The Latest Trend in Benefits of GST in India
Hello, friends today I will bring to attention on benefits of GST and its effect in India, which is applicable on 1 July 2017 in all services.
Before starting this benefits of GST article I would like to ask you a question if you are ill and your doctor prescribes you only one medicine instead of various medicines and tests but under a condition that this medicine is more bitter and expensive then a regular medicine what would be your decision?
I am sure you will surely prefer the bitter and expensive medicine because it can save your time and long-term investments on medicines. GST (Goods and Services Tax) is such a medicine, which will treat the disease called” Tax” at one time. GST is applicable from 1 July 2017. After the continuation of GST bill, India will become a single tax economic system. Which means we have to pay for only single tax for all the goods and services we consume as benefits of GST.
Therefore, it is very important for us to know what will be the effect of GST in our life as the Indian citizen. Currently Indian govt. Whether central or state claims many types of different taxes for the goods and services but after GST starts, we have to pay only one tax to get the benefits of GST. So the central tax, sales tax, and VAT will be dismissed. Right now we have to pay 30 to 50 % tax or sometimes 50 % 20 different types of tax for particular goods and services after GST it will be reduced to 18% only without any hidden act.
According to economic experts, if GST is applied the GDP of India will increase from 1 to 2%. For some initial years, the prices may hike a little bit after GST, for example, all packaged food products have 3 to 4% tax after GST it will become 18%. Garment and ornaments, mobile phone and credit card will also be expensive due to 18 % tax hike. Perhaps GST will bring down the price of house and cars and household products.
According to the GST bill, every transaction will be recorded online; therefore, the dishonest businessperson cannot hide the sales and cut the tax payment. Govt will open an online portal where we have to open an account with our PAN no for which a unique code will be generated by using this code we can pay our tax at once for the benefits of GST. Loksabha approved GST by 6 May 2015 but it took much time to pass from Rajyasabha. Almost all the state of India is supporting GST but it is taking time because every state has to pass this bill individually from their Bidhansava. It will be clear after 1 July where GST bill is beneficial for our state or not.
So, friends if you have any question and opinion regarding this benefits of GST article share with me under the comment box.If you want to register to the GST portal click here