Why is the GST system in India considered ‘unnecessarily complex’ and ‘counter-productive’ according to the 13th Finance Commission chair
Next government must urgently fix ‘unnecessarily complex’, counter-productive GST as per 13th Finance Commission chair. Indicates the need for simplification and efficiency in the tax system.
- The GST system in India is considered unnecessarily complex due to multiple tax slabs, exemptions, and frequent changes in rates, leading to confusion among taxpayers.
- The system is seen as counter-productive because it has not fulfilled its intended purpose of simplifying the tax structure and increasing compliance.
- The chair of the 13th Finance Commission has highlighted the urgent need for simplification and efficiency in the GST system to make it more taxpayer-friendly and boost economic growth.
- Streamlining the tax structure, reducing the number of tax slabs, and eliminating unnecessary exemptions can make the GST system more efficient and easier to comply with.
- Simplifying the GST system can also reduce administrative burden and compliance costs for businesses, leading to a more conducive environment for investment and economic development.
Answered
a year ago