Knowledge in GST on viden.io

Knowledge in GST

Goods and Service Tax

A good tax system should keep in view issues of income distribution and, at the same time, also endeavor to generate tax revenues to support government expenditure on public services and infrastructure development. Objectives of the study  To understand the concept of goods and service tax  To learn about shortcomings of the current taxation system in India  To understand how GST will work in India  To understand the benefits of GST over the current taxation system in India Research methodology The study focuses on the extensive study of Secondary data collected from various books, National& international Journals, government reports, publications from various websites which focuses on various aspects of Goods and Service Tax. VALUE ADDED TAX The VAT is a system of indirect taxation, which has been introduced in lieu of sales tax. It is the tax paid by the producers, manufacturers, retailers or any other dealer who add value to the goods and that is ultimately passed on to the consumer. The VAT has been introduced in India to ensure an affair and uniform system of taxation.VAT enhances competitiveness by removing the cascading effect of taxes on goods and makes the levy of tax simple and self-regulatory, ensuring flexibility to generate large revenues. The cascading effect is brought about by the existing structure of taxation where inputs are taxed before a commodity is produced and the output is taxed after it is produced. 

GST

Deepak Tewatia

Advantages and disadvantages of GST

Advantages and disadvantages  GST is a simple tax system. Now, the taxpayer won’t be confused about the what type of taxes he/she should pay. There will be only one tax, which is GST. The agenda of the government behind introducing GST itself is “One Nation, One Tax”. GST Act is going to ease the stress of taxes from the Indian businesses and manufacturers. They now have to pay lower taxes, and it will surely increase the scope of a better business environment and flexibility. India is economically growing at a lightning speed. The developed countries like Sweden, Denmark, Germany, Switzerland, Japan – have moved to a common GST (Goods and Service Tax) to provide one common window for tax collection. So now GST has become a standard for the global business and India being progressing towards the development had to embrace a uniform, sophisticated tax system which is GST. GST will surely increase the number of taxpayers, which will in turn help to reduce the tax rates as more people are paying taxes. Removal of the Cascading Tax Effect is another advantage of GST. In simple words “cascading tax effect” means a tax on tax. In previous tax system, the tax was levied on goods at each stage of the production process up to the point of being sold to the final consumer. A cascaded tax is a type of turnover tax with each successive transfer being taxed inclusive of any previous cascade taxes being levied this creates a burden of taxes on the end user. It is easy to create tax challan and pay it online on GST portal, tax file can be signed digitally. As every coin has two sides, even The GST has its own set of drawbacks and disadvantages.  GST is a newly introduced tax system in India. A common man is unaware of how the GST works moreover citizens are used to the previous direct taxes, so it would take the time to digest the whole big change and also to get familiar with the GST. Also, all the business software, processes like accounting and ERP software need to be updated with the latest tax system. Under GST some services will become costlier such as TeleCom, Airlines, Banking, Insurance will be costlier under GST bill.  Under new rules, tax needs to file each month and compliances are made more stringent, this might create a problem for small businesses. Same way Invoices needs to be GST complaint or else there are hefty fines, small businesses may not afford this transition. CA services and GST Complaint account software and related tools will add cost to Small businesses. Filing tax also faces some technical problems (faced by myself), most of the time digital signature don’t work, and a lot of people dont know the technical know-how to solve the issue. In this case, CA asks for handing over digital signature so that he/she can file returns on behalf of you. This is can be a serious identity theft issue, with DSC one can digitally sign any document. (If you know anyone who hands over their DSC to CA, make them aware of this.). Government is not spreading awareness about it. Though it’s been said that there will be only ONE TAX under GST, in reality, there are different tax slab taxes which ranges from 0% (for exempted goods), 3%,5%,12%,18% and 28%.  On top of which there are different cess needs to be paid. There are other smaller problems which arising not directly because of GST but due to its indirect effects. Small manufacturers who are dealing with high taxed material tend to buy it from unregistered vendors to evade high taxes. We have also seen some hotels and restaurants taking advantages of GST and charged customers higher taxes. Likewise, a lot of business spiked there prices by giving GST excuse.

GST

Vasu Jain

GST AND SERVICE TAX

ITS ALL ABOUT GST AND SERVICE TAX

GST

rakesh sethi

GST AND SERVICE TAX

GST

ARCHIT CHANDEL

GST - A Game Changer

There is no progress without compromise,No victory without sacrifice.On that note, I, candidate X, would like to present my views in support of the agenda, GST, A game changer. I'm sure, many of you must have thought of GST as a magic thing where, as an d when the GST comes, the GDP will suddenly grow by 2%.Well, you have over simplified the issue, i dont think it is nearly as simple. I think GST is a supply side reform that's going to create a common market and increase the allocative efficiency in the economy. I think that's the key benefit. As somebody joked, the GST is India's form of signing a free trade agreement with itself.Earlier, octroi, entry tax, these were the real hassles when it came to movement of goods. So for eg. In China if a thing moved within 3 days, over here it took 7 days. Why? Because in India, at every point you would have had to pay several kind of taxes but all thanks to the GST, these things now belong to the past and suddenly the movement of goods and the efficiency has increased so dramatically, which has, as a result, reduced the cost.GST achieves various economic goals in one stroke - be it promoting the manufacturing sector, boosting exoorts, creating more job,improving the investment climate or cutting down tax evasion. By and large, it is a win- win situation for both the centre and the states.Let's come to some facts and figures, first the registered businesses had paid a total of ₹923 billion for July, which was over the target of ₹910 billion.Second, as promised the centre has released near ₹8698 crore to states as compensation for revenue loss following GST implementation. A country where a select few loot, such a nation cannot scale new heights. These select few never want the nation to grow. Those who have looted the poor will have to give back what they have looted.Post demonitisation, data mining shows that over 3 lakh registered companies indulged in suspected dealings. Govt has cancelled the registration of over 1 lakh companies, mind my words, 1 lakh companies and more than 3700 shell firms have been identified for strong action.Along with the swachh bharat abhiyan, his govt has taken the initiative to clean India's economy and it has taken strong action against those who have duped the nation. Indeed, the GST reform is still a work in progress, but so is every political process in a mega-perse system like india. When you do such a massive reform there are bound to be some issues and challenges but the govt has been responding to feedback from stakeholders and making appropriate changes as required. Pre gst, we had more tax on fewer items, With gst, there is less tax on more items.Thank you.

GST +4 more

Pranjal Batra

GST ––Constitutional Provisions and Features of Constitution

“Goods and services tax” means any tax on supply of goods, or services or both except taxes on the supply of the alcoholic liquor for human consumption GST shall be levied and collected by the Central Government and such tax shall be apportioned between the Union and the States in the manner as may be provided by Parliament by law on the recommendations of GST Council.

GST +4 more

AKSHAT RAO PATIL

Goods and Services Taxes (GST)

GST Full Form is Goods and Services Tax. Before learning more about Goods and Sevice Tax, let's try to understand how taxes in India work. ... Indirect Tax – Indirect tax is not imposed directly on income of individuals.

GST

Rishi Soni