How GST Bill may impact on Your Pocket Size
GST Bill recently received approval from Rajya Sabha for its application on pan India Goods and Services Tax regime. It is observed that Goods and Services Tax (GST) is the largest of its kind in taxation area post independence. While every industry is going to receive either massive or sparse impact from GST, following is a small synopsis that shows influence on pocket of every Indian:
Mini SUVs and small cars to worth the money at reasonable terms i.e. with only 18% GST small cars would become inexpensive and may go down by almost Rs 45 thousand. That means a middle class person would take joy in riding wagon at low cost.
FMCG products to get cheaper as taxes levied on such companies would come down to 18-20 per cent from 28-30 per cent. The end result would be marked down prices of products.
Consumer Durables to come at cost – effective prices as electrical like AC, Fridge, washing machine or microwave oven were available with 12.5 per cent excise tax and 14.5 per cent VAT. And that GST would enable to cut reduce.
Movie tickets to be available at low prices basis reduction of entertainment tax.
Betterment of Industries due to payment of only one tax i.e. GST instead of checking the deadlines of 18 different kinds of taxes.
Those who love to travel are going to face repercussions as packaged food articles will now become costlier by 12 per cent, while only 4-6 percent duty is applied on tea-coffee and many other packaged foods currently.
Not to forget all the services would require higher payment as comparatively less tax is levied on mobile bills, credit card bills and relevant services.
Increase prices of clothes and ornaments may bring disappointment in women sector as presently only 3 per cent of duty is levied on gold and gems ornaments whilst 4-5 per cent VAT is applied on clothes.
There will be lots of advancement after the clearance of GST Bill.
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