GST: It’s Impact on Common Man in India

Abstract

After Independence, Goods and Service Tax (GST) would be a very significant and giant indirect tax structure reforms in the country. It is designed to support and enhance the economic growth of the country. It is a comprehensive tax that will integrate all indirect taxes of states and central governments and the unified economy into a seamless national market. Because of its transparent and self-policing character, it would be easier to administer. According to me, it is expected to iron out wrinkles of the existing indirect tax system and play a vital role in a country’s growth. By amalgamating a large number of Central and State indirect taxes, it would mitigate cascading effect or double taxation in a major way and pave the way for a common national market. So, from a common man or consumer point of view, the biggest advantage would be in terms of reduction in the overall tax burden on goods, which was estimated to be around 25%-30% before the implementation of GST. This paper highlights the concept of GST and its impact on the common man.