FISME, Tamil Nadu Chamber of Commerce flag concerns about GST registration

Tamil Nadu accounts for the country’s third-largest number of MSMEs, with 8 per cent share totalling five million enterprises, it said. Online sellers voiced concerns over licence cancellations amid requirements for physical presence, adding that there is a significant gap between GST guidelines and their practical implementation by authorities, leading to challenges for legitimate sellers.

“Despite our earnest efforts to obtain GST registration in Tamil Nadu, we’ve faced repeated rejections, hindering our ability to serve the region. The short notice and our inability for physical presence further exacerbated the challenge. It’s disheartening as India strives to promote MSMEs, yet barriers persist,” Manish Singla, Chief Executive Officer and Founder, Healthy18 said.

Anil Bhardwaj, Secretary General, Federation of Indian Micro and Small & Medium Enterprises (FISME) said while GST was expected to bring transparency and simplicity, challenges persist, particularly for emerging business models like e-commerce. “Clear and concise guidelines are essential, along with increased awareness among GST officers. Meaningful dialogue between MSME bodies and the GST department is vital to finding common ground. It’s crucial to emphasise that the solution lies not in tax avoidance but in streamlining processes for easier compliance. Simplifying the process will make compliance more manageable for businesses,” he said.