GST : What is the impact of GST on the common man ?
GST Bill has been passed in the Rajya Sabha, further ratified by the requisite number of states.Even the President has given his assent to the GST Bill. So,the implementation of GST is nearing reality.
All the necessary steps are being taken for the effective implementation of GST or Goods and Services Tax from April 2017 in India.
GST has been a hot topic of discussion everywhere these days.So,you need to be aware of different aspects of GST.
How it will impact our lives,once GST is introduced ? How the common man will benefit from GST ? What are the advantages and disadvantages of GST ?
Keep reading further, to have a deeper insight of the positive as well as the negative Impact of GST on common man.
Presently,there are around 160 countries that have implemented GST/VAT in some form or other. In some countries,VAT is the substitute for GST,but conceptually it is a destination based tax levied on consumption of goods and services.
- France was the first to introduce GST or Goods and Services tax.
- Presently,only Canada has a dual GST model (somewhat similar to the Dual GST Model that India is going to implement).
- The rate of GST normally ranges in between 15–20% .However,it may differ to a higher/lower side in some of the countries.
The rate of GST plays a crucial role, that is yet to be decided.Various countries have been struggling to rationalize the rate structure.
India is all set to introduce GST or Goods and services tax after crossing the various hurdles in its way.
Let us hope it is introduced at a nominal rate that proves beneficial not only for the common man but for the country as a whole.
What is GST or Goods & Services tax and What is its Impact on the Common Man ?
GST or Goods and Services Tax as the name implies,it is an indirect tax applied both on goods and services at a uniform rate.This means goods and services will be subject to a uniform tax rate and both will be treated at par.A single form of tax known as GST or Goods and services tax will be applied throughout the country,replacing a number of other indirect taxes like VAT,Service tax,CST,CAD etc.
GST or Goods and Services Tax – A new law,a new tax will bring with it new challenges to face that need to be tackled with utmost care.
So,GST bill covers the Goods and Services Tax and shall be the biggest indirect tax reform providing a uniform and simplified way of Indirect taxation in India.Once introduced GST will replace a number of other indirect taxes like VAT,CST,Service tax,CAD,SAD, Excise,Entry tax,purchase tax etc.
So,a bundle of indirect taxes will get replaced by a new tax in India known as GST or Goods and Services Tax.Hence,leading to a much simplified tax regime as compared to the earlier complicated tax structure comprising of numerous taxes.
As and when a new reform or bill comes and a new law is imposed,it surely leaves its impact especially on the common man.It is ultimately the common man who is directly or indirectly affected by the implementation of any new tax.
Same applies in case of GST wherein the common man being the final consumer of goods shall be directly affected after introduction of GST.
Here,we have tried to cover up the major points related to Impact of GST on the common man or the final consumer.
Simply stated,we have highlighted the main advantages and disadvantages of GST and how GST will affect the common man.
**Important note : On 3rd November,2016 a four tier GST rate structure has been passed, the final slab rates being agreed upon are 5%,12%,18% and 28%.
Final GST Slab rates are :
- Zero rated items : Foodgrains used by common people. ( A sigh of relief…hmmm…)
- 5% Rate : Items of mass consumption including essential commodities will have low tax incidence.
- 12% and 18 % Rate : Two standard rates have been finalised as 12% and 18%.
- 28% Rate : White goods like Air conditioners, washing machines,refrigerators,soaps and shampoos etc.that were taxed at 30-31% shall be now taxed at 28%.
Demerit goods like tobacco,tobacco products,pan masala,aerated drinks and luxury cars shall be charged at the highest rate of 28%.An additional cess on some luxury goods shall also be imposed.
Services that are now taxed at 15% shall be taxed at a higher rate of GST @ 18%.
The tax rate on Gold is yet to be decided.
It is infact too early to predict the actual impact of GST on different sectors.
The final classification of goods in each of the above category shall be released very soon by the GST Council.
Positive Impact of GST on the Common man or Advantages of GST :
- A unified tax system removing a bundle of indirect taxes like VAT,CST,Service tax,CAD,SAD,Excise etc.
