GST- An Implications to An Indian Economy

Abstract

GST is one of the most essential tax reforms in India. It is considered and even stated as Giant Indirect Tax. It was supposed to be implemented from April 2010. However, it was long pending due to some political issues and conflicting interests of various stakeholders and hence the date for implementation of GST was shifted to 1st July 2017. Goods and services tax (GST) will add various indirect taxes including central excise duty, services tax, additional customs duty, surcharges, state-level value added tax and Octroi. GST implies that all the state in India will follow one tax rule which will not be based on state but on goods & services. This research paper will present an overview of GST which will provide descriptive and comparative data of rates VAT and GST .The main idea to understand whether implication of GST has made consumption cheaper or costly. Different products and services were compared in terms of VAT and GST, which results and concludes that GST implications has made some products and services consumption cheap and some costly when it’s compared to VAT.