Zee Media Bureau
New Delhi: India moved a major step closer towards a unified goods and services tax regime across the country, with the upper house of Parliament passing the relevant Constitution amendment bill on Wednesday, in what is seen as the most radical indirect tax reform since independence.
The Constitution (One Hundred and Twenty-Second Amendment) Bill, 2014 and amendments were first declared approved by a voice vote. Following a division called by Deputy Chairperson P.J. Kurien and electronic voting, it was declared approved by a two-thirds majority.
The new regime -- the idea for which was mooted some 13 years ago -- seeks to subsume all central indirect levies like excise duty, countervailing duty and service tax, as also state taxes such as value added tax, entry tax and luxury tax, to create a single, pan-India market.
Here's the list of what may get cheaper and what may get dearer assuming the standard GST rate at 18 percent.
|Sectors||Impact||Current Tax Rates||New Rates|
|Home Decor||Slight Positive||Above 20%||18%|
|Pharmacuticals||Neutral||6% or lower||18%|