- Less tax compliance and a simplified tax policy as compared to earlier tax structure.
- Removes cascading effect of taxes i.e. removes tax on tax.
- Due to lower burden of taxes on the manufacturing sector,the manufacturing costs will be reduced,hence prices of consumer goods likely to come down.
- Due to reduced costs some products like cars,FMCG etc.will become cheaper.
- This will help in lowering the burden on the common man i.e.you will have to shed less money to buy the same products which were earlier costly.
- The low prices will further lead to an increase in the demand/consumption of goods.
- Increased demand will lead to increase supply.Hence,this will ultimately lead to rise in the production of goods.
- The increased production will lead to more job opportunities in the long run.But,this can happen only if consumers actually get cheaper goods.
- It will curb circulation of black money.This can happen only if the “kacha bill” system,normally followed by traders and shopkeepers is put to check.
- A unified tax regime will lead to less corruption which will indirectly affect the common man.
- Most importantly,GST will help to boost the Indian economy in the long run.
But,this is possible only if the actual benefit of GST is passed on to the final consumers.There are various other factors also like the sellers profit margin that determine the final price of goods.GST alone does not determine the final price of goods.
Negative Impact of GST on the Common man or Disadvantages of GST :
- Service tax rate @ 15% is presently charged on the services. So,if GST is introduced at a higher rate which is likely to be seen in the near future,the cost of services will rise. In simple words,all the serviceslike telecom,banking,airline etc. will become more expensive.
- Increased cost of services means, an add on to your monthly expenses.
- You will have to reschedule your budgets to bear the additional services cost.
- An increase in inflation might be seen initially.
- Being a new tax,it will take some time for the people to understand it completely.Its actual implications can be seen only when the rate of tax is determined.
- It is easier said than done.There are always some complications attached. It is a consumption based tax,so in case of services the place where service is provided needs to be determined.
- If actual benefit is not passed to the consumer and the seller increases his profit margin,the prices of goods can also see a rising trend.
- A strict check on profiteering activities will have to be done, so that the final consumer can enjoy the real benefits of GST.
- Although,a large number of officers are being trained and a systematic IT software is being developed for the successful implementation of GST. But,it will take some time for the people including the manufacturers,the wholesalers,the retailers or the final consumers to understand the whole process and apply it correctly.
However,GST or Goods and Services tax is a long term strategy planned by the Government and its positive impact shall be seen in the long run only.Also,this can happen if GST is introduced at a nominal rate (hope so)to reduce the overall tax burden of the final consumers.
The rate of GST and how effectively GST is introduced in all the States and at the Centre also plays a crucial role in deciding the actual impact of GST on the common man.
A well designed GST Policy can bring a qualitative change in the tax system of India.
A massive IT Software is being developed for the successful implementation of GST and bring things online.Revenue officials are also being trained for turning GST into a reality.But,the actual performance and results can be visualised once GST is implemented.
Talking about the different sectors,some might gain,some might lose.But,ultimately we will have to get used to this new tax,that is going to be a landmark reform having a great impact on India and its taxation system.
Have a look at the Infographic below, that will give you an overview of GST or Goods and Services tax :
Let us hope GST or Goods and services tax leaves a positive impact and helps to boost up the Indian economy and convert India into a unified national market with simplified tax regime.
A rising Indian economy will anyways help in the financial growth of the common man !
Let us hope this “One nation,one tax” proves to be a game changer in a positive way and proves to be beneficial not only to the common man but to the country as a whole.
What are your views regarding GST ? Do you feel it will help the common man ? Will it lower the tax burden ? How positively it will impact the life of a common man ?
Feel free to give your opinion on the same to help our readers learn more about GST !
It will surely help. however it will be necessary to let free transport of goods, including food grains, in the country. Market forces will be allowed to play their roles in an open Market place. Farmers are freed from the tyranny of mandies. Etc.
Tyranny of farmers is not over with introduction of CST as no local levies like Mandi tax , cessation are not covered and continue to remain to daunt both farmers, dealers, and actual users.
