The nation is all set to roll out the new tax regime Goods and Services Tax (GST) from midnight today. Much has been debated about the merits and demerits of the new tax regime. Some big companies particularly those in textile trades are not happy but overall many applause the new move of the center. Big states which are having multiple factories and companies seems to be not happy but for smaller states like Manipur which lacks Industries and factories have reason to be smile, because the new tax regime will be benefitted to consumer state.
From midnight today, all form of taxes including VAT will be abolished and there will be no check post in Highways for tax entries. These will reduce the inconveniences of transporters. State Government will be benefitted from every goods that are being consumed by the state. Another advantage of the GST for the state of Manipur is that the government may be able to control the quality of the goods transported in the state. With the implementation of the GST regime any wholesalers, retailers that are not registered in the GST will not be able to procure their goods. So, systematic procurement of goods will be necessary once the GST come into force that means wholesalers or retailers will show more concerned to the quality of the goods.
In the recent days there are some apprehensions among the handloom weavers as well as those running fermented fish with the coming of the GST. But it has been clearly stated that in handloom products GST will not be applied until the products are materialised. For those doing the Fermented fish business the GST will benefit them in the long run.
Even though GST is more like a boon for consumer state like Manipur, various factors might sabotage the implementation process. One biggest challenges face by the Taxation authority is the connectivity issue as well as lack of proper knowledge about internet among the retailers and the wholesalers. All process of GST will be done in internet only and there will be no paper work. For submitting documents a wholesaler or the retailer or those running industries need high internet connectivity which is not available in the state of Manipur due to negligence from the part of BSNL. There are other networks like airtel, vodaphone etc. but all these networks depends on BSNL. The irregularities in the network by the BSNL authority are one apprehension on the success of GST.
There is also likely that the revenue of the state decline with the implementation of the GST, but a provision in the GST which assures assistance from the Center if in case the revenue is reduced solved the matters.
The nation is ready, the state is ready let’s hope the BSNL too is ready for successful implementation of the GST.
