GST Impact
To give you an idea of what I think;
Some time back the government of India banned the advertising of cigarettes (from May 1 2004) in television channels, radio, newspapers etc, Prior to that around 1990's a ban was applied on advertising alcohol products, similarly a few years back there came a ban on advertising tobacco products like gutkha etc. Then comes a game changer; smoking was banned in public places in India; a good step for the general non-smoking public. Followed by a ban on gutkha consumption in public places which prevents the dirtification of clean walls and ground area.
However by now the advertising bans have already caused loss of a heavy revenue maybe loss of jobs and the ban on smoking and chewing tobacco is not at all wholistic(all inclusive) because, prior to announcing the ban(s) the government completely forgot to appoint designated areas for people to indulge themselves in their personal addictions like a smokers room at the airport, bus depot, smokers coach in trains, smoking corners in public places etc where addicts can follow there indulgence, without disturbing other people. Having not done that, What does it say: 1) If you smoke/chew tobacco you do not belong here. 2) Non-smokers/non tobacco chewers can look down upon smokers/tobacco chewers. This is called selective approach and anti-social behaviour to a unforeseen problem with far more damaging ramifications.
A few states have imposed a ban on alcohol consumption; what actually is happening over there is that people have resorted to drinking spurious man made liquor which is killing people more rapidly than regular governed and produced alcohol, at the other hand the Local governments revenue is at a loss with a double whammy for loss of the industry related jobs And the spirits smugglers and law breakers on the states borders are making Hay as the sun is shining.
Certain actions, rules and Law are not issued in the public interests but have rather taken more from society rather instead of giving them something. People are not going to change their habits but will definitely find cheaper alternatives and probably harm themselves and indirectly the whole families will still be affected. Ban or no Ban.
GST was introduced as a great idea to unify the prices of goods, commodities and services on the national level, the purpose was to make goods and services to the people of India available at approximately similar/competitive rates, which is a commendable step if applied wholistically and not selectively.
Suddenly we observed that the FM saw it with different perspectives and hence different levels of GST taxation was thought of (which is again an imperialistic decision taken by our elected representatives in the Lok Sabha and Rajya Sabha belonging to BJP and other sundry opposition parties)
Foodgrains, cereals, fruits and vegetables were previously also not taxed so FM has not done a favour to the public by exempting these items.
Petrol, diesel and other Petroleum products are not included in the national context in GST? There are about 25 other items that the FM has not made applicable to GST uniformly but has left it to the anarchic discretion of the head of the state or centres decision. There should be uniformity and transparency in these products as well, because it does not serve the public interests when the government says that certain items will be decided as required; which means that the GST will not be applied on these items but they will be taxed as per state or central governments discretion. Let there be uniformity and not exclusivity as I said there should be a wholistic approach. For eg. the Petroleum and Petroleum by product sales is 10% of GDP, hence Government wants to retain authority to collect taxes at will from these industry.
'Au Contraire' Petrol, diesel, CNG, LPG and other fuel products etc, should be brought under 5% GST, to ensure that the general public is not fleeced as profit percentage is fixed and middle income group and small villages and towns people will be able to access products and services related with transportation and movement of goods at cheaper/affordable rates.
Before the Government makes any noble decisions for their own coterie, they should sit down and ponder whether in a democratic country where we say all citizens are equal; but the reality is a glaringly different scenario; people are not provided equally. The word and expression 'freedom' is only for a selected few, and for the common people of India; time and conditions require a uniform 5% GST on all processed food items and food products, petrol, petroleum and fuel products/by products and personal consumables like the ones which the current governments pre-decessors have banned should also come under lower 5% taxation, follow the vote which created you and not the one which deserted you.
Bring in GST nationally and at 5% only on all products to boost our economy and create jobs for the unemployed. more