Basic Principles of GST
Here I am not questioning the rate of GST applied to the products. I am referring to the basic principles of GST as declared by the Central Government.
With much funfair GST has been introduced in India with the slogan "One nation One Tax" with maximum GST rate of 28%. Then
1. WHY States are allowed to levy tax in addition to GST. Where is "One nation One Tax" concept ?
2. WHY Petrol and Diesel has been kept outside the purview of GST. Is it due to the fact that the total tax (state & central) on these products are more than the prescribed limit of 28% ? Earlier, when there was any reduction of international crude price, the govt. did not allow the price to decrease by allowing increase in excise duty on Petrol and Diesel. How much money the Govt. wants ? Is it the indication of "Achhe Din" ?
3. WHY in other product also we have to pay more than 28% tax. For example, in today's newspaper I came across a news conveying that GST SUVs and luxury cars to be increased from 10% to 25%. How intelligent is the govt functionary that they have to revise the GST within two months of implementing it. what is the guarantee that in future also there will be no change in tax rate ? If there is no stability in the price of consumer good due to indecision of Government, how one can keep confidence on the Govt.
4. As a corollary to the above news, there is another news that total tax livied on SUVs and Luxury cars would be more than 50%. I do not think this kind of taxation is any where in the world.
4. WHY Income Tax exemption limit has not been raised substantially for last five years ?
5. All these actions are hampering the already beaten Middle Income Group people.
I invite comments from all the sections of people. more
With much funfair GST has been introduced in India with the slogan "One nation One Tax" with maximum GST rate of 28%. Then
1. WHY States are allowed to levy tax in addition to GST. Where is "One nation One Tax" concept ?
2. WHY Petrol and Diesel has been kept outside the purview of GST. Is it due to the fact that the total tax (state & central) on these products are more than the prescribed limit of 28% ? Earlier, when there was any reduction of international crude price, the govt. did not allow the price to decrease by allowing increase in excise duty on Petrol and Diesel. How much money the Govt. wants ? Is it the indication of "Achhe Din" ?
3. WHY in other product also we have to pay more than 28% tax. For example, in today's newspaper I came across a news conveying that GST SUVs and luxury cars to be increased from 10% to 25%. How intelligent is the govt functionary that they have to revise the GST within two months of implementing it. what is the guarantee that in future also there will be no change in tax rate ? If there is no stability in the price of consumer good due to indecision of Government, how one can keep confidence on the Govt.
4. As a corollary to the above news, there is another news that total tax livied on SUVs and Luxury cars would be more than 50%. I do not think this kind of taxation is any where in the world.
4. WHY Income Tax exemption limit has not been raised substantially for last five years ?
5. All these actions are hampering the already beaten Middle Income Group people.
I invite comments from all the sections of people. more
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View all 16 comments Below 16 comments
Only questioning will not solve any problem, what we need in this moment requires a broad mind to accept this revolutionary measure in the financial system. GST is a very effective and long cherished financial up-gradation in India. Many times goods things are to be imposed because people even do not know their own benefit and the politicians do not want to accept the things easily for their own causes. Whenever I could know my own responsibility and obligation for the nation through my own work, then I will stop only fingering others. In any new system there may be some discrepancies or problems, solution will come step-wise from progressive and positive discussion. Nowhere there is any guarantee. If we all give power to the feeling of 'One nation one tax' formula, then it would be successful. Otherwise In our country nothing is possible because we do not conjointly create possibility by our own effort. more
Aug 17
Conceptually GST IS GREAT. Over the next few months the rates should stabilise and anomalies corrected. How're the five or 6 slab of rates will lead to a lot of litigation and corruption. These slabs should be brought down to 3 slabs : 0 tax , 3% on precious metals and the rest 18 or 28%. Only then will this work and the objectives achieved otherwise we will keep struggling like the Congress days when each provision had if or or or provided or subject to. Simplified taxation will lead to much much compliance more
Aug 10
you are correct...when the domestic oil prices are linked to the international oil prices..it was said that the domestic price will reduce whenever the crude oil price comes down internationally. But it is not happening. Contrary to it the price was increased and increasing always. Is there any justification?..Is it not a betrayal? Making the common people more burdened with the relative rise in prices of all commodities... more
Aug 09
Cost of living is indeed going up, post GST. Government has erred somewhere very badly. more
Aug 09
It is very easy to criticise the Government on GST. Many of your doubts have been adequately addressed to by Sri Dhar. However, increasing indiviaual IT exemption can occur only when people start paying taxes properly. You have people with SUVs, multiple flats and jewellery not coming under tax net. It is unbelievable that today in India only about 3 % of the population is earning income enough to come under tax net? Finally, I would like to pose a simple question to the local circle members. Let us introspect on 1- how many times we have paid bribes to get our work done quickly or out of turn or something not due, 2- purchased goods without bills to avoid paying tax and 3- how many times we have flouted rules knowingly starting from wearing helmets while riding two-wheelers, wearing seat belts in cars, obeying red lights? It is easy to criticse. This Government is trying to do something in a positive way, starting from local circles. Let us pose questions after examining issues objectively and not emotionally. more
Aug 08
