The GST law may see some changes over the coming months with an expert committee proposing major amendments in the legislation and over 100 other recommendations including deferral of the E-Way Bill to 2019.

The GST Law Committee is understood to have submitted its report to Finance Secretary Hasmukh Adhia and has also suggested abolishing the reverse charge mechanism and automating the refund process.

It has also called for including inter-State transactions in the composition scheme and fixing the tax rate at one per cent under the scheme for traders, manufacturers and restaurants.

Significantly, it has also suggested that service providers should be included in the composition scheme, which allows for lower tax rates and quarterly return filing for small businesses.

The six-member committee led by Gautam Ray to suggest changes to the GST Act to ensure its ease of compliance.

The Law Committee has also suggested simplification in GST returns, an issue that is also being looked at by another expert group.

Sources said the panel received over 700 representations for changes in the new indirect tax levy that rolled in from July 1 this year.

Faster refunds

For faster refunds, it has suggested that raw materials and finished products should be taxed at the same slab.

Further, exempt or nil-rated foods should not be included in the aggregate turnover.

The committee is also understood to have suggested that a National Advance Ruling Authority should be set up for GST.

Sources said that the report of the committee will now be examined and is expected to be discussed in the next meeting of the GST Council that is likely in January.

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