GOOD AND SERVICE TAX IMPLEMENTATION AND ITS IMPACT ON INDIAN ECONOMY

Abstract

France is the first country to implement GST (Goods and Service tax) under the principle of taxation. Presently, more than 130 countries have implemented the GST. In India concept of GST started in 2000 during the tenure of Vajpayee Government and the committee was formed under Asim Dasgupta. A proposal to introduce a national level Goods and Services Tax (GST) by April 1, 2010 but introduced from 1 July 2017 as street lighting. GST imposed right from the manufacturer to the consumer. Credits of input taxes paid at each stage will be available in the subsequent stage of value addition, which makes GST essentially a tax only on value addition at each stage and the basic structure design of the CGST, SGST. The current form has four rates for goods and services 5%, 12%, 18% and 28% and excludes five hydrocarbons. All set to be a game changer that directly affects all sectors of the economy. The present study is an attempt to investigate concept of goods and services and its impact on Indian economy.