Efforts are underway to simplify Goods and Services Tax filing processes. According to the finance minister, the government is working to improve system usability and ease compliance requirements, especially for small taxpayers.
Finance minister Lekey Dorji said GST is a long-term structural reform aimed at modernising the country’s taxation system by improving efficiency, transparency, and economic productivity.
He added that the government acknowledges the implementation of GST has created some pressure on businesses.
He emphasised that the country only introduced GST on January 1 this year, and that it is still in its early stages.
“Being in its early phase, current revenue outcomes should not be directly compared with the previous system. International experience shows that such transitions involve an initial adjustment period after which compliance improves and revenues become more stable and sustainable.”
The minister also added that the government is continuing to engage closely with stakeholders to refine implementation based on practical feedback.
“176 economies across the world have adopted GST or VAT and are considered the most modern and comprehensive consumption taxation system. On the issue of inflation, while GST may be perceived as contributing to price increases in the short term, it is in fact a more transparent and efficient tax system that reduces cascading effects present in the earlier regime.”
The minister said that the government will focus on improving its implementation and addressing concerns to ensure long-term benefits.
Sangay Chezom
