Office-bearers of the Institute of Chartered Accountants of India met Finance Minister Nirmala Sitharaman on Sunday to discuss the implications of the move to dispense with audit under the GST Act.
They said the government’s move to simplify compliance of law for the smooth functioning of the trade and industry sector is commendable. They emphasised the need to strike a balance between ease of doing business vis-a-vis compliance of law.
However, chartered accountants said the move to suspend GST audit will not only lead to huge leakage in tax revenue, but also increased litigation and corruption.
The Finance Minister expressed concern over the level of tax evasion. She said that the opinion of the Institute of Chartered Accountants of India will be given due consideration.
It is pertinent to mention here that Clause 101 of the Finance Bill,2021 seeks to omit sub-section (5) of section 35 of the CGST Act so as to remove the mandatory requirement of getting annual accounts audited and the reconciliation statement submitted by specified professional viz Chartered Accountant / Cost Accountant.
Also Read: ICAI wants FM to withdraw Budget proposal on removal of GST audit
Source: thehindubusinessline.com
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