Topic – Indian economy – issues
4) On 1st of July, GST will celebrate an year of existence. Critically analyze the performance of GST regime so far?(250 words)
Why this question
GST, the most significant tax reform in India, will complete a year in July. This provides an opportune moment to discuss the impact of the scheme and the way forward.
Key demand of the question
The question expects us to highlight the impact of GST on various sectors, bring out the pros and cons and present our view on how effective GST has been, in terms of the perceived gains that the administrators thought would accrue with the implementation of GST.
Critically analyze – When asked to analyze, you have to examine methodically the structure or nature of the topic by separating it into component parts and present them as a whole in a summary. You need to conclude with a fair judgement, after analyzing the nature of each component part and interrelationship between them.
Structure of the answer
Introduction – explain GST and the objectives of implementing it.
Body – Discuss the overall impact of GST on businesses, tax collection, cooperative federalism, mechanisms and provisions of GST which have impacted the tax administration etc. Discuss the pros and cons. Highlight how the situation can be improved.
Conclusion – Being out a fair and balanced conclusion on the impact of GST and what the way forward should be.