GST and its implications
GST was considered as Unifying factor for Indian tax system and hailed it as "Liberal Reform" after 1990 reforms. Over the years implementation of GST tested the efficiency of the policy and its success. It is also called as Indirect tax reform. Many taxes where subsumed under GST. They are Under Central Taxes : Central Excise Duty ( CENVAT) Service Tax Additional Excise duties Excise duty on manufactured goods ( Except on 5 hydrocarbons) Additional duties of customes Surcharges and Cess Under State Taxes : State VAT Sales Tax Purchase Tax Entertainment Tax Entry Tax Taxes on lottery, betting State surcharges and Cess Taxes which are not subsumed : Basic custom duties (These are levied during import of goods into India) Export duty Road and Passenger Tax Toll Tax (Environment tax) Professional Tax Property Tax Stamp Duty Electricity Duty Excise on liquor (states) GST aims to provide input tax credit to entrepreneurs, so in theory it ...