GST: An Out Look

Abstract

India is on the brink of a „Game Changer‟ reform, most awaited and needed by its financial and economic sector. Widely hailed as the dawn of a new era by the elite of the business world, Goods and Services Tax (GST) is set to be implemented from the 1st July, 2017. Despite the continuing resistance of States, based on their fears of revenue loss, the Centre is making all-out efforts to make it a reality. GST shall be implemented in three tiers as CGST, IGST and SGST or UTGST, thereby segregating the tax revenue between the Centre and States clearly. As the most significant event in the fiscal history of the nation, GST is expected to usher in an efficient and effective tax system. Abolition of double taxation, transparency in administration and strengthened monitoring which will entail this new system, is expected to go a long way in curbing tax evasion. Yet, despite the exemplary benefits that GST is sure to provide, there are several pitfalls and challenges that are to be overcome. It will affect every industry, irrespective of the sector, and have impact on the entire value chain of operations. Hence, it is imperative that the shortcomings and lacunae be carefully pondered on, and resolved. This research paper highlights the same, emphasizing every aspect of Goods and Services Tax (GST), which is set to revolutionize the current archaic tax structure of India.