Well said. It is Correct only
Either GST comes or not people have actually already started puting the prices up be in stores or normal small fast food stores.But when asked they’re saying till now there is nly increase but no decrease. So i feel each and every shop or small should have a form or certificate with stamp stating all this.
We as a citizen truly support this tax reform for development and betterment of our nation
I think commom people will get no benefit if G ST is introduced
ok it may common people will not benefit from GST but if u think this country can get benefit from it. If country will get benefit certainly common man will get benefited.
It is best reform in Tax area.
Am literally shock by reading your Clarification of Common man Benefits ..
How can a Country get benefits where in Common Suffers alot ?
On What economic grouds you think that Country could get better when its Own Citizens left at helm of Sufferring Complex and Heavy Taxations in the name of GST which Marginalise Its Rate from 5% 12% 18% and 28% respectively ?
Most frequently used Services will be doubled Under new tax system and The Cycle Runs on Clockwise Direction where
Good Prices can increase Sales Revenue thus Increase the profits and Profits can be utilised and distributed towards the Financial Activities and Operations at par.
Increase in sale would increase Profit and increase in provision to hire more employees to accommodate the demand and this Vicious Cycle increases in benefiting manufacture dealer Seller and buyers viceversa.
This would benefit Country in returns from all the financial Activities Complying the norms of Tax levied.
Now let me clear this India has witnessed Its all times worst Cash Crunch And jeopardy of Note Ban all the money were called back to Banking sector Forcibly an Organised Loot and left peole in dilemma to Survive with their earnings from almost Low Business and this also decreased slow down Economic growth, by implementing GST would only Decreasing tax rates mere Service and products but on loot by making 18% 28% taxes for the goods & Services were earlier below 15%.
A prime minister Made a stunt and risked his own Country’s Citizen which has claimed few lives as well and no Big Businessman, Corporates, ministers MPs, MLAs, Tycons were not seen in ques over 50 days of Demonetization and when there is limitation on withdrawing Cash Bellary Reddy bros organised 500 Cr Marriage For their Daughter.
Who will clarify this ? INDIANS are so Innocent that they bear all harsh decision and Lies of Govts Since Independence.
Finance Minister himself didnt know the ATM Machines were not equipped to dispense New 500 and 2000 Notes itself shows Immature Individual like a Fresh Commerce Graduate is at Finance Ministry.
Last but not the least Mr PM and FM team claimed that they planned Demonetisation and introducing New notes earlier months 2016 stated 6 8 months and Fortunately their open lie is caught Because Former RBI Governor Mr Raghuram Rajan served his duty RBI Governor until September 2016 and then
Ambanis Close aid Mr Urjit Patel were Appointed as New RBI Governor in September as well.
If demonetisation was planned at the time of Raghuram Rajan and Notes were Printed during Raghuram rajan .. then how come we have newly appointed Urjit Patel Signatures on New Notes claimed to be printed 8 months ago is that february 2016 when Demonetization Announced on 8th November 2016 .
15 Lakh was Jumla and Riots killing of Muslim Community in the name of Beef by Gau Raksakhs.. when the reality is all Non Muslim Marwadis Hindus are the owners of the Slaughter Houses which Export Thousands of Tonnes of Beef Abroad.
Think out of the box and open your eyes we have been cheated by leaders not British but our Own Countrymen …
GST ekdum sahi hai yeh Hamare desh ko majboot banane ki aur Hamara Desh exam majboot ho jayega asmr frp Padega
Absolutely correct
Correct
True citizen of India will not benifit
You should stop thinking for the benefit of this country
No but if we r not geting somthing,then y its introduced
Hope that GST will give boost to the Govt. Tax collections and also reduce the cascading tax effect on the consumers(common man). But traders feel that they will get Officers riding due to all public bills to be shown into the accounts regularly (now most of them are not showing in the accounts properly).
