GST: Important tax reform

SHILLONG, MAR 21: Meghalaya Taxation Minister Zenith Sangma today informed the Assembly that the soon to be implemented Goods and Services Tax (GST) will be one of the most important indirect tax reforms in the country.
Replying to queries in the Assembly here, Sangma said that the GST will replace the multitude of indirect taxes presently being levied by the Centre and the States like Excise Duty, Service Duty, Special Additional Duty of Customs, VAT, Central Sales Tax, Luxury Tax and others.

He said that these and other taxes will be subsumed under the GST.

The GST will remove the inherent weaknesses present in the current indirect taxation system and will remove the cascading effect on prices of goods and services due to the tax on tax, he said.

According to him, the target date for introduction of GST will mostly likely be on July 1 this year, but the final decision will be taken by the GST Council.