TODAY -

Question of GST before the people : New tax regime on
- The Sangai Express Editorial :: July 03 2017 -



It is on, but it is more than clear that to majority of the people, the Goods and Services Tax (GST) is more Greek than anything else that the Modi Government has put into momentum so far.

How far will it impact on the life of the common people is yet not that clear, for the simple reason that the common people just do not understand the new taxation regime.

Not that the common people were clear with the earlier system too but this has not stopped Prime Minister Narendra Modi in proclaiming that if ‘Former Home Minister Sadar Vallabhbhai Patel integrated India territorially, GST would integrate the Nation economically.’

Intrinsic in the proclamation of the Prime Minister is the point that GST is a single taxation system that will reduce the number of indirect taxes such as Central excise, VAT, service tax etc.

In place of these earlier indirect taxes, now will come a single taxation system under GST.

How far this will benefit the people and the Nation is something only time will tell, but the initial all round confusion is clear.

No wonder reports have come in of a large number of shops and small businesses caught in a clueless situation.

It is in taking cognizance of the complex nature of such things as taxation that Chief Minister N Biren urged Chartered Accountants to sensitise the people on the finer nuances of GST during the 68th Chartered Accountants’ Day at Hotel Classic Grande on July 1.

The all round state of confusion has however not stopped the Prime Minister from striking a positive stance and asserting, ‘GST showcases the power of Team India, it shows how the Centre and the States come together to do good for the poor.’

Perfectly falling in line with the stand of the Prime Minister, Union Home Minister Rajnath Singh assured, ‘GST will help in unleashing the true potential of our huge market and also boost India’s GDP’.

Despite the all round confusion over the new taxation system, what has however come through is that the introduction of GST will ensure that all the indirect taxes will now come under one single roof.

This means that GST would not be charged at every point of sale like other indirect taxes and this, proponents of GST say will help market development.

On the flip side however is the argument that the GST levied by the Centre as Central Goods and Services Tax (CGST) and State Goods and Services Tax (SGST) by the respective State Governments is nothing but a replica of the earlier terms such as service tax, CST, and VAT.

Whatever the outcome is, Prime Minister Narendra Modi has taken a bold step in going ahead with a new taxation system following other countries such as Australia, Canada, Germany etc.

At the same time care should be taken to ensure that steps are initiated to familiarise the people with the new taxation system.



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