Thanks sir
Everything under lence keep all people should cooperat
Let these be increased by another 5% and Income Tax is abolished…
No any other tax…
so its only like purchase tax….
no electrical duties…also…
GST apparently looks good. Beware of the political forces that control APMCs, Mandis and the like. They are sure to create road blocks and try their level best to fail this new initiative by NDA Government. Beware!!??
If GST is implemented, anybody can predict howmuch benefits consumer will get after implementation. List 5 items and it’s price as on today and predict the rate for the same listed items after GST implementation.
List out any 5 items and it’s price as on today and predict the rate for the same listed items after GST implementation.
That’s correct! Makes sense
Yea… obviously common people will be benefited from GST if the Govt. look after the profit margin.
Ultimate result for common man will be zero as the increase of service tax from 15% to 18% will plus minus all the benefits. In between retailer may enjoy the benefit of GST.
Ultimately business men are benefitted.No gain for common man,it is nicely adjusted.Basically all govts are same ,they are not for common man though common men are the king maker.Once elected they forget common man.Govt is claiming that 57% of our railway fare of people are shared by govt but, they never say that 95% of the canteen cost at Parliament is carried out by citizen.Govt is telling there is no increase in price but every thing is increasing day by day and FD interest is coming down weekly.Govt announces enhancement of interest rate for sr ctzn but banks donot get any circular in this respect.I donot understand what is going on.
How the common people will benefit not understand. Big publicity has been given that education loan has become cheaper and easier. But practicaly not.
I fully endorse the view of Shri T.K. Mukherjee. As pointed out by the Editor, the GST implementation will NOT Benefit the end users common men unless the Government puts up absolute Checks on Profiteering and Katcha Billing by the Businessmen/Business Houses without any Compromise and Delay.
In textile for fabric manufacturers now they’re getting complete tax benefit as they are miss using opportunity and some people are selling the product of yarns .
So what I am telling is you need to implement gst on all textile products so each one will compulsory will opt for billing system
If service tax in the name of GST is increased to 18% how can the commoner benefit.Gst on inputmaterials plus GST on service will increase the burden on common man. Only advantage is uniformity
Of course will be benefited with the introduction of GST as price would definitely go down, if not immediately, on the long run. What is more important is the manufacturers, retailers and other business people will be now hassle free because of one common tax. What I am more worried is whether the octroi of 5.5% which Mumbai Municipality charges, at the entry point, will be abolished or not? Because if this is not done away with, then the products in Mumbai will always be more expensive than the rest of the country. The very idea of GST (common tax throughout the counrty) will go down the drain.
Of course, consumers will be benefited with the introduction of GST as price would definitely go down, if not immediately, on the long run. What is more important is the manufacturers, retailers and other business people will be now hassle free because of one common tax. What I am more worried is whether the octroi of 5.5% which Mumbai Municipality charges, at the entry point, will be abolished or not? Because if this is not done away with, then the products in Mumbai will always be more expensive than the rest of the country. The very idea of GST (common tax throughout the counrty) will go down the drain.
It is welcome move should have been introduced long back . hope it will have long term benefits for society
If GST is implemented, anybody can predict how much benefits consumer will get after implementation. List 5 items and it’s price as on today and predict the rate for the same listed items after GST implementation.
Please enclosed the list of items that is commonly useful for a common man and respective rate of GST
This party and PM Modi (when he was not a PM) opposed GST, did not allow it to be passed. Now FM pushed by India Inc is very eager to have it because it is going to immensely benefit business class in raising prices of their products and services. Common man is going to pay for this, because it not a transparent system.
Ultimate GST System
As opined by many economy experts/media, claimed by FM and canvassed/pushed by Indian Business Class (IBC), GST will lead to avoiding paying taxes on taxes, simplifying the tax system, making the system transparent and reducing (in many cases) tax and so price, finally paid by the buyers of goods and services.
