Milagres College organizes interaction programme on GST


Udupi : Commerce Department of Milagres College, Kallianpur near here organized interaction programme on GST on Wednesday, 20th July 2017 at Audio Visual Hall. Dr. Norbert Lobo, Associate Professor of Economics, St Aloysius College (Autonomous), Mangaluru was the resource person for the programme.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Speaking on the occasion Dr. Norbert Lobo said that the introduction of GST was not only historical and revolutionary but also inevitable. He explained the different concepts of GST and showed how it will benefit the country and people in the long run. Economists expect that the goods and service tax (GST) which is targeted to be applied starting in July, will help raise India’s medium term growth to above 8%. The reforms being done is expected to pay off in terms of higher growth in the future.

He said that while lower Goods and Service Tax (GST) rates may lead to a decline in inflation, economic growth may not improve significantly in the short term even though it will benefit the government in the medium term. He forecast inflation to come down as GST rates for most goods have been fixed at a lower rate.

He said that GST is not optimal, but let the best not be the enemy of the good. Even with its imperfections, it could usher in significant benefits, especially through a quantum leap in transaction trails and logistical efficiencies. Companies will now insist vendors and suppliers to furnish invoices as GST will make it impossible for firms to evade taxes.

While the impact on companies varies following existence of production units in the excise exempted zones, implementation of GST should result in cost savings in the supply chain network and expedite a shift from unorganized to organized trade. GST does have the intended effect of increasing tax compliance, the tax burden would increase. This could lead companies to pass the costs of higher tax compliance on to the consumer at a later stage. The impact of GST is that it is simple and easy to administer. The system will increase opportunity for commerce graduates through self employment. Although service sector becomes transparent and a bit expensive for consumer, the automobile and other services become available at affordable rates.

He said that the benefits of GST to the Indian economy that removal of bundled indirect taxes such as VAT, CST, Service tax, CAD, SAD and excise. Reduction of manufacturing costs due to lower burdern of taxes on the manufacturing sector, hence the prices of consumer goods will be likely to come down.The other benefit that removal of cascading effect of taxes which removes tax on tax.

There is possible only if the actual benefit of GST is passed on to the final consumer. There are other factors such as the seller’s profit margin that determines the final price of goods. GST alone does not determine the final price of goods.

Dr Norbert said that the introduction of the Goods and Services Tax will be a very noteworthy step in the field of indirect tax reforms in India. By merging a large number of Central and State taxes into single tax, GST is expected to significantly ease double taxation and make taxation overall easy for the industries. For the end customer, the most beneficial will be in terms of reduction in the overall tax burden on goods and services. Introduction of GST due to its transparent character will be easier to administer.

Dr. Vincent Alva Principal of the college presided over the event. Dr Herald Monis, HOD of Commerce department gave introduction on resource person Dr. Norbert Lobo and welcomed the gathering.

 

Prof. Shylet Mathias Associate Professor in Commerce department proposed vote of thanks. Ms Jyothsna Lewis compered the programme. The students of commerce from PPC and Milagres College were participated in the interaction programme. Meanwhile the lecturers of PPC and Milagres have participated in the programme. 


News published on: 20-07-2017