English | Dzongkha Friday, June 18, 2021

National Council questions the government’s decision to defer the commencement date of the GST Bill

Jun 10, 2021

The government’s decision to defer the commencement date of the Goods and Services Tax (GST) Amendment Bill of Bhutan 2021 to next year was not well received by the National Council. The GST Bill was forwarded to the National Council after it was adopted by the National Assembly on Tuesday.

Although the GST Amendment Bill is a Money Bill, members of the National Council said some sections in the Bill were found to be already implemented while the government is proposing for a deferment.

“No bill so far had double commencement date. For few chapters, the commencement date was immediately after the adoption of the Bill last year and for some sections, the commencement date was supposed to be started and implemented from July next year. There can not be two commencement dates for one bill,” said Sangay Dorji, the chairperson of the Good Governance Committee in the National Council.

They also said it is legally not right as it is against the Public Finance (Amendment) Act of Bhutan 2012.

“As per the Public Finance (Amendment) Act 2012, money bill has to be implemented from the day it is tabled in the parliament but the implementation date reflected in the bill was supposed to be from July 2021 which means we have a gap of a year”.

Although the Bill was passed last year with its implementation to take place from July this year, the government decided to defer it stating that the GST system is currently being developed.

Tshering Dhendup

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