However, government, experts and media are not guiding, perhaps purposely, consumers about how they will be actually affected by GST. What consumers need to know, by some actual examples, as to how much actual GST (in Rs terms, assuming any GST rate) they will have to pay and on what ultimate value/price of goods and services purchased. Consumers should know for any item with mfg. cost of say Rs 100, what MRP it will have printed on it or will it have actual GST paid by manufacturer, whole seller and retailer, which the retailer can charge to his customer on selling the same. GST system has to ensure that MRP or GST paid by manufacturer, whole seller and retailer is authentic, so that a buyer is not cheated by retailer by paying more than actual GST paid by manufacturer, whole seller and retailer.
For example, currently if a manufacturer wants to sell an item at Rs 100 (including his costs and profit, but excluding taxes paid by him), he decides margins of the whole seller and retailer and adds taxes paid by all of them to print MRP on the item’s label. This is not transparent method because the buyer does not know from MRP, actual taxes paid by them all on the item. If GST system is to be made transparent, manufacturer should print on the item MRP (excl taxes) but including margins of the whole seller and retailer and also print GST (in Rs terms) to be paid by the buyer. Simply, printing a price on the label and then demanding GST at x% on the printed price will not make GST system transparent and may lead to cheating of buyers as may be happening now. Besides, it may also not result in reduction of price buyers pay for the item.
IBC should also be honest to pass the value of reduced taxes to customers and not increase his profit, margins of whole sellers and retailers to the extent of reduced taxes.
B. Shah (9/8/2016)
biemes@gmail.com
The step taken by the Government to rationalize Goods & Services Tax (GST) is considered to be a need of the hour to enable the county to fall in line with the major International Markets and Countries.
However:
The points of discussions and Clarifications are:
1. How the common man will benefit in the Long Run or short run? Immediately upon implementation of the GST, services tax has been increased by 4% The present service tax being 14% effective 01.06.2015 which was 12.36%.
Every one is using Internet and all sorts of services this will go costlier by 4%
2. Does the system offers any method of giving credits of GST paid during the year by Individual Consumer to take deduction from the Direct tax paid i.e Income Tax?
3. Will the Petrol pumps issue the invoice mentioning the GST paid ? Many such things are there which the Common man will not be able to find HOW much GST he is paying on Goods bought .
At the beginning higher tax rates should not be fixed on services like item. There can be a lot of bad name to government if such thing happens!
We have seen such bad effect on online payments with increase in charges of transaction.
Government or banks shall allow common man to see the good effects of such things and get used it before increasing charges!
Ours is a country with a very high population and high intelligentsia and always there is a chance of misusing / misinterpreting the rules!
Authorities have to keep the above in mind and follow the basic rules to make the overall system working smooth and successful.
I hope that this will help to the nation as well as common people. Further it is to be ensure that benefits of GST should transfer to end users. This will curb the black money plying in the nation. This question should not arise that whether who opposed earlier GST.
I don’t understand how black money will reduce. I don’t understand how govt will stop non billing shop
1. common man starts petrol no bill
2. Kirana (supermarkets) only big shops produce bills 80% are smaller they don’t have licence also.
3. Raitu bajar ( farmer direct selling concept) no bill.
4. Marriage function halls imports 28% gst so most common will select open area , where no tax will be implemented.
5. Entertainment areas impost service taxes so common man reduces his steps.
6. Mrp issue is 40% failure. Retailer gets the item and he sticks his rate on mrp or he will introduce his packing and keep a price. Suppose rate of a food item is 10/- and gst % now also if the item is 10/- how is getting benefit.
They are lot of shops who are taking only cash. No implementation of at least Paytm( one of most easily spread payment process).
Now how will common man get benefit.
As far as these unlicenced shops closed. Service tax on common item reduce. Payment online process will reduce. So black again increase.
No doubt GST will be a single tax system and will be replaced by various types of taxes in different states. One India One tax from Kasmir to Kanyakumari.
Could you please exemplify as to how GST is intended to simplify the existing taxation regime for manufacturers across the country…
it’s little early to enumerate the advantage and disadvsntage of GST. Though the GST is a biggest tax reform in the country.
The concern of service tax from 15% to 18% is genuine and will impact common masses. Now, govt. have to see how to balance it in tatality in order to achieve the GST benefits to all.
