POST GST IMPLICATIONS - watsupptoday.com
POST GST IMPLICATIONS
Posted 09 Aug 2017 05:18 PM

On 1st July 2017, Goods and Services Tax was rolled out by Narendra Modi Govt. GST is an indirect tax which aims at “One Tax One Nation” methodology. In order to eliminate the cascading taxes levied by the State and Centre Govt, GST was implemented.
GST is applicable at the following rates 0%, 5%, 12%,18% and 28% including special rates on rough precious and semi-precious stones and 3% on gold. 15% to 28% rate of interest on items like packed drinks, cars, tobacco etc. The rate of GST in India is 4 times more than the tax being levied in Singapore.
Businessman and Traders have to go out of their way to digitize their previous manual practices. They have to upgrade their IT system to accumulate the changes made by GST. Under the GST regime, it is essential to make sure that the invoice for input services has reached their destination, where the credit of such services is eligible. Business workers need to amend and reanalyze their sale-purchase contracts with their vendors and buyers. Same is applicable with the customers as well.
Post GST no major change was seen in the MRP of the essential items as they fall in the zero percent tax bracket whereas Luxury cars manufactured in India saw a downfall in the prices. Motorcycles bearing engines more than 350cc were available at a higher after GST. The increase in Gold prices was also seen.
Highest GST was observed in Real estate sector which used to pay a service tax and VAT of 4% each earlier, whereas now a consumer has to pay 12% GST which includes 5-7% Stamp duty. As per Sam Chopra, President of NAR India “Hiking of 3.5 percent GST which in the context of realty market conditions is a very humongous hike. He even stated that figures of taxes have reached to 17-19%.
The main sufferer in such circumstances is the common man who needs to deal and face with these hardships, still, he has to go with the flow. We hope that the Govt will take preventive measures to help and do the needful of the common masses.

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