Requirements of MSMEs:GST rate reduced-exempted from compulsory registration

The country’s MSME sector is facing the challenges of the Corona epidemic. There are many problems like shortage of shipping containers, shortage of coal, increase in prices of raw materials. In the next budget, MSMEs i.e. the country’s micro, small and medium enterprises are expected to get relief from Finance Minister Nirmala Sitharaman.

In a conversation with Dainik Bhaskar, Anil Bhardwaj, General Secretary, Federation of Indian MSMEs, said that there are high expectations from Budget 2022 to take the recovery beyond the pre-covid level. The biggest demand in the budget is related to raw material prices and anti-dumping duty on it.

Raw material inflation is being artificially increased by local producers. The federation has asked Finance Minister Nirmala Sitharaman to reduce the GST rate. Debt restructuring, skills development improvements have been demanded in addition to exemption from compulsory GST registration for online sales of enterprises with a turnover of less than Rs 40 lakh.

The main demands of the MSME sector are that
sellers below the prescribed limit should be exempted from compulsory GST registration. Bank managers should have the right to decide on the proposal for restructuring. Import duties on commodities such as steel, copper, aluminum and copper should be reduced on a temporary basis due to the rise in international prices.