The taxation system in India is extremely complicated. Infact, direct as well as indirect taxes are being collected by the central as well as the state governments in India. Therefore, doing business becomes difficult. For a business man who pays two different taxes finds paying two types Tax Advisory of taxesto bea tedious job because this includes maintenance of two different types of records. This leads to certain businessmen escaping the paying of the taxes. Due to various kinds of taxes, the businessmen find it extremely difficult. Therefore, the Government has decided to start the Goods and service tax being widely used in more than 150 countries.
The goods and service tax would be extremely beneficial
because it would replace all the indirect taxes levied by the state Internal Financial Control as well as
the central government. This would bring an end to the indirect taxation
system. The benefits to the various companies would be as-
Ease of doing business for the
companies-A business undergoing various states has to pay the taxes of various
states. Every state possesses its own fee structure and fee payment. This
complex system will come to an end with the GST as centralization and
uniformity would be prevalent.
Expansion of the business would
become easier-A business having a turnover of more than Rs.5lakh has to be
having Implementation Of GST In India a VAT registration. After the , this amount
would increase to Rs.10lakh and people possessing the business with a turnover
from Rs.10 lakhto Rs50 lakh would have to pay the taxes at a less rate.
Getting respite from Sales as
well as services-Businesses coming under two categories of sales as well as
services like restaurants have to pay vat as well as the service tax on the
items separately. This differentiation would end because of the GST.
Implementation of the GST
appears to be a win situation for certain businesses. It would even enhance the
competition and foster the growth in the longer run.
For More Follow Us - Twitter ! Facebook ! LinkedIn ! Flickr ! Pinterest ! Plerb ! Lockerdome !
Wattpad ! Foursquare ! Plurk
