With a population of 1.25 billion, a land mass of 3 million sq kilometres and 20+ officially recognized languages, there's enough diversity that taxes are imposed at various levels of transactions. But not anymore as one of the monumental tax reforms a.k.a Goods and Services Tax (GST) has been pronounced by the Prime Minister of India, Shri Narendra Modi. The event is being hailed as India’s second tryst with destiny after Independence on August 15, 1947.
“GST is not just a simple taxation system but will also help us fight corruption and black money and will enable us to introduce a new type of governance. From this midnight, we are heading towards an advanced taxation system through GST,” the PM said that in his speech, adding, “From now onwards, from Sri Ganganagar to Itanagar and from Leh to Lakshadeep, there will be one nation, one tax. My vision of a single tax system has been fulfilled.”
Giving due credit to his allies, opponents and detractors, he maintained, “GST could be crystallized not due to one person or party but due to the collective efforts of all the statesmen. GST will not only ease the process of doing business but will also improve the way of doing business.” He also maintained, “As we transition to a unified tax system, there will be some teething troubles as with anything which is a novel concept (Read demonetization). But eventually, things normalize once we get used to it.”
He went on to add, “It is not just a financial reform, but a social reform too. It is very disheartening to note that even after seven decades of freedom, those who have been at the bottom of the pyramid have not been uplifted. However, the rollout of GST will be the turning point in their lives. Evidently, it is a good and simple tax as it’s a single one tax for one country and good for the development of the country.”