Impact of GST on common man
Whenever you are switching to your favorite news channel, you watch them talking about Goods and Service Tax India pdf (GST). Not only that, if you are seeking for the latest news, whether from a newspaper or some websites, you will discover Goods and Service Tax in their headlines.
Well, when GST Constitutional Bill was passed by the Rajya Sabha in August 2016, everyone in our country were preparing themselves for the new tax regime on goods and services. It is the biggest tax reform initiative taken by the Government of India with a hope to improve compliance , to create a common playing field for the businesses and to increase government revenue. We can also write on Goods and Service Tax Canada.
How Tax Revenue System was affected by Goods and Service Tax (GST)
Goods and Service Tax Act has brought many changes in the tax revenue system. It is going to bring huge differences in our lives . Some say, rich people will be the main victim and some other says it will affect the wallet of common people. But, this is actually coming with a mixed bag of benefits to the communities. It reduces the cost of important items and some goods becomes quite expensive. It seems that in the longer run, Goods and Service Tax (GST) might have some favorable effects on the Indian economy, while in the short run, the benefits seem to be limited.
Let’s have a discussion on the change in price of the essential commodities.
First, have a look at the things which might become costlier as the effect of Goods and Service Tax (GST) and you can check the Goods and Service Tax portal.
Things that might get costlier
Currently, the rate of service tax is 15%; it includes most of the services except the essential ones like ambulance service, sports events, cultural activities and certain pilgrimages. Under the GST Act, the service tax rate will increase up to 18% and thus, it makes the services more costly and we can provide you with the best Goods and Service Tax ppt.
The hike in the price of edible oils, textile might create a hole in the pocket of the common people.
The government has put its curved vision on the sin goods like cigarette, aerated drinks, and tobacco products. It means these commodities are going to get taxed at higher rates than normal and we can help you in Goods and Service Tax registration.
Well, it’s quite good for you if you are health conscious and was trying to cut these out from your daily intake. Let’s make a small and compact list of the products and services that are going to be costlier.
– Bills of restaurant and hotels.
– Internet data packs and mobile bills.
– Transportation services that include railways, cab services, and air travels.
– Ornaments, jewellery, and precious metals.
– Luxury comfort cars.
– Cigarettes and other tobacco-related sin goods.
– Aerated drinks.
– DTH and Courier services.
Now, let’s put our eyes on the products or services that are going to get cheaper and pocket-friendly. From this blog, you will understand the Goods and Service Tax meaning.
Things that might get cheaper
The manufactured consumer goods, that are currently bearing 25%- 26% service taxes, will reduce to 18% under the GST Act by the Indian Government. We can help you in understanding Goods and Service Tax 2016. Those products will be cheaper than the previous rate. Check out the following list to know which products are getting cheaper.
– Plyboards and wooden articles.
– Online shopping
– Processed foods, Chocolates, Shampoo like Fast Moving Consumer Goods (FMCG).
– Pharmaceutical products.
– Branded apparels.
– Movie tickets.
– Cement, paint and other various kinds of constructional materials.
– Fan, air cooler, water heater, TV and other electronic appliances.
– Solar panels as well as fingerprint scanners etc.
The Bottom Line
GST Act is considered as the most powerful tax reforms in India. It has the vision to change the current tax regime of production based taxation to consumption based taxation. It is very clear that the corporate will get benefit under the GST system. However, the benefits of common people are still speculative. You might have left with some following questions regarding Goods and Service Tax Australia. Let’s try to make it clear to you.
What is GST bill?
GST is Goods and Services Tax, is a tax that is levied when a consumer buys any goods or avails any service. The target of GST bill is to eliminate the cascading effects of taxes on the production as well as distribution prices on goods and services. You will get the best guidance for Goods and Service Tax Act Malaysia.
What is GST Slab?
GST contains four slabs basically. The slabs are of 5%, 12%, 18% and 28%. Finance Minister confirmed that 81% of the goods will be under the first three brackets that are lower than 18%. Rest of 19% will be categorized under 28% slab. Besides this, the sin goods like tobacco products will be taxed at 65%. We are quite aware of the Goods and Service Tax Amendment.
Now, tell us your opinion about Goods and Service Tax article. You will be able to know the Goods and Service Tax advantages. Do you think it’s going to create holes on the wallet of common people? Do let us know. Comment your feedback and like our Facebook page.