July GST Collections: Thumbs Up for Modi Government

The Goods & Service Tax is one of the biggest fiscal reforms in India since Independence. After demonetization, GST announcement was another bold step by the Modi government. Most analyst were apprehensive about  success of  GST in short run and were also doubting the successful implementation of GST in present context of economy which has  wide network of small and medium size traders , who would find difficult to adjust to GST registration immediately. Some political pundits also called the timing of GST implementation as a political miscalculation. Two month after the announcement of GST, the figures presented by the finance minister have something to cheer for the government.
In a press conference, Arun Jaitley announced  that in July, Rs 92,283 crores had been received as GST receipts from 3.9 million tax payers, compared with the target of Rs91,000 crore. This figure is achieved even when one third of GST payers are yet to submit their returns. This amply signifies that GST will soon be completely integrated with economy and the benefits that shall be accrued may surpass much above the expectations. GST will increase the taxpayer base by bringing Small and Medium Enterprises and the unorganized sector under its umbrella. It will make the markets more competitive than before. It shall also create a level playing field between large & small enterprises.After the decision of demonetization, now with smooth roll out of the GST, Modi government has again proved that they are capable of taking tough decisions and making it a success.
 
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