Sources have stated that GST in India, it would subsume many tax rates including VAT, Service Tax and Central Excise Duty. This will clear the air and will make it very easy for the ordinary layman to understand the tax structure and the benefits of it.
Everyone knows about the implementation of GST will boost the Indian Economy by 2% points which is impeccable. There may be a slight inflation in the beginning but once it is all set it will benefit both Governments by increasing revenue and also the general public by making the FMCG products very cheaper and thus creating a WIN-WIN situation in the country.
It was stated that education, health care will be out of tax net. Most
essential items have been kept at nil tax rates by the GST council and the
general consensus is that overall GST will not be inflationary, but more
experts agree to it. GST will be coming into existence from July 1st.
