Karnataka Assembly Paves Way for GST Transparency

The Karnataka Legislative Assembly has taken significant steps in enhancing tax transparency by passing a bill on Thursday that implements a track-and-trace mechanism to address GST leakage in tobacco and arecanut products.

State Revenue Minister Krishna Byre Gowda, who piloted the Karnataka Goods and Services Tax (Amendment) Bill, highlighted the crucial gap between actual sales and declared sales figures. The bill introduces a comprehensive monitoring system within the value chain to track all product stages, aiming to detect accurate sales volumes and curb misuse of input tax credit (ITC) in the process.

In addition, the Karnataka Decriminalisation (Amendment of Provisions) Bill was introduced with the purpose of decriminalizing select offenses to promote a trust-based governance system, thereby facilitating ease of living and business operations within the state.

(With inputs from agencies.)