What is exactly Goods and Service Tax Bill, which is also called usually GST bill. This tax is actually an indirect tax, which is imposed on consumption of goods, manufacture, sale and service and applicable all over in India. In a nutshell, GST is an indirect tax which is a blend of the most of the taxes which are imposed on all goods and services. It’s levied by state and central government both. GST has changed the definition of tax India. In the states, Petroleum products, tobacco and alcohol for human will not come under GST. This tax called GST is levied by both governments; state and central government. Therefore, central GST will be levied by central government and state GST will collect by state government.
India has a great need of GST since it will help to stay away of the current patchwork of indirect taxes, which often let other confused and increase the tax compliances. GST is considered one of the most important taxes since it has played an important role in the development of other countries. GST has gone popular with each passing year and it has been adopted by a number of countries.
And now India is going to adopt it and it is being introduced in the form of a dual GST since it will levied by state and central government both. But some problems are also associated with it. Don’t be confused, let me clear you. It can create conflicts between state and central government of division of taxation powers. And we already know, the Finance Ministry has already skipped its three deadlines. Everyone is expecting that GST will bring more transparency. And it will prove its significance if it gets success to reduce the corruptions. It will take some to churn out one of the best tax form as GST. Time will explore if GST helps or create some more problems. But to say something about GST would be too early. Let’s wait and watch if GST will help to increase the Gross Domestic Product of India.