New GST rule to make these changes from January 1

0

With the New Year fast approaching, a lot will change in the way you shop online or travel daily. These changes will come into effect under the new Goods and Services Tax (GST) rule effective January 1, 2022. Under the new rule, your Ola and Uber car trips, and more, will become Dear. Also Read – How To Check If Your PAN Card Is Linked To Aadhaar Card

The GST rule was announced by the central government earlier this year. As per the rule, all online auto services will become taxable as of January 1, 2022, at 5%. Additionally, all food delivery apps such as Swiggy and Zomato will need to collect and file GST to the government on catering services offered through the platform. The GST rule will also increase the prices of clothing and footwear, which will be subject to a 12% GST from early 2022. Read also – Ola S1 and S1 Pro, a broken Indian electric dream?

Let’s take a quick look at all of the changes you’ll see from January 1, 2022 under the new GST rule. Also Read – Here’s How To Check If Your Aadhaar Card Is Approved For Phone Number

Car trips to become expensive

Online transportation services have become an integral part of our lives these days, especially during the COVID time when people avoided using public transportation. If you are too dependent on platforms like Uber and Ola, bad news is coming for you. In accordance with the new GST guidelines, car journeys offered through an online platform will be taxed at a rate of 5% as of January 1, 2022. Offline car journeys will continue to be tax exempt. Platforms like Uber, Ola, Rapido and others are unhappy with the move because they believe it will reduce overall demand.

So, starting on Saturday, get ready to pay a lot more for your New Year’s Ola and Uber car rides.

Changes to online taxi services

Previously, the tax on cab rides was set at 6 percent, but with the new 5 percent GST rule, your Ola and Uber ride should ease up a bit. The new rule comes into effect on January 1, 2022. This applies to all online taxi services, including Ola and Uber.

Swiggy or Zomato to charge GST

As of January 1, 2022, food delivery apps such as Swiggy, Zomato and others will be required to collect and submit GST to the government on catering services offered through the platform. In particular, this will have no impact on end consumers. Currently restaurants collect and deposit GST and with the new rule deposit and billing compliance has been moved to food delivery platforms.

Mandatory Aadhaar verification

Under the new GST rule, all businesses will need to authenticate Aadhaar cards in order to claim a GST rebate. According to reports, this measure was taken as an anti-tax invasion measure. It should be noted that not verifying the Aadhaar will block the GSTR-1 installation, which allows companies to file returns.





Share.

Comments are closed.