India witnessed the launch of its biggest tax reform since Independence, the Goods and Services Tax...

50.1K

Verified Solution

Question

Finance

India witnessed the launch of its biggest tax reform sinceIndependence, the Goods and Services Tax (GST) characterized as'The Good and Simple Tax' on July 1, 2017. While the Goods andServices Tax (GST) is focused on ironing out the creases left bythe predecessor tax regime and enhancing ease of doing business, itwill involve a wave of short term adjustments like obtainingmultistate registrations, interpretation of provisions, determiningthe place of supply, transitional issues, etc. GST, which is adestination-based tax, has been introduced to subsume several statetaxes like Value Added Tax, Entry Tax, Octroi, Luxury Tax, PurchaseTax, Entertainment Tax, etc. and federal taxes like Service tax,Central Excise Duties, Counter-vailing Duty, Additional Duties ofCustoms, etc. GST will thus replace all these taxes with onetax.
a. Examine the impact of GST in Indian context.
b. Compare the previous laws with GST Act.
c. Discuss the administrative machinery of GST in the country. HowGST will enhance ease of doing business?

Answer & Explanation Solved by verified expert

4.4 Ratings (979 Votes)

a Impact of Goods and Service Tax GST in Indian Context 1Elimination of multiple taxes and double Taxation GST has subsumed majority of Indirect Taxes levies both at central and state levelNow only GST will be leviable uniformly on all goods and services 2 Buoyancy to Government revenue GST is expected to bring buoyancy to government Revenue by widening tax base and improving tax payer compliance 3mitigation of ll effects of cascading GST has subsumed all the taxes and has allowed set off of prior stage taxes for transaction across the entire value chainhence credit of full taxes can be taken under GST will mitigate ill effects and cascading See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member