GST- MAGNA CARTA 2.0 OR DEMON 2.0 OR NEW INDIA 2.0
Magna Carta was a document signed in 1215 by King john of England , by way of which he signed away most of his powers and agreed to abide by law.
So how can we compare the GST regime , which is coming into force from tomorrow, with such an archaic document?
This is rather funny and in good humour that I am trying to compare the two. Because the GST bill has been prepared by the Central excise and Customs department , who are writing away their far reaching powers and agreeing to abide by the new Code.
For more than 11 long years , the officers of the Excise, Vat, Service Tax and other miscellaneous departments have toiled through the archaic laws of the country to simplify and align them for the ease of doing business.
GST has an immensely far reaching consequences for both the Manufacturer and The Service provider (M&SP) and the Consumer.
For the (M&SP) , it claims to not only reduce the number of taxes that they have to pay , but also the duplicity of taxes that they had to encounter. The business owners are rightly concerned about the number of online forms (called RETURNS) that they will have to fill.
For the consumer or the customer it promises to give him the right product for the intended price; which means that the GST which he will pay will go to the Government. This is unlike the situation now where the Service tax or the Vat is charged to the customer but not deposited with the government.
GST also promises the states of the fair share of their taxes depending on the economic activity that takes place in the respective state. This means that, a state which produces a car will get the proportionate amount of tax , unlike the loss of excise at present , where the tax actually went to the state of sale.
But this everyone knows or have read plenty of times.
What I am looking is entirely a different scenario.
What I see is a unique opportunity in a direction which can be called THE GREAT LEVELLER.
From the midnight of 1st july 2017, all the professionals and experts dealing with Central or State Excise, VAT, Service Tax and other knowledge base- will be challenged to learn and practice something absolutely new.
I agree , the ready-made softwares will make their jobs much easier; but same will apply to any other person who has basic intelligence but did not have any knowledge about all those taxes so far.
In my opinion we are knocking at the doors of an opportunity for all those young Indians who are out of college with miscellaneous degrees and no jobs for various reasons.
Here will be an opportunity for them to start afresh and quickly get their hands on the new tax code or GST code and find a way forward for them.
From 1st July there will be a plethora of Institutes which will teach GST through various softwares. But for once, there will be an opportunity at the end of those short courses.
For once a 20 year old intelligent youngster will have the same knowledge as a 50 year old Tax specialist; at least in theory.
The online procedures aim to seal corruption , which will be good for the new professionals- as no longer the older generation of tax professionals have any physical office to settle the tax matters of their clients. It will be all cut and dry.
There is also a small ... very small window that I see for the unskilled sales force at different small businesses or shops. So far they were paid pittance for their efforts of 8-10 hours. However now that there will be about 3 online return forms to be filled every month - there will be an opportunity for them to train themselves in rudiments of Computers. With this extra qualification, they will be able to double up as the " GST Return Preparers" and be more useful to their employer. In fact 8-10 small businessmen can pool in to share such a GSTRP .
With this hopeful and optimistic view , I call upon all those youngsters who are unemployed or underemployed to put their mind and effort in correct places and benefit out of this opportunity.
This is rather funny and in good humour that I am trying to compare the two. Because the GST bill has been prepared by the Central excise and Customs department , who are writing away their far reaching powers and agreeing to abide by the new Code.
For more than 11 long years , the officers of the Excise, Vat, Service Tax and other miscellaneous departments have toiled through the archaic laws of the country to simplify and align them for the ease of doing business.
GST has an immensely far reaching consequences for both the Manufacturer and The Service provider (M&SP) and the Consumer.
For the (M&SP) , it claims to not only reduce the number of taxes that they have to pay , but also the duplicity of taxes that they had to encounter. The business owners are rightly concerned about the number of online forms (called RETURNS) that they will have to fill.
For the consumer or the customer it promises to give him the right product for the intended price; which means that the GST which he will pay will go to the Government. This is unlike the situation now where the Service tax or the Vat is charged to the customer but not deposited with the government.
GST also promises the states of the fair share of their taxes depending on the economic activity that takes place in the respective state. This means that, a state which produces a car will get the proportionate amount of tax , unlike the loss of excise at present , where the tax actually went to the state of sale.
But this everyone knows or have read plenty of times.
What I am looking is entirely a different scenario.
What I see is a unique opportunity in a direction which can be called THE GREAT LEVELLER.
From the midnight of 1st july 2017, all the professionals and experts dealing with Central or State Excise, VAT, Service Tax and other knowledge base- will be challenged to learn and practice something absolutely new.
I agree , the ready-made softwares will make their jobs much easier; but same will apply to any other person who has basic intelligence but did not have any knowledge about all those taxes so far.
In my opinion we are knocking at the doors of an opportunity for all those young Indians who are out of college with miscellaneous degrees and no jobs for various reasons.
Here will be an opportunity for them to start afresh and quickly get their hands on the new tax code or GST code and find a way forward for them.
From 1st July there will be a plethora of Institutes which will teach GST through various softwares. But for once, there will be an opportunity at the end of those short courses.
For once a 20 year old intelligent youngster will have the same knowledge as a 50 year old Tax specialist; at least in theory.
The online procedures aim to seal corruption , which will be good for the new professionals- as no longer the older generation of tax professionals have any physical office to settle the tax matters of their clients. It will be all cut and dry.
There is also a small ... very small window that I see for the unskilled sales force at different small businesses or shops. So far they were paid pittance for their efforts of 8-10 hours. However now that there will be about 3 online return forms to be filled every month - there will be an opportunity for them to train themselves in rudiments of Computers. With this extra qualification, they will be able to double up as the " GST Return Preparers" and be more useful to their employer. In fact 8-10 small businessmen can pool in to share such a GSTRP .
With this hopeful and optimistic view , I call upon all those youngsters who are unemployed or underemployed to put their mind and effort in correct places and benefit out of this opportunity.
Magna Carta, meaning ‘The Great Charter’, is one of the most famous documents in the world. Originally issued by King John of England
(r.1199-1216) as a practical solution to the political crisis he faced
in 1215, Magna Carta established for the first time the principle that
everybody, including the king, was subject to the law.
Magna Carta, meaning ‘The Great Charter’, is one of the most famous documents in the world. Originally issued by King John of England
(r.1199-1216) as a practical solution to the political crisis he faced
in 1215, Magna Carta established for the first time the principle that
everybody, including the king, was subject to the law.
Magna Carta, meaning ‘The Great Charter’, is one of the most famous documents in the world. Originally issued by King John of England
(r.1199-1216) as a practical solution to the political crisis he faced
in 1215, Magna Carta established for the first time the principle that
everybody, including the king, was subject to the law.
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