The country just had the biggest tax
transformation in the history and that transformation is the form of goods and
services tax (GST). Let’s keep aside all the debates and arguments which were
going on for the right and wrong and think for some time what effect will this
have on our lives? After all, at the end, it’s all about the pocket. From last
so many days, there were several surveys according to which the prices of most
of the items were going up after GST and leading to tension for a common man.
But let us no try to understand the real impact of GST on our lives.
Fewer rate items:
Air travel will become cheaper for those traveling in economy class as the tax
is reduced from 6 percent to 5 percent. On the other hand, people traveling in
business class will have to pay more as the tax is increased from 9 to 12
percent. For the people who love traveling, the tax on hotel rooms will be zero
if the room costs less than 1000. Apart from this, cab rides will also become
cheaper as the tax will decrease from 6 percent to 5 percent. Common products
that we use in our daily life like hair oil, soaps and toothpaste will also
become cheaper as the tax will be reduced to 18 percent from 20- 22 percent.
The price of cement will come down as the tax will decrease from 12 percent to
8 or 9 percent.
The main motive of GST is to boost the
economy of the country. For some time, there may be some problems which will be
faced by the people but in the end, it will have a long-term effect. Earlier
there were different state and center taxes and hence there were different
rates of goods and services in every state. GST has removed this confusion and
created uniformity across the country. Here are some of the fields where GST
has impacted our lives in a positive manner:
No Tax Items:
The items which we use in our daily lives including milk, cheese, wheat, rice,
cereals and eggs and curd not have any tax. Apart from that a great sigh of
relief as you don’t have to pay any tax on health care and education. Other
goods and services which also fall under this category are metro travel,
religious travel and Haj yatra.
Fewer rate items:
Air travel will become cheaper for those traveling in economy class as the tax
is reduced from 6 percent to 5 percent. On the other hand, people traveling in
business class will have to pay more as the tax is increased from 9 to 12
percent. For the people who love traveling, the tax on hotel rooms will be zero
if the room costs less than 1000. Apart from this, cab rides will also become
cheaper as the tax will decrease from 6 percent to 5 percent. Common products
that we use in our daily life like hair oil, soaps and toothpaste will also
become cheaper as the tax will be reduced to 18 percent from 20- 22 percent.
The price of cement will come down as the tax will decrease from 12 percent to
8 or 9 percent.
There are many other things where prices
will go slightly up but this is happening for a reason. The long-term benefit
will surely have a positive impact on the lives of people.
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