Gst well be comment he’s
What tax is recovered from common man is not the main concern. What quality of product or service is presented to the common man is the main concern. Government must come out with standards to maintain required level of quality. The producer or service provider must be subject to adhere strict quality standards set by government and government must monitor compliance of set standards. Looting common man through any tax in any form remains a social crime so far as quality in product and service is not adhered because it ends up in customer dissatisfaction and losses in national economy. Government must look into this aspect seriously. Can you?
True
The onus on the monitoring & Controlling quality as well as standard of services provided to the common man falls on the Government once the Tax has been collected on the Goods and services , this is ensured by all Countries.
In reality, the common man will not benefit much. Government will gain much from the increased revenue . Hope the money is spend wisely to improve living condition in the country without any scam.
What is the mechanism to check and control profiteering. There seems to be hardly any change in landed cost to end consumers.
What impact would g.s.t do on Textile. Traders and Textile. Manufacturers
Common theory of GST like advantages and disadvantages are known. Instead of there, why don’t you take 10-15 products of common man and calculate price after GST and compare with current price. Then we will know the impact. What is being talked is too generic and confusing. It is said, initially price will go up and will come down later. Can someone explain how ?
Yes I agree with you
comparing apples aur and you could
I don’t think that GST will help common people, overall impact will be the same
It could not be same either would be good or bad bust must impact common man ….
Agree that GST could bring about sea change in the common mans pocket subject to curbing double taxation regime. eg. Food grain processing unit pays 5% GST and being transporrted to various states which include transportation services which come under category of 12% GST. Then the total tax paid by the end user may amount to 17% higher than that envisaged
GST for all practical purposes are the guidelines for tax administration like the provisions in constitution for protection of citizen rights.
The role of legal experts will expand and we will have more employment in legal consultancy business and small time advisors.
Less productive under employment will rise perpetually.
Let us come to its practical side and see what will be the impact. I feel in our country it is not so simple to implement a new issue as there are many reasons………………..?
On papers GST is good for the country. It may give a boost to the economy if implemented swiftly and wisely. Every care is to be taken as regards to ‘Kutcha Bill’ culture. If that is not tackled the whole purpose will be defeated and may lead to more corruption.
The idea of one nation one Tax is good, But I sincerely hope it does not become like the promised One Rank One Pension OROP, which ended up as One Rank Five Pensions.
The accounting system and the returns are very tedious to maintain. The tax inspectors will have a field day.
Hi All,
Can some one place clarify if GST is applicable for registration of property. I have brought the property in 2016, builder has charged VAT and other taxes at 14.5% but has mentioned in the agreement as subject to change with govt norms. Will this get reduced or increased.
Also what about the registration costs if getting done in another 2-3 months time.
GST is tool to bring the common working man under tremendous tax liability. Big companies are getting benefited and noy common man
How small manufacturer or trader will get set off on his stock on 30 the June.there is no clarification on this
How small manufacturer or trader will get set off on his stock on 30
the June.there is no clarification on this
Not in all sectors prices will come down. The applicable GST for fertilizer is 12% , now former has to pay more than earlier. It will have bearing on the prices of the food grains.
Though any new system goes through three stages, i.e. Rejection, Resistance and finally Reception ( 3 R ), however, things are quite hazy. Why have we adopted dual GST systems ? secondly, why so many goods and services have been left out ? Thirdly, many luxury items have now come in the category of necessity ( even common persons have AC, coolers, cars, washing machines etc. Fourthly, end result has been left to the traders, i.e. profit, billing etc ( so corruption loopholes would continue). Hope, the Govt looks into such lacunae and make the system workable for the net benefits from the GST to the Govt, yet keeping it common person savvy.
