Proposed Tax System

GST-Implementation1

• World over, GST rates are typically between 15 per cent and 20 per cent.

• The tax-rate under the proposed GST would come down, but the number of assesses would increase by 5-6 times

• More than 160 countries have introduced GST in some form.

• It is interesting to note that there are over 40 models of GST currently in force, each with its own peculiarities.

• GST have two components viz. the Central GST to be levied and collected by the Centre and the State GST to be levied and collected by the respective States.

• The best GST systems across the world use a single GST while India has opted for a dual-GST model. Critics claim that CGST, SGST and IGST are nothing but new names for Central Excise/Service Tax, VAT and CST and hence GST brings nothing new to the table.

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