Reasons of banks NPA

       Present time many enterprises are stressed. Many time there bank loan restructured or declared NPA ( non performing assets = bad loan). If we see the possible reasons then lack of management, lack of finance, government policies, technology changes and many more but today we will discuss about government policies which are forcing enterprises in stress.

1. Authorisation of Indirect tax department, GST  ( GOODS AND SERVICES TAX) portal is unfair department giving permission to those people who are already defaulter.

2. Once a enterprise sell there goods & services on credit then they have to pay GST 3B on time either they have received payment or not.

3. GST portal have not any option to stop out put of the GST either he haven't received payment. 

4. GST portal must add a option of the payment received or not on GSTR 1 return bill wise so if payment not received then GST will not transfer on B2B ( business to business sell) transaction either firm have paid at the time of the GSTR 3B.

5. If any enterprise have not received payment then GST should be refunded. 

6. Mostly B2B transaction firms have to payment on 20th day of the per month for previous month sell either payment received or not.

7. If matter go to court and firm go for recovery suit then rule is to deposit 20% of the amount. It's totally wrong. Why any firm who paid GST on time then why firm have to pay 20% of the recovery amount to the court and then court accept the matter.

8. If any firms sell any goods and services to others on good faith and identify by GST department and RoC (Registrar of companies) by corporate ministry then if debtors became bankcrupt and firm will not receive payment in future then GST department should refund amount which firm paid on sales.

The role of the court and police administration is important in India's economy, which is going through a very poor situation. Here in the case of the cheque dishonor of the bank, decisions do not come for 5 to 7 years. If you have sold goods to a company, then the government should have its own GST charge (Goods and Services Tax), that is, if some goods or services are sold between September 1 to September 30, then it is mandatory to fill the GST on October 20, even if the bill is unpaid. If not received GST by Tax department then penalty will be imposed. Now if someone refuses to pay the bill, then the GST filled with the amount of the goods also sinks, which we have given to the government for good governance, expenses for government employees salary and other expenses. Now forward to register a case in the police or court, it takes 3 months to file a case, after the case is registered, the drama of police & courts are going on, there are many policemen who do not even know about the GST. Then the nexus between the accused and the police begins. There is no accountability of the government and government departments of the police and the court to the merchant ( Businessman ) who has filled the GST to the government, for goods & services sold.  while the police and judges receive monthly salary from the same GST. Now if the police and the judge are unable to take the right decision, then return our GST to us with interest. How many fraud people are buy goods  & sservices  on GST number and refuse to pay. Police and judges are indirectly involved in the case. Fraud person enjoys and honest GST payer feels sorrow. After recover from accused police deposited money or other goods in malkhana and applicant walk behind court as return of property  where date on date given nothing solutions proven. They are hurresing innocent people and favouring criminal. 

Many time cases are pending in the court on debtors of any firms but banks declared them NPA. 

   Need to  big changes....