BJP Manifesto to continue with GST simplification ensuring stable tax regime

Source: Taxsutra

The BJP economic policy aims at lowering the tax rate, improving compliance, and broadening the tax base. The improved compliance and increased tax base have resulted in a rise in the tax to GDP ratio. The same has reached 12%, which is the highest in the recent past (the ratio was 10.1% in 2013-14). BJP promises to continue with their policy in the same manner i.e. lowering of the tax rate, rewarding honest taxpayers, and improving compliance.

GST has resulted in an overall lowering of tax rates and increased revenue collection, particularly for States. When compared to the base year of 2015-16, GST revenue for all states has increased by 50% in 3 years. BJP further promises to continue with the simplification of the GST process by engaging in dialogue with all stakeholders.

It also promises to strengthen the start-up ecosystem by targeting time spent on tax compliance at 1 hour per month. To ensure more cash and greater purchasing power, it will revise the tax slabs and the tax benefits.

GST Jargon of the day

A non-resident taxable person is someone who occasionally undertakes transactions involving the supply of goods or services, whether as principal or agent, or in any other capacity, but with no fixed place of business in India.