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Postby yellowbaby520 » Wed Nov 22, 2017 3:33 am
Soon after the Goods and Services Tax (GST) was approved in the Lok Sabha Sean Harlow Jersey , the GST Council has now cleared framework rules to shed more light on finer details related to the rates that will be applicable on different goods and services. For those wondering what is this GST all about, it is essentially a proposed system of merging most of the existing taxes into a single taxation system. The new centralized tax system (GST) will replace a number of indirect taxes that are currently applicable, thus also easing the overall taxation process.
percent, five percent, 12 percent, 18 percent and 28 percent.
We spoke to CounterPoint Research analyst Neil Shah to understand the new taxation, and how it will affect the prices. So, if you are wondering which electronics products are getting cheaper and what all products are getting dearer Duke Riley Jersey , we have compiled a list to make things easier for you.
GST impact on consumer electronics
Smartphones
With all the indirect taxes, a tax of around 13.5 percent is currently levied on smartphones, but with GST, it will come down to 12 percent. This will make smartphones a bit cheaper than they are right now. Don’t expect a drastic fall, but some marginal fall will be there. The components used for making smartphones are also categorized in the 12 percent price bracket.
If government decides to give further incentives and relaxation for ‘Make in India’ products, the cost can come down a bit more. So, if they are made in India, they are likely to get even cheaper.
Cameras, speakers, monitors, TVs
The likes of point-and-shoot or a DSLR camera, TV, speakers, computers and monitors will now be levied a tax of 18 percent, making them a bit more expensive. Even laptops fall under the same slab Takkarist McKinley Jersey , and their prices are also set to go up marginally.
Electronics appliances
All electronics appliances, such as washing machines, refrigerators, vacuum cleaners, shavers, trimmers, dishwashers, water heater, mixers, toasters, weighing machines are categorized under 28 percent GST slab, and their prices are set to become dearer.
Automobiles, motorbikes
Buying a motorcycle is set to get dearer, as it is set to attract a tax of 28 percent. For cars, on top of GST Vic Beasley Jr Jersey , they will also attract cess ranging between 1–15 percent. Small cars attract one percent cess, mid-sized cards will attract three percent cess, whereas luxury cars will peak at 15 percent cess.
So what does this mean? Well, small cars currently attract tax of 29 percent, but with 28 percent GST and one percent cess, the price remains unchanged. Mid-sized cars will slightly cost more, however, the real benefit will be for luxury car buyers. Currently, luxury cars attract tax between 52–55 percent, but with GST and cess, it will come down to 43 percent, making them relatively cheaper.
GST impact on services
Transport services
With GST implementation, transport services are set to get a bit cheaper. Whether you are hiring an Ola or Uber cab, travelling via railways or via air (economy class), these services will attract a GST of five percent Matt Ryan Jersey , which will make them marginally cheaper than what you currently pay. However, business class air tickets will fall under 12 percent slab, making them a bit more expensive.
Telephone, DTH bills
Currently, we pay a tax of around 14.5 percent tax on mobile and landline bills, DTH and broadband bills. But after GST implementation, it is set to go up to 18 percent, and thus also marginally increase your mobile bills. In case of prepaid, if a top-up of Rs 100 gives you talk time of about Rs 85, post GST, it will marginally come down to Rs 82.
Movies
Currently, movie going experience is pretty expensive, as the entertainment tax is about 35–40 percent depending from state-to-state. However, after GST, it will come under 28 percent tax slab Devonta Freeman Jersey , making your movie watching experience slightly affordable.
So there you are, while some goods and services are set to become affordable, others are set to get expensive. We would like to know from our readers on what they think about GST. Feel free to drop in your thoughts in the comments section below.
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