Goods and Service Tax(GST) will have significant impacts on the Indian economy. Some of these are: (i) The bigger companies will have to reconstruct their operations and will have proper invoices at every step of their supply chain. The smaller companies will be unable to evade taxes. Hence the horizon of tax payments will become wider.
(ii) Companies will pass on the direct benefits to the consumers and will benefit from the indirect impacts like lowered costs.
(iii) Inflation is expected to go further down.
(iv) Initially, growth will be lower but will subsequently improve.
(v) FDI will increase.
Hence, producers and consumers will both benefit from this revised taxation and the revenue of the government is expected to flourish in the future.Read more at: http://www.hindustantimes.com/
