Akshita Saxena
, 4 th Year, BA LLB(HONS.), Symbiosis Law School, Noida With the roll of Goods and Service Tax (GST) from July, 2017 after a waitlist of 17 years i , the revolutionary tax system has subsumed various indirect taxes to form one tax that will be levied on value addition to goods and services. It is expected to defunct cascading effects of indirect taxes and regulate unorganized sectors. While it has put goods and services under the umbrella of uniform tax rates, this 'one nation one tax' system
more » ... s miles to go before it becomes a hit in the country. Post resolving the tax rate structure ii dilemma, the system stands repugnant when it is to levy GST on services consumed across multiple States. Specific to Telecom industry, GST will be levied only where the user is registered and not where the services are availed during roaming. This "destination based tax" system will therefore result in higher tax ascription to states that have more registered offices. iii Another major problem posed in implementation of GST is its IT iv backbone, which a developing nation like ours lacks. Its operation hence requires complete IT-overhaul and re-engineering of tax and accounting departments. Government has tried to curb long queues at state-border check-posts that scrutinize material and location-based tax compliance, by placing heavy reliance on E-way bills or RFID v. E-way bills can be generated online before transportation and carried on RFID device that will be scanned by the RFID Antenna installed at check-posts and will reduce the time taken by officials in inspection. While the availability of its requisite infrastructure is an administrative issue, the big question here is on the technical know-how and willingness to invest among businesses in the country. Even in widely promoted digital India, small shipping agents do not yet have acquaintance with these technologies. Furthermore, a strong opposition has come forth from the e-commerce businesses who claim that this system of generating E-way bills is redundant in case of return shipments, which is very common in their business. It may also be noted that E-way bills will have to be generated in case a vehicle breaks down and goods are to be moved to another vehicle since each E-way bill is exclusive to the vehicle carrying goods. vi An online platform GSTN vii has been established by the government where an assessee will be enabled to upload his sale or/and purchase invoices for government's perusal and for availing input tax credit. The idea is that tax paid on output can be set-off against the tax already paid on inputs, provided the sale and purchase invoices of the transaction in question match. However, the government is yet to launch GST Application Platform, an interface that will enable the assessees to directly upload the said invoices. The problems arising out of this infrastructure lag