Government launches incentive scheme to improve tax compliance at retail level

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₹1 crore, ₹10 lakh and ₹10,000 as incentive. The minimum value for invoices to be considered for the draw has been kept at ₹200. All invoices issued by GST registered sellers will be eligible for the scheme and maximum 25 invoices will be considered from an individual in a month.

Dushyant Chautala, deputy chief minister of Haryana told reporters at an event in Gurugram that every year, rewards worth ₹30 crore will be given in these states and union territories. “Any invoice above ₹200 can be uploaded. In every quarter, there will be two rewards for ₹1 crore each by draw of lots.

For this, government has made Mera Bill Mera Adhikar app. More than 50,000 people have downloaded the app," Chautala told reporters. Revenue secretary Sanjay Malhotra said the scheme is launched for one year and later it may be decided whether it can be extended to the whole country.

The scheme is designed to inculcate the habit of insisting on invoice at the time of purchase, which will also help consumers in availing of post-sale customer support, product replacement or refund in addition to encouraging tax compliance at the retail level. Malhotra explained that nominal gross domestic product (GDP) has grown by 8% in the June quarter and GST revenue collection growth is on a faster pace. “GST revenue during this period, in the first quarter, has grown by more than 11%.

This translates into a tax to GDP ratio of more than 1.3. Tax collection has grown more than the nominal GDP without any increase in the tax rate. This is because of better compliance and improved tax collection efficiency," said Malhotra.