Search


What is/are the most likely advantages of implementing ‘Goods and Services Tax (GST)’? ⦁ It will replace multiple taxes collected by multiple authorities and will thus create a single market in India. ⦁ It will drastically reduce the ‘Current Account Deficit’ of India and will enable it to increase its foreign exchange reserves. ⦁ It will enormously increase the growth and size of economy of India and will enable it to overtake China in the near future. Select the correct answer using the code given below: (a) 1 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3

Posted by bhavishya kumar at 23 Sep 17 05:56:03am Views: 433

Answer (a)

Goods and Service Tax is a major economic reform in India after the 1991 economic liberalisation. GST, proposed to be rolled out from 1st July 2017, will have a four-tier structure with rates ranging from 5% to 28%. But regrettably, a large chunk of the economy, which includes real estate, electricity, alcohol and petroleum products, is out of GST.
It brings benefits to all the stakeholders of industry, government and the consumer.  It will lower the cost of goods and services, give a boost to the economy and make the products and services globally competitive. GST aims to make India a common market with common tax rates and procedures and remove the economic barriers thus paving the way for an integrated economy at the national level. By subsuming most of the Central and State taxes into a single tax and by allowing a set-off of prior-stage taxes for the transactions across the entire value chain, it would mitigate the ill effects of cascading, improve competitiveness and improve liquidity of the businesses aspects. GST is a destination based tax. It follows a multi-stage collection mechanism. In this, tax is collected at every stage and the credit of tax paid at the previous stage is available as a set off at the next stage of transaction. This shifts the tax incidence near to the consumer and benefits the industry through better cash flow and better working capital management. 
It will not drastically reduce the ‘Current Account Deficit’ of India. 
It will not enormously increase the growth and size of economy of India and will not overtake 
China in the near future.

 

 


Download Best SSC-CGL Notes




Most Recommended

Who was the pioneer of Chipko movement of 1973? वष 1973 � के िचपको आ�दोलन के अग्रमी नेता कौन थे? Options: 1) Sambaji संभाजी 2) Baba Amte बाबा आमटे 3) Sunderlal Bahuguna सुंदरलाल बहुगुणा 4) Medha Patkar मेधा पाटकर

bhavishya kumar Views : 571

When two 8-bit numbers A7 • • • A0 and B7, • • B0 in 2's complement representation ( with A0 and B0 as the least significant bits ) are added using a ripple-carry adder. the sum bits obtained are S7 • • • S0 and the carry bits are C7 ••• C0 . An overflow is said to have occurred if.

bhavishya kumar Views : 570

who is the next PM of India in the 2019 election

bhavishya kumar Views : 564

Which among the following is not an example of emulsion? िनिलखत मकौन सा एक पायस या इमशन का उदाहरण नही ंहै? Options: 1) Chocolate-Milk चॉकलेट-दू ध 2) Butter मन 3) Whipped Cream फ टी ई मलाई 4) Curd दही

bhavishya kumar Views : 563

Under the framework of the new partnership with which country, Victory University will help India to Establish a National Sports University? कस देश के साथ क गई नई साेदार के ढांचेके अंतगत वटोरया वववयालय भारत मराय खेल वववयालय के गठन मसहयोग करेगा? Options: 1) Portugal पतगाल ु 2) Australia ऑेलया 3) Vietnam वयतनाम 4) USA संयतु राय अमेरका

bhavishya kumar Views : 563

Which one of the following is not a feature of Indian federalism? 1., There is an independent judiciary in India. 2., Powers have been clearly divided between the Centre and the States. 3., The federating units have been given unequal representation in the Rajya Sabha. 4., It is the result of an agreement among the federating units

bhavishya kumar Views : 563

New Year's Day

bhavishya kumar Views : 562

Who takes the decision regarding the savings and loan activities in a Self Help Group (SHG)? वयंसहायता समूह (एसएचजी) मबचत व ऋण गतवधय सेसंबंधत नणय कौन लेता है? Options: 1) Private Bank नजी बक 2) Reserve Bank of India भारतीय रज़वबक 3) Members of group समूह केसदय 4) Non Government Organizations गैर सरकारी संगठन

bhavishya kumar Views : 561

MTNL comes under which of the following category? एम.ट.एन.एल. ननलखत मसेकस ेणी मआता है? Options: 1) Navratna नवरन 2) Maharatna महारन 3) Mini Ratna मनी रन 4) None option is correct कोई भी वकप सह नहं ह

bhavishya kumar Views : 561

Which of the following represents the most complex trophic level? िनिलखत मसेकौन जिटल पौिकता र को दशाता है? Options: 1) Community समुदाय 2) Population जनसंा 3) Ecosystem पारथितक तं 4) Species जाितयाँ

bhavishya kumar Views : 557


Sagarmala Project

Launched: 31 July 2015Main Objective: To transform the existing ports into modern world class ports.The prime objective of the Sagarmala project is to promote port-led direct and indirect developmentand to provide infrastructure to transport goods to and from po...Read more

Shyama Prasad Mukherji Rurban Mission

Launched: 21 February 2016Main Objective: To create 300 rural clusters across the country and strengthen financial, job, andlifestyle facilities in rural areas.Rurban Mission is a solution for both villages and cities in the country that would promote growth of...Read more

Integrated Power Development Scheme (IPDS)

Launched: 18 September 2015Main Objective: To ensure 24/7 power for all.The Government of India will provide financial support of Rs. 45,800 crore over the entireimplementation period of IPDS under which strengthening of sub-transmission network, metering, IT...Read more