News shortcuts: From the Courts | Top Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | Professional Updates | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Service Tax »
 As new income tax regime beckons, should you switch?
 Which is better for you? New income tax regime vs old
 More people need to come under tax net
 How India can fix its problem of not collecting enough taxes
 which is the best option to save taxes under Section 80C?
 Can these deductions make you tax free?
 Best mid cap mutual funds to invest in 2020
 Income tax calendar for the year 2020
 How to reduce your tax liability while changing job
 Best debt mutual fund strategy for investors in 2020
 December 31 is the last date for these financial tasks

6 reasons you need not fear the GST regime
June, 22nd 2017

The goods and services tax (GST) is set for a July 1 launch. While businesses have adjustments to make, consumers do not have much to worry about, apart from some possible disruption in supply. ET explains

1) MANY RATES
Pundits say multiple rates have distorted GST, but consumers are gainers

WHAT IT MEANS
GST rates will be as close as possible to earlier effective rates

2) NO REVENUE GAIN FOR GOVT
The government expects a net revenue loss from GST. Increased compliance could make up for this On the whole, tax incidence will go down for the consumer

3) EXEMPT GOODS
Items and aam aadmi goods exempt or pegged at lower rates

WHAT IT MEANS
The common consumption basket is not likely to get any more expensive

4) SERVICE TAX RATE UP BUT EFFECTIVE TAX LOWER
Service tax rate will be higher under GST, but service providers will also get input tax credit for VAT and cascading of taxes will disappear

WHAT IT MEANS
Even if rates are higher, end prices for consumers may not go up

5) STABLE RATES
Neither the Centre nor states will be able to raise rates easily

WHAT IT MEANS
Tax rates will remain stable

6) BIG BROTHER WILL BE WATCHING
An antiprofiteering body is being set up

WHAT IT MEANS
If any business does not pass on benefits of lower taxes to consumers, it can get into trouble

Home | About Us | Terms and Conditions | Contact Us
Copyright 2020 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting