Impact of goods and services tax on Indian economy

Goods and services tax is nothing new, but a well desired value added tax that covers both goods and services. Goods services tax is a tax that is levied on the valve added to a purchased supply before it is sold again. Goods and services tax is defined as the giant indirect tax structure designed to support and enhance the economic growth o f the country. Goods and services was based on the nation ‘one nation, one market, one tax’. Goods and services tax would change the current tax regime of production based taxation to a consumption based system. Goods and services Tax (GST) is essentially a tax only on valve of addition at each stage. GST will be on the transaction value, i.e. taxes will be levied on the price actually paid or payable. Hence, resulting in the contribution of making the Indian economy stronger and powerful. GST is proposed system of indirect taxation in India merging most of the existing taxes into single system of taxation. The main purpose of this paper is to study Impact of Goods and Services Tax on Indian economy. This research paper highlights the positive and negative impact of the GST in the Indian tax system. This study was done based on secondary data collected from multiple sources of evidence, in addition to books journals websites and newspapers.