National Level Goods and Services Tax (GST): Towards Cooperative Federalism

2015 ◽  
Vol 2 (2) ◽  
Author(s):  
M. M. Sury
Keyword(s):  
National Level ◽  
The Political ◽  
Political Will ◽  
Tax System ◽  
Goods And Services ◽  
Political Spectrum ◽  
Cooperative Federalism ◽  
Broad Consensus

The GST has been an initiative that has commanded broad consensus across the political spectrum. It has also been a model of cooperative federalism in practice with the Centre and states coming together as partners in embracing growth and employment-enhancing reforms. It is a reform that is long awaited and its implementation will validate expectations of important government actions and effective political will. Given the historic opportunity afforded by the GST, the aim should be to clean up an Indian tax system that has effectively become an <italic>exemptions raj</italic> with serious consequences for revenues and governance. By improving efficiency as well as revenues, GST can add substantially to growth as well as helping government finances.

scholarly journals Is This Tax Reform, or Just Confusion?

2018 ◽  
Vol 32 (4) ◽  
pp. 73-96 ◽  
Author(s):  
Joel Slemrod
Keyword(s):  
United States ◽  
Tax Reform ◽  
The United States ◽  
The Political ◽  
Political Will ◽  
Tax Base ◽  
Tax System ◽  
The Law ◽  
Jobs Act ◽  
Tax Cuts

Based on the experience of recent decades, the United States apparently musters the political will to change its tax system comprehensively about every 30 years, so it seems especially important to get it right when the chance arises. Based on the strong public statements of economists opposing and supporting the Tax Cuts and Jobs Act of 2017, a causal observer might wonder whether this law was tax reform or mere confusion. In this paper, I address that question and, more importantly, offer an assessment of the Tax Cuts and Jobs Act. The law is clearly not “tax reform” as economists usually use that term: that is, it does not seek to broaden the tax base and reduce marginal rates in a roughly revenue-neutral manner. However, the law is not just a muddle. It seeks to address some widely acknowledged issues with corporate taxation, and takes some steps toward broadening the tax base, in part by reducing the incentive to itemize deductions.

Commentary

2014 ◽  
Author(s):  
Adrian Sinfield
Keyword(s):  
Policy Making ◽  
The Political ◽  
Social Spending ◽  
Significant Shift ◽  
Political Will ◽  
Tax System ◽  
Vested Interests ◽  
The Imf

Increasing inequality was a deliberate policy of the Thatcher governments, marking a significant shift in UK policy-making. The strategy was supported by strong vested interests and active myth-making that stigmatized both social spending and its recipients. The legacy of Thatcherism has been powerful and persistent, leading to an acceptance of the increased inequality and a lack of challenge to its proponents and beneficiaries. There now appears to be a growing challenge to this acquiescence from many quarters including the churches and, surprisingly, the IMF, as well as many more detailed analyses of the wide differences in income and wealth. The arguments against increased inequality have strengthened again, bolstered by growing evidence of exploitation of the tax system, but is the political will strong enough to bring about significant changes?

scholarly journals Goods and Services Tax (GST): A Revolutionary Step towards Economic Unification

2019 ◽  
Vol 8 (S1) ◽  
pp. 67-70
Author(s):  
M. P. Akhil
Keyword(s):  
National Level ◽  
Differential Treatment ◽  
Tax Credit ◽  
Tax System ◽  
Excise Duty ◽  
Goods And Services ◽  
National Market ◽  
Indirect Taxes ◽  
Service Sectors

GST is a comprehensive tax system that subsumed all indirect taxes of states and central governments and unified economy into a seamless national market .Under the erstwhile indirect tax regime, there were a number of taxes. Prof. Kelkar Committee has proposed a uniform Goods and Services Tax (GST) to do away with the issues and problems of VAT. Based on Kelkar Committee recommendations, the Govt of India has brought a Bill in 2011 through the Constitution (115th Amendment) (GST) Bill, 2011. However the bill was not passed due to dissolution of 15th Lok Sabha. Again, Constitution (122nd Amendment) (GST) Bill, 2014 was presented in the Lok Sabha and this Bill has been passed in the Lok Sabha as well as Rajyasabha. Goods and service tax is a new story of VAT which gives a widespread setoff for input tax credit and subsuming many indirect taxes from state and national level. The Government’s GST regime seeks to replace excise duty, import duties, VAT and service tax regulations, along with other Cess and surcharges, with three separate legislations namely CGST, SGST and IGST. GST would be applicable to all transactions of goods and service, and it to be paid to the accounts of the Centre and the States separately. The biggest advantage of GST is economic unification of India. It has potential to end the longstanding distortions arising out of the differential treatment of the manufacturing and service sectors. It is an issue if people are still unaware or confuse with the tax system of GST and become worst when people ignore and boycott not to pay the tax.

