 "GST, goods and services tax")
Indirect taxation, when designed poorly, is an enemy of economic growth. We were part of the early dreams of cleaning this up by going to the “value-added tax” (VAT), an internationally established idea, which was rebranded for India by us as goods and services tax (GST). This is intended to be a clean consumption tax, which is neutral to the methods of production or international trade. It is the right way to do indirect taxation in any country.
The engine of GST is input tax credit (ITC). Comprehensive ITC eliminates the cascading of taxes, ensures that tax is levied only
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper
