presented her last full Union Budget before the 2024 elections. While the Indirect Tax proposals in the Budget Speech were primarily limited to customs duty rate changes, the details, as always, lie in the fine print.
On the GST front, the perplexity around claiming Input Tax Credit (ITC) on account of expenditure incurred for Corporate Social Responsibility (CSR) has been clarified by disallowing ITC on such expenditure.
Furthermore, to curb the inordinate delay and to ensure regular compliance by taxpayers, an outer time limit of three years has been introduced for filing GST returns. While the unregistered suppliers and composition dealers have been allowed to trade on e-commerce platforms, an obligation has been cast on the e-commerce operators to ensure there is no contravention of provisions by such suppliers, otherwise they could be penalized to the extent of the tax amount.