scholarly journals Law’s Wars, Law’s Trials The Fate of the Rule of Law in the U.S. ‘War on Terror’

2019 ◽  
Vol 36 (1) ◽  
pp. 29-35
Author(s):  
Richard L. Abel
Keyword(s):  
Rule Of Law ◽  
War On Terror ◽  
State Power ◽  
Social Protest ◽  
The Political ◽  
Liberal State ◽  
The Rule Of Law ◽  
Political Spectrum ◽  
The U.S ◽  
Broad Consensus

The rule of law is a foundation of the liberal state. There is broad consensus about its core, extending across the political spectrum. Our own experience tragically teaches that the rule of law is most endangered when those exercising state power feel threatened: during and after wars and in response to social protest.      

India's GST reform promises major economic rewards

2016 ◽  
Keyword(s):  
Monetary Policy ◽  
Supply Chains ◽  
The Political ◽  
Tax System ◽  
Content Type ◽  
Goods And Services ◽  
Economic Significance ◽  
National Market ◽  
The Government ◽  
Over Time

Subject The political and economic significance of GST. Significance The Goods and Services Tax (GST) bill earlier this month passed through the upper house of parliament, its most difficult hurdle. When rolled out, GST will represent the most significant reform of the tax system since India's independence in 1947, replacing the current myriad of central and state imposts to create a unified national market. The government claims that the GST will be the best version of its envisaged 'One Nation One Tax' concept. Impacts GST has longer-term implications for business costs, taxation ratios and India's illicit economy. Over time, businesses are likely to re-adjust their supply-chains to take advantage of the new opportunities. Inflation may rise temporarily when GST is implemented, possibly affecting political sentiment and monetary policy. Sectors such as renewables, tourism and telecommunications are likely to lobby the government for exemptions. The April 2017 deadline for rolling out GST is ambitious.

How fast GST is moving the Indian FMCG sector: Empirical Study

GIS Business ◽  
2020 ◽  
Vol 15 (1) ◽  
pp. 339-349
Author(s):  
Mr. Arun Gautam ◽  
Dr. Gaurav Lodha ◽  
Dr. Rohit Bansal ◽  
Dr.) M.L. Vadera
Keyword(s):  
Central Government ◽  
National Level ◽  
State Governments ◽  
Tax Reforms ◽  
Tax System ◽  
Excise Duty ◽  
Goods And Services ◽  
Beverage Industry ◽  
Food And Beverage ◽  
The Impact

GST is one of the most critical tax reforms in India which has been long awaiting decision. It is a comprehensive tax system that will subsume all indirect taxes of State and Central Governments and whole economy into seamless nation in national market. GST will be a game changing reform for Indian economy by developing a common Indian market and reducing the combined effect of tax on the cost of goods and services. GST is a consumption based tax imposed on sale, manufacturing and consumption on goods & services at national level. Several taxes such as central excise duty, service tax, central surcharge and cess etc. imposed by Central Government and VAT / sales tax, entertainment tax, octroi & entry tax, purchase tax, luxury tax, taxes on lottery etc. levied by State Governments have been subsumed under GST. The FMCG sector of India composes more than 50 % of the food and beverage industry and another 30 % from personal and household care. Under the proposed GST system, it is expected that it would result in a simpler tax system, especially for industries like FMCG. Under this system, a single product would be taxed at the same rate in every corner of the country meaning that an cooler will be taxed the same in Madhya Pradesh as well as Kerala thus we also refer GST as ONE NATION ONE TAX. This paper will help to present that, what is the impact of GST after its implementation; analyze the influence of GST on FMCG sector.

scholarly journals Recent impact of gst in india

2017 ◽  
Vol 7 (2) ◽  
pp. 288-293
Author(s):  
Gomathi N
Keyword(s):  
Economic Growth ◽  
Gross Domestic Product ◽  
Central Government ◽  
National Level ◽  
Tax Structure ◽  
Tax Reforms ◽  
Tax System ◽  
Goods And Services ◽  
National Market ◽  
Indirect Taxes

GST also known as the Goods and Services Tax is defined as the giant indirect taxstructures designed to support and enhance the economic growth of a country. In today‘sscenario to pay various taxes i.e. direct and indirect taxes, which are felt as burden on us anddue to these taxes the corruption is increasing. So, to overcome from all these taxation systemthe Central Government has decided to make one tax system i.e. Goods and Services Tax(GST). GST is one of the most critical tax reforms in India which has been long awaitingdecision. It is a comprehensive tax system that will subsume all indirect taxes of State andcentral Governments and whole economy into seamless nation in national market. It isexpected to remove the burden of existing indirect tax system and play an important role ingrowth of India. GST includes all Indirect Taxes which will help in growth of economy andproves to be more beneficial than the existing tax system. GST will also help to accelerate theoverall Gross Domestic Product (GDP) of the country. The Goods and Services Tax (GST) isa vast concept that simplifies the giant tax structure by supporting and enhancing theeconomic growth of a country. GST is a comprehensive tax levy on manufacturing, sale andconsumption of goods and services at a national level

Policy Regime Juxtaposition in Ecuador

2017 ◽  
Author(s):  
Kent Eaton
Keyword(s):  
National Level ◽  
The Political ◽  
Port City ◽  
Policy Regime ◽  
Administrative Capacity ◽  
Design Build ◽  
The Face ◽  
Policy Challenge ◽  
Political Spectrum ◽  
The Right

This chapter examines Ecuador as a case of policy regime juxtaposition, marked by the success of the first type of subnational policy challenge and the failure of the second. With respect to the first challenge, two dynamic mayors on the right of the political spectrum—León Febres Cordero (1992–2000) and Jaime Nebot (2000–18)—were able to design, build, and consolidate a distinctly neoliberal model in the critical port city of Guayaquil. Thanks to high levels of administrative capacity and strong internal coalitions, the architects of this model subsequently managed to defend it in the face of repeated assaults after 2006 by leftist President Rafael Correa. While the mayor of Guayaquil has managed to defend its neoliberal policy regime, he and his allies have been unable to moderate the President’s statist project at the national level owing to Guayaquil’s declining structural leverage and the absence of external coalitions with other like-minded subnational officials.

Commentary National Goods and Services Tax (GST): The Road Ahead

2014 ◽  
Vol 1 (1) ◽  
Author(s):  
Aanchal Gupta
Keyword(s):  
Service Sector ◽  
National Level ◽  
Consumption Tax ◽  
Tax Reforms ◽  
Tax Base ◽  
Tax System ◽  
Cascading Effects ◽  
The Road ◽  
Goods And Services ◽  
Positive Externalities

Goods and Services Tax (GST) is a part of the proposed tax reforms to evolve an efficient and harmonised consumption tax system in the country. GST is proposed to be a comprehensive indirect tax levy on manufacture, sale and consumption of goods as well as services at the national level. GST would give India a world class tax system and improve tax collections. It would end the long standing distortions of differential treatment of manufacturing and service sector. The introduction of GST will lead to the abolition of various central and state indirect taxes and eliminate the cascading effects of multiple layers of taxation. It is claimed that GST will facilitate seamless credit across the entire supply chain and across all states under a common tax base. The changeover to GST will be a game-changing tax reform measure which will significantly contribute to the buoyancy of tax revenues, acceleration of growth, and generation of many positive externalities. Once the integrated GST across the country is introduced, it will simplify tax administration and eliminate cascading of taxes. It will lead to reduction in the distortions in the structure of production, consumption and exports and further to a more efficient allocation of resources. The demand for manufactured goods can be expected to grow significantly. This paper explains the modalities of the proposed GST.

Tax Reforms in India since 1991: An Overview

2014 ◽  
Vol 1 (1) ◽  
Author(s):  
Vaneeta Rani
Keyword(s):  
Industrial Development ◽  
National Level ◽  
Tax Rates ◽  
Fiscal Consolidation ◽  
Tax Reforms ◽  
Tax System ◽  
Fiscal Responsibility ◽  
Indian Economy ◽  
Goods And Services ◽  
The Government

When the Indian economy faced an unprecedented macroeconomic crisis in 1991, fiscal consolidation constituted a major objective of the policy response. For this purpose, it became necessary to: (a) enhance tax and non-tax revenue, (b) curtail current expenditure growth, (c) restructure public sector undertakings, including disinvestment, (d) improve fiscal-monetary co-ordination, and (e) deregulate financial system. The need for improvements in budgetary practices led to the enactment of the Fiscal Responsibility and Budget Management (FRBM) Act, 2003 which ushered the Indian economy in an era of fiscal consolidation based on fiscal policy rules. Tax reforms introduced by the Government since 1991 have helped to build a structure which is simple, relies on moderate tax rates but with a wider base and better enforcement. Moreover, they have helped in correcting structural imbalances in the tax system. They are soft on industry with a view to create new investment climate and make India internationally competitive. By lowering the tax rates, the Government expects speedy industrial development and hence buoyancy in tax revenues. The country is keenly awaiting implementation of Direct Taxes Code (DTC) and National Level Goods and Services Tax (GST). GST is India’s most ambitious indirect tax reform. Lack of political consensus is holding up progress and implementation of GST. This paper gives a vivid account of recent reforms in the Indian tax system as a part of the on-going policy of liberalization and globalization of the Indian economy.

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