Yes GST removes multiple taxation on single items. Any system change will be successful only when there is no corruption in Govt. Departments. A businessmen is mostly hiding facts and figures only to give bribes and facilitate consumer. No Tax Department in India doing work honestly. They always demand money and refusing them will bear the consequences. Most of the small scale businessmen, manufacturers, traders or suppliers are not so educated to maintain his accounts or bills computerised. so he will only depand on his chartered accountant for all his work. he will demand handsome amount to maintain his books and sumit his returns monthly. The cost of all this will ultimately beared by consumer. This trend of inflated rates have already been started. My
Conclusion is traders will be in spider nest. Consumer will ultimately suffer the inflation. Yes Govt will get extra source of funds which will ultimately utilised for the benefit of our country.
GST Or Goods & Service Tax Change all Taxation rule One Nation One tax is very Simple for all
WHY GST…? WHYNOT BTT…?
No Tax Department in India doing work honestly. They always demand money and refusing them will bear the consequences. The cost of all this will ultimately be borne by consumer. This trend of inflated rates have already been started. My Conclusion is businessmen will be in spider nest. Consumer will ultimately suffer the inflation. SO…IF GOVT WANT TO SMOOTH THE SYSTEM >>>>>WHY NOT B T T?
I am a common man…. I don’t know what is CST, and all other taxes versus GST and not an economist …
I believe that it will be tough for all us until we get the real benefit of it ….
Please reduce GST on services, like telephone , banking etc by 18 to 12. It will be directly impact on common man of Country.
One Nation One Tax is definitely beneficial to the country’s Economy.However Chances of taking higher profit margin by the traders is to be curbed by the government sincerely to benefit the common man.
Service tax rate Shall be reviewed and be maintained at current rate of 15% instead of 18% if common man is to be really benefitted.
Timber and wood gst tax rate pls tell me
Correct sir but benefit kya hoga
There are lost of taxes in India which all the govt have imposed at different levels and clarification is not there. Secondly they want all the facility free of cost inspite of high salary increasing every year.they want to adjust all the shortfall from public. They do not want to keep rate of taxes at low level and harash public by all means.any way will increase average !0 to !5 %.
We only have to wait and see. Any implementation of reform in taxation should be more beneficial to common man like me in india. It should not happen that big time manufacturers or businessman will benefit and we will sweat out to make them further big
Presently we go by the MRP on the product . Now what will happen? Will sale price and gst be printed on the product separately? What is the precaution for the consumer?
Please tell us HSN code of bio gas
If Govt. Benefits contractors and politicians will get benefited to loot the khajana. A comman man who does job in private sector lost job or retire no guarantee from govt. Can’t pay the hospital bills in old age. There is no assurance for getting the benefits from govt. They are the people paying income tax. In some countries govt is giving every person pension either served or not. For educated children and getting jobs and started earning again supporting parents. No one can become stable without debts.
It is totally disappointed to the charterd accounts office because futerly they have no business they are the evil mediter good and successful GST
What ever it may be,i think finally our Indian GOV will get more GST (tax) money compare to previous.
so every Indian will hope about our India GOV will improve the india
we are creators ….we are followers… finally who will get benefit actual no body don’t know.
For a common man to understand the implications of GST and whether the change over to GST regime is beneficial to common man a few typical examples of some goods/services under new regime and old will be more helpful
I don’t think common people will get any benefits if GST will introduce.
I hope that we & our country both benefit for this systems if the particulars department appreciate to the government.
The GST will be benefited to the Manufacturer and business class only..how com tax increased from 15% to 18% going to be benefited to common man. Ultimately in this country only sufferer is the common man.
Many countries have implemented France was done all we agree what there government benefits to there people we are not benefited they are developing in tourism and getting good source of money and building there country here we have all but no development corruption everywhere finally we comman man are affected.The disadvantage says you add on monthly expenses but there is no line added in advantage like increase in your salary you.The government of India never plan for long term rather plan for 5 years end up like kingfisher and after 10 years we never know what is gst.India will never develop that’s the truth since we never had good leader and none of the politicians have a degree.One thing for hotels banks online transaction and the flat we live where we pay maintenance charges there should be no tax these are used by people daily don’t know what to and where all these money goes and the what the government is trying to do increase there party members bank balance nobody can ever change India all the current party should go since you have never done anything to country maybe we can give it back to British for 5 years as contract and after that we might have good leader or party taking my money and giving less to me is GST.Last I want to say people go out of India to work because of good environment peaceful life no political bossy sum and earn money we developed USA,Singapore,Canada by working and paying tax but what about our country and I should also do the same since Gst force to do it!!!!!!!!
