Volume : 9, Issue : 4, APR 2023
GST IN INDIA : IMPACT ON INDIAN ECONOMY
Prof Pramod Agrawal
Abstract
The Goods and Services Tax is a nationwide tax that covers the manufacture, sale, and consumption of various goods and services. It is one of the biggest reforms in India's history. It is aimed at increasing overall economic growth and integrating the various State economies. Currently, businesses and individuals pay various indirect taxes such as service tax, VAT, luxury tax, entertainment tax and octroi. The implementation of the Goods and Services Tax (GST) would lead to the elimination of various taxes. It would only have one central tax, which would be monitored by the government. The new system also differs in how it is carried out, as it only applies to final consumption rather than manufacturing goods. The goods and services tax will only have one rate, which is a significant reduction from the multiple tax rates currently applicable. It will help India become a world leader in the tax system of goods and services. The goal of the GST is to create a business-friendly environment and end the distortions caused by various indirect taxes. It is also expected to reduce inflation rates by implementing uniform tax rates. This will help improve the government's fiscal health. This paper aims to study the various aspects of the GST and its effect on the Indian economy. In addition, it aims to gain a deeper understanding of its advantages and disadvantages.
Keywords
GOODS N SERVICES TAX, ECONOMIC DEVELOPMENT, INDIAN ECONOMY AND VALUE ADDED TAX.
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