GST and Micro, Small & Medium Enterprises
The goods and services tax (GST) is an analysis of the impact of GST tax (goods and services tax) on the Indian tax scenario, the production, sales and consumption of goods and services at national level. The need for a change in the tax structure from the traditional tax system to the GST model has been increased. The GST is expected to be an important factor, not only in the economy but also in business. Trade and business play an important role because the economy of each country is dependent on currency distribution. In the long term, GST is expected to have a positive impact on business organizations. Nowadays companies and businesses pay a lot of indirect taxes, such as value added tax, service tax, sales tax, entertainment tax, oak and luxury tax. When the GST is set, all taxes are terminated. Central and drink taxes are likely to be included in the GST, so tax credits may be available for cross-border transactions and cross-border transactions, which may also take place at national level to be monitored by the central government. The GST also differs in the way it is imposed at the end-use point, not in the production phase. Under GST there is only one tax rate for goods and services. However, separate rates apply to current products and services. GST will make India a common market, making it easier for businesses and significantly reducing logistics costs in companies from all sectors. Some companies will earn more income when the GST is lower than the current tax rate. The rate will be higher than the current effective rate, and others will lose. The sector observers assumed a percentage of 18% recommended by the government committee when calculating the impact.