One nation one tax sounds positive for nation, there are still some factor which is going to hert common man, like increase in service tax 15 to 18 %, Home loan service tax increased from 4 to15 %…
Similar one more point in this article seller profit margin.
NOTHING GOING TO CHANGE IN OUR COUNTRY TILL OUR POLITICIANS & GOVERNMENT SERVANTS DO LOYALTY TO THEIR JOB
I think it will not help to the common people. Because we purchase some item above print price to the shop. They said if you need then take it otherwise you go.
Gst on Service has to reduce on daily utilized I.e telephone, electrical, movie.
All unlicenced or unbilled merchants shall be removed. This real contribution for those who hard working seriously. New merchants come up or big merchant opens new branches. Employment increase. This way comman man gets some benefits
Profit margin is not decided by GST
GST WILL DEADLY EFFECT THE LIFE STYLE OF A COMMON MAN SPECIALY FARMER MEDIUM CLASS FAMILY IT AFFECT AND WORSE THE BUDGET OF THE COMMON PEOPLE.
Ithink no benifit for business man
You mean neither profit nor loss (no pain no gain :-)) for business community ?!
Not for common people and Middle class also.
A nice step .Implimentation with regular monitoring n timely prompt corrections will certainly beneficial to all of us.
Medicines are not covered in GST why because companies are giving about 40% margins to retailers why?
How do we remit the Service Tax collected?
Is it possible to remit it online? If yes-to which department?
Is there any specific forms available?
GST is definitely going to help the citizens of India and the nation as a whole. Whenever any new law or system is introduced, we should expect some teething problems. Once that is taken care of, the going gets easy.
We must repose faith and confidence in the system and allow the NDA govt to have a smooth sail.
The people who looted this country for decades together and amassed immense personal and selfish gains will try to derail and destabilise this system. But, we all common people must stand by the NDA govt and make GST a Grand Success.
If govt really wants to benefits of gst to be extended to the common people, they should include petrol under the classified rates slab, which govt at now not included gst scanner, only this one item benefited consumer a lot…….
private coaching ki fees me gst ka impact kya parega ?
i Will Also Appricate Your Step Jai Hind
Currently, excise is only charged at the Manufacturers’ hand or at the gate of the factory before removal. Under the GST regime however, the concept of manufacture is no more relevant. Therefore at every stage of sale excise or CGST would be levied, i.e. if earlier a manufactured product was sold at Rs.100/- by the manufacturer, excise would only be applied on this amount of Rs.100/-. Now under GST, every subsequent sale would be subjected to CGST i.e. if the same procuct is finally sold at Rs.400/-, CGST would be charged on the entire Rs.400/-. Over and above, SGST would also be levied on the CGST. This would add to the cost of the the product and inflate its price to the common man.
In Presence Senario trader has first find rate of tax and then after words he has to go for his business
Nicely written article covering basics of the GST and the concepts involved.
However, there was some resistance from some of the states implementing this tax. They have valid concerns too. We would like to what their concerns are and how they are taken care of ?
Please explain this as well, as ti would be informative and helpful to others.
Thanks,
CS Karri
How it will impact on buying New House, any provision for first time buyer as I am going to purchase new Apartment
What about implementation of GST on Petrol in India?
All types of fuels (or mainly fossil fuels) are excluded from GST net ! 🙂
It service
That is a new revolution in India. Good luck.
Please tell us HSN code of bio gas
Well said, I think it is a great and fearless step of Indian government.It will make our country to grow very fastly and people will be develop will the development of country.
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GST rate of advertising is quite confusing. some charge @ 5% while other charge 18%. It needs to be explained with an example.