Main Article Content
Abstract
In today’s scenario we pay various taxes i.e. Direct and Indirect taxes, which are felt as encumber on us and due to these taxes the corruption is mounting. So, to overcome from all these taxation system the Central Government has decided to make one tax system i.e. Goods and Services Tax (GST). GST also known as the Goods and Services Tax is defined as the giant indirect tax structure designed to support and augment the economic growth of a country. More than 150 countries have implemented GST so far. However, the plan of GST in India was mooted by Vajpayee government in 2000 and the constitutional amendment for the same was passed by the Loksabha on 6th May 2015 but is yet to be ratified by the Rajyasabha. However, there is a huge shade and cry against its implementation. GST is one of the most critical tax reforms in India which has been long until decision. It is a comprehensive tax system that will subsume all indirect taxes of State and central Governments and whole economy into seamless nation in national market. It is expected to remove the burden of existing indirect tax system and play an important role in growth of India. The benefit of GST on retail sector will be huge. Indian Retail sector is one the fastest growing industry in the world. It is projected to grow to1.3 trillion USD by 2020, registering a CAGR (Compound Annual Growth Rate) of 16.7% over the 5 years ranging from 2015-2020. GST includes all Indirect Taxes which will help in growth of economy and proves to be more beneficial than the existing tax system. GST will also help to increase speed the overall Gross Domestic Product (GDP) of the country. GST is now accepted all over the world and countries are using it for sales tax system. This paper will help to show that, what will be the impact of GST in food retail sector after its implementation.