GST Effects: 5 Things that Change After the New Tax Regime
Firstly, One thing came in the mind which was conveyed by government that the new tax system called GST is One Tax One Nation, that means any product like any goods or services will purchased by the same rate anywhere in our country. GST, a new tax system is collective form of an old tax system which means in old tax system, there was about 46 taxes affecting the goods and services to reach the consumer, while in GST there is only one or two tax affecting the goods and services.
GST's effect on the market takes us back to the time of demonetization where business man has their product and services available but there was no consumer to consume their service due to lack of hard cash or currency, while after GST effect businessman doesn’t have understand the format of GST or even expert and charted accountant doesn’t know What is GST all about.
The first GST effect after the new tax regime is on the market having Businessman, Consumers and experts like Charted accountants being unknown about the new tax system. So, the effect is totally on business man that are unable to sell their product and services to the market and the flow of the market is totally obstruct. While due to lack of information about new tax system some businessman protest over GST too.
The second positive GST affect is that now on Businessman that has to partially agree with new tax system because in old tax system there was a lot of tax affect on goods and services so it is make difficult for them to find the exact rate of the product. In GST, few taxes effects the goods and services directly so that businessman find it easy to calculate the exact rate of the product.
The other and one of the biggest effects of GST people thinks are on the same rates of the product or services anywhere in India, so if you wish to buy luxury car for yourself, you don’t have to hurry towards other states to purchase that car due to difference in rates.
GST allows you the ease of business which allow more startups in the market and creates more opportunities as well. In old tax system, there was around 46 taxes so that businessman had to worry about the every tax before file returning. According to the Chinese media GST effectm this allows ease of doing business in India which will be favorable to the economy. GST allow more FDI (Foreign Direct Investment) In India due to ease of business.
According to the Expert GST will be the boost for our economy, but you have to make patience for GST Positive effects.
