Snehal khanna Blog

The realisation of a common indirect tax is critical for the semblance of a common Indian market Latest news : Termed as one of the biggest reforms of India’s complicated indirect tax base since 1991, the passage of the Constitution Amendment Bill, enabling the introduction of the Goods and Services Tax (GST) seems to have become a reality at last. On March 29, 2017, with the passing of four bills related to different aspects of the GST via the Lok Sabha, the Indian parliamentary system has demonstrated a strong will for enhancing cooperative federalism by signing off on a ‘pooling of sovereignty’ in taxation matters applicable for all 32 states. The realisation of a common indirect tax, like the GST is critical for the semblance of a common Indian market where all goods and services, depending on the elasticity of their consumption, will broadly be governed under a common indirect tax rate system. In an earlier article, I discussed how regressive India’s tax structu...

' India currently has one of the worst tax-to-GDP ratios among major economies at 16.6% Latest news : Rakesh Sachdeva sells auto parts in a busy market in central Delhi, just a few miles from Prime Minister Narendra Modi's office. Yet despite having a flourishing business he does not pay any tax. Until now, his rundown premises and small scale operation has kept the business below the radar of the country's tax officials. Come July 1, however, "the party will be over", says the 51-year-old, with a resigned shrug. A nationwide Goods and Services Tax (GST), set to come into effect on Saturday, has faced criticism for its complex design. But the country's biggest tax reform since independence is promising to bring millions of firms like Sachdeva's into the tax net, boosting government revenues and the country's sovereign credit profile. The new tax will require firms to upload their invoices every month to a portal that will match ...