- Consumers, GST, Government
Abstract
GST will narrow economic distance between producers and consumers as it will be imposed only value addition. The dream of one country, one act and one tax will be observed. It is expected that, it will help to improve the productivity in the country as well as will be benefited to the consumers, as maximum rate of GST is predetermined. It will also help to avoid the multiple taxation, processes, tax evasion etc. Government proposed Central GST and States GST. CGST will subsume central excise duty, excess central excise duty, service tax, excess custom duty and special excess custom duty. SGST will subsume sale tax/ VAT, entertainment tax (other than local bodies),sale tax which is imposed by Centre Government and collected by states, purchase tax, luxury tax and lottery tax and more significantly octroi which is a major source of revenue of the Municipal Corporations. Already there is vertical imbalance of resources and responsibilities among Governments in India. Therefore, in this research paper probable pros and cons about upcoming are discussed.