Cascading impact on price for exemptions from GST: Shome
PTI A former advisor to Union Finance ministry and a policy expert today said that cascading impact on prices would continue as several products are out of GST base. "Several products are set to be out of GST base and that implies a portion of our GDP will not generate input tax credit. So significant cascading of taxes is likely to continue," Parthasarathi Shome said on the sidelines of an interactive session on GST at Merchants' Chamber of Commerce & Industry. Petroleum, electricity and several services expected to be out of GST and will allow continuation of cascading effects on tax partly preventing getting price benefit on final products, he said. To explain, businesses or industry using petroleum, ...
GST to reduce logistics costs, facilitate consumption-led growth
The Dollar Business Bureau The implementation of the Goods and Services tax (GST) is expected to reduce the logistics costs and help in consolidation of warehousing facilities, says a study. The government has proposed to implement GST from April 2016. The GST Bill, which seeks to overhaul the existing multi-layer indirect tax system and put in place a uniform tax regime, has been passed in the Lok Sabha; but it is yet to be cleared in the upper house of the Parliament. According to a report on ‘GST - Transport and Logistics (T&L) Sector' released by the Confederation of Indian Industry (CII)-PricewaterhouseCoopers (PwC) on Friday, the new tax norm is expected to ensure seamless flow of input credits that will be available ...
