INSUBCONTINENT EXCLUSIVE:
The common citizen is expected to gain from GST regime in the time to come, say experts.Goods and Services Tax (GST), which was rolled out
on July 1 last year, will complete a year on Sunday
The uniform indirect tax regime, which was in the offing for several years, was eventually rolled out last year at midnight hour in the
intervening night of June 30 and July 1
A year has passed and several items that were initially added in the GST regime are now no longer a part of it
cent, five per cent, 12 per cent, 18 per cent and 28 per cent
Some items such as petrol, diesel and liquor are, in fact, not included in GST.The common citizen is expected to gain from GST regime in the
systems to implement the new indirect tax regime to formation of National Anti-Profiteering Authority, the past one year has marked many
overarching integrated tax
streamlined tax compliance," said Aditya Kedia, managing director, Transcon Developers
"The main aim of GST was to replace multiple indirect taxes with one single tax - it has further streamlined the tax compliance and
diminished the room for double taxation," he said."Under GST, same goods and services are taxed at same rates in all parts of the country
and, hence, it has led to availability of products to customers everywhere at the same prices
It has also led to more competitive environment which is beneficial for the common man," said Vishal Raheja, DGM GST,
Taxmann."Anti-profiteering provisions have at least set the tone for reduction of prices
Hence, the common man, at some point of time, will gain due to the reduction in taxes
Further, the taxes now are fairly and completely visible on the invoice and hence the common man knows their brunt," said Abhishek A
Rastogi, Partner, Khaitan Co.The formation of National Anti-Profiteering Authority has ensured that benefits of price reduction are passed
The purpose of setting up this body is to determine whether the reduction in tax rates or benefit of input tax credit is being passed on to
the recipient by way of commensurate reduction in prices or not
Input tax credit helps manufactures claim credit on tax paid already.Reduced rate of GST on low-cost housing under various schemes has also
led to reduction in the cost of housing
"There has been an increase in demand of said units by the common man," said Parag Mehta, Partner, N.A
Shah Associates LLP.How has GST impacted small businessesSmall businesses now have to deal with only one department because all taxes have
This has reduced the level of compliance for small business
Their compliance cost is also saved.Under GST, it is easy to take registration in different states directly through online portal from any
place without any need to visit the department.The availability of input tax credit has resulted in increased margins for small businesses
Input tax credit helps manufactures save on tax that they pay on output because they have already paid the same on their purchases
So while paying tax on output, they can claim credit for the tax they paid on inputs.The International Monetary Fund (IMF), however, said
recently that India should further streamline and simplify GST.It will possibly take some more time to fully make the best use of this
