Table of Contents
Is GST good or bad?
Being the Biggest tax reform in India, GST will allow the real GDP growth of the Indian economy to hit 6.75 per cent in this fiscal year with expectations of 7 to 7.5 per cent real GDP growth in 2018-19. SMEs and small taxpayers have benefitted from the GST system with a number of relaxations.
What are your thoughts about GST?
GST will enhance the growth of e-com industry. The only set-back of GST on this industry is the Tax Collected at Source (TCS) mechanism which many companies are not too excited about. Influence of GST on Pharmaceutical and Healthcare Sector: GST will be of enormous benefit to healthcare and pharmaceutical industry.
Why is GST useful?
GST has reduced taxes on certain goods by 2\% and others by 7.5\%, such as smartphones and cars. GST brings uniformity in the taxation process and allows centralised registration. This gives a chance to small businesses to file their tax returns every quarter via an easy online mechanism.
What are the benefits of GST on the economy?
Inflation is low and get speed up GDP. By implementing GST, the same type of indirect tax will be made in the entire country by which businessmen will receive full credit of GST paid on goods and services purchased which he can use to pay GST on the goods and services sold.
What are the typical problems experienced by taxpayers under GST?
The typical problems experienced by taxpayers include difficulty in accessing the GSTN system, slow response rate of the system and error resolution mechanism, and absence of any functionality to rectify inadvertent errors in the returns.
What will happen if States surrender power of taxation in GST?
The states have surrendered their powers of taxation in GST, which seems to contradict the federal structure of the Indian polity. They will have to look for instruments other than tax exemptions to attract /incentivise industry. Moreover, it is still not clear what will happen if some states become non-cooperative.
What are the different types of tax returns under GST?
In proposed GST, businessmen will have to fill three different types of tax return, which include input tax, output tax and integrated returns. The common people will get the biggest benefit from implementing GST.