GST glitches

Centre must work to ensure a smoother transition

The roll-out of the goods and services tax (GST) has hit a few bumps on the road, and it is essential that the government stays alert and responds swiftly if needed to ensure that the promise of the GST is not dissipated in its implementation. For example, of the Rs 95,000-crore revenue collected in July, around Rs 62,000 crore has been claimed as input tax credit. If only about Rs 33,000 crore, once input credits are disposed of, is indeed collected in the first month of the new indirect tax, then it might be seen as a problem going forward.