Dushahra Greetings and Menu for PM Narendra Modi

My Dushahra Greetings to all.

Vijaydashami is another name for Dushahra Festival. It means the tenth day which marked victory. It is celebration of victory of good over evil and right over wrong. It is a day when we may find the wrongs within and set them right. There are many wrongs which PM Narendra Government has to fix in coming days. With opposition busy in finding emotional issues for its vote banks, constructive issue based opposition is the casualty. In democracy, opposition is a necessity but an ignorant opposition or the one which is merely rhetorical is a dis-service. Anyhow these are some of the topics which should attract the attention of the Government may not be in same order in which these are listed below:

GST debacle

Every one is crying hoarse that GST has devastated but without actually putting finger on the problem. Of course it is now admitted fact that GST Network suffers from incapacity. hope it shall be rectified and bandwidth of servers shall be increased. Mr. Jaitly needs to be explained by some technical expert, that capacity of 100 thousand users per hour is actually just 10 users per second or at any given time. Therefore the technical staff need to be dealt with and bandwidth need to be increased which is poor.

However the worse problem is B2B SME traders. Small traders with a turnover of less then 20 lacs need not pay GST. In business to business transaction the buyer will prefer to buy GST paid goods so that he may get credit of GST already paid. This has suddenly made traders supplying to big businesses, redundant. Business who are paying GST want to buy only GST paid goods. This is the biggest mess. Continue reading

Why traders are opposing GST?

One Country One Market One Tax.

Goods and Services Tax is finally here. GST is tad bit late. Say by a decade. Starting from Canada, Australia, Japan, Europe and even Malaysia has it. All had to face its share of woes in switching to new system of taxation. Historically the idea is as new as Internet. Taxation is prerogative of every sovereign authority. In democracy there are too many sovereign authority in practice than in theory. GST will replace, Excise, Counter-veiling duty, VAT (Sales Tax), Luxury Tax, Entertainment Tax, Entry Tax and Octroi  among others. But let’s note the key benefits.

Eliminate tax on tax.

As mentioned above many taxes are imposed on the price inclusive of goods. For example excise is levied when goods leave factory and is included in the price realised by manufacturer. Sales tax or VAT is levied when goods are sold by retailer. Yet again luxury tax is levied if sale is made at an establishment treated as luxurious viz 5 star Hotel. Continue reading