GST Updates

The GST regime is entering its second decade and there are calls for simpler filing and lower compliance costs. The data points reflect the increasing formalisation of the economy and improved tax compliance.
- Monthly GST revenue is increasing.
- Businesses are facing challenges in determining the correct tax rate applicable for job work services.
- The OECD has singled out Australia's over-reliance on income tax, with the country's 10 per cent goods and services tax being low compared to other countries.
- The GST's Invoice Management System strengthens Input Tax Credit compliance by improving invoice matching, reducing errors, and enhancing transparency.
- The system is a new gatekeeper for input tax credit and helps in reducing tax evasion and money laundering offences.