The implementation of GST will lead to the abolition of other taxes such as Central Sales Tax, State-level sales tax, entry tax, stamp duty, telecom licence fees, turnover tax, tax on consumption or sale of electricity, taxes on transportation of goods and services, thus avoiding multiple layers of taxation that currently exist in India.
Around 140+ countries implemented the GST in various form.
GST is a consumer based tax and not origin based. Under this structure of GST, the tax will be collected by the states where the goods or services actually consumed.
FMCG products may be cheaper & E-Commerce business going to benefit.
Exporting states like tamilnadu will suffer from this bill.
GST tax is expected around 20-25%.
Central govt is thinking that the GDP will increase due to GST tax, but the traders community (Vanigar sangam) claims that more trading will happen only if the tax are lower.
Some states are opposing the GST bill, but i pray that the Govt shouldn't oppose the people at any time.
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