Points On Various Business Sectors That Arise After GST

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General Points On Various Business Sectors That Arise After GST Implementation. Impact of GST on Various Business Sectors. Hi Freinds here we discussed Points On Various Business Sectors That Arise After GST. In this article you can find General Points On Various Business Sectors That Arise After GST Implementation like –  Impact on Real Estate Industry, Impact on FMCG Sector, Impact on Rail Sector, Impact on Information Technology Sector Etc. Recently we provide complete details for GST Registration, GST Login Procedure, GST Rates 2017, GST Return Online Process, GST Refund Details, HSN Code List etc…Now you can scroll down below n check more details regarding General Points On Various Business Sectors That Arise After GST….

Points On Various Business Sectors That Arise After GST

Real Estate Industry:

Construction and housing sector needs to be included in the GST tax base being high tax revenue generating sector and for reduction in number of tax legislations involved

FMCG Sector:

Implementation of proposed GST and opening of foreign direct investment (FDI) are expected to fuel the growth and raise industry’s size.

Rail Sector:

There have been suggestions for including the rail sector under the GST umbrella to bring about significant tax gains and widen the tax net so as to keep overall GST rate low. This will have the added benefit of ensuring that all inter–State transportation of goods can be tracked through the proposed information technology (IT) network

Information Technology Enabled Services:

At present, if the software is transferred through electronic form, it should be considered as intellectual property (IP) and regarded as a service and if the software is transmitted on media or any other tangible property, then it should be treated as goods and this classification is full of litigation. As GST will have uniform rate for goods and services and no concept of State revenue being VAT or central revenue being service tax and hence, the reduction in litigation

Transport Sector:

Truck drivers spend more than half of their time while negotiating check post and tolls. At present, there are more than 600 check points and more than ten types of taxes in road sector. After the introduction of GST, the time spend by the road transport industry in complaining with laws will reduce and service is going to be better which will boost the goods industry and thus the taxes also.

Impact on Small Enterprises:

There will be three categories of Small Enterprises in the GST regime

1. There will be three thresholds which are as follows:

  • Basic threshold for both goods and services shall be R10-15 lakh.
  • Gross turnover of goods upto R1.5 crores may be assigned exclusively to the States.
  • Gross turnover of services upto R1.5 crores may be assigned exclusively to the Centre.
  • Gross turnover of above R1.5 crores may be assigned both to the Centre (CGST) and States (SGST).

2. Those between the threshold and composition turnovers will have the option to pay a turnover based tax i.e. composite tax or opt to join the GST regime.

3. Those above threshold limit will need to be within the framework of GST. Possible downward changes in the threshold in some States consequent to the introduction of GST may result in obligation being created for some dealers.

 

On our website we have provided all the details of GST Act 2017. We hope that our article will be helpful for you to understand the GST Act 2017.

 

Check Also:

Comparative analysis of Valuation under GST vis-a-vis Excise laws

Composition Tax under CGST Bill 2017, Composition Scheme Under CGST

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