85,000 registered Delhi traders yet to shift to GST regime
About 85,000 registered traders are still to migrate to the GST regime, according to Delhi trade and tax department officials. Reportedly, some traders have not been able to migrate due to 'mismatch' in their Permanent Account Number (PAN). Around 3.3 lakh traders have migrated to GST till last week, the officials added.
It?s been over a fortnight since the goods and services tax regime kicked in. But about 85,000 registered traders in the Capital are still to migrate to the new regime, sources in Delhi government?s trade and taxes department said .According to a government estimate, about 4.15 lakh traders were registered with the tax department under the previous value-added tax (VAT) regime. Around 3.3 lakh traders are said to have migrated to GST till last week. Sources in the department said while many traders have not been able to migrate due to ?mismatch? in the permanent account number (PAN) provided by the traders, others have still not turned up for registration.?Any registered trader continuing with business without completing the formalities will technically be illegal,? a senior tax department official said. H Rajesh Prasad, commissioner, trade and taxes department, however, said while the number of traders who have not been able to migrate due to the PAN mismatch is not much. ?The number of such traders would not be more than a few thousand. One major reason for the PAN mismatch is change in proprietorship over generations or partnership firms changing hands. The old registration must have details of the older proprietor,? said Prasad, who has been closely associated in the GST implementation.?However, such traders are being advised to apply afresh and get a new application reference number and continue with trade,? Prasad said.Officials said while the department is making efforts to ensure all eligible traders are enrolled under the GST, the number of overall registered traders is likely to be corrected due to several reasons. ?Many of registered traders might have stopped business altogether. There is also a possibility other few accounts are either dormant or are no more eligible for the registration owning to the annual turnover cap,? an official said.All traders with an annual turnover of R 20 lakh have to register with the trade and taxes department. In order to assist the traders in GST implementation, the Delhi government has decided to run six ?GST help vans? in commercial areas to address traders? problems arising out of the new tax regime. The government has also decided to set up help desks in smaller markets. The decision was taken after deputy chief minister Manish Sisodia, who holds the finance portfolio, held a meeting with senior officers of the trade and taxes department on the implementation of the GST last week. The government has already put in place GST facilitation centres. 