Economic Survey II highlights several policy issues

Decline in inflation is impacting economy, which is yet to fully recover

A few of them are excerpted below:

Benefits of GST 

• Nearly all domestic indirect tax decisions to be taken jointly by the Centre and the states
• Tax credit will deter non-compliance and foster compliance
• Will eliminate most physical restrictions and all taxes on inter-state trade

Challenges ahead for GST

• Rate structures on alcohol, petroleum and energy products, electricity, and some land and real estate transactions have scope for improvement
• Bringing electricity into the GST framework will improve competitiveness of industry, as taxes on power get embedded in manufacturers’ costs 
• Inclusion of land and real estate and alcohol in GST